Yes I have done some Big Trading.
In fact I have traded many millions of dollars. I started my trading career with just $6,000 and even wrote a book about that memorable but modest start. I called the book, How I Quit My Job and turned $6000 into a Half Million Trading. (See Classic Trading Manuals). So I got off to a fast start and my success and writings attracted some attention. With respect to big trading I initially traded overseas markets, Europe and Asia, for Linda Bradford Rashke (LBR Group) with around 35 million dollars and later I traded a US stock account of several million dollars for several years for a gentleman living in Germany . So in spite of my modest beginning as a trader I am very familiar with big trading, large positions and big money in the markets.
The stock trade positions I post every day on this web site approximate very closely both the size and trading style I did for the German gentleman. In fact the trading system I use is virtually identical. This is an Excel graph of some of those trades:
click to enlarge graph:
This Excel spreadsheet graph represents the accumulated profits of the account I traded for the German gentleman from 7/19/99 through 10/31/2001.
I am including some limited information and statistics on this million dollar account for several reasons. First of all the system that made this five million dollars is essentially the same system as JORDI’S INTRADAY2, the results of which I post on this web site daily, and which you can buy for $1,000. (see automated trading software)
The second reason is that I do not wish to be tagged as knowing only how to trade small amounts of money. Personally I think it is tougher to trade a small account than to trade all these millions, but nevertheless there are some people out there who might disparage my trading skills if it was believed that my only skill was in learning and studying the art of trading an account of less than $5,000.
And the third reason is to demonstrate that trading 5 million is not that much different than trading 5 thousand and the successful trader of both those accounts must follow similar rules and statistically should expect similar results.
Statistics from Big Trading
I will hit on just a few of the mind boggling statistics behind this five million dollars in profits. A great deal of money was moved out of this account and its size fluctuated wildly. The account started at 1.5 million and ended at a half million and was at one time as high as six million. So I am estimating that the average size of the account was two million. Based on that estimate this account yielded an average annualized return of about 100%. Not bad and very similar to the returns I reported in my book, How I Quit My Job and Turned $6,000 into a Half Million Trading. These systems really work!
Some more interesting statistics from this Excel spread sheet: Number of trades = 11,689 Amount of money moved in and out of these markets in just 27 months = $1,946,770,083 (Just shy of TWO billion dollars). Average profit of each trade = $385. Best Trade = $69,484 Worst Trade = – $37,022
I will not dwell on these statistics except to draw attention to the average trade making only $385. Even though nearly five million dollars was made with annualized returns of 100% the average trade was only $385! We make our money by trading a lot even though our average profits may seem low.
If you look at the daily trades of JORDI’S INTRA-DAY2 you will see a lot of trades that are rather small. We take a lot of small trades to find the big one. We make 60% to 70% of our profits from less than 5% of the trades. The average trade with this system that commits about $25,000 in cash to each trade may only be a few hundred dollars.
Big Trading in 2013
But it is those occasional outlier trades that really account for much of our profits. This is an example of one of our largest outlier trades in 2013 that took place in January while trading NFLX stock:: (click to enlarge)
We have to take a lot of small trades to get a big one like this that makes $35,000 in just three days. But these big trades do happen and are keys to our successful trading. “Jordi” works as well today as it did 10 or 15 years ago.
By posting these real time trades every day I hope to demonstrate that “Jordi” is just as robust as ever and there is both safety and good returns behind this unusual style of trading we employ.
So I say stick with a good robust system, take all the trades and excellent profits will follow. It does not make any difference whether you are trading five million dollars or five thousand dollars, the basic trading strategy remains the same.
And who know knows? Follow the system carefully and consistently and you may find yourself, like me, going from small trading to Big Trading.