How much profit does a Full-time trader deserves in a Month?

Hi,

I know everybody was little upset over my less writings. One more request, just wait for someday, you will get all the answers.

Let us come to our story. In fact,for the first time I was not comfortable with this overnight position as it was trading near year's low and it was a Friday. In the true sense it was a real nightmare. On Saturday night, Government's stand on disinvestment announced. They gave particular emphasis on Oil & Gas sector. On Sunday, financial channels like CNBC 18, aired valuation of share price of HPCL, BPCL, IOC etc. above 2500/- mark. But as per my analysis, I thought HPCL might open above 240 as it was closed around 223, my purchasing price. So at best I might incur a loss around 50,000/-. But in fact, it was not the case. HPCL opened at the upper range of the day and I closed my position around 295 same day. With a single stroke, I lost my entire capital. After that loss, I decided to quit the self trading forever and go for a job. After searching for 15 days, finally I found a job as technical analyst with a monthly salary of 10,000/- (there was no incentives). In fact, I was very very desperate to get a job. My new company was totally techsavy. They encouraged people to trade technically. For that purpose, they used Reuter, Metastock, Advanced Get (all were genuine) and Tradestation 2000i. So immediately I got a huge platform to horn my skill. There were independent senior analysts who traded on the basis of chart. It rejuvenated my demoralised mind. In fact I felt guilty, as I blown away my father's money. Slowly I tried to concentrate in my new job.

Initially, my new boss never forced me to trade or do any other thing. He simply told me to explore the net and read as much as possible. He told me he appointed me as his personal trader and be prepared to handle position of value around 2-3 Crore. It excited me much. Finally I started trading and it was in one lot in two to three scrips. I stayed in that company for 14 months. In those 14 months, I made a profit of 12 lakhs.

In between, I found my friend who was trading at Daryaganj, bought flat, car and everything. His monthly pay out was mindblowing. He was a famous name in Delhi's jobbing circle. The very low brokerage rate had always in my subconscious mind and in fact there was an urge inside to trade for myself. After working for 14 months, my salary was increased by only 2500/- without any incentive. I found no stimulant for my motivation. So I ask my friend to arrange a seat at Daryaganj besides him. After one week, he called me to join him. He also arranged Tradestation 2000i for my trading. After knowing all such things, finally I tendered my resignation to my boss.

Please have patience and wait for my next journey.

With Best Wishes

wrong post

Hi,

For the first time in my trading life, I felt myself as a winner because I earned a profit of 12 lakhs. My trading style was mainly of positional type. In those 14 months I found, nobody in my company was a winner. Even those independent analysts who managed other people money were at breakeven level. Basically they made money because of insider news rather than chart analysis. In the turbulent times like defeat of BJP govt. in general election, they stayed aside. We had a company of four traders besides me who traded for my boss. They were also losers. So that profit of 12 lakhs, gave me tremendous confidence that I started to belive that I could make it in trading. Finally I left my job to start trading of my own.

At Daryaganj, in my first month I managed to make a profit around 15,000/- with a margin money of 50,000/-. There were around 200 professional traders. Some of them were independent jobbers (traders) like me and some of them were working for the company. 50% to 60% of them were arbitragers. The most important finding was "most of them were winners". I had never seen so many winners at a single place. It encouraged me a lot. Almost everybody had a margin of 50,000/- and the broker allowed them (including me) to have position in 5000 NIFTY (at that time, NIFTY was trading around 1700-1800 level) in a single trade. Even at these margins some of my friends took position of 20,000 NIFTY in a single trade although they closed the position within two minutes. Profit and loss sharing ratio was between 70-30 to 80-20 depending on your skill. The broker charged 250/- to 300/- per crore. Almost every alternate Saturday night, the broker threw party for jobbers. According to my friends, it was meant for motivating jobbers. From these parties I came to know that my broker was a big cricket bookie but I did not have any interest in cricket betting. There was almost a competition among jobbers to clock highest turnover. It gave them a self satisfaction. Their belief was " don't look at turnover, only look for the profit which you take to your home". In fact their trading style (in fact I had adopted their style) was responsible for such huge turnover. Till that time, the single day turnover record was 198 crore. It was in my friend's name. After somedays, in a single day, I clocked a turnover of 235 crore with a net profit of 8000/-. It immediately made me a hero. Although in the next one week, two of my colleagues broke my record with a daily turnover of 242 Crore and 268 crore. Although I made a turnover of 235 crore, but it made me nervous. So I decided to keep the turnover below 40-50 crore. I generally followed one and two minute chart for trading. In that way, my first three month were passed happily. I took around monthly average of 35,000/-. It was the lowest monthly payout of a trader but I was happy.

