Setting up for failure

Being a professional trader who can live of his craft is, i hear, one of the most difficult endeavour a man can try to achieve. It’s an unbelievable journey that will make one learn more about oneself than anything else.

Here is how i view the optimal journey to being a full-time independant trader. You start by spending a considerable amount of time learning the concepts. Then you start working on the execution. After doubling or tripling your demo account you start with a tiny amount of real money, to get used to the feeling. After a while the routine comes back, and you can slowly grow your account by compounding and adding money to it once, twice, before finally you can live off of your trading. The last big step is being in charge of other people’s money.

Now here is where i am. I’ve spend years learning the concepts. I’ve found my edge and just started working on the execution. The results are promising but i’m very far from reasonably saying “I’m a professionnal trader”. But sometimes life throws you a curve ball. Up until this friday i was working for 2 self made millionaires. They were my mentors and i learnt a lot from them but it was time to say our goodbyes. For the first time in my life i don’t have a job. I now have all the time i need/want to focus on my trading. For some reason half of my family really believe in me. They say i’m made for this trading thing. Unfortunately that’s not the smartest half of the family. The other half is in wait-and-see mode. But the first half believe so much in me that a chunk of our house sale is secured for me. We’re not really short on money so we can afford to have a few tens of thousand in waiting mode.

So the deal is this: for the next 3 months i’m gonna trade real money, my family’s money. A tiny account to start. Checkpoint in september. If the results are satisfying we’re adding money to the account. Then we do another checkpoint in december. I realize i’m skipping huge important steps. I have not perfected my craft yet. I have not traded with real money yet. And on top of it all i’m starting with other people’s money! A disaster to come, obviously. Worst case scenario we lose a few grands, i have to find another job in a few months but i’ll have invaluable experience for the rest of the journey. To me this look like a limited, controlled risk. On the other hand the reward if i make it is well, you know just as me the sky is the limit. A small risk, a huge reward. The kind of trade i like to take.

leap-of-faith

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Setting up for failure

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