Warrior Trading Blog

Day 2 of the Small Trading Account Challenge | Ep. #2

Day 2 of the Small Trading Account Challenge | Ep. #2

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Alright everyone today is day 1 of my penny stock trading account challenge.  The penny stocks I’m trading are all going to priced between $1-3, but I’ll also trade stocks between $3-10.  During the next few weeks my sweet spot will be stocks priced between $3-4 because I will have 6x leverage with my Suretrader Account and I can still afford to take at least 1k shares.  If I get above $5.00 I can’t take $1k shares, and below $3.00 they don’t offer leverage.  So with the sweet spot between $3-4, today I’m walking away with $187 profit which is a 26% gain.  That means my account is up about 65% since I started trading it yesterday!  I’m finishing today with nearly $900 vs a starting balance of $583.15.  Not bad for 2 days work!

 

The Small Trading Account with Suretrader

With my Suretrader account I have to be very careful about commissions.  They add up fast!  My commission structure is $4.95 per trade then .00495 per share above 10k shares.  I’m also paying ECN fees of about .003.  That adds $3.00 for every 1000 shares.  So today I took 4 trades, $19.80 in commissions, but with 4k shares it added $12.00 in ECN fees.  That means $31.80 in commission.  After commission I’ll keep $187.91, which overall, is a great day.  It’s just a shame that commissions are over 10% of my profits right now.  This is part of the deal with trading with Suretrader.  Commissions are higher than brokers like Ligthspeed or Speedtrader, but it’s the only firm where I can day trader with $500 without being restricted by the Pattern Day Trader rules (see PDT definition here).  Despite the high commissions, last year I took $1k and turned it onto $8653 in 1 month.  So this year, with a 50% the account size, can I take $583 and turn it into $4400?  We’ll see!

Trade side by side with me during this challenge and lets see what is possible!  I believe it’s possible to make a living with a $500 trading account, and my goal is to prove that to everyone during this challenge.

4 Comments

  • Lola

    January 4, 2017 at 11:03 pm

    So love what you do. I’m about to start myself, just paper trading and this is the exact information I need because I’ll be starting out with sure trader as soon as I’m confident enough. Thank you so much, this just came at the right time. Keep up the amazing work. You’re a Good person.

  • Chuck

    January 5, 2017 at 3:59 pm

    This is awesome! I love the idea of taking the smallest amount possible and showing the nitty gritty details of how some guy just making ends meet, or a high school student, might be able to follow what you have done and get out of debt or pay for college. I can’t say enough how glad I am that you are doing this. NO ONE in the entire online trading community is willing to pull back the curtain and reveal everything like you are doing here! Great Stuff! Many Thanks! -Chuck

  • Tim

    January 6, 2017 at 10:41 am

    How do I get involved?

  • corburterilio

    February 14, 2017 at 11:18 pm

    Very interesting info !Perfect just what I was looking for!

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