How This Trader Made $220,000 (37% gain) in October 2017...

Here's a great blog post by @SmashTheBid detailing his trading last month.  It does a great job of illustrating some things I've been harping on for well over a decade.  Namely:

  • You don't need a high win-rate to make money.  He made that $220K with a 62% win rate. The key is to keep your winners bigger than your losers and to have a positive expectancy
  • You can make money on non-penny stocks! He made significant amounts of money on stocks priced over $20 and those priced under $20.  And many people wouldn't even consider trading stocks above $5 or $10!  (It drives me crazy to see people focus so much on low-priced stocks.  You should think in amounts of money invested and percentages, not number of shares and points!)
  • There's a lot of opportunity on the short side. 40ish % of his profit came from shorting.
  • It's important to keep and review a trading journal.  
  • It's critical to have a plan and stick to it.

Published by TraderMike in trading