Poor Man’s Futures Trading (by 007 Dad)

I’ve seen many ask the question how to get started in futures trading and make money. Heck, how can I earn a living at day trading? Most, including myself earlier this year, thought it must be home run after home run to get there. After watching many of the pros here on Slope as well as studying charts, other traders, and history, I have adopted a similar game plan I saw someone mention a while back. Start with a $5,000 trading account for futures. The goal is to just make 4 ticks per day on average. That’s right, $50 in ES per day. How would that play out in a 5 year plan? We will take a look…And if you are really wanting to be aggressive, shoot for 8 ticks per day, or $100 profit. Yeah, yeah…I hear the nay-sayers already! It may be simple and not uber aggressive, and we aren’t counting commissions, but check out the chart below and adjust per your trading plan! Trading account with $5,000 Day one earn 4 ticks or $50 Week one earn 20 ticks or $250 Month one earn $1,000 Year one earn $12,000 End of Year one $5,000 + $12,000 = $17,000 Year Two Start with $17,000 trading two contracts now, same goal of 4 ticks per day. Week one earn $500 Month one earn $2,000 Year two earn $24,000 End of Year two $17,000 + $24,000 = $41,000 Year Three Start with $41,000 trading three contracts, goal of 4 ticks each per day Week one earn $750 Month one earn $3,000 Year three earn $36,000 End of Year three $41,000 + $36,000 = $77,000 Year Four Start with $77,000 trading four contracts, goal of 4 ticks each per day Week one earn $1,000 Month one earn $ 4,000 Year four earn $48,000 End of Year four $77,000 + $48,000 = $125,000 Year Five Start with $125,000 trading five contracts, goal of 4 ticks per day Week one earn $1,250 Month one earn $5,000 Year five earn $60,000 End of year five $125,000 + $60,000 = $185,000 If you decide to shoot for just 8 ticks per day, the results would be much faster of course: Day one $100 Week one $500 Month one $2,000 Year one $24,000 EOY total $5,000 + $24,000 = $29,000 Year two (adding one more contract per year as above) $48,000 profit EOY total $29,000 + $48,000 = $77,000 Year three $72,000 profit EOY total $77,000 + $72,000 = $149,000 Year four $96,000 profit EOY total $149,000 + $96,000 = $245,000 Year five $120,000 profit EOT total $245,000 + $120,000 = $365,000 Not a bad five year plan for a beginner with $5k to start. Perfect world scenario, but I would say simple game plan with small expectations. Why aren’t others doing this? What’s easy to do, is easy not to do. You gotta start somewhere! Blessings trading on 2016 guys n gals!

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