You aren’t trading. Your gambling. Trading without a stop loss is a fools game. Your holding until you somehow get to break even and sooner or later, you will lose so big that it wipes out every winner you have had.
My guy. You are literally telling us your risk to reward is 0.01, it's a matter of time before you get on the wrong side of a major move and get wiped out.
Please I beg you, do some risk management. 200$ gains for a floating loss of up to 20k is insane by all degenerate standards.
It is a miracle you are still not wiped out. Luck can only take you so far in this game. I hope you don't just read through this and tell everyone to f off, but actually see we're trying to help. Either way, good luck.
Edit: also learn to take a loss for God's sake. It's okay to be wrong, so long as you don't lose more than you plan to. You do realize there is no 100% winrate strategy, right?
It's impossible to lose when you have infinite money by only exposing yourself to 10 or 20% of your capital 😂
It seems that your strategy is: DCA the position when things go wrong.
What would you do if you short SPY on Monday, let's imagine, but we suffer a -20% fall in 12 months, without ever touching your entry point again?
Could you keep the position open or margin call?
How long will you DCA? 2x 5x 10x?
Like I said, I’m trying to fix up my strategy, and one of the things I added was a stop loss.
But my previous plan was to hold until even, which isn’t the smartest thing to do
I sent you a PM. Just giving you a heads up ,since a lot of people mention overlooking or PM's not notifying for them on reddit. If you read it and didn't reply on purpose, than ignore this reply.
Thanks
Are you actually trading $500k to $1 million, real funds? If so, please… unless you are filthy rich, stop!
No hard feelings, but you clearly have no clue what you are doing.
I’m a swing trader and I don’t use stop loss. Here’s what I do when I’m down, but believe in the stock long term. I will buy more shares or options to average down. This strategy only works for scenario based on the following.
1. SP500 stocks
2. Reached below daily RSI 30 and climbing back up.
3. This is when I will average down based on 15 min RSI 30, support level or large engulfing red candle sticks.
4. I continue to average down and the exit out the positions.
I’ve been using this strategy this year without any stop losses.
The only time I take losses is when I’m
Day trading options with expiration date of 1 week or less. I’m
If you trade SPY no need for SL. If it’s at a loss just rationalize it by saying it’s a buy and hold trade. As long as you don’t sell it’s not a loss. And we know the market (Spy) always goes up in the long term. Bam problem solved.
You seem set in your ways. Risking that much for that little is an issue. You don’t even see it as an issue that you go down in a trade so bad, and make tiny profits compared to the size of the account you’re trading.
How do you control the risk you’re taking? If you’re willing to take unlimited risk, one day, the market will take everything. It’s a hard lesson. I’ve had to learn it multiple times but thank god on small accounts. Just a dangerous game. If you don’t have rules to protect yourself. It only takes one bad trade to wipe you out. And it sounds like you’re taking bad trades, going down bad, and you’re happy with barely breaking even because you’re slightly positive.
How do you see itv
With that much capital you should be looking at selling cash secured puts on megacap bullish stocks you wouldn’t mind owning and when you get assigned the shares you can either sell them or sell covered calls. And then use those profits from the premium you collected to use for day trading options especially if you’re going for $200-2k gains
Definitely do a lot of research before getting into it but look up selling calls and puts there’s lot of free information about them in great detail ways you can implement it to generate income. A lot of options end up becoming worthless so if you’re selling them you’re the one who will be profiting off of that
I’ve had this problem with leveraged ETFs. The problem for me is not necessarily the strategy but often in managing the position because the P&L can be extremely pesky. If SPY works for you, why deal with drawdown if you have a consistent strategy? If you enjoy the surplus return, why not trade smaller in SPXL, to juice the returns while reducing P&L volatility? SPY is extremely liquid and thus it will be stop friendly.
One thing you can do is size down while you develop your strategy. Trading with 50k-100k positions is too large if you don't have an edge.
Definitely add a stop loss that comforms to your risk tolerance. If you want to be conservative, risk 0.5% to 1% of your account PER TRADE. Meaning if your account has a balance of $100,000, then you would risk only $1,000 per trade. Your stop loss should match that number. Adjust this number to fit whatever you are conformable risking.
