How many blew up an account before becoming a successful trader? - Psychology and Money Management | futures io social day trading
futures io futures trading


How many blew up an account before becoming a successful trader?
Updated: Views / Replies:6,444 / 35
Created: by liquidcci Attachments:1

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

View Poll Results: How many blew up an account before becoming a successful trader?
Yes, I blew up an account. 24 22.22%
Yes, I blew up more than one account. 36 33.33%
I did not blow up an account but it was so close count me in as blowing up an account. 18 16.67%
No, I never blew up an account 30 27.78%
Voters: 108. You may not vote on this poll

Reply
 1  
 
Thread Tools Search this Thread
 

How many blew up an account before becoming a successful trader?

  #11 (permalink)
Elite Member
Austin, TX
 
Futures Experience: Intermediate
Platform: F-16CM-50
Favorite Futures: JDAM
 
tturner86's Avatar
 
Posts: 5,784 since Sep 2013
Thanks: 9,849 given, 11,160 received
Forum Reputation: Legendary


Rayzor View Post
I never blew one up, but I have done a "number" on my first account. I often wonder if the success rate is lower than 5%; my broker was telling me most will blow out after 6 months. I don't think many people have the fortitude or the means to "get back on the hoarse"; I have been fortunate in that this business was well planned for regarding the money. To start ANY business one should have enough capital to start. I learned the hard way due to my own greed that one shouldn't try/test things with real money.

Yep, blew my account out in 3 months. After that and reading alot of this forum, I am finally getting to where I need to be.

Reply With Quote
 
  #12 (permalink)
Elite Member
Dallas, Texas
 
Futures Experience: Intermediate
Platform: TOS
Favorite Futures: AAPL, /ES, IWM, SPY Options
 
Posts: 208 since Oct 2012
Thanks: 440 given, 101 received

Zero, not bragging but this poll does intrigue me. Because I seen it mention on this forum "I blew up 2 $100,000 accounts before I became profitable" At what point does someone say hey I need to rethink my strategy or better yet just paper trade
I still consider myself a beginner in regards to day trading futures. Never traded naked options only cash secured, so I'm sure that has saved me so grief. I have had a few stocks that took years to work my way back to cost basis especially after the 2008 financial crisis.


Last edited by blb014; January 22nd, 2014 at 07:11 PM.
Reply With Quote
 
  #13 (permalink)
 Vendor: www.nobsdaytrading.com 
Delray Beach, FL USA
 
Futures Experience: Advanced
Platform: NinjaTrader with Jigsaw D&S
Favorite Futures: ZN,ZB,ZF,FGBL,FGBM,FESX
 
John Grady's Avatar
 
Posts: 2 since Jan 2014
Thanks: 0 given, 2 received



RonKiker View Post
In relation to this question, there are only two types of traders:
1. Those that admit that they have blown up at least one account
2. Those that are lying


Spot on.

All aspiring traders lose before they win except the ones that get lucky and those lucky ones usually give it all back plus more. However, the real reason for the failure rate eludes most people. It's not because 95% are stupid. Most traders lose because they do not fully comprehend how the game is played. I certainly didn't. Just understanding the impact of large orders on the market might have helped me blow out only three accounts instead of four back in the day. One should certainly not accept blowing out as an inevitable part of the process but neither should a person expect to be profitable before he or she fully comprehends the dynamics of the game itself.


Last edited by John Grady; January 29th, 2014 at 02:21 PM.
Reply With Quote
The following user says Thank You to John Grady for this post:
 
  #14 (permalink)
Market Wizard
Switzerland
 
Futures Experience: Intermediate
Platform: Investor/RT
Broker/Data: IB / DTN
Favorite Futures: Futures
 
Posts: 4,130 since Feb 2012
Thanks: 3,791 given, 7,659 received
Forum Reputation: Legendary


liquidcci View Post
How many blew up an account before becoming a successful trader?

Thought this would make for an interesting poll. Most who try to become traders fail.

This is a interesting question though I am not seeing a measurement for the OP's original question.

How much did you invest in your first, second or third account? 300 dollars each to gamble forex?
Or 1 million of a client to achieve some high set goal?

Now - if you have lost all 3 small accounts or the one big of the client - what is the deal?

OK - now let's start the thinking process from a different angle.
Trading is a business - to be compared with every other business.
Now if you want to start your own business - how MUCH are you willing to invest first?
Own money or other peoples' money does not really count here.
If you want to be a business owner - you might invest small. If you overcome the first obstacles
and you are still in business then you can change gear and maybe risk more.
Marking to be a multimillion business director means to prepare business plan(s) and collecting
investors to convince them to invest into your business model before any first green light to start.
Preparation means everything!

SO - to be concise:
Do NOT count your many blessings - but count of how much YOU are willing to invest in time, money,
learning curve and experience in this (or every other) adventure.

GFIs1

Reply With Quote
 
  #15 (permalink)
Elite Member
Portland, OR
 
Futures Experience: None
Platform: tos
Favorite Futures: NQ, SB, 6J, CL, GC
 
Massive l's Avatar
 
Posts: 1,458 since Mar 2011
Thanks: 922 given, 1,822 received

blew up 3 small accounts because:

over leveraging/under capitalized
lack of patience/jumping the gun
not cutting the loser(s)/ not letting the winner run

Psychology > Strategy ≥ Money

Last edited by Massive l; January 29th, 2014 at 04:38 PM.
Reply With Quote
The following 2 users say Thank You to Massive l for this post:
 
  #16 (permalink)
Elite Member
Austin, TX
 
Futures Experience: Master
Platform: ninjatrader, r-trader
Favorite Futures: CL, NG, TF, NQ, YM, GC, ES
 
liquidcci's Avatar
 
Posts: 862 since Jun 2011
Thanks: 609 given, 1,051 received

I once took a 5k account to 100k then blew out the 100k account. That hurt but getting to 100k was not because I was a good trader. I was just in right place at right time. I was then in wrong place at wrong time and got my first lesson in what the market does to a bad trader with no skill and no money management.

