Summary

An individual shares their experience and strategy for consistently earning approximately £150 per day from day trading, balancing this activity with their full-time job as an accountant, and emphasizing the importance of starting small, scaling up, and keeping trading strategies simple and achievable.

Abstract

The author, who maintains a conventional 9–5 job, has successfully integrated day trading into their financial routine, achieving a higher income from trading than from their primary occupation. Through trial and error, they have developed a trading strategy targeting modest daily profits, averaging £150, with a focus on limiting losses and maintaining a high win rate. The strategy involves aiming for 20 PIP moves per day and employing a risk management approach that prevents taking a third trade after two consecutive losses. The trader has gradually increased their account size from an initial £500 to £5,000 and operates with a low risk-reward ratio of 1:1.15, which they find suitable for their personal goals and risk tolerance. The article also touches on the author's motivation, which includes providing financial flexibility for their spouse, and they offer additional resources for readers interested in learning more about day trading.

Opinions

The author values their full-time job and does not rely on day trading to cover all expenses, which reduces pressure and allows for a more disciplined approach to trading.
Initially, the author had unrealistic expectations about making infinite money with little capital, which led to significant losses and a reevaluation of their trading goals.
The trading strategy emphasizes consistency and a high win rate over high-risk, high-reward trades, which the author believes is more sustainable and less stressful.
The author advocates for a simple trading approach, rejecting the high-stakes trading strategies promoted by some online personas, and suggests that their method is more attainable for the average retail trader.
Personal satisfaction and the ability to enjoy life are highlighted as the primary reasons for engaging in day trading, rather than the pursuit of trading as a full-time career.
The author encourages readers to explore their other articles on day trading for further insights and learning opportunities.

Earning £150 per Day from Day Trading

You don’t need to earn as much from day trading as you think

I work a 9–5 job. I love the organisation I work for, the people I work with and I also love the the fact that I don’t need to worry when I’m not getting many set-ups in the market. It allows me to focus on my plan and strategy and not force trades.

Since 2020 I have made more (after tax) from day trading than I have in my 9–5 job as an accountant. It works out at a lot more than £150 per day. Some days I make more if the set ups are their. Sometimes I don’t make anything and sometimes I make a loss.

Over time though, I have consistently made around £150 a day from day trading and I will explain the who, what, where, why and when.

Starting small

When starting out as a day trader I had big ambitions. I learned I could make an infinite amount of money with not very much capital. This was wrong.

I blew 3 x £500 accounts within 6 months and was ready to throw in the towel.

Then I read something that stuck with me. ‘Why am I trading in the first place’? What is the end goal?

To trade full time? No.

To earn enough money to enjoy life? Yes.

Scaling up

My strategy looks for no more than 20 PIP moves in the day. With a £500 account this works out at about £8 per winning trade with the correct risk management strategy.

My rule is that I never take a 3rd trade in a day when my first 2 have been losses so my overall loss would be £16 give or take.

It took my 9 months of hard graft to turn that £500 account into just under £3,000.

My win rate was over 70% and was relatively stress free and easy to follow.

I then decided to invest another £2,000 and since 2020 have been operating with a £5000 personal capital balance since then.

Working out what I want to be earning

You may scoff, I worked out the salary of my wife and what it would take per week to earn enough day trading for her to either stop working or cut down.

Back then, she earned £39,000 per year after tax. Divide this by 260 trading days in the year (There are not 260 trading days in a year with significant news days, holidays and the likes) came to £150 per day.

This is 2 winning trades at 20 PIPS per trade. Roughly £76 per trade.

Works out 0.7 LOTS per trade, give or take. Adjusted.

The most I have lost in 1 day is (you guessed it) £150. The most I have won in a day was 9 trades. Which was almost £700.

I operate a 1:1.15 RR. Which is on the mighty low side for most retail traders but it works for me.

Keeping it simple

Trading is hard enough. Watching people online made 5 and 6 figures on a single trade with a 1:10 RR just isn’t in my thinking.

It may be what you are aiming for and that is also fine. You are your own person.

I would put a bet on though that my way is likely to be the most achievable (in the short to medium term at least)

If you have time

I’ve written some more articles on day trading, if you have a moment to check them out.

Day Trading for Beginners

Learning How to Day Trade Could Transform Your Life

I wish you all the best on your journey. Thanks for reading.