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How much money can a good trader make?

How much money can a good trader make? A lot, if he or she approaches the market with a plan.

By Max GachetPublished 2 years ago 3 min read
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How much money can a good trader make?
Photo by Javier Allegue Barros on Unsplash

Many new traders go out and spend $10,000 on their education to start trading only to get flip flopped throughout the year. If you have a lot of money to invest in your trading than I would venture to say that you don't need this article. But for the majority of traders who are risking between $1,000 and $5,000 then I'd like to share with you what it takes to be a profitable trader.

I'm going to show you what makes a good trader, how much money does normally make?

Without any evidence that you can be a good trader, most hedge fund managers will not offer you more than 10% of the profits.

The answer to this question is not easy, because it depends on a lot of factors, but in general, the answer is "a lot". In the financial world, most traders start out as analysts and try to impress their bosses with their trading ideas. If they succeed and get hired by a fund manager, they are given a certain amount of capital (usually between $1 million and $5 million) to trade with.

This is called the "starting capital" or "initial investment", which is used to trade with until it's gone. Once it's gone, the trader will have to wait until he makes money again before he can trade more than that amount of money. Traders who are good enough usually get paid around 1% of the profits generated by each trade.

The higher your risk level and the better your performance, the more money you'll make because your percentage will be higher.

Most experienced traders start with a portfolio of $500,000 or more.

How much money can a good trader make? That depends on the market, the strategy and the trader. Most experienced traders start with a portfolio of $500,000 or more. They might have another account with $100,000 or so in it that they use for their own trading practice. If you want to be an active trader, you will need at least $100,000 to get started.

If you want to be a day trader, you will need a lot more than that. If you are going to trade for the long term and make money over time, then it doesn't matter how much money you start with — if your strategy is good, then it will work whether you have $100 or $100 million dollars invested in it.

If your successful, eventually you can earn up to 15% of the profits + management fees.

How much money can a good trader make? If your successful, eventually you can earn up to 15% of the profits + management fees. This is possible if you have a proven track record and are trading with a lot of money. In general, however, you should expect to earn between 12% and 20% of the profits in your account.

This is still a good amount of money that can be earned through trading.

However, there are some caveats for this.

How much money can a good trader make? There are a lot of traders out there that make millions of dollars per year. So, how much does it take to be considered a professional trader? To answer this question, we need to first look at the definition of what a professional trader is.

In general, the term “professional” is used to describe someone who makes their living from trading in some way. This could be through commissions or fees charged by the brokerage firm or through the sale of products and services provided by the company such as newsletters or software packages. A lot of people think that they can do what these guys do and they just haven’t found their niche yet – but this isn’t true.

These traders spend hours upon hours every day studying charts and analyzing price patterns before making their trades so that they can make sure they know exactly what they are doing before they pull the trigger on any trade. The problem with most people is that they don’t have enough discipline when it comes to trading, which is why we see so many people lose money over time period when trying to become successful traders.

In conclusion

Traders talk with each other all the time and share stories of 'when I' or 'when my friend'. Perhaps you would like to turn your trading into a job? Consider the trade ideas that you find interesting, run them back to the source and ask what they are trading, how they are trading, how much risk they take etc.

You may be surprised at how much they can tell you!

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About the Creator

Max Gachet

Passionate about writing! 💬 Fan of the Finance and trading. Life is too short to not write and help the others...

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Comments (4)

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  • Lou Martin2 months ago

    Forget about finding a pot of gold at the end of the rainbow - become a good trader and you might just stumble upon a mountain of cash! Max's article breaks down the potential earnings of a savvy trader in a fun and informative way. Time to trade in those dreams of winning the lottery for some real financial gains!

  • Pauline Boudon3 months ago

    Have you ever wondered if trading could buy you a yacht or at least a fancy coffee maker? Max's article delves into the wild world of trading where fortunes are made and lost faster than you can say "buy low, sell high." I like Max's insight, but I'm still holding out for that coffee maker.

  • Norbert Monteil3 months ago

    Wow, this article made me rethink my career choices! Who knew trading could lead to yacht money? Max really nailed it with this piece, shedding light on the lucrative world of trading. Time to dust off my crystal ball and start predicting those market moves! Thanks for the eye-opening read!

  • Hector Allemand3 months ago

    I just read Max's article on trader earnings and I must say, I'm ready to become a stock market genius! Who knew trading could be this lucrative? Max really laid it all out there, and now I'm off to open my own trading account. Thanks for the inspiration, Max!

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