A well planned patient trading can be profitable

[Oshosondy]

Someone and I were discussing about trading, he told me what some other traders have told me before. I told him it is the reason he is losing while trading. He wants to double his money within a month. Is this possible? Yes, but the probability of losing is very high.

You have $100 to trade but you want to earn $3 from it every day to make it $100 monthly. That looks small, but when you begin to trade, you will understand that it is not easy to achieve that. Are you achieving it?

I prefer 5x annually. That means from $100, you need to make a profit or $1.1 daily. But I also like 2x which is $0.55 profit daily. Which means patience and using low amount of money to trade.

Do you think he is right but not just understand how to make 2x return monthly?

The daily profit that I mean is totally monthly profit divided by 30 or total annual profit divided by 365.

[Japinat]

I prefer 4x annually. That means from $100, you need to make a profit or $1.1 daily. But I also like 2x which is $0.55 profit daily. Which means patience and using low amount of money to trade.

Your math is wrong. If you prefer 4x annually, that means $300 in profit, and if you divide that by 365, that's only around $0.82 daily.

And you cannot really compute daily profit as if it's guaranteed. Better just focus on the long term since you are talking about one year. If you look at it daily, sometimes you are in profit and sometimes you are in loss, so it doesn't really make sense to expect a fixed amount every day. Just go for the long term, evaluate after a year, and see if you really hit the target.

[Gozie51]

Do you think he is right but not just understand how to make 2x return monthly?

Don't we think a daily target is risky and that is why many traders are losing. If for instance you have a daily target of $2 and you have your first trade that gives you $1, you may want to go in again even when your signal is not clear enough and that could turn to a loss of even $5 or $10 because you tried to force the market. But I think the best way is to have a longer time target of say like a week or month. This will not put a trader on pressure and you will be patient enough to wait for the right trade. Again, some trade order may be highly profitable above the suppose daily target which is used to support your losses or days that you didn't profit up to the daily target. So he can avoid daily target and put his target on monthly but accumulate profit gradually, that way the pressure will be taken off him.

[Oshosondy]

Your math is wrong. If you prefer 4x annually, that means $300 in profit, and if you divide that by 365, that's only around $0.82 daily.

This is true, but you can understand what I mean. Traders should try and understand it better. I will edit the topic.

Don't we think a daily target is risky and that is why many traders are losing.

It does not mean you should target profit daily, that may be very hard to do. You will do the average of it. There are some days that you may not want to trade also. The average will be used to calculate the daily profit.

[Big Dirams]

Someone and I were discussing about trading, he told me what some other traders have told me before. I told him it is the reason he is losing while trading. He wants to double his money within a month. Is this possible? Yes, but the probability of losing is very high.

You have $100 to trade but you want to earn $3 from it every day to make it $100 monthly. That looks small, but when you begin to trade, you will understand that it is not easy to achieve that. Are you achieving it?

I prefer 4x annually. That means from $100, you need to make a profit or $1.1 daily. But I also like 2x which is $0.55 profit daily. Which means patience and using low amount of money to trade.

Do you think he is right but not just understand how to make 2x return monthly?

The wrong idea about all this is that as a trader setting a profits target to our trading journey is a wrong idea and this can triggers excessive losses.
 Firstly, Setting a profits targets can develop the habit of over trading for a new trader, the moment we couldn’t meet up with the daily profits target, what happens next? We begin to try our possible best to hit that milestone and if losses keeps occurring, we ignore and start to place more entries just to reach our profits target not knowing we are losing our capital gradually.
 Secondly, with this profits target on our back we might end up limiting our profits, for instance some entries might tends to offer more profits but since we have a target then we close entry as soon as we meet our target and just like that we miss out a good opportunity that comes once in a while in trading.

I don’t think of this profits target as a good idea especially for the new traders. Why not focus much on reducing our losses each day and set a loss limits and we will see how we make progress gradually.

[Zaguru12]

Do you think he is right but not just understand how to make 2x return monthly?

