For those that are full time now-how'd you do it?

[Reaver]

For those that took the plunge and went full time....how did you do it?

Did you have money saved up, did you have any bills to worry about, what made you decide it was time to quit the full time job? Were you already independently wealthy or did you just take a big chance and grit your teeth?

Just trying to see if there are any suggestions from anyone who's been down the road as to what I should start working towards. Experience of course is the best teacher, but any information I can glean will help shorten the learning curve.....

Currently I work full time in the mortgage industry, making decent money, nothing crazy. I work 8 hrs a day, come home and spend another hour or so looking at charts for EOD data trades....then I devote the next 3-4 hours studying and studying and studying some more. Oh yeah, and spending time with my wife. LOL

Really ready to start working towards devoting full efforts to trading, and I am willing to take the long road to get there...but I would like any advice on making that first step.

THANKS.



Thanks in advance for any info.

[Reaver]

Also, if it will help, I can expound on any info about myself necessary. I think this would not only help me, but maybe there are a few others out there wondering the same thing and this could help them get set up too. Imagine the post count at TL if everyone was a full time trader! LOL

[TinGull]

For me, I took it the way that people probably shouldn't. HA! It wasn't easy at all. I was working a job where they brainwash people into staying aboard and I didn't go along with anything they had to say. I had to get out. They sent me to a seminar for sales training where there was a sales pitch for an investment program. A bunch of my friends and I signed up and I was the only one that took it seriously. Then, last summer I had the opportunity to leave the job and concentrate on trading.

Fortunately my girlfriend KNEW that I could do it, and knew it would just take time. The time part was the only unknown. How long would it take? So, we started looking at it from the perspective of "traditional" startups and how long it takes them to become profitable. So, I started figuring with putting in the time needed to startup say like a small pastry shop or something (LOTS of hours and hard hard work) that it might take anywhere from 12-24 months for me to become profitable.

So, here I am getting close to the 12th month since I went solo, 10th month day trading futures, and its been a long battle. THANKFULLY my girlfriend is a finance manager and has a HUGE budget at her job to finagle so getting our finances in order during the "break-in" period was easy as pie. She didn't mind working while I was at home losing money. And now that I've crossed the most major plateau coming into the year anniversary of going it alone, I really feel that I'm there on the path to consistency. Am I banking HUGE amounts of cash? For my needs, absolutely. For most other traders? I make pocket change. But that's not what I'm really in it for. Trading for me is a means to live without the limitations of a job. As long as I can consistently make what I was making at my other gig then life is grand. I mean...we grow lots of our own food, pay next to nothing in utilities for our home because we're SUPER "earth aware" in our usage, have just 1 car (Scion xA which gets 32mpg in the city, 36 on the highway easily)...so with expenses as little as ours and life as great as it already is...trading then becomes something easier on the mind.

Anyways, thats my ramblin'

[Soultrader]

Hi Reaver,

My all time favorite word is perseverance. I was able to go full-time by failing multiple times. It did take me a little over 2 years and 10 hour days studying charts, reading books, trading, staring at tape, etc... I currently spend about 12 hours a day engaged with the markets. Usually do my morning research about 90 minutes before the market opens and another 5 hours after the market closes.

I busted out 2 accounts, found myself in debt, worked 26 days a month to pay off my debt and gain some capital, etc.. simply because I refused to quit. I was willing to do anything I can to become successful at it. The entire period of the learning phase I treated trading as if my life depended on it. (it actually did) So my advice for you is determination, patience, passion, and the motivation. You cant be stubborn also. Eliminate what doesnt work and craft what works. Eventually you will find your own technique, style, and methodology. Become a master at it. To a point that your style should be branded. You also need to be well capitalized as well.

[TinGull]

OH yes, being well capitalized helps a TON on the mental front. Experienced traders can bring a 5k account up to 20k in a matter of weeks because they have broken through the mental barriers that keep a newbie from success. I feel fortunate that after a year Im still on my first small account and now starting to see some rise to that equity curve.

[Nick1984]

I'm not full time yet but this might help anyhow. Im only 22 so still a youg'un and still at University (albeight in my last semester!). The way I see myself becoming full time is by bucking the trend of most graduates and not going for a regular full time job.

