To reach this hypothetical golden point I assumed that I would start with a $200 trade and that I'd be compounding the trade... so adding the last trade's gains to the next trade (& lets say the stock is always $1 per share to make thing easy). Most of guru's like Tim Sykes and Cameron Fous are shooting for a 10% gain and then taking profits from there and up, but to be conservative I'm going to say that I take profits at 6% every time.
Also to make things easy I'm not factoring in trade fees... remember this is a super rough estimate just for fun.
- Around my 95th trade I'd reach the $25,000.00 mark and become free of the pattern day trader rule.
- Around my 120th trade my trade power would reach $100,000.00
- Around my 130th trade I could scale down and make $10,000.00 per trade if I made 6%
That means if I were using a service like SureTrader to avoid the pattern day trader rule from the get go, I could... in theory... make $10,000.00 per trade in half a year or less. Crazy!
Of course I am a realist and know that this is not the likely outcome. It would most likely take longer to reach this point... but I know it can be done.
No comments:
Post a Comment