im simply not grasping this
on the paper trading site, ive made 7500 this morning on 10k i was playing
with. thats 11,000 dollars in 2 days of playing around with essentially
10,000 up front. There has to be more to this.
i see on my schwab account if i make more than 4 same day trades in a week
i get flagged as a day trader and need to have 25,000 in my account or i
get a margin call. I dont know what that means, im not buying on margin, it
would be cash.

assuming that I had actually had 10,000 in my real account, would I really
have profited 11,000 in 2 days on 5 trades? (there was some math mistakes
made, I made the same size purchase each time, forgetting that the
increased price lowered the number of stocks i could get for 10k, but
technically the sale would have put enough in to cover the difference)

On Sat, Apr 10, 2021 at 4:08 PM Caleb Knauer <[email protected]>
wrote:

> It works great, right until it doesn't.  If it was that easy then we'd
> all be wolf of wallstreet.
>
> On Fri, Apr 9, 2021 at 10:13 PM Steve Jones <[email protected]>
> wrote:
> >
> > So I've been dicking around with the market, trivial amount, 5 shares
> per stock. If I had put a lot in Tesco would have done me well.
> >
> > I have 100 shares of this penny stock, it's a gold backed
> cryptocurrency, I watch it bounce a lot throug the day and its followed the
> same trend for its couple months existence.
> >
> > So I set up a paper account and was dicking today with another penny
> stock. Set buy and sell limits with about 10,000 in the play money. It made
> 4k in 2 rounds. It's just a couple pennies it fluctuates but at 500,000
> shares that adds up.
> >
> > I told the wife and of course she wants me to cash in something and play
> with real money.
> >
> > I'm more inclined to see how the play money performs, I have some limits
> on the crypto stock that we will see what happens on monday morning.
> >
> > I'm thinking to myself there has to be a catch. If it was that simple,
> everybody would be doing it.
> >
> > You guys who mess around probably went through a time where you tried
> that kind of trading, and none of you talk about it now, so I assume the
> catch is pretty straight forward.
> >
> > I was looking at my IRA, it's done pretty good at 17 percent. But just
> taking 10k of it and playing with this at 1 percent per trading day, that
> would be another 27k annually.
> >
> > I do see why day traders need low latency though, but with limits I dont
> see it has a lot of impact.
> >
> > What's to stop a guy from spending an hour or 2 every morning with a
> relatively small amount in the big scheme of things like 10k trading to 1
> percent or better and then going to work? 100 bucks a day or more doesnt
> seem terrible for an hour.
> >
> >
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