Comment on Mr Consistent returning incredible returns

Madan commented on 28 Dec 2013, 12:01 PM

Lalith,

Thanks for your kind words.

Its great to see a right question from a person who is looking to go full-time in trading.

I would make sure the following are set –

1. Calculate your monthly household expenses (i maintain a diary of my daily expenses and i have been doing that for the past 4.5 years since i moved back to India)

2. Have atleast 2 yrs of backup money – equivalent to your 2 yrs of household expenses. This is extremely important for the first few years as you cannot trade to make money(to buy onions and tomatoes). Initially, your goal is to trade right and not trading for making money. This may sound counter-intuitive but this is very, very important. I can’t stress this enough.

3. Another important thing is that you should be profitable(maybe not by a great margin) for atleast an year before you quit your job. If you are not profitable part-time, it is going to be very difficult to be profitable doing it full-time (due to the pressure involved in ‘making’ money)

4. This may come as a bummer but have atleast 10L in your trading account when you plan to go full-time. If you don’t have 10L, work until you have it.

5. Once you start making money full-time, increase your lots slowly (def. not in proportion to your acct increase)

6. Get healthy big time. Working out atleast 4 times a week is important. Healthy body = healthy mind.

Good luck to your future endeavors.

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