Become A Millionaire On The Stock Market

Without a doubt, every trader is interested in the question of how to trade a small account up. How do you manage to increase this (usually small) seed capital? Or better still, how do you manage to make a small fortune out of this small sum? Preferably as fast as possible? As soon as the money is in the brokerage account, most traders usually start looking for some kind of holy grail method, which sometimes takes years (as long as there is still money left).

I would like to point out my view of things in this book – it will probably surprise some and will certainly upset others, because, what I have to say on the subject may not suit everyone. Those who have read my other books know that I am critical of the idea of making a fortune out of small capital investment.

Yes, there are traders who succeeded in doing this. But they are few and far between. And above all, there are very few who have done so with the traditional short-term methods. The goal of USD 1 million is a very high goal for most traders.

In fact, some would say that one million is the sum you should bring with you when you go to the stock market. As the reader, you possibly know that even this kind of money is no guarantee that you will be successful. Most traders do not have so much capital when they start, anyway. So the question is quite legitimate: Once you have made the decision that the stock market is the best way (I know someone who made his first million-selling ice cream), what do you need to do if you want to earn a million?. Big goals need big perspectives.

If you plan to earn USD 500 with trading, then you need a different perspective than if your goal is USD 1 million. This book is about how to adopt such a perspective. Unfortunately, many traders try to reach this goal by sticking to the USD 500 perspective. “I just need to reach this “modest goal” for enough days in a row,” they say, “then I’ll get to the million on my own. Sooner or later.” As a rule, these traders never reach their goal, and I firmly believe that the reason for this failure lies in their incorrect perspective.

It is like looking for 5-cent pieces on the street. No doubt you could become a millionaire by collecting 5-cent pieces, but, in my opinion, that would take much too long. Incidentally, I only came to understand this simple truth gradually. I was one of those traders who looked for 5 cents every day. The tragedy of this approach is that every now and then, you actually will find a few 5-cent pieces.

That little surge of happiness that one feels, makes one think one is on the right track. No doubt, the person who collects 5-cent pieces will reach his million, one day. For example, if he finds one of those coins every day, he simply needs to repeat this success for the next 20 million days. I think the reader will see the absurdity of this idea. So, if you set yourself a high goal, you should look for ideas that will get you to your destination a little faster than our brave collector of 5-cent pieces. In this book, we will look at how one can find such opportunities and what perspective we need to adapt (rather than walking around with our eyes glued to the sidewalk). I would like to present the reader with a strategy that, in my opinion, makes it possible to make a fortune on the stock market.

I am not saying that this is the only way because there are thousands of ways to make money on the stock market. But it is a radical method because it assumes that, under normal circumstances, the trader with a small starting capital will not be able to achieve this. Nevertheless, the possibility exists to make a fortune on the stock market with just a small investment, by procuring the missing capital from another source, outside of yourself. The strategy that I present here starts with the assumption that the trader cannot achieve this with his money but only with the market’s money. He will have to learn to get the money from where it is. And he’ll have to do it with chutzpah. In other words, he will have to take serious risks. I think that speaks for itself.

To say anything else would be a lie. Just as it is possible to build a real estate empire without a dollar of equity, so it is possible to build a large trading account within a relatively short time with a small starting capital (USD 5000 or even less). I am contradicting myself here, because I have already said, in previous books, that this is not possible. What I meant was that it is not possible to do so with conventional trading methods. In other words, you will have to go very unconventional ways if you want to achieve that goal.