How to Make $500 a Day with Day Trading

if you have lost more than 175 dollars in the last month of trading you are doing it wrong in this video i'm gonna give you a step-by-step process on how to become a successfully profitable day trader risking the least amount of money humanly possible [Music] welcome back to the channel everybody my name's artie and this is the moving average a show where we talk about everything day trading to keep you profitable on a consistent basis i don't know what happened this last month but i've gotten an absurd amount of dms from people saying they've blown their account they lost 300 they lost 500 they lost a thousand dollars they borrowed money from their parents friends and family members they lost 10 000 and it is rampant right now i need you guys to stop this video has to be made so that you guys understand how day trading works you guys have literally heard it a thousand times there is no trading strategy that works 100 of the time it does not exist there is not a trader on this planet that does not have losses you've also heard the fact that risk management is one of the most important things in day trading think about the phrase risk management it's managing your risk it's not risk avoidance the only way to avoid risk in day trading is to not do it so how do you risk the least amount of money with the most amount of upside this is the typical way that people do it they open up a 100 trading account thinking that they're risking a small amount of money in order to get rich quick instead of using one percent risk and a two percent take profit meaning that on a hundred dollar account your risk is only one dollar and your take profit is two dollars now for the normal person two dollar profit on all the work that goes into putting in one trade is not cost effective it does not bring you the wealth that you desire and so the typical thing that most people do is over leverage that one trade they end up risking five percent 20 50 in hopes that this is the one trade that's going to hit take profit and they're gonna double their account what actually ends up happening is that over leveraging stresses them out the trade starts going against them they move their stop loss the trade breaks out in the opposite direction and that 100 is now gone so instead of risking one percent for the trade you risked a hundred the next scenario that happens and this is the worst one by far the person doesn't want to trade with a hundred dollar account so they end up borrowing money from friends and family members thinking that if they have a ten thousand dollar account or a twenty thousand dollar account they can make these bigger lot sized trades and make more money and pay them back and live the high life and what they do is make the same exact mistake that they made with the hundred dollar account and before they know it that ten or twenty thousand dollars is gone now you might be somebody that's thinking to yourself that's the most stupid thing i've ever heard i would never do something like that and i'm here to tell you i've gotten hundreds and i mean hundreds of dms from people telling me that that exact same thing happened to them this is why i need you all to stop over leveraging and stop trading money that's not yours stop trading money that you're not willing to lose so with that being said and the whole backstory of why i'm making this video let's get into the steps that you can take to lower your risk and be more profitable you guys have seen this setup a thousand times before it is my favorite setup for trading and it is my bread and butter when i'm day trading this is what we call the three line strike this is an example of a cell a long position looks the complete opposite so price is below the 200 moving average meaning we're looking for short positions price gets some nice momentum to the downside then three consecutive fake out candles up and then one engulfing candle down meaning that that fourth candle right here engulfed completely ate the previous candle it is bigger than the previous candle that right there is a three line strike you enter in on that trade you keep your stop loss two times the size of that candle that engulfing candle and your risk reward ratio is one to two meaning that you're risking one percent to gain two percent that's what this trade looks like this is on us 30 so it shows you right here your stop loss is 71 points and your take profit is 143 points and this move happened in 11 candles which is 55 minutes so in 55 minutes you had a successful trade because you were following the momentum and you scalped quick price action so how do you make a lot of money off of this one trade if you don't have too much money to put in your trading account what a majority of professional traders do is trade on funded accounts if you guys don't know what a funded account is it's a service offered by a prop firm there are companies that exist out there that if you prove to them that you're a good day trader they will give you the money to trade and you split the profits with them it's very very simple okay so now that you know these two things that prop firms exist and that you're really bad at day trading and you're losing money really quickly this is step one that i need you to do i need you to stop trading real money please be patient with yourself but just stop trading for the next 30 days that's all i'm asking stop trading real money for 30 days and just listen to me during that 30 days i want you to go and set up a demo account i want you to set up this fake money trading account a demo account no risk zero risk whatsoever it's fake imaginary money instead of the typical hundred thousand dollars that all demo accounts give you i want you to manually set this demo account to 25 000 you can use any broker's demo account that you wish i suggest you use hugo way because it goes on to the funded account thing that i'm going to talk about in just a second so you've stopped live trading with real money you've set up a 25 000 demo account with hugo way now i want you to be diligent with this for the next 30 days i want you to trade every single day with a rules-based strategy you do not get into a trade unless it meets these specific rules you can use this strategy or whatever strategy you've been using but i want you to test that strategy for the next 30 days on a demo account and i want you to open up an excel spreadsheet and i want you to write down the time and date and currency whatever asset you're trading on every single trade how it played out why you entered the trade everything this is going to be your trading journal you need to have this in order to track your