"The day I became a winning trader was the day it became boring. Daily losses no longer bother me and daily wins no longer excited me. Took years of pain and busting a few accounts before finally got my mind right. I survived the darkness within and now just chillax and let my black box do the work."
Reply With Quote
The following user says Thank You to liquidcci for this post:
 
  #17 (permalink)
Elite Member
Dover, Fl
 
Futures Experience: Intermediate
Platform: Ninjatrader
Favorite Futures: CL, NQ, YM, ES, GC
 
dnkhoward2's Avatar
 
Posts: 151 since Mar 2013
Thanks: 838 given, 156 received

I blew up 2 10k accounts trading options when I started trading in 2009. Had a few good sized winning trades that kept me in the game for a while. Took a little time off and studied a lot about what I was doing wrong and what I was doing right. Switched to futures in 1/2013 and realized this is better for me and my style of trading.

Reply With Quote
 
  #18 (permalink)
Elite Member
Aurora, Il USA
 
Futures Experience: Advanced
Platform: TradeStation
Favorite Futures: futures
 
kbit's Avatar
 
Posts: 5,872 since Nov 2010
Thanks: 3,301 given, 3,332 received


bobarian View Post
I guess my main point, after hijacking the thread, is….why throw hard earned $ at the market before simming profitably?

It makes no sense, but most people do it(myself included)
One could blow 100 accounts, and it would make no difference.If you can't do it in sim, why should you do it live?

I think many do start out with sim or paper and can do well but when you have real money on the line your emotions can really kick in and change how you trade. Trading live with real money tends to give you different results...more so when you are starting out. So my point is real trading will reveal if you are really profitable or not.

Reply With Quote
The following 2 users say Thank You to kbit for this post:
 
  #19 (permalink)
Elite Member
Austin, TX
 
Futures Experience: Intermediate
Platform: F-16CM-50
Favorite Futures: JDAM
 
tturner86's Avatar
 
Posts: 5,784 since Sep 2013
Thanks: 9,849 given, 11,160 received
Forum Reputation: Legendary


kbit View Post
I think many do start out with sim or paper and can do well but when you have real money on the line your emotions can really kick in and change how you trade. Trading live with real money tends to give you different results...more so when you are starting out. So my point is real trading will reveal if you are really profitable or not.

I agree. Sim is not live and is a fallacy. You need to go live once you have a system in place. The key is to trade as small as possible to limit loses until you can get consistent. I have been trading profitably for two months in sim now, but I know next week when I go live again it will be different. That is why I am trading the m6e until I get over the live hump and can just execute my plan daily. Then I will just increase position size after I am adjusted.

Reply With Quote
The following user says Thank You to tturner86 for this post:
 
  #20 (permalink)
Elite Member
Overland Park, Kansas
 
Futures Experience: Advanced
Platform: NinjaTrader
Broker/Data: Ninja-Contiuum /Optimus / Kinteck
Favorite Futures: Currency Futures, oil, corn, soybeans, e-minis...
 
photog53's Avatar
 
Posts: 40 since May 2010
Thanks: 38 given, 39 received


I didn't blow up the account, but after losing 60%, I stopped trading live for an extended period of time while I went "back to the woodshed".
My problems were many....but the primary culprit was chasing a 'high win percent' expecting that alone to carry me.
Over time I slowly hemorrhaged cash on losing trades that were too often slightly larger than my winners.
Death by paper cut....long and painful.

My other problems were pretty much the same as everyone else....
- over reliance on indicators alone
- not understanding price movement...(or taking the time to really dissect market movement)
- entry points that did not take into account the proper risk
- Jumping into trades because I was afraid of getting left behind
- Stops placed at the wrong spot....

Reply With Quote

Reply



futures io > > > How many blew up an account before becoming a successful trader?

Thread Tools Search this Thread
Search this Thread:

Advanced Search



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

Jigsaw Trading: TBA

Elite only

FuturesTrader71: TBA

Elite only

NinjaTrader: TBA

Jan 18

RandBots: TBA

Jan 23

GFF Brokers & CME Group: Futures & Bitcoin

Elite only

Adam Grimes: TBA

Elite only

Ran Aroussi: TBA

Elite only
     

Similar Threads
Thread Thread Starter Forum Replies Last Post
paper account real account interactive brokers Mehdi IB Trader Workstation 15 January 6th, 2012 12:16 PM
7 Habits of a Successful Trader Myshkin Psychology and Money Management 17 July 29th, 2011 07:47 PM
Does the path to a successful trader require blowing up an account? liquidcci Psychology and Money Management 9 July 2nd, 2011 02:06 PM
What are the mental traits a successful trader must posses? Twiddle Psychology and Money Management 30 April 30th, 2011 07:34 PM


All times are GMT -4. The time now is 03:05 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 2017-12-16 in 0.17 seconds with 21 queries on phoenix via your IP 54.163.209.109