Futures Trading Account Size? - Emini Index Futures Trading | futures io social trading
futures io futures trading


Futures Trading Account Size?
Updated: Views / Replies:4,266 / 25
Created: by MethylSeasons Attachments:0

Welcome to futures io.

(If you already have an account, login at the top of the page)

futures io is the largest futures trading community on the planet, with over 90,000 members. At futures io, our goal has always been and always will be to create a friendly, positive, forward-thinking community where members can openly share and discuss everything the world of trading has to offer. The community is one of the friendliest you will find on any subject, with members going out of their way to help others. Some of the primary differences between futures io and other trading sites revolve around the standards of our community. Those standards include a code of conduct for our members, as well as extremely high standards that govern which partners we do business with, and which products or services we recommend to our members.

At futures io, our focus is on quality education. No hype, gimmicks, or secret sauce. The truth is: trading is hard. To succeed, you need to surround yourself with the right support system, educational content, and trading mentors Ė all of which you can find on futures io, utilizing our social trading environment.

With futures io, you can find honest trading reviews on brokers, trading rooms, indicator packages, trading strategies, and much more. Our trading review process is highly moderated to ensure that only genuine users are allowed, so you donít need to worry about fake reviews.

We are fundamentally different than most other trading sites:
  • We are here to help. Just let us know what you need.
  • We work extremely hard to keep things positive in our community.
  • We do not tolerate rude behavior, trolling, or vendors advertising in posts.
  • We firmly believe in and encourage sharing. The holy grail is within you, we can help you find it.
  • We expect our members to participate and become a part of the community. Help yourself by helping others.

You'll need to register in order to view the content of the threads and start contributing to our community.  It's free and simple.

-- Big Mike, Site Administrator

Reply
 
Thread Tools Search this Thread
 

Futures Trading Account Size?

  #1 (permalink)
Elite Member
Phoenix, AZ
 
Futures Experience: None
Platform: Ninja
Favorite Futures: ES
 
MethylSeasons's Avatar
 
Posts: 56 since Apr 2014
Thanks: 162 given, 56 received

Futures Trading Account Size?

I have been demo trading ES and CL for a few months now and am going to take the plunge and open a live account.

I'm planning on starting with 25k. Is this sufficient capital for daytrading these 2 instruments or should I wait until I can afford to put in 40-50k?

Reply With Quote
 
  #2 (permalink)
Quick Summary
Quick Summary Post

Quick Summary is created and edited by users like you... Add FAQ's, Links and other Relevant Information by clicking the edit button in the lower right hand corner of this message.

 
  #3 (permalink)
Market Wizard
Hamburg Germany
 
Futures Experience: Advanced
Platform: Multicharts, Tradestation, Multicharts.NET, NinjaTrader, MetaTrader
Broker/Data: DTN IQ
Favorite Futures: ES
 
Posts: 1,373 since Apr 2013
Thanks: 215 given, 783 received
Forum Reputation: Legendary


MethylSeasons,

it depends on how many contracts you are trading at the same time. Of course there are brokers that allow you to trade the ES with $500 daytrading margin, but that would be ludicrous especially for someone starting out.

So how many contracts could/should you trade with 25k? Although the answer comes down to personal preference one thing that is very imporant in answering this question in my opinion: How much do you need to risk per trade with your method? Let's stick with the ES and assume your method uses 3 points stops on an average entry. Trading a single contract this would be 0.6 % risk on your account capital. With two contracts this would be 1.2%. This seems acceptable in terms of risk, but you'd be limited to two contracts (unless you risk more) which also limits you on the methods for exits to a maximum of two targets. Which probably makes it harder for you to be profitable.

The above is just my personal opinion and when it comes to risk I like to keep it small. So I am not saying you shouldn't start now, but I think you either have to take too much risk or make it harder in other ways and this doesn't help in shifting the odds in your favour.

Regards,
ABCTG



MethylSeasons View Post
I have been demo trading ES and CL for a few months now and am going to take the plunge and open a live account.

I'm planning on starting with 25k. Is this sufficient capital for daytrading these 2 instruments or should I wait until I can afford to put in 40-50k?



Last edited by ABCTG; April 5th, 2014 at 03:17 PM.
Reply With Quote
The following 3 users say Thank You to ABCTG for this post:
 
  #4 (permalink)
Market Wizard
Boca Raton
 
Futures Experience: Advanced
Platform: Variety
Broker/Data: Optimus Futures, LLC
Favorite Futures: Futures
 
mattz's Avatar
 
Posts: 1,920 since Sep 2010
Thanks: 1,828 given, 2,587 received
Forum Reputation: Legendary

@MethylSeasons

excellent points by @ABCTG

The only thing I may add is also looking at the notional value of the contract.
for example, if ES is at 1800 or 1400 could make a difference on the potential size moves in the market.
For example, as the value goes higher, the same point value fluctuations will be considered less in percentage,
yet the same value and affect on your account. I think this should also affect your decision of size.

Matt

PM with any questions about optimusfutures (800) 771-6748 (561) 367 8686. THERE IS A SUBSTANTIAL RISK OF LOSS IN FUTURES TRADING.
Reply With Quote
The following user says Thank You to mattz for this post:
 
  #5 (permalink)
Elite Member
Phoenix, AZ
 
Futures Experience: None
Platform: Ninja
Favorite Futures: ES
 
MethylSeasons's Avatar
 
Posts: 56 since Apr 2014
Thanks: 162 given, 56 received


ABCTG View Post
MethylSeasons,

it depends on how many contracts you are trading at the same time. Of course there are brokers that allow you to trade the ES with $500 daytrading margin, but that would be ludicrous especially for someone starting out.

So how many contracts could/should you trade with 25k? Although the answer comes down to personal preference one thing that is very imporant in answering this question in my opinion: How much do you need to risk per trade with your method? Let's stick with the ES and assume your method uses 3 points stops on an average entry. Trading a single contract this would be 0.6 % risk on your account capital. With two contracts this would be 1.2%. This seems acceptable in terms of risk, but you'd be limited to two contracts (unless you risk more) which also limits you on the methods for exits to a maximum of two targets. Which probably makes it harder for you to be profitable.

The above is just my personal opinion and when it comes to risk I like to keep it small. So I am not saying you shouldn't start now, but I think you either have to take too much risk or make it harder in other ways and this doesn't help in shifting the odds in your favour.

Regards,
ABCTG

Thanks ABC.

So Im assuming you dont recommend CL right now considering what you said about ES? Perhaps I could look at a Forex pair in addition to ES so I could keep my % risk lower than it would be trading CL.

I plan on starting with 1 contract. No its not ideal, but it is suitable for my strategy.

Reply With Quote
The following user says Thank You to MethylSeasons for this post:
 
  #6 (permalink)
Elite Member
Philadelphia
 
Futures Experience: None
Platform: gold blimp
Favorite Futures: pink clouds
 
Itchymoku's Avatar
 
Posts: 2,871 since Apr 2012
Thanks: 1,667 given, 3,583 received


MethylSeasons View Post
I have been demo trading ES and CL for a few months now and am going to take the plunge and open a live account.

I'm planning on starting with 25k. Is this sufficient capital for daytrading these 2 instruments or should I wait until I can afford to put in 40-50k?

This is a popular question I've seen many times on the forum and the best advice is to just start trading live with the smallest size possible. Trade that way for a month and see how you did. Document your trades.

If you can even stick to X amount of losing trades a day or less based on valid entries in your beginning stages you're already far more successful than most people even if you lose money initially. Most people who fail at trading over trade either when they're excited after making money or pissed off that they lost money.

I couldn't put it more simply

Good luck

Also, you probably already know this but - try not to trade two instruments simultaneously due to their correlation otherwise you're taking on double the risk unless that is somehow factored into your edge. At times ES and Cl will move in tandem.


Last edited by Itchymoku; April 6th, 2014 at 03:19 AM.
Reply With Quote
The following 4 users say Thank You to Itchymoku for this post:
 
  #7 (permalink)
Market Wizard
Hamburg Germany
 
Futures Experience: Advanced
Platform: Multicharts, Tradestation, Multicharts.NET, NinjaTrader, MetaTrader
Broker/Data: DTN IQ
Favorite Futures: ES
 
Posts: 1,373 since Apr 2013
Thanks: 215 given, 783 received
Forum Reputation: Legendary

MethylSeasons,

Forex might be an option or take a look at one of the micro-FX contracts on CME - M6E for example. This can help you getting a feel for things when trading live, but at the same time limit the risk.
Another thing you probably know already, only trade with money you can lose without the loss having an impact on your financial situation i.e. never trade with money you need for paying bills, loans or what ever.

Regards,
ABCTG


MethylSeasons View Post
Thanks ABC.

So Im assuming you dont recommend CL right now considering what you said about ES? Perhaps I could look at a Forex pair in addition to ES so I could keep my % risk lower than it would be trading CL.

I plan on starting with 1 contract. No its not ideal, but it is suitable for my strategy.


Reply With Quote
 
  #8 (permalink)
Trading Apprentice
Vancouver Island, Canada
 
Futures Experience: Advanced
Platform: T4, Ninja, MetaTrader, IB, Oanda
Favorite Futures: Oil
 
Posts: 36 since Nov 2013
Thanks: 87 given, 86 received


MethylSeasons View Post
I have been demo trading ES and CL for a few months now and am going to take the plunge and open a live account.

I'm planning on starting with 25k. Is this sufficient capital for daytrading these 2 instruments or should I wait until I can afford to put in 40-50k?

My first thought is, you should all ready know the answer to this question based on your demo trading. If you aren't sure, I would suggest continuing to demo trade, or trying a combine which really shows your daytrading stats.
Failing that, I would suggest a $2000 account with Oanda and trade WTI (CL) and the spx. If you can make money with the $2000 account, then move up to a larger account. The key isn't the money you make, it's the process of trading correctly... That is what you need to learn at the beginning.

Reply With Quote
The following user says Thank You to Yukoner for this post:
 
  #9 (permalink)
Elite Member
Lagos, Nigeria
 
Futures Experience: Intermediate
Platform: NinjaTrader, SierraChart
Favorite Futures: Euro Currency & Oil
 
lolu's Avatar
 
Posts: 2,438 since Jun 2009
Thanks: 998 given, 1,592 received


Yukoner View Post
My first thought is, you should all ready know the answer to this question based on your demo trading. If you aren't sure, I would suggest continuing to demo trade, or trying a combine which really shows your daytrading stats.
Failing that, I would suggest a $2000 account with Oanda and trade WTI (CL) and the spx. If you can make money with the $2000 account, then move up to a larger account. The key isn't the money you make, it's the process of trading correctly... That is what you need to learn at the beginning.

Trading WTI (CL) with Oanda ? Could you please provide the link to this WTI (CL) resource. I thought Oanda provides for only Forex, Precious Metals (Gold and Silver) trading.

Lolu

Reply With Quote
 
  #10 (permalink)
Elite Member
cologne, europe
 
Futures Experience: Intermediate
Platform: jforex, ninjatrader, t4-trader
Broker/Data: dukascopy, ninjatrader/cqg
Favorite Futures: fairly traded ones
 
CFuture's Avatar
 
Posts: 219 since Mar 2011
Thanks: 315 given, 182 received


If you start out trading live you have to prove yourself to be consistantly profitable with a small 4 digits account.

Like the posters above already said, use micro futures or those with small ticksize like NQ, YM, 6B or an ecn forexbroker/trustworthy cfd-broker. Oanda besides others might be a good choice.

Nobody is bulletproof in this business and the first years need educated training how to minimize risk! I witnessed enough ppl going financially broke with the trading dream..

Reply With Quote
The following 3 users say Thank You to CFuture for this post:

Reply



futures io > > > > Futures Trading Account Size?

Thread Tools Search this Thread
Search this Thread:

Advanced Search



Upcoming Webinars and Events (4:30PM ET unless noted)

July Journal Challenge w/$1100 in prizes from TopstepTrader

July

John @ No BS Day Trading (TBA)

Elite only

An Afternoon with FIO member Softsoap (being rescheduled)

Elite only
     

Similar Threads
Thread Thread Starter Forum Replies Last Post
Blown off Futures Demo account. futurestrader7 NinjaTrader 4 February 25th, 2014 06:34 PM
Optimum account size dryg Psychology and Money Management 5 May 29th, 2013 11:28 AM
Looking for american futures broker, with EUR account wwwingman Reviews of Brokers and Data Feeds 4 October 17th, 2011 03:12 PM
Account size when trading multiple instruments jstnbrg Psychology and Money Management 39 January 18th, 2011 12:17 PM
Anyone knows a free demo account for futures ? MetalTrade Reviews of Brokers and Data Feeds 10 November 4th, 2010 05:24 PM


All times are GMT -4. The time now is 04:44 PM.

Copyright © 2017 by futures io, s.a., Av Ricardo J. Alfaro, Century Tower, Panama, +507 833-9432, info@futures.io
All information is for educational use only and is not investment advice.
There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
no new posts
Page generated 2017-06-26 in 0.08 seconds with 19 queries on phoenix via your IP 54.167.211.58