The Day I Lost A Sh*t-Ton of Money (6 figures+) while trading a prop firm

0007

Senior member
2,376 663
Fascinating stuff and entertainingly well-written. Some lessons for us all I suspect.
 

darktone

Veteren member
4,016 1,084
Thats a great read. Just need to work on that psych.

Thanks for the upload and all the best.
 
Last edited:

Forexmospherian

Legendary member
39,928 3,301
Yes great read for any trader - but love to know what the F you were up to

Your quote -

All the profitable traders at the firm immediately understood what I saying. Again, we were all cut from the same cloth, to various degrees, as momentum scalpers. We finally found extremely profitable setups without the burden of having to "sweat the trade out" for an extended period of time. We could load up on one entry and be in the money right away -- the best feeling in the world.

I am fully with that and agree with you on that part

But then you quote a great month at $63481 - never made that off retail FX trading even after 7 yrs full time in one single month - but now here's the bit that freaks me -

You then lose in one day - twice your good monthly gains ????

What was you on ???

Ok - have not got a clue on what you trade etc - but in terms of risk management thats like crossing the M25 5 times - blindfolded in rush hour and expecting to not get hit by one vehicle??

For me to lose 2 months good gains in 1 day - I would need over a 500 pip move - which would normally take in a day over 4 or 6 hrs and not be able to get out on my highest stake - at any time ???

Or for me to multiple my stake size by say 10 for just normal intraday moves expected.

So even on just 1 % stake size that would mean entering at over 10% stake size.

If you had only been trading a year or less - would understand - but what you did was way out of line with any professional trading guidelines

Please tell me you got sacked


Regards


F
 

Mr Fox

Established member
510 136
Yes great read for any trader - but love to know what the F you were up to

Your quote -

All the profitable traders at the firm immediately understood what I saying. Again, we were all cut from the same cloth, to various degrees, as momentum scalpers. We finally found extremely profitable setups without the burden of having to "sweat the trade out" for an extended period of time. We could load up on one entry and be in the money right away -- the best feeling in the world.

I am fully with that and agree with you on that part

But then you quote a great month at $63481 - never made that off retail FX trading even after 7 yrs full time in one single month - but now here's the bit that freaks me -

You then lose in one day - twice your good monthly gains ????

What was you on ???

Ok - have not got a clue on what you trade etc - but in terms of risk management thats like crossing the M25 5 times - blindfolded in rush hour and expecting to not get hit by one vehicle??

For me to lose 2 months good gains in 1 day - I would need over a 500 pip move - which would normally take in a day over 4 or 6 hrs and not be able to get out on my highest stake - at any time ???

Or for me to multiple my stake size by say 10 for just normal intraday moves expected.

So even on just 1 % stake size that would mean entering at over 10% stake size.

If you had only been trading a year or less - would understand - but what you did was way out of line with any professional trading guidelines

Please tell me you got sacked


Regards


F

Good Afternoon F,

I hope you are well, and have had/are having a good day trading.

Please excuse me for saying this, but this chap has kindly shared with us a past tale of woe, yet your comments have come across quite [email protected], especially your last comment "Please tell me you got sacked". This was quite unnecessary, and uncalled for. We have all suffered set backs in our personal trading journeys, as I'm sure you have too, and posts like yours above can be the reason why others may not want to post at all.

I know that this is out of character for you, and sometimes you do say things to get a reaction, but the above comes across as venomous, and full of vitriol.

All IMHO ofcourse.

Poor show old boy.

Best
John.
 

Forexmospherian

Legendary member
39,928 3,301
Good Afternoon F,

I hope you are well, and have had/are having a good day trading.

Please excuse me for saying this, but this chap has kindly shared with us a past tale of woe, yet your comments have come across quite [email protected], especially your last comment "Please tell me you got sacked". This was quite unnecessary, and uncalled for. We have all suffered set backs in our personal trading journeys, as I'm sure you have too, and posts like yours above can be the reason why others may not want to post at all.

I know that this is out of character for you, and sometimes you do say things to get a reaction, but the above comes across as venomous, and full of vitriol.

All IMHO ofcourse.

Poor show old boy.

Best
John.

