DanielXX: " The buoyant stock market may have got some investors/traders who have made good money to consider quitting their jobs and doing investment/trading full-time..."

This interesting read can be located at:

http://mystockthoughts.blogspot.com/2005/1...ng-trading.html

More related discussion can be located here too:

http://info.channelnewsasia.com/bb/viewtop...der=asc&start=0

Hey HC,

Are you thinking of trading full-time ? Think carefully again OK? Trading is very difficult lar. But some good news.

- Why full-time trading?
You tell me lor? Everyone has their own reasons.

- Can you make 100% consistently ?
YES!!!! 1000% also no problem. Why ? Suppose you have 20k can you make 20k every month trading the S&P ? YES YES YES!!!. Suppose you have 2000000000000000000000000000000000 can you make 2000000000000000000000000000000000 every month ? Err very very tough.

- What if the bull market is over ?
Cannot short the market meh ? What if the market doesn't move ? Wah better still, park xxx lots at bid and xxx lots at offer and laugh all your way to the bank. (In fact the Nikkei spread doesn't move because of the interest rate and dividend). In fact I think you can make more money if you can find a stationary trade.

So if you are not wrong, you can make $$$ in any market conditions

- Is trading stressssssful ?
Is your job stressful ? I was at a particular shop one for the CNY rush period. Very good business. Maddness, long queues. The cashiers were sweating like mad and looked very stressed. I thought to myself. Hey trading is very stressful too, but then I make more money leh =)

- Is trading gambling ?
Unfortunately for some yes. But in generally it is not.

- Will you lose $$$ if you actively trade or stare at the screen all day long ?
Depend lar. Your comms, your trading style etc. I like to do sure win arbi. Some don't last for a few seconds. If I don't stare at the screen all day, where got chance ?

- Is the market random or is it efficent ?
The maths guy will say its random, the econ guy will say its efficent. I am not interested in this !

- So how to make $$$ ?
I know a guy. He say he doesn't know anything because he O-level only. He doesn't look at charts, he doesn't watch the news, he doesn't look at any funny data. Actually there is something he does when trading. He watches porn. But if someone tells me there's a correlation between porn and trading success, please kill me first.

Me? I have post grad degrees in finance and stats hehe. I look at everything. I am very emotional haha.

- So is the trader just making noise ?
Textbook stuffs. Yes making noise but also allow the hedgers to transfer their risk. Important if you ask me. But I am not interested in discussing this !

- Full time different from part time ?
For me I am trading differently from part-time. Many of us definately don't learn from SOP books but on the job from seniors?!

Why should you trade full-time ? Ask yourself. Will you from a winner become a loser when you trade full-time ? Ask yourself.

- Trading for a living ?

Lastly this is some advice I find it funny. Don't trade full time unless you have enough money to take care of daily expenses. C'mon if you have enough money, PLEASE DON'T TRADE!! Why do you want to trade anyway ? To make more $$$ ? Trading is not an easy way to make monies okie.

There's a boy in ancient china. He asked his father why he is so concern about money since they are very rich liao. He asked his father how do you call the son of your son (sun), what is the grandson of your grandson? (xuan sun). And what is the grandson grandson of your grandson ? His papa was stumped.

You can't take the $$$ to the grave anyway and who are you trying to pass the money to ?

So why am I trading ? For a living lar, not for pass-time leh.

PM me for more info but before you do that. Think carefully again OK? Trading is very difficult lar, very very difficult.

Undead:

Thanks for sharing your thought.

Actually I was trying to point to those threads so that fellow members who is thinking of trading for a living can see what other have to say, agreeable or otherwise. This is especially when we see this in the current bull run of small caps, and hope that none will mistake bull market as good trading skill.

But what the hack, when the bull is here, make money first!

:) :)

undead,
i will pm you!
=)

HC,
are you a fulltime trader as well?
i have always assumed that you and lion are.

yes of course a rising tide will raise all ships and all players in the market will feel that they can make this kind of money forever.
the true test is in a downtrending market that separates the pros from the louyas.

=P

Quest:

I am NOT a full time trader (yet :) ).

The true test come not only from the down trending market, but also for how long this trader can survive through all the cycles. ;)

HC,

i see that most fulltime traders are derivatives traders.
i have yet to meet a fulltime proprietry equity trader.
do you know any?

=)

Quest:

Not anyone as full time equity trader.

thanks, HC!
i will continue to look.
=)

Someone commented to me: "In bull market, many want to be full time trader. What happen when the bull market is over?"

Any thought :)?

Perhaps some may started to think of working as a full time employee :( (for those failures) or full time mentor/tutor (for those successors).

Just little bit of cold jokes.. :P hah... chiu!

Here is Daryl Guppy's take on part-time and full time trading:

"...In my case, when my three-year work contract finished I was making enough from part-time trading to not have to worry about looking for traditional full-time work. I took on full-time trading only after I was already making a living from it.

You become a full-time trader by graduating from a part-time trader and when your trading income is greater then your current wage income. In this situation you have already accumulated sufficient savings to make full-time trading, with its irregular income flow, a real possibility of success.

But you do not need to become a full-time trader to enjoy the benefits available from trading the market. Most people are able to successfully use part-time trading to provide an excellent supplement to their existing income. This may reduce the pressure to take on overtime, and make longer, unpaid holidays a realistic options, or even hasten the drift towards part-time work. These possibilities are all achievable when wage income is supplemented by part-time trading income.

This approach is the most appropriate for most people, and it is also a vital first step for those who aspire to full-time trading. Trading success is possible but it is not for everyone. Treat it as a serious part-time occupation first, and then make the transition based on success."

Extracted from "Trend Trading" by Daryl Guppy.