This is a YouTube video titled "TRADING AS A BUSINESS: What Is Your Hourly Pay As A Trader?" containing a monologue or talk from October 24, 2022, discussing the concept of evaluating trading as a business by calculating hourly pay and opportunity cost. The speaker shares an example of a successful businessman struggling with trading profitability.
One of my favorite questions to ask people, whether it's when they're going into business for themselves, but especially for traders, especially traders who are outside of trading, very successful and making pretty nice money. This one guy come to me in his business outside of trading, he's making about $400,000 a year, doing pretty well for himself. But in trading he was losing money left and right and he just was like insistent that he was going to make trading work. And the thing is, it's like, dude, 400,000 a year, that's 200 bucks an hour. But with your trading, how much are you making as you're trading? You're putting in 15 hours a week and you're making nothing. So your hourly pay with trading is zero. Why do you insist on pursuing it? The thing is, here's another just opportunity cost but sensibility thing. How much are you making as a trader? Take the number of hours you're working, putting in and figure it out from how much you're making.