I've worked full time while studying and the experience I've had working under someone else has left me kind of jaded so to make money what did I do? I started my own business! Now I work under my own steam, when I want, and with whomever I want while I study. I haven't been able to sit down and trade since this semester began so the next 11 weeks or so will be no trading at all which sucks but during my holidays I traded furiously every night (trading the YM takes place during my night time) keeping a journal (Thanks Brown ) and learning as much as possible.

Once I graduate I'll continue working under my own business and diverting excess funds into my trading account. I will end up trading 3 days a week during my night time and then sleeping until around 1-2pm before waking up and running my business from home. Eventually once I work out all the kinks in my system and can successfully make 20 YM points a day per contract on a consistent basis then I'll spend more and more time trading until eventually it becomes full time.

It'll be pretty hard for a long time but it's a price worth paying I think. If I can get a job in a prop trading firm I'd do that though!

[waveslider]

My advice to a newbie would be to spend the money on a trading education rather than make your own mistakes.

To be able to act with confidence you need to know that what you are doing works, and be able to do it consistently. The markets are always changing, but if you use the same approach consistently, and the approach works most of the time, you will profit.

To put it in perspective, I have been trading 8 years. Self employed for 4 now. Trading futures for about 2. Still break even on futures. The only thing I am profitable on consistently is my mechanical systems which trade ETFs.

I KNOW why I am not profitable on futures. It's because I lack discipline and I don't trade consistently. I have a mechanical system designed for trading the eminis and it works consistently. It does way better than me.

My advice - for the majority of people out there - don't fool yourself into thinking you can overcome the FEAR-GREED impulses driving the market.

Until you can come upon something that works consistently, and - most importantly - you have lots and lots of data to prove the idea works, AND you are able to execute the idea consistently, you will not be profitable.

There are very very few individuals who are able to act (like machines) without emotion when it comes to money. If you are starting out and have worked hard for that money, you WILL feel emotional about trading.

read this article, I can tell you it will describe the path of 99% of traders exactly: http://www.trading-naked.com/library/Chap2.pdf

So, bottom line, invest in your education so you can act with confidence. Don't worry if it cost a lot of money. You would have lost that money on you r own making mistakes!

[Reaver]

Thanks for the info. I definitely appreciate it. I agree, it is pretty much worth paying any price as far as time and effort go to have the freedom of working for yourself and trading for a living. Thanks for the ideas. I will definitely use them.

[brownsfan019]

Nate,
For me, it required a leap of faith. I was a stockbroker making good money each month and when I told some people that I was resigning to trade, I can't explain all the variety of things I was told... I had built a strong book of business and was just going to walk away. It's kind of like putting in your time trading, getting successful and then leave.

But for me, it was something that I wanted/had to do. I wanted out of corp. America and wanted to own my own biz. I've always loved the markets so being a private trader was a logical step.

And of course, this has/is a tough biz to crack into. It took me longer than I thought. I mean, how hard could this be, right?

I think you'll read 2 schools of thought on this topic:
1) If you are going to get wet, you mind as well jump into the deep end and see if you can swim.
2) Put your tiny toe in the water and see if it hurts. If so, get out!

My belief is that if you are ready (or as ready as you think you will ever be), you jump and don't look back. And I mean jump. You either treat this is a full-time biz or treat it as a part-time hobby. NOTHING will replace 'face time' - time in front of the computer and charts in REAL TIME. It's way to easy to look at past charts and just see all the $$$ you would have made.

Now, I am not saying you take your life savings and place some large trades day one. I am saying that a full-time biz requires work before 9am, during RTH, and after 4pm. It means you live and breathe your biz. It means you pay no attention to the naysayers out there. It means you give it your all and don't look back.

To me, the absolute worst thing a person can do is always wonder 'what if....' Life is way to short to be wondering what if.

[waveslider]

One other tip, keep your account small and let it blow out if you are failing. If it blows, then take some time to retreat and re-organize. To me this is like touching the fire, knowing where it is. If you are successful, gradually add another contract.
The worst thing you can do is say "I need $5000 a month to live so.. I'll trade 5 contracts" when you are starting out. Expect to at best break even for a year at minimum.
You need to let your account tell you if you are doing well. You can convince yourself of anything, and most people massively overestimate their potential.