The popularity of day trading hardly goes unnoticed. Every day, investors are trying to get a shortcut to financial prosperity. While compounding gains consistently is safer and conceivable, a few day traders made millions, thanks to their trading acumen and decision-making skills. This post aims to shed some light on these day traders.
Kotegawa
Takashi Kotegawa’s tales fall under day traders who made millions from Japan. He started with a capital of $13,600, which would later grow to give him $ 153 million in eight years.
It said that Kotegawa used a swing trading approach. He paid attention to short-term rebound trends in stocks that were down. Some trade indicators include the Bollinger Bands®, the relative strength index (RSI), the volume ratio, and a 25-day moving average.
Generally, he would buy the stakes below 20% of the 25-day moving cap and profit on the bounce. Yet his adaptability to market conditions is the one that mostly paid off since he would typically capitalize on the ongoing trends. He had an eye on how stocks were moving in different sectors and the pace of rebound. This is what you may call divergence.
Alongside these strategies, Kotegawa’s attitude was crucial for such success. He believed in hard work, learning continuously, and getting insights from successful traders. This was essential in developing his trading skills. However, due to the 2008 market crash, he left the stock market and ventured into real estate.
Richard Dobatse: A Cautionary Tale of Gains and Losses
Despite being an amateur, Richard Dobatse gathered the needed knowledge to succeed in day trading. He turned $15,000 into a million. But then he lost it all – this tale serves as a caution. Despite being one of the day traders who made millions, the 31-year-old reveals he was only left with $6,956.
He expressed his frustration through claims of trade platforms like robin hood, making it easy for inexperienced traders to start trading. He plans to appeal to financial regulators on the same. Indeed Robinhood has had a surge in new account openings – three million this year.
Individuals are moving to the stock market for quick earnings, Yet, success is not guaranteed, and risks are inherent. Losses continue to come up with mori226, making unverified claims about turning $35,000 to $1.25 million during the pandemic, only for it to melt away. Such behaviors can only lead to financial stress.
Steve Cohen
Steve Cohen’s day trading tale is one of a kind. Being the most successful among day traders who made millions, he started as a poker player. His passion for day trading would lead him to develop abilities in day trading and intuitiveness.
His day trading techniques involved new reading, monitoring stock and price changes, and making good judgment calls. Day trading would later become his niche despite being fast-paced. And the prowess would then catch the attention of Gruntal and CO. He generated $100,000 in daily profits for the firm.
This success amounted to him $10 million annually through planned positioning, takeover, and IPOs. His daily profits in this year would be about $285,000. This earning solidifies his position as one of the most successful day traders. His ability to read the market, analyze risks and make calculated decisions has led him to a net worth of $ 17.5 billion.
Wrap up
Day trading is a real opportunity for tremendous financial success. Timothey Skyes and Cohen are living testimonies of highly successful traders. Even so, you may have to research before going into day trading. Remember, it also requires smartness and experience.
Before anything, ensure you have enough knowledge and successfully trade with a few funds. Richard Dobatse’s tale serves as a caution, no matter how much profit you get, you better learn to get satisfied, pack your funds and go home. If the market gets too volatile, find somewhere else to invest your funds. You can always go back when things cool off.
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