He is wrong and we have said this multiple of times here, setting daily or monthly target is definitely wrong because to me it puts you on high pressure as you very much looking to make that cut each duration and this is one of the easiest ways that overtrading occurs where you trade beyond your limits and also the issue of revenge trading where you chase after your losses to meet up your targeted profits.

Yes it’s not utterly all bad to actually look at your annual PNL and to check whether overall you’re making or not, and this is the part where journaling ones trades matter a lot but it’s a bad to have a targeted profit in my opinion.

Your math is wrong. If you prefer 4x annually, that means $300 in profit, and if you divide that by 365, that's only around $0.82 daily.

No he meant 4x annual profit from $100 which is $400 in total and that’s approximately $1.1 daily for 365 days. So the Mathe is correct

[stadus]

you may want to go in again even when your signal is not clear enough and that could turn to a loss of even $5 or $10 because you tried to force the market.

That is the danger of having a daily target, because you always aim to make a profit, and even if you are not certain about the setup, you may still continue trading just to hit that target. It's different if you understand that not every day is a winning day, and what really matters is being profitable in the long term, just like in sports gambling.

But I think the best way is to have a longer time target of say like a week or month. This will not put a trader on pressure and you will be patient enough to wait for the right trade.

I agree the target should be long term, but even if it's monthly or weekly, you should still not pressure yourself too much. When you are trading, of course you always aim for profit, but it should still be a long-term approach. Better to evaluate your strategy and overall performance instead of focusing too much on hitting a short-term target.

Again, some trade order may be highly profitable above the suppose daily target which is used to support your losses or days that you didn't profit up to the daily target. So he can avoid daily target and put his target on monthly but accumulate profit gradually, that way the pressure will be taken off him.

Yes, this is why having a daily target can be bad, because one good day can already cover several days of little or no profit. But if you are unlucky, one bad trade can also wipe out several days of gains.

So instead of forcing yourself to hit a target every day, week or even month, just focus on whether your strategy is profitable overall in the long term. That is easier than trying to force the market to match a fixed schedule.

[Oshosondy]

Firstly, Setting a profits targets can develop the habit of over trading for a new trade

What if the target is small like $1.1 daily profit from $100 trading fund, while using $25 for each trading? I am also referring to average of the profit and not daily profit actually. I will also edit the topic and include average profit.

No he meant 4x annual profit from $100 which is $400 in total and that’s approximately $1.1 daily for 365 days. So the Mathe is correct

This is exactly what I meant, but for other people not to misunderstand it, I have edited it to 5x. What I mean is 4 times profit. You are right.

[shawonngp]

Someone and I were discussing about trading, he told me what some other traders have told me before. I told him it is the reason he is losing while trading. He wants to double his money within a month. Is this possible? Yes, but the probability of losing is very high.

You have $100 to trade but you want to earn $3 from it every day to make it $100 monthly. That looks small, but when you begin to trade, you will understand that it is not easy to achieve that. Are you achieving it?

I prefer 5x annually. That means from $100, you need to make a profit or $1.1 daily. But I also like 2x which is $0.55 profit daily. Which means patience and using low amount of money to trade.

Do you think he is right but not just understand how to make 2x return monthly?

Making a profit of $3 by trading daily with $100 is definitely very difficult, because day trading is huge risky, it can be said that consistently winning is impossible in crypto trading, so I think the target of making a profit of $100 in 30 days is not easy, rather the possibility of loss is much higher, because trading is not like that you can make a profit even $0.50 every day, suddenly you can lose $10-20$ just in a day. So I think one should not take the target of multiplying within a specific time in trading. Then it becomes somewhat like gambling, because in gambling, we easily set a target of 3x or 4x profit in a short time. It is definitely true that one who trades with proper planning and can control themselves can definitely be successful in the long term.

[Popkon6]

Since you want to earn benefits on average, you have to convert to day trading, it is difficult to earn on average every day because the market will not always go up. For this, you have to be very patient and accept losses, but if you do not understand trading in a simple way, then it is difficult for you. Market research takes a lot of knowledge and requires a lot of time, in this current situation, it is possible to achieve this through Bitcoin holding if you plan to hold it for a long time.
Because trading is very risky and holding is less profitable, then you can take this trading on a monthly basis and you can earn profits on average.