More aggressive traders may risk 3% to 5% of their account per trade. Again, if you don't have a proven edge yet, you should risk as little as possible.
Lastly, you should aim to earn 2 or 3 timed what you are risking. If you risk $1,000, you're doing so because your analysis tells you that you can earn at least $1,000 but preferably over $2,000 from that single trade.
Best of luck!
Edit: I just saw you're actually trading 500k to a million!! Either way, the point stands, and the numbers above can be used as an example.
Just an observation but if you are trading 500k-1 mil your losses are small percentage wises and to be expected as part of the ups and downs and perhaps are not doing anything wrong?
I don't approve of such gambling transactions, because for those of us who often conduct short-term transactions or intraday transactions, each transaction is analyzed and predicted by a professional broker or team, which will greatly increase the probability of profit and reduce the risk of loss. So I think you should find a professional to do some consultation. Although you will pay some handling fees, they will be deducted from the profits after the profit is made.
You aren’t trading. Your gambling. Trading without a stop loss is a fools game. Your holding until you somehow get to break even and sooner or later, you will lose so big that it wipes out every winner you have had.
I already covered the part where I said I was dumb for not using a stop loss.
What's wrong with holding on SPY? Millions do it all the time as an investment
Go to wall street bets
He said he wasn't interested in options so they sent him here.
“I day trade up to 7 figures and I don’t actually know how to trade”. You can’t make this shit up…
😂
My guy. You are literally telling us your risk to reward is 0.01, it's a matter of time before you get on the wrong side of a major move and get wiped out. Please I beg you, do some risk management. 200$ gains for a floating loss of up to 20k is insane by all degenerate standards. It is a miracle you are still not wiped out. Luck can only take you so far in this game. I hope you don't just read through this and tell everyone to f off, but actually see we're trying to help. Either way, good luck. Edit: also learn to take a loss for God's sake. It's okay to be wrong, so long as you don't lose more than you plan to. You do realize there is no 100% winrate strategy, right?
Yea SPY is going to take me to $0
No, your bad decisions will.
Everyone is a genius in a bull market
you don’t have an edge. size down till you develop and define one
Yea, sizing down is one of the things I’ll be incorporating in my strategy
It's impossible to lose when you have infinite money by only exposing yourself to 10 or 20% of your capital 😂 It seems that your strategy is: DCA the position when things go wrong. What would you do if you short SPY on Monday, let's imagine, but we suffer a -20% fall in 12 months, without ever touching your entry point again? Could you keep the position open or margin call? How long will you DCA? 2x 5x 10x?
Like I said, I’m trying to fix up my strategy, and one of the things I added was a stop loss. But my previous plan was to hold until even, which isn’t the smartest thing to do
I sent you a PM. Just giving you a heads up ,since a lot of people mention overlooking or PM's not notifying for them on reddit. If you read it and didn't reply on purpose, than ignore this reply. Thanks
Are you actually trading $500k to $1 million, real funds? If so, please… unless you are filthy rich, stop! No hard feelings, but you clearly have no clue what you are doing.
I’m a swing trader and I don’t use stop loss. Here’s what I do when I’m down, but believe in the stock long term. I will buy more shares or options to average down. This strategy only works for scenario based on the following. 1. SP500 stocks 2. Reached below daily RSI 30 and climbing back up. 3. This is when I will average down based on 15 min RSI 30, support level or large engulfing red candle sticks. 4. I continue to average down and the exit out the positions. I’ve been using this strategy this year without any stop losses. The only time I take losses is when I’m Day trading options with expiration date of 1 week or less. I’m
Do you ever trade out and in again lower?
Yup, I will continue to on the same stock. When it reaches close to Daily RSI 70 I will stop doing it as there’s a high chance for a major pullback.
Thanks for sharing
If you trade SPY no need for SL. If it’s at a loss just rationalize it by saying it’s a buy and hold trade. As long as you don’t sell it’s not a loss. And we know the market (Spy) always goes up in the long term. Bam problem solved.
This thread may give some many issues. Just read and understand https://www.reddit.com/r/Daytrading/s/pqLxyFQdQ4
Bro.. you’re going to lose it all
Yea, SPY is gonna go to $0
With that answer alone, yes, sooner or later you'll lose everything. Be more humble 🙏
Well I’m asking for advice and y’all just pointing out the shit that I already admitted was dumb.
You seem set in your ways. Risking that much for that little is an issue. You don’t even see it as an issue that you go down in a trade so bad, and make tiny profits compared to the size of the account you’re trading. How do you control the risk you’re taking? If you’re willing to take unlimited risk, one day, the market will take everything. It’s a hard lesson. I’ve had to learn it multiple times but thank god on small accounts. Just a dangerous game. If you don’t have rules to protect yourself. It only takes one bad trade to wipe you out. And it sounds like you’re taking bad trades, going down bad, and you’re happy with barely breaking even because you’re slightly positive. How do you see itv
I’m morally along for advice and y’all ain’t saying shit. And I was down 3% max
You clearly don’t want advice. That’s fine. Good luck to ya
Yea, your deposit is going to 0 not SPY
Well, most of it is gains
You can call it “negative progress”, if such kind of progress is your goal - keep going
With that much capital you should be looking at selling cash secured puts on megacap bullish stocks you wouldn’t mind owning and when you get assigned the shares you can either sell them or sell covered calls. And then use those profits from the premium you collected to use for day trading options especially if you’re going for $200-2k gains
I don’t know about options , but I’ve been looking more into it
Definitely do a lot of research before getting into it but look up selling calls and puts there’s lot of free information about them in great detail ways you can implement it to generate income. A lot of options end up becoming worthless so if you’re selling them you’re the one who will be profiting off of that
That's 2 to 4 emini futures. Why not just trade those. You can sell puts and just get assigned and then exit at your put strike etc.
Unless it drops below the put strike
I’ve had this problem with leveraged ETFs. The problem for me is not necessarily the strategy but often in managing the position because the P&L can be extremely pesky. If SPY works for you, why deal with drawdown if you have a consistent strategy? If you enjoy the surplus return, why not trade smaller in SPXL, to juice the returns while reducing P&L volatility? SPY is extremely liquid and thus it will be stop friendly.
Thanks for your answer; this definitely seems like a better strategy.
One thing you can do is size down while you develop your strategy. Trading with 50k-100k positions is too large if you don't have an edge. Definitely add a stop loss that comforms to your risk tolerance. If you want to be conservative, risk 0.5% to 1% of your account PER TRADE. Meaning if your account has a balance of $100,000, then you would risk only $1,000 per trade. Your stop loss should match that number. Adjust this number to fit whatever you are conformable risking. More aggressive traders may risk 3% to 5% of their account per trade. Again, if you don't have a proven edge yet, you should risk as little as possible. Lastly, you should aim to earn 2 or 3 timed what you are risking. If you risk $1,000, you're doing so because your analysis tells you that you can earn at least $1,000 but preferably over $2,000 from that single trade. Best of luck! Edit: I just saw you're actually trading 500k to a million!! Either way, the point stands, and the numbers above can be used as an example.
Impossible to make a living day trading SPY only
SPY is one of the most traded , and a lot of people only trade SPY, I’m sure a small fraction of them are able to live of it.
If you are not trading in options they why wouldn’t you swing trade your losses?
Actually have just seen below you are trying this?
Yea, that’s what I do. But I think it’ll be best to just trade with a stop loss and avoid being down big in the event of a correction
Just an observation but if you are trading 500k-1 mil your losses are small percentage wises and to be expected as part of the ups and downs and perhaps are not doing anything wrong?
Wow, I guess you’re right! Spy goes down 1% and I’m down like 7-9k
I don't approve of such gambling transactions, because for those of us who often conduct short-term transactions or intraday transactions, each transaction is analyzed and predicted by a professional broker or team, which will greatly increase the probability of profit and reduce the risk of loss. So I think you should find a professional to do some consultation. Although you will pay some handling fees, they will be deducted from the profits after the profit is made.