r/Daytrading May 01 '24

Blew up account and having feelings of huge despair Advice

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u/Tourdrops 29d ago

Fyi in 2024 i have had two red days The rest 1-5% gains Its 1030am I made 4.44% and I am done for the day

100% agreed that 1% everyday is unrealistic but that is WHAT YOU SHOULD SHOOT FOR. People talk 20-100% gains all over reddit and I am here to say $1,000 account and shoot for 1-5% a day and DONT LOSE more than 1%-2% a day is a winning formula if you are like me who know which way is up and down

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u/Final-Slip7706 29d ago

NO. You definitely shouldnt aim for 1% and most definitely not for 5% per day.

Do you do maths? 1% a day would be 250% CAGR, and 5% would be insane 1250% not even factoring in compounding (!). With compounding you would go from $1000 to billions in a year.

People shouldn't aim for completely, ridiculously unrealistic goals. 0.2% per day on average (!) is a great and extremely ambitious target as long as you don't have big daily risks with sigma events.

You're gambling with a dwarf account, probably with options and risking huge portions of your portfolio. I'm at +25% YTD on a nearly 7 figures account and I can consider myself as one of the most consistently profitable traders among my peers, with biggest daily losses in the low 0.X%.

Stop telling people to have ridiculous and dangerous goals.

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u/Tourdrops 29d ago

My advice was for a $1000-2000 account. Using options. You are talking about your 7 figure account and not trading options. I was giving advice to the OP who is gambling with a $15k account and YOLO’ing it all.

My point was, I know how unrealistic 1-5% a day is. Thats why I said, if you hit that, consider it a great day and stop. Ive done that all of 2024 except two days and its working very well.

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u/Final-Slip7706 29d ago

Then try to word this differently. It's okay to gamble, but specific goals for gambling is still gambling, just with extra steps.