results no professional trader just trades willy nilly and says i'm gonna go short here and then they have 15 losses but they have no proof of what happened during those losses and they can't improve off of the knowledge of why they lost the trade at the end of that 30 days you have an entire spreadsheet of every single one of the trades that you took and how they played out now i want you to evaluate that entire spreadsheet look at your win percentage and look at the total account balance and see if you are a profitable trader if you are not yet after that 30 days you need to do it for another 30 days and keep going until you are profitable on demo it's stupid to start trading real money if you're not profitable on demo because you won't be profitable with real money you can use my affiliate link down below or you can go google it yourself i literally do not care if you use my link or not it is not important to me the important thing is that you choose this account you choose a challenge account the lowest for twenty five thousand dollar funded account is one hundred and seventy five dollars there are no monthly fees there are no trading rules no restrictions on what style of trading and you get 90 payouts on the first 10 percent of profits and 80 payout after that the reason why it's called the challenge account is because they're giving you a demo account to prove that you are a good trader to prove your profitability and to hit a certain percentage gain on the account if you want to read all of the details on everything involved with this funded account you'll see everything right here on the rules section it's funding talent.com forward slash rules it gives you everything broken down so you know exactly what parameters you need to hit here's a basic overview you have a profit target for this challenge period for a 25k account you have one month to gain eight percent on the account and then the second phase is four percent so with your proper risk to reward ratio your goal is to hit two percent per trade so theoretically four successful trades back to back will get you through the first phase of this challenge you also have to keep in mind the daily max drawdowns that you can have on the account which is 5 so you would have to lose five back-to-back trades in order to fail this challenge and the most incredible thing you risked 175 dollars to get this funded account right that's a small amount of money compared to what people have been losing this last month according to my dms so you risked 175 dollars to try this funded challenge account right refundable fee after successful completion of both phases of the funding talent challenge the sign up fee will be refunded upon the first payout that you receive that means that that 175 dollars you invested gets returned to you this is now a zero risk endeavor now let's get back to the charts and show you exactly how this works out so now you have your 25 000 funded account right you're in profit mode you're out of the challenge you already passed that you're ready to make some money you're one percent risk on every single trade is 250 one percent of 25 000 is 250 that is the maximum drawdown you should be willing to have for one trade your profit goal is two percent meaning that your take profit is going to be 500 per trade with this specific trade example you set your stop loss according to the size of that candle if you hover over your position you see that your stop loss is 71 points on us 30. use a position calculator on the internet they are free and they're everywhere but for me and my contract sizes on us 30 a .01 lot size means that every point that us 30 moves i get a dollar so my calculation on this is very very simple my one percent risk is 250 i divide that by 71 points which is the stop loss that i've set at and i get 3.52 so my lot size is going to be 3 micro lots i can't do 3.5 micro lots micro lots or individual things and i'm not going to push it up to four micro lots because that's over risking that's not according to my plan so with this one trade as it hit take profit i got 429 now you can see the potential here right if you took 175 and opened up a forex account and started day trading with that you're going to make a very small amount of money and you're going to get frustrated you're going to over leverage and it's going to fly away out of your pocket or you can be smart and get a funded account and have way more money with the same amount of risk and actually trade the proper way risking one percent for two percent and that's the bare minimum some strategies get you one to four one to five i've even seen some swing traders go for one to ten which blows my mind if you are losing money if you've lost more than 175 dollars in the last month stop trading real money open up a 25 000 demo account demo it for the next 30 days and track every single one of your trades if you are happy with the profitability of that strategy on that demo account go to funding talent and set up the 25 000 funded challenge account for 175 dollars pass the challenge and start making real substantial income i really genuinely hope that you guys hear what i'm saying to you stop risking so much of your own money if you messed this up you only lost 175 bucks but if you opened up a 500 account with fora and you're trying to make money and that goes like why would you take the 175 away from the 500 that you had go buy yourself a brand new pair of nikes and be stoked about it as well as go out to a fancy dinner and try your hand at day trading like you got to think about your resources and how you want to allocate them now i know that you guys are losing for a specific reason and it is one of 10 things that i find that are the most common day trading mistakes which you can watch fully explained in detail in this video right here and if you guys got some value out of this video and you like the way that i teach and you like just me in general consider subscribing to the channel by clicking this button right here thanks so much for watching and we'll see you in the next video

Channel: The Moving Average

Views: 540,386

Keywords: How to Make $500 a Day, How to Make $500 a Day with Day Trading, how to make $500 a day day trading, how to start day trading with $100, how to start day trading with $500, i tried day trading, day trading, how to day trade, how to earn $500 per day, how to earn $500 a day, How to make $500 a day forex, how to make 500 a day trading crypto, $500 forex strategy, how to grow a small forex account, small forex account, how to grow a small forex account fast, how to trade forex

Id: bhm-6tJg6gQ

Length: 14min 6sec (846 seconds)

Published: Tue Aug 31 2021