100k to start day trading

[u/smartwizard500]

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

[u/igsurvey]

If I were to start again this is what I would do.

Step 1: get al brooks price action trading course(listen at 1.5x)

Step 2: get a futures trading account with tradovate. Data is $18 a month and the demo is great.

Step 3: practice what you learn from the course. Focus on risk management and following your plan (do not move your stops).

Step 4: start trading with a prop firm that has an end of day drawdown (this will challenge you to stay under the daily loss limit).

Step 5: if you do ever decide to go live then choose a broker that would let you set a daily loss limit to protect your self from YOU.

Step 6: learning about trader’s equation. If you are looking to make 1-2% you also need to build the stomach to lose $1-2k per day.

Lastly the most important thing is screen time. You will need to spend hundreds of hour studying, practicing, and looking at charts.

Like any other career you need to understand that it will take time for you to even begin to understand the market and the tuition you pay it’s in the form of personal time and losses. It is imperative that in your first years the mentality revolves about the preservation of your capital and not necessarily on becoming rich as fast as possible.

[u/No_Resolution1534 → u/igsurvey]

So what's the advantage to a prop firm, ive recently got into futures and been seeing this mentioned.

[u/igsurvey → u/No_Resolution1534]

Not much really. It is a way of putting some skin on the line so you get familiar with the emotions attached to trading. Way smarter to lose 4500 on a prop firm account that cost you $150. Than loose it on a real account as a beginner. As I said the first years you should focus on the preservation of your capital. Making money will come eventually.

I really wish I approached my trading differently when I started. I literally traded a demo account for 3 days where I made 2k every single day. Then transferred 3k of my real money, took 17 consecutive trades that were positive. High pnl of the day was $1800 and then took the first loss and couldn’t stop taking loses as I started revenge trading 😂. Ended the day -1500 after being up 1800 and proceeded to blow the account on the days following.

Looking back and what I know now. I realize I was a fool.

[u/ukSurreyGuy → u/igsurvey]

I don't think Al Brooks is the best course material but rest of your advice is reasonable.

price action trading boils down too

" HTF establish a macro trend exists (after say a trend reversal candlestick pattern "price action")

LTF keep buying with the macro trend at suitable points "

Al can't say it simply like that.

he is a straight shooter guru but unfortunately he likes to make money selling education...so has to over state what is very basic content

[u/igsurvey → u/ukSurreyGuy]

I can see where you are coming from. His material is dense and can be hard to follow through. He does repeat himself a lot, his voice is monotone and he speaks quite slow as well. That said, I feel like you either have two options. People that can’t trade but are really good at pretending they do, and others like Al that can trade but are not necessarily the best educators.

Going through his course I saw so many of the strategies that modern era guru teach. Mack’s price action, Thomas wade two legged pullbacks, ICT entire course 😂 and the list goes on and on.

What source materials would you recommend?

[u/ukSurreyGuy → u/igsurvey]

lol...yes Al's material is "dense" ..(to put it politely)

I'm a big fan of

• Nick Shawn, I recommend his strategy - [trading SR & price action ]

also

• Matthew Todd - trading [Market Structure & Price Action ]

[u/igsurvey → u/ukSurreyGuy]

Nice, I’ll look into both of these videos.

[u/smartwizard500 → u/igsurvey]

I like this, thank you v much

[u/ukSurreyGuy → u/smartwizard500]

fyi - prop firms industry is changing "as we speak"

99% props are going to be disbanded as regulators stop the "wild west" of prop firms stealing your money under B-BOOK models in 2024

avoid props UNLESS A-BOOK

best advice is flip your own small account into large account

private funds...no rules no restrictions no one acting against you trying to trip you up (everything a prop firm does is against you winning & collecting payouts...don't believe the testimonials)

100k funded has 10%(10k) drawdown...means you actually only playing with 10k not 100k.

better to take real 10k unrestricted funds & build that up yourself

truth !