Recently I've been learning futures, forex, and day trading in general. A lot of people comment that trading is a life lesson. A lot of truth in that. Testing your own psychology and ability to stay consistent under pressure is not typically a daily trial.


However, with the market, there is an unlimited opportunity to test yourself. Do you know it well enough to make money?


A lot of it is gibberish, SMTs, Liquidity, FVGs... The discipline to look for an opportunity and "babysit" the chart is where most people seem to make money. There is a positive correlation between fewer trades, and more success (when compared across the same timeframe). There seems to be underlying truths in all of it. For example, it's less important to take as many shots as you can, and more important to shoot when you have the highest potential for success (where anything is risked). Risk/Reward is a constant game, and shows why business can be hard, and why success can seemingly appear out of thin air. First, the Risk / Reward of business from a high level is roughly a 20-33% chance of success, and the Reward is pretty low... here's a table:

  1. [Level 7] $1 Trillion+ | 0.00000003% (14 Global Companies)
  2. [Level 6] $1B – $100B | 0.0006% (Unicorns & Market Leaders)
  3. [Level 5] $100M – $1B | 0.034% (Scale Enterprises)
  4. [Level 4] $10M – $100M | 0.165% (Mid-Market Success)
  5. [Level 3] $1M – $10M | 1.8% (Regional Leaders)
  6. [Level 2] $1 – $1M | 28% (Stable Lifestyle Businesses)
  7. [Level 1] $0 (Failure) | 70% (Dissolution or Bankruptcy)
If you were to do the math on that (I did), it would give you that the expected value of a business is 820,000 for the average business owner. That's asset value, not recurring revenue. In any case, that risk to reward is different for people, but I see it as attractive. Where else can you just invent over 800k in asset value?