Tiny Trading Account Challenge
Over the past couple of years I’ve been hearing about tiny trading account challenges. This is when a professional trader starts out the year, month, etc. with a micro trading account and grows it to a significantly larger size within a specified period of time. The concept is along the same lines as trading contests, which have been around for forever, but instead of competing against other traders you’re competing against yourself.
The idea is to set a stretch goal — one that is attainable, but challenging to reach. In my case, my goal is to grow a tiny trading account from $1,000 to $100,000 within a one year period of time, starting January 8, 2018.
Trading challenges caught my attention, because for years I’ve been talking about the financial benefits gained through compound interest and consistency. And for us traders, it is compound interest and not excessive leverage that is the secret sauce when it comes to growing a trading account.
My first trading day had ideal trading conditions and is exactly what I needed for a great start. If we continue to see a wide range of pip movement in the coming days this should allow me to start building a reserve to get through the inevitable choppy trading periods.
I finished my first day with a $23.16 profit on my tiny account from one trade, which I reviewed in this video.