Sorry John - have to 100% disagree

If the guy had been retail - using his own money - lots of sympathy off me

The guy even though was not salaried was a commercial trader working in the Industry

He had the luxury of other people money to play with

Idiots like this have cost me a lot of money over the last 10 years

I have no respect for a trader like this in the industry

He flaunted the rules big time - ie not like parking on a double yellow lines

Man up - dont be one of the luiz gang and release in the world we live in - guys like this are not help to you and me - and are even probably costing us money somewhere

That's maybe why I dont get on with so many traders in this forum - I am used to hard work - discipline commitment and old fashion values

Ok great story - so was the Great Train Robbery - but was it right??

That's my view John


Regards


F
 
Last edited:

Mr Fox

Established member
510 136
Sorry John - have to 100% disagree

If the guy had been retail - using his own money - lost of sympathy off me

The guy even though was not salaried was a commercial trader working in the Industry

He had the luxury of other people money to play with

Idiots like this have cost me a lot of money over the last 10 years

I have no respect for a trader like this in the industry

He flaunted the rules big time - ie not like parking on a double yellow lines

Man up - dont be one of the luiz gang and release in the world we live in - guys like this are not help to you and me - and are even probably costing us money somewhere

That's maybe why I dont get on with so many traders in this forum - I am used to hard work - discipline commitment and old fashion values

Ok great story - so was the Great Train Robbery - but was it right??

That's my view John


Regards


F

He had the luxury to play with other peoples money because that was his job, now don't tell me that no retail trader has not once thought how great it would be working for a prop shop/IB etc etc, as I'm sure once upon a time you have too.

As for idiots costing you money, again I would strongly assume that you lost money due to your greed, and bad decisions you made, you really need to look hard in the mirror at yourself, and take ownership of your actions instead of blaming the world and his brother for the poor choices you made.

Respect is a 2 way thing, if you respect others, they respect you.

Yes he did flaunt the rules, however the risk managers are just as much to blame as it's their job to be keeping tabs on people.

Is he any help to you, well I can't answer that question as I'm not you, is he any help to me, yes, and I assume to others, his story teaches us not to be greedy, stick with a winning formula, do not over leverage, do not let your ego into trading, and swiftly exit a losing trade, things I do already, however affirmations from his story will make me think hard before I decide to break my own rules, which I must admit I sometimes do. :whistling

I also admire his honesty, and respect him for sharing his story.

There's a vast difference between someone doing their job, and someone committing a criminal activity. :LOL::LOL:

Anyhoo I see it may be that time of the month for you, and as much as I'd love to sit here and expostulate with you, I shall refrain. :LOL:

Have a good day F, and all. :)

Best
John
 

Forexmospherian

Legendary member
39,928 3,301
He had the luxury to play with other peoples money because that was his job, now don't tell me that no retail trader has not once thought how great it would be working for a prop shop/IB etc etc, as I'm sure once upon a time you have too.

As for idiots costing you money, again I would strongly assume that you lost money due to your greed, and bad decisions you made, you really need to look hard in the mirror at yourself, and take ownership of your actions instead of blaming the world and his brother for the poor choices you made.

Respect is a 2 way thing, if you respect others, they respect you.

Have a good day F, and all. :)

Best
John

Hi John

Within the first few weeks of joining this forum - I said - I don't like the commercial financial world - and the crooks involved in it.

I lost a very large sum of money due to the collapse of Lehman Bros.

Agree John- that fact that they had been trading for 150 yrs - was no reason to think they were viable and could carry on. It was not through direct trading or greed - how silly - are you saying every person who wants to earn more money is being greedy.

When we all found out the reasons for most of the collapses in the World economy - it was exactly due to bankers and guys like this trader - taking large risk and cheating

So respect - yes - they gave me no respect - so why should I give them respect back??

We all make mistakes in life - small ones and in some cases large ones - but in many cases just saying sorry is simply not enough.

There again - I dont think all bankers and institutional traders should be shot - hung or tortured - maybe only a small percentage.

I dont even respect the guys continual bad language and his attitude

Yes its a good read - maybe even a girl getting raped could be a good read - but you are just failing to see the underlying problem of just too many people in the world disrespecting rules and conditions of their work

I really did think John you where maybe a middle aged sensible guy - not just another "treat life as a joke" type character.

