Tired of Being Broke? How To Trade With A Small Account

Tired of Being Broke? How To Trade With A Small Account
- So in this video, we're gonna talk about trading with a very small account. (upbeat music) What's up? Tim Sykes, Millionaire Mentor and Trader here with, you know, my Q&A. It's nothing fancy. I'm just wearing kind of like a wrinkled shirt, answering your questions.
That's what it takes. Like, you just gotta be real in this industry. And if you have a small account, you have no other choice. Okay? You have nothing else to do if you have a small account.
You're gonna have to get started studying ASAP, not necessarily growing your account in any big way ASAP, but starting to study ASAP.
And for those of you who don't really know English that well, ASAP means as soon as possible. It's crazy to me that people don't have the right mindset. Then again, there's so many fakes. There's so many non-millionaires teaching.
There's so many newbies teaching. Frankly, I'm very fortunate not just with the money that I've made but now my 20 plus years of experience, so I've seen a lot of different traders come and go. I've seen what works. I personally have made several million dollars after starting with a few thousand. My top student started with 1,500.
He's now over eight million. So I know what works. And if you have a small account, by the way, leave a comment underneath this video, do you think that you have a small account? Yes or no.
Or actually a better, no, scratch that, better question: How much do you have in your account?
Give me the exact dollar amount. Is it $500, $1,000, 5,000, 25,000, or zero? It's okay. There's no one right answer. I'm just curious to see what you guys are trading with.
Rule number one is cut losses quickly. I don't care how small of an account you have. You have to protect what you have. That said, how best you protect what you have, well, it's growing your knowledge. You have two accounts.
You might not realize it. You have your knowledge account and you have your monetary account. Whether your monetary account is $50, $500, 5,000, or 50,000, or 500,000, too many people don't focus on growing their knowledge account.
I think the best analogy I can make is if you're trying to get fit and you're just doing biceps and chest every single day and you're ignoring your legs. It's all interconnected.
Or your core, right? You don't wanna work your core, you don't wanna work your legs. Trust me, I have problems with that too. But in order to be the healthiest, you have to do an all-around workout. You can't ignore your legs and you cannot ignore growing your knowledge account.
In fact, you should be focused on growing your knowledge account first. So my number one tip right now, yes, cut losses quickly when you're trading. But even before trading or if you're paper trading using stocks and trade software, click the link below for an exclusive offer. We're gonna give that to you as my little thank you for studying. But, number one tip is to cut losses quickly when you're trading or paper trading.
But even before that, number one tip is to grow your knowledge account.
I'm not that organized. Number one tip, number one tip. They're both important, okay? Grow your knowledge account.
Study the past, study the patterns, study the rules so that when you are risking your hard-earned money, you are prepared. That's it. I get a lot of messages from people saying Oh, Tim, c'mon, you're just selling the dream. You can't really grow a small account fast.
Yes, you can.
Every year I go back to $12,000, specifically under the PDT rule. The PDT rule limits you to three day trades per week although you can take a trade overnight every single day. It's just day trades. If you focus on the best patterns using your knowledge account, using my study guides, DVDs, webinars, video lessons, then there is more than enough time to focus on the best place and grow your account substantially. I know past performance is not indicative of future returns.
Penny stock trading is risky. Day trading is risky. Short selling is risky. Life is risky. But, when you have a small account, you don't have any other options.
What are you gonna do? Invest in a mutual fund and you're $1,000? After several years, it might grow to like 2,000? That's not a lot of money, okay? That doesn't buy you anything in the real world and frankly, wastes a lot of time.
What are you gonna do? Invest in, you know, some individual stocks? Even if you pick a big winner like Apple or Facebook, maybe you triple, maybe you quadruple, so you're 1,000 goes to $4,000 in that best case scenario. How do you grow $100, $500, 1,000, 2,000 into 10,000, 20,000, 50,000, 100,000, a million? Is, you know, my track record just fake?
Are all my top students just getting lucky? No. It comes down to being meticulous with strategy. You take one trade at a time, you aim and trade like a sniper, like I say in too many video lessons, and you try to grow it. Let's say you have a $1,000 account or $2,000 account, on your first position, maybe you should be using two, $300.
That's it, right? Start small. It's okay. The money that you make or lose in the beginning is negligible. My top student, as I mentioned, has turned 1,500 of his own money into over eight million.
He made nothing. Goose eggs for nine months. So, if arguably the best penny stock trader in the world makes nothing for nine months, how do you think you're gonna do in your first nine months? I need to get you thinking correctly. Going back to my example 'cause I have ADD, if you put in two or $300 into a trade and hopefully I prepared you to focus on the best trades where there's 20, 30, maybe even 40% upside in a few hours or in a few days, guess what?
With the $300 position, let's say you make 20%, right? $60. After commissions, $50. That's a good start. Then you do it again and again and again.
Maybe you make 50 on this one. Maybe you make 30 on the next. Maybe you lose five or $10 'cause you have to follow rule number one: cut losses quickly. You're gonna lose sometimes. I'm not perfect.
None of my top students are perfect. But at least, start the process, okay? It's not even about the money that you make when you're first beginning with a small account.
It's getting the education, growing your knowledge account. You might only grow your monetary account by like 30, 40, $50, but you're growing your knowledge account.
You might even lose five, 10, $20 on a trade in your monetary account, but you're growing your knowledge account. Your knowledge account keeps growing the more that you do. That's kind of a cool thing. You might lose in the stock market monetarily, but even when you lose, in fact when you lose, it's often the best lessons. You learn what not to do.
You learn to be more conservative, maybe cut losses quicker next time, maybe think about a few more indicators. But your knowledge account is always growing. So the sooner you start learning now, like literally right now, after you watch this video, be like oh wow, Tim, I finally get it.
Maybe this one analogy pushes you over the edge. You start growