Trading Blog

This is the fastest way to $100k for Trader

LIM WEI XIANG

Mar 20, 2024 — 3 min read

Combination of good strategy, consistency and external help!

TL;DR

Find a good strategy that fits your lifestyle.
Always stay consistent with your strategy.
Join a prop firm while trading on your own.
Continue to educate yourself.

Disclaimer: I am not a financial advisor. The content for this article is purely for educational/research purposes only and is merely based on my personal opinions.

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People often claim that the initial $100,000 is the most challenging sum to accumulate! Once we attain that milestone, the path to the next million becomes notably smoother. As an aspiring full-time trader, my ultimate goal is to sustain myself and my family solely through trading. To achieve this, maximizing my capital is imperative. With ample funds at my disposal, even modest monthly profits can provide the necessary support for our livelihood. In this blog post, we’ll explore some effective strategies and tips to help you expedite your journey to $100k.

Find a Good Strategy That Fits Your Lifestyle

In the vast landscape of trading strategies, it’s easy to become overwhelmed by the multitude of options available. This often leads to the temptation of blending multiple strategies in hopes of creating the ultimate ‘holy grail’ with a guaranteed 100% win rate. However, this approach usually results in increased losses rather than gains. It’s crucial to instead focus on researching and testing individual strategies meticulously to discover the one that aligns perfectly with our risk tolerance, time availability, and financial goals. There’s no universal solution, so selecting a strategy that feels comfortable to execute consistently is essential.

Always Stay Consistent with the Strategy

Consistency is key in trading. Once you’ve found a strategy that works for you, stick to it religiously. Avoid deviating from your plan based on emotions or market fluctuations. Consistent execution of your strategy, even during challenging times, is essential for long-term success in the markets.

I’ve experienced a pattern of switching trading strategies during losing streaks, mistakenly believing that the strategy itself was ineffective. However, I’ve since realized that by sticking to the strategy, I could have not only recovered but also turned a profit with just a few successful trades. Consistency and patience are key in trading, and trusting in a well-researched strategy can often lead to better outcomes in the long run.

Join a Prop Firm While Trading Your Account

It is extremely difficult to earn 100k from your trading account of $1000/$10,000 account and you will take forever to able to earn a decent living. Joining a proprietary trading firm can provide significant advantages for traders looking to accelerate their earnings. By offering access to advanced trading tools, technology, and capital, allowing traders to scale their strategies more quickly and efficiently.

Furthermore, prop firms typically offer scaling plans that enable profitable traders to amplify their earnings potential significantly. This scaling opportunity stands as one of the most compelling reasons to consider joining such firms. To illustrate, let’s contrast the scenarios of trading with a $10,000 capital versus a $100,000 capital. Assuming a 2% monthly profit rate, the disparity in monthly earnings becomes stark: $200 versus $2,000 per month, showcasing the considerable advantage of trading with larger capital.

Focus on Risk Management

Remember to always prioritize taking profits, limiting losses, and effectively managing risk on every trade. Understand that the market is inherently unpredictable and may work against your positions, attempting to trigger losses or prevent reaching your profit targets. Implementing strategies such as setting stop-loss orders, using limit orders, and setting take-profit levels early can help safeguard your account and potentially enhance your profits over time.

Continuously Educate Yourself

The financial markets are constantly evolving, so it’s crucial to stay informed and continuously educate yourself as a trader. Take advantage of educational resources, such as books, online courses, webinars, and seminars, to expand your knowledge and stay ahead of the curve. Additionally, seek out mentorship from experienced traders who can provide valuable insights and guidance based on their own experiences.

Endnote

In conclusion, achieving a $100k milestone as a trader requires strategic planning, discipline, and continuous learning. These are some goals that I am implementing to make sure I am on track to reach my first 100k. Remember, trading is a marathon, not a sprint, so stay patient, stay disciplined, and stay focused on your long-term goals.