[Japinat]

Firstly, Setting a profits targets can develop the habit of over trading for a new trade

What if the target is small like $1.1 daily profit from $100 trading fund, while using $25 for each trading? I am also referring to average of the profit and not daily profit actually. I will also edit the topic and include average profit.

Let's talk about percentage here, not just the amount, because whether you start with a small or big amount, the percentage is what matters if you really have the skills.

But you are talking about 400% profit, which I think is still unrealistic. Honestly, even 100% profit yearly is already hard to achieve.

So if you are really that good, then maybe you can be an exception and hit 400% in one year, but consistently hitting that kind of profit every year is almost impossible.
even the pro does not make that kind of success - https://cryptofundresearch.com/crypto-hedge-fund-performance/

[Zaguru12]

What if the target is small like $1.1 daily profit from $100 trading fund, while using $25 for each trading? I am also referring to average of the profit and not daily profit actually. I will also edit the topic and include average profit.

While yes it’s a very minimal risk, do you not agree that there is possibility of a trade going even a day or more without averaging that profit with amount, annually it will look like bad trader but still we cannot eliminate that possibility and still it will lead to such trade even taking more risk to actually gain that average profit. For example increasing the leverage so that a small move in his trade direction will instantly give him the profit he wants and then he closes the trade fast. You of all people actually should understand that it’s gambling.

So personally I will say we eliminate anything daily target even if it’s averaging at the end and simply focus on that annual profit, coincidentally one can even make the total target in not so many trades, few good trades can even bring that 4x and that should be the target; good set ups

This is exactly what I meant, but for other people not to misunderstand it, I have edited it to 5x. What I mean is 4 times profit. You are right.

I still think 4x profit is easily understandable and then a compounded balance of $500 annually

[Ishicryptic]

Don't we think a daily target is risky and that is why many traders are losing.

It does not mean you should target profit daily, that may be very hard to do. You will do the average of it. There are some days that you may not want to trade also. The average will be used to calculate the daily profit.

In addition to being patience and having different targeted time-frames either daily, weekly or monthly there is need for traders to use their discretion, if you have a target of making $2 in a day and you're already $1 up in profit then you see that the signal for chasing the remaining $1 is not feasible you should stop. Weekly target is safer than daily target while monthly target is safer than both, it doesn't put you under pressure to make profit everyday, it is also a part of being patient in trading. If you're desperate to meet your $2 profit you might end up losing your $1 profit and start to chase the lose so being a patient trader pays off on the long run.

[Dr.Bitcoin_Strange]

This your topic reminded me of this old topic, my thoughts laid emphasis on "The less you trade, The more you earn." And If you relate that to the title of OP, there's one thing common among profitable traders, they do not take trades every day, they plan their trades and patiently wait for only high probability opportunities in the market and that makes them take less trades but maximizing profit, although some months or weeks in trading can be messy but overall, traders who have mastered the skill knows when to avoid trading and patiently wait for the perfect opportunity, even though some perfect looking opportunity can still turn to a losing trade, it's better to wait than taking numerous trades in pursuit of profit and then risk losing your capital.

[Showlove01]

OP, my question now is, if someone  i mean a trader is planning on making $1 daily or $0.55 daily, how are much are they risking to make this profit, let's say you are risking $0.2 to $0.5 don't you think the trading will be very boring? and again how do you intend to set your SL and TL? the idea does not make much sense i mean it is very boring, perhaps targeting at least 5 to $10 daily will be reasonable if you ask me because i can not imagine myself trading this you said. Remember, no matter how careful one is they will definitely make loss. So i think the best thing to do is to manager risk, look for a clear setup, get your confluence and then execute.