Then suddenly Delhi Govt. planned to imposes a stamp duty of 150/- per crore. Suddenly all jobbing and arbitrage activities came to standstill. My broker started to collect that 150/- rupees per crore from us with assurance that he would return all the dues if it was not levied by the govt. I found this excess 150/- rupees had a marked presence in profitability. Almost all of my colleagues profitability were downed by more than 50%. Even my monthly payout was come down to 15,000/- - 20,000/-. After sometime, govt. had clarified that the duty will be applicable in financial year 2005-2006. So we all wanted these money to be returned to us. Can you believe, this stamp duty amount in the last six month turned out to be above 10 crores and my broker simply raised his hand and said he was bankrupt in cricket betting. In these due, my part was 5,40,000/-. So I lost all those things. Within one month, his company was bought by another broker. Finally I took my deposit amount from the new broker and went to my home. In the meantime, Mr. Chidambaram levied the dreaded STT and it along with stamp duty was completely smashed the most of the jobbers and arbritragers immediately as it was very very difficult to make profit in current scenario. Only those hardcore continued their journey.

Please wait for my next journey.

With best wishes.

Hi,

In the last four days I was quite busy in a very unfortunate situation. I came to my home town as a regional manager. At that time one of my close friend, who was also a trader, was trading at sharekhan. I requested him to open an account with our branch. Although he was a loosing trader but from business point of view he generated good brokerage for sharekhan. So he opened an account for my sake. Although my stint as regional manager was very short (about 3 months), but my association with my branch still continues as independent advisor. For the last two year he lost almost six lakhs rupees. On Tuesday (27/11/2012), his account balance was 2.5 lakh rupees. Since our company provides leaverage (almost 7 times) for delivery based trading, he used that leaverage system and took delivery of shares worth 15 lakhs. While going to his home, he met an accident and died on the spot. Today, I sold all his holding and requested my company for total payout as this money will be of great help to his family. In the last four days, he gained more than 3 lakhs. What a pity!

Let us start our journey, when I came back to Delhi, I found jobbing and arbitrage was very difficult to continue. So I decided to join a company and finally joined as a senior technical trader for a company. My responsibility was to trade for the company on the basis of chart analysis. But the work culture of that company did not suit me. So after four months I left that company. In the mean time my marriage had been finalised. So I decided to go back to my old company where I made a profit of 12 lakh.

I decided to go for only investment and invested around 3 lakhs. But unfortunately, my investment was depreciated by more than 60%. It happened in 2006. That incident made my initial phase of married life very turbulent. Although my in-laws knew my job very well but after marriage they told it was a gambling job. That type of view made my life very miserable and I did not able to trade in a profitable way. My boss knew my situation very well and he immediately kept me out from trading. My only job was to advise branch managers, clients and my boss. In that way I continued till September, 2008. In between that period, one of my female colleague (in fact trained by me) made a profit of one crore in one year. Till 25th January,2008, her profit was one crore. In fact she was entitled for a special bonus. At that moment, she was completely uncontrollable. Her body language was so rude, one could not imagine. In the meantime, my boss went to Canada for one month. During that period she lost 25 lakhs and in the next four month she had lost all one crore. In September 2008, finally my boss decided to close the research unit due to bad market condition. So all of us lost the job due to poor market condition. Just imagine my position, the day I lost my job, on that day my son was born. At that time, the situation was so worst that nobody in broking circle answered my call. Again my in-laws were get very furious towards me and that situation completely drained my all resources. Now I left with some few thousands of rupees.

Just have patience for my last part of the journey.

With best wishes.

Making Rs 1 Cr and loosing 1.25 Cr means she has no idea of any risk control.....it is " Is paar ya Us paar type trading.....she must be playing with high leverage with no respect for risk and position sizing.....

Smart_trade

aha..great life dear..a salute for the journey till now..what u have told

I will make a movie out of this story..:thumb:.......but let me first recover my losses from market.:clap::rofl:

Bollywood's first Financial thriller :rofl:

I would vote this 50% per month. I am a full time trader and a sub broker aswell.
But I do this by earning brokerage rather than earning profits. I increase the number of trades and get out of them immidietly after I get the brokerage i.e: breakeven. In this way I get huge brokerage arround 50% to 100%.

So I would say that it depends on strategy and not on time which you spend or not on the margin either.

Best luck.

The topic is profit on Trade, not on looting money from clients by way of brokerage. You are looting, here members are taking profit.

You came to traderji to get clients for your business.

You better shut and go, looterrrrrrrrrrrrrrrrrrrrrrrr.