Maybe it shows I get a lot of thing wrong..........

So I stand by my comment - I hope he was fired - and if I had been his boss - I would want him to take his split on the loss and pay it back to the company

Yes - and I was a soft boss in my old industry

Regards


F
 

Mr Fox

Established member
510 136
Hi John

Within the first few weeks of joining this forum - I said - I don't like the commercial financial world - and the crooks involved in it.

I lost a very large sum of money due to the collapse of Lehman Bros.

Agree John- that fact that they had been trading for 150 yrs - was no reason to think they were viable and could carry on. It was not through direct trading or greed - how silly - are you saying every person who wants to earn more money is being greedy.

When we all found out the reasons for most of the collapses in the World economy - it was exactly due to bankers and guys like this trader - taking large risk and cheating

So respect - yes - they gave me no respect - so why should I give them respect back??

We all make mistakes in life - small ones and in some cases large ones - but in many cases just saying sorry is simply not enough.

There again - I dont think all bankers and institutional traders should be shot - hung or tortured - maybe only a small percentage.

I dont even respect the guys continual bad language and his attitude

Yes its a good read - maybe even a girl getting raped could be a good read - but you are just failing to see the underlying problem of just too many people in the world disrespecting rules and conditions of their work

I really did think John you where maybe a middle aged sensible guy - not just another "treat life as a joke" type character.

Maybe it shows I get a lot of thing wrong..........

So I stand by my comment - I hope he was fired - and if I had been his boss - I would want him to take his split on the loss and pay it back to the company

Yes - and I was a soft boss in my old industry

Regards


F

F quote "maybe even a girl getting raped could be a good read"
Your despicability knows no bounds.:rolleyes:

John.
 

tar

Legendary member
10,443 1,313
:LOL:
 

Attachments

  • responsible person.png
    responsible person.png
    5.7 KB · Views: 219
  • Like
Reactions: Forexmospherian

Forexmospherian

Legendary member
39,928 3,301
F quote "maybe even a girl getting raped could be a good read"
Your despicability knows no bounds.:rolleyes:

John.

Sorry - the irony here is thats your logic - ie based on you liking this bad language total lack of trading rules respect of the OP and the thread

Cannot you see that ???
 

peterkto

Newbie
3 7
Wow. That's by far the most negative reaction I have read from a fellow trader.

I don't need to convince you of whatever opinion you want to take but I do want to make some facts clear.

1) I made more money for them than I lost overall. That doesn't include the value I brought for single-handedly influencing the switch to trading OTC/pink sheet names and then teaching others my strategy/execution, which made everyone money.
2) I was not fired. I left on my own after that
3) This is a hedge fund of almost 90% one guy's money, a man with a risk-seeking personality and a former daytrader in the 2000's NASDAQ heyday... not client money
4) Almost every great trader at that firm has a story similar to mine... but recovered from it

The fact is... that's the prop trading model in a nut shell. A large deficit + having your own bankroll + not being dependent on any structural/internal edge within the firm, means the sensible business decision is to get out. There is a long long road of experienced traders losing money at a firm and then leaving. That's the risk one takes when they run a prop firm that offers traders 100% backing rather than to assume risk of their own. Your sense of accountability in "wanting to make the trader take a split of the loss" is misguided, considering that was never part of the initial agreement. They too had rules on forcing position liquidations after a trader reaches a certain limit and they let it slide. I didn't hide anything. I didn't talk them out of it.

I'm not proud of this loss. I wish it never happened. I've analyzed what went through my mind repeatedly. I write the story in a certain tone to make it entertaining and maybe that offends your sensibilities. Perhaps you have (mis)characterized me as a wolf of wall street "who doesn't give a ****" type of trader, I don't know. This loss still hurts me.

Anyhow, my family is about to have dinner. Happy Thanksgiving to all :)
 
Last edited:
  • Like
Reactions: paszkman

Mr Fox

Established member
510 136
Sorry - the irony here is thats your logic - ie based on you liking this bad language total lack of trading rules respect of the OP and the thread

Cannot you see that ???