[Antotena]

Don't we think a daily target is risky and that is why many traders are losing. If for instance you have a daily target of $2 and you have your first trade that gives you $1, you may want to go in again even when your signal is not clear enough and that could turn to a loss of even $5 or $10 because you tried to force the market. But I think the best way is to have a longer time target of say like a week or month. This will not put a trader on pressure and you will be patient enough to wait for the right trade. Again, some trade order may be highly profitable above the suppose daily target which is used to support your losses or days that you didn't profit up to the daily target. So he can avoid daily target and put his target on monthly but accumulate profit gradually, that way the pressure will be taken off him.

I make trades when I'm comfortable and when I see opportunity and what I can say from what the two people above you said is coming as opinion. What the say could be risky but they could be lucky or their days trading could fall into what can give them profit.

You can't make an particular amount in straight but there are days you can make recovery on some days. Like if your target is to make $10 a day, you can make $12 today and the next 3 days you may not see anything but one trade can give you $100 that can cover all the remaining days.

There are some traders that don't even trade daily, they look at the pair they see opportunity and take the risk and they make good amount of money that will beat a trader that must have sit in his sit all days looking for the same profits. Some daily traders that over trades even lose more because of how the over trade.

[noorman0]

The market does not always work in one's favor on any given day, making consistent profits seem impossible. No one can control market scenarios, even when simply aiming for small, consecutive gains.

-snip-

There are some traders that don't even trade daily, they look at the pair they see opportunity and take the risk and they make good amount of money that will beat a trader that must have sit in his sit all days looking for the same profits. Some daily traders that over trades even lose more because of how the over trade.

Yep, real traders simply wait for confirmation that the movement pattern aligns with their go-to strategy. If it doesn't, they do nothing.

[PostQuantumBTC]

The market does not always work in one's favor on any given day, making consistent profits seem impossible. No one can control market scenarios, even when simply aiming for small, consecutive gains.

Some people will know about trading and because of that, they will learn about it because they want to make money from it daily. Instead of making money from trading, they will be losing. This is what I have known about many people that I know that are trading. There is nothing better than to hold your coins and be patient, instead of trading.

[Findingnemo]

Someone and I were discussing about trading, he told me what some other traders have told me before. I told him it is the reason he is losing while trading. He wants to double his money within a month. Is this possible? Yes, but the probability of losing is very high.

You have $100 to trade but you want to earn $3 from it every day to make it $100 monthly. That looks small, but when you begin to trade, you will understand that it is not easy to achieve that. Are you achieving it?

I prefer 5x annually. That means from $100, you need to make a profit or $1.1 daily. But I also like 2x which is $0.55 profit daily. Which means patience and using low amount of money to trade.

Do you think he is right but not just understand how to make 2x return monthly?

The daily profit that I mean is totally monthly profit divided by 30 or total annual profit divided by 365.

Traders usually have the short term goals over the annual ones so they are going to aim for the short term whether it is 2x or 10x, because anything is possible for sure. But for a day trader I would recommend to keep their goals around 10% which is realitic to achieve for sure they can simply trade bitcoin against a stablecoin pair and just need to make sure they grab as much as swing possible.

[Lida93]

Do you think he is right but not just understand how to make 2x return monthly?

Don't we think a daily target is risky and that is why many traders are losing. If for instance you have a daily target of $2 and you have your first trade that gives you $1, you may want to go in again even when your signal is not clear enough and that could turn to a loss of even $5 or $10 because you tried to force the market. But I think the best way is to have a longer time target of say like a week or month. This will not put a trader on pressure and you will be patient enough to wait for the right trade. Again, some trade order may be highly profitable above the suppose daily target which is used to support your losses or days that you didn't profit up to the daily target. So he can avoid daily target and put his target on monthly but accumulate profit gradually, that way the pressure will be taken off him.

Maybe the OP at first didn't ask himself if a trader needs to trade daily or a trader just need to when he sees a clear opportunity from his analysis because, it's so true that most why many traders lose a lot is because of certain unrealistic and difficult targets they place on themselves which in turn puts pressure on them that leads to what should have being an avoidable loss.
I do my trading only when I see opportunity in the market and I always make my target flexible allowing for adjustments so I don't feel pressured at achieving them by all means. Monthly or weekly is healthy target for a trader but definitely not daily.