It took me 4 years to reach a $100k trading account
Here's why your account will never hit $100k
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(Avoid these 7 mistakes)
1. Strategy Hopping
If you are constantly switching strategies, you'll never find success
There is no "perfect strategy"
Stick to one that makes sense to you and tweak it every week
2. Not Journaling Your Trades
You should always be keeping track of the mistakes you make
Otherwise, you'll keep making them without even knowing
Journal everything to see what works and what doesn't.
3. Using too much size
The key is not to just look at your account size
You should take your perspective on money as a factor as well:
No matter what account size you're at, if you view $50 as a lot of money then don't risk more than that
You should always be risking an amount that you are COMFORTABLE risking
And an amount that's respective to your account size (1-5%)
4. Following alerts
I get it. You see someone post all their alerts that went for 100% plus that day
It's very easy to want to follow alerts.
But if you are ever looking for long-term success, you need to become self-sufficient
I've tried following alerts when I first started and it never worked
By the time they alert, the stock is already gone and they don't always post exits
Stick to your guts and learn to trade for real
5. Weekly OTM Options
For options traders, there's rarely any advantage to trading weekly OTMs.
I've traded month out ITM contracts and have still gotten 100%+ gains in a few days
When in doubt, go further out
6. Searching for setups
If you ever find yourself scrolling through each stock on your watchlist looking for setups...
You're likely overtrading.
Have setups pre-defined on a watchlist.
If they don't hit, they don't hit.
You don't need to trade every day
7. Trading more than I can afford
With a small account, you shouldn't be trading names like:
$TSLA
$SPY
$GOOG
Stick to stocks and contracts you can afford that have good spreads
Give me a follow for more tips from a full-time
trader