If you have nothing good to say, etc etc, so all I shall do is find something positive about you, ah your age, well I've been brought up to respect my elders, however senile or foolish they may be, so in respect of your age, I shall ignore your foolishness, and wish you well. The last thing I want is to bring down my Chi arguing with someone who see's 3 pip trends, endorsed a scammer called trxx with such glowing praise, has never provided any proof for any of his fantasist claims, and likes to get peoples backs up for his own gratification, amongst a whole host of things, however your silly games don't wash with me.

Have a good day trading F,
I know I have....

£ 28.11.14.png

Best
John.
 

Forexmospherian

Legendary member
39,928 3,301
If you have nothing good to say, etc etc, so all I shall do is find something positive about you, ah your age, well I've been brought up to respect my elders, however senile or foolish they may be, so in respect of your age, I shall ignore your foolishness, and wish you well. The last thing I want is to bring down my Chi arguing with someone who see's 3 pip trends, endorsed a scammer called trxx with such glowing praise, has never provided any proof for any of his fantasist claims, and likes to get peoples backs up for his own gratification, amongst a whole host of things, however your silly games don't wash with me.

Have a good day trading F,
I know I have....

View attachment 182458

Best
John.


Pathetic

You must be one of the "guests" who follow my thread - await to see that I am out in Nottingham for the day - then doing some slagging off - knowing I will not be around to reply.

Please don't bother following me John - get your facts correct - ie that guy ***** made good calls on this site - no doubt about that - the fact that he was a trickster and a fake was proved when he could no longer keep his great winning record up for more than a couple of weeks.

If you go back through the 54 weeks I have been running my thread - you will enough proof their to find I am no fake and can walk the walk - as well as talk the talk.

You have been a "snake " from day one - OK - so now you are brave enough to show your colours

Please don't bother me asking more questions and expecting polite replies - as I have continued to do with you over this last year.

I detest "snakes" even more than dissers - obviously you seem to fall into both groups

PS - why have you continued to respond to me after you had stated you would not be bothering ?

PPS - Mr Fox does sound better than Mr Snake - I will say that
 

Forexmospherian

Legendary member
39,928 3,301
Wow. That's by far the most negative reaction I have read from a fellow trader.

I don't need to convince you of whatever opinion you want to take but I do want to make some facts clear.

1) I made more money for them than I lost overall. That doesn't include the value I brought for single-handedly influencing the switch to trading OTC/pink sheet names and then teaching others my strategy/execution, which made everyone money.
2) I was not fired. I left on my own after that
3) This is a hedge fund of almost 90% one guy's money, a man with a risk-seeking personality and a former daytrader in the 2000's NASDAQ heyday... not client money
4) Almost every great trader at that firm has a story similar to mine... but recovered from it

The fact is... that's the prop trading model in a nut shell. A large deficit + having your own bankroll + not being dependent on any structural/internal edge within the firm, means the sensible business decision is to get out. There is a long long road of experienced traders losing money at a firm and then leaving. That's the risk one takes when they run a prop firm that offers traders 100% backing rather than to assume risk of their own. Your sense of accountability in "wanting to make the trader take a split of the loss" is misguided, considering that was never part of the initial agreement. They too had rules on forcing position liquidations after a trader reaches a certain limit and they let it slide. I didn't hide anything. I didn't talk them out of it.

I'm not proud of this loss. I wish it never happened. I've analyzed what went through my mind repeatedly. I write the story in a certain tone to make it entertaining and maybe that offends your sensibilities. Perhaps you have (mis)characterized me as a wolf of wall street "who doesn't give a ****" type of trader, I don't know. This loss still hurts me.

Anyhow, my family is about to have dinner. Happy Thanksgiving to all :)

Thank you for your reply

You are correct

To me you came over as a typical "wolf of wall street character - a type I really do detest etc

In fact your reply seems genuine and probably in real life you are a nice guy - who does have feelings etc etc

All the best to you in 2015

F
 
 
AdBlock Detected

We get it, advertisements are annoying!

But it's thanks to our sponsors that access to Trade2Win remains free for all. By viewing our ads you help us pay our bills, so please support the site and disable your AdBlocker.

I've Disabled AdBlock