underfunded is one of the leading reasons traders get beaten up then beat themselves up......
So you don't have to aim for stupid % returns just to cover cost and survive.
Yes there is. Knowing before you do that you will be profitable and under what situations you will not be.
How has that worked out for you?
again, add in costs and this is not true
Well on that one will have to disagree. I've seen here time and time again how retailers train in hope and collect "experiences" as they go. It doesn't have to be that way.Let me start again as you obviously didn't understand the meaning of the sentence. As a beginner, there is no substitute (that i'm aware of) that replicates the same emotion as putting your own, real, hard earned money on the stock market. It may be different if you think you can foresee every situation that you will be profitable and vice versa but honestly i doubt a beginner could even start to comprehend that.
From your comment about "foresee every situation" it would seem you don't understand expectancy?
Actually i found that expectancy is rather important when it comes to developing a system
Soooo.... starting blind with $1000 fits into that how?
Agree with T/H and Joules
Larger capital base easier to trade.
Mind you very large capital bases in my view become harder to trade.
Eg Managed Funds.
But also agree with TMC
There is nothing like the learning curve of using your own funds.
If $1000 is all you have on this planet then you'll learn more than if $1000 is .01% of your net worth.
But finally if you have no idea of your expectancy then your very likely gambling.
Oh and expectancy isn't predicting a 10% rise in an instrument.
Because $1000 will be incurring huge amounts of costs.
Let me start again as you obviously didn't understand the meaning of the sentence. As a beginner, there is no substitute (that i'm aware of) that replicates the same emotion as putting your own, real, hard earned money on the stock market. It may be different if you think you can foresee every situation that you will be profitable and vice versa but honestly i doubt a beginner could even start to comprehend that.
Again, If you read the post, no sum of money is too small to invest as long as you meet the broker minimum requirements. Last time i checked i could put $500 on shares as long as i had enough to cover the brokerage.
TMC - the above comment says a lot about your psychology, not your methodology. The comment "you don't learn unless there's real money on the table" is one I've heard before. It's uttered by people who are high kinesthetics. I hate to say it (because I mostly fall into this category) but the people who are high auditory (which is code for @nal retentive) will learn from backtesting without money on the table.
Cheers
Sir O
btw, some of us here speak straight to the point because, obviously, diplomatic dancing around the subject is ineffective.
put your thinking into common garden-variety things; as a spectator you can see the tour de france on a bike and not see much of the race itself or france , or, you can hire a campervan and get there in style.....the rout doesnt change, the competitors dont change the scenery doesnt change and even tho you might think the cost would be less with a bike vesrsus a campervan, well, think about it.....being underfunded is like being stuck at the back end of the race and once the competitors swing out of view youre forever sweating for nothing...on a hill, with a flat and no car!
okydokes
how about, you start a new thread, mebe a blog-style, select a $ figure, inc costs for the funding and per trade, post a bunch of trades, warts and all........mebe you could start by restricting yourself to 4 lots of $500 and see how you go.....
you sound tuff enough to the challenge
If you honestly think i would go to that extent to prove that i am right (which is irrelevant because there is no right or wrong in this case, merely a difference of preference/opinion), then you sir are a hypocrite.
If you honestly think i would go to that extent to prove that i am right....
Guys like TH, Joules, Tech and others have demonstrated in other threads on this forum that they can use smaller amounts of $ and achieve profit, but there's no way in hell a beginner could come close to doing what they do in terms of trading skill/style/implementation.
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