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I was talking to someone about this the other day. In case it interests you, they had two numbers: $250K: Day trade & swing trade 3D / W and every other work i

I was talking to someone about this the other day. In case it interests you, they had two numbers: $250K: Day trade & swing trade 3D / W and every other work item is optional. I think they are one of those who does inverse trading based on market conditions. This is someone with a career in tech currently, but more of an exploratory career with various breaks to try new things, and less of a long-ride career. $2M: Move all trading positions to long-term investing or longer-term swings. Materially improve lifestyle in a planned way, based on a budget. They keep to quite a low budget currently, and their only concern seemed to be lifestyle inflation & their own patience. Somewhat annoyingly, I am thinking they would tell you that they also do your $10M stuff already, since they WFH and set boundaries really well. Just a guess though. But I do know people like this who can't reach their number, because they have a problem of details rather than a problem of work & income. So their issue isn't retirement, it's un-detailing their lives somehow. They get sucked into overextensions of their energy levels, and this drives their bad spending habits, or drives them to accept jobs out of fear, and so on. Which IMO is probably way tougher because society doesn't talk about it much and there isn't a college degree you can get in that level of thinking.

bradwood 4y ago
swing/day trading 3 days a week? not sure how easy it is to just disconnect from the markets on the days you're not trading though... tricky.
herodoturtle 4y ago
Interesting points, thanks for sharing (and so meticulously might I add). $2m is an interesting choice for a long-term investment strategy barrier to entry. Mine was far lower ($10k), and I've had some interesting results in the last 16 years. I know little about day-trading, but it sounds like Cowboys in the Wild West. Exciting, but not for me. But long-term plays fascinate me. 10x on capital etc.
- themodelplumber 4y ago
  yw. Forgot to add they wrote a simulator for varying market conditions and they liked the $2M scenario best as they looked at sets of outcomes. So of course their threshold for their ideal levels is subjective. $10K, do you mean as a place to start long-term investing? That makes sense. The person I mentioned above sees cash as a position and they heavily manage risk by using structure, so they are probably less cowboy if you look at the details. Like the cowboy riding in the air-cooled luxury train car, riding on the train's schedule...well, it's still the wild west. :-) 10x on capital, for sure, that's big...William O'Neil's famous trading textbook is an example in that area that tends to get the imagination going with fantastic examples like that.
  - herodoturtle 4y ago
    The potential magnitude of your value-adding advice is matched by your literary skill.

bradwood 4y ago

swing/day trading 3 days a week? not sure how easy it is to just disconnect from the markets on the days you're not trading though... tricky.

herodoturtle 4y ago

Interesting points, thanks for sharing (and so meticulously might I add). $2m is an interesting choice for a long-term investment strategy barrier to entry. Mine was far lower ($10k), and I've had some interesting results in the last 16 years. I know little about day-trading, but it sounds like Cowboys in the Wild West. Exciting, but not for me. But long-term plays fascinate me. 10x on capital etc.

themodelplumber 4y ago
yw. Forgot to add they wrote a simulator for varying market conditions and they liked the $2M scenario best as they looked at sets of outcomes. So of course their threshold for their ideal levels is subjective. $10K, do you mean as a place to start long-term investing? That makes sense. The person I mentioned above sees cash as a position and they heavily manage risk by using structure, so they are probably less cowboy if you look at the details. Like the cowboy riding in the air-cooled luxury train car, riding on the train's schedule...well, it's still the wild west. :-) 10x on capital, for sure, that's big...William O'Neil's famous trading textbook is an example in that area that tends to get the imagination going with fantastic examples like that.
- herodoturtle 4y ago
  The potential magnitude of your value-adding advice is matched by your literary skill.