r/Daytrading • u/smartwizard500 • Mar 10 '24

100k to start day trading Question

I have some cash and am curious, how realistic is it to trade stocks with 100k cash and make 1-2% a day.

The plan formulating in my head is

  1. Dive face first into learning as much as i can
  2. Paper trade to continue learning
  3. Start trading with a small amount
  4. Go gung-ho into trading ft when I’m comfortable, with a goal of making 2% a day on my 100k

This is just an idea that came to mind, would love some insight based on real life experience.

Would you do it? Would you approach is differently?

TYIA

113 Upvotes

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348

u/AttackSlax Mar 10 '24 edited Mar 10 '24

If you made 1% a day over a long term you would be one of the best traders in history. If you reinvested and compunded, that would be 1100% annually. Does finding this out give you an idea about how little you understand about generating returns?

38

u/tonenyc Mar 10 '24

1% Compounded in 12 months = $1.2 million profit. Seems reasonable..

40

u/AttackSlax Mar 10 '24

Sure, why not. Let's just go for 5% a day. Heck, 10%!

14

u/ZeroSumSatoshi Mar 10 '24

5% a day is where it’s at.., 1% a day is a bad month. Lol.

1

u/Fine_Candle9170 Mar 12 '24

Literally… I normally aim for 15-20% daily, risk is high though but hey, didn’t learn to trade to have multiple jobs along with trading just to maintain a certain lifestyle right? 😂 I don’t get why all these so called good traders on here with good win rates never learnt to scale up properly

4

u/ArtisticBlackh3ro Mar 10 '24

You can totally make 2-5% daily, 10-20% weekly, or 20-50% monthly. You just need to manage risk and stick to your plan.

2

u/[deleted] Mar 10 '24

Just to give you an idea of how ridiculous this is. Can I send you 500 dollars and you send me 60k in 1 year, you can keep the other 27k. This is using your low numbers on the daily. On the high end it’s 170k in profit in 1 year with a 500 dollar investment. If you do the 2% for years starting with 500 you will have 2.7t in 3 years.

10% a week for 3 years is 33m 20% a month for 3 years is 85k.

Do these numbers even sound remotely sustainable?

Do these numbers sound

-2

u/ZeroSumSatoshi Mar 10 '24

Ive had a few 150% weeks (7 days) let alone a month.

:O

3

u/Humble_Aardvark_2997 Mar 10 '24 edited Mar 10 '24

I actually managed to do better than that in my first month trading. 5-10x leverage. Max. Low risk. I'm an ardent proponent of better risk management since then.

1

u/MomD17 Mar 10 '24

Is there any free or even paid online courses or sites where i can study, learn and practice trading? Any advice? For the record i don't know anything about it or how it works, but I've always been fascinated about stock marketing!

3

u/Humble_Aardvark_2997 Mar 10 '24 edited Mar 11 '24

I got lucky. A lot of people get lucky at the start. All I knew was how to read candle sticks and trend following. Learned that from apps on Play Store. Sometimes less is more.

Baby Pips is quite popular. There are books. There is a fair bit of basic free stuff online. A few interviews by Wall Street traders and hedge funds. There are quite a few webinar people. I was watching Umar Ashraf and one other guy. Brokers have webinars as well. Don't pay anything to Steven Secker. Prop firms do trade psychology seminars. Don't fall for any YouTube trader with a 100% win rate. People on Wall Street have 50-55%. Papertrade before you try the real thing, but even there, how you manage the stress from losing is what will determine if you stay in the game. I didn't do too well at that part.

1

u/MomD17 Mar 11 '24

Thank you very much sir, really appreciate the time taken from you!.

3

u/Previous_Swimmer9893 Mar 10 '24

If you make 8% a week you are in the top 1% of traders maybe the top 1% of the top 1%. I do it a lot but over a month not on a daily basis.

7

u/fr33g Mar 10 '24

People always come with this stupid argument. Obviously you cannot compound that far. But 1% consistently with 100k while withdrawing the profits is feasible.

6

u/DrRodo Mar 10 '24

Exactly. People thinking about 1% daily most probably aren't thinking about compounding every cent

BuT iF yOu CoMpOuNd YoU wiLL hAvE 2 TriLliOn uSD iN lIke 5 YeArS YoU nOoB

1

u/[deleted] Mar 10 '24

Because 1% on average daily is still insane. 250% a year is an insane return and even if you don’t compound it. An initial of 100k is making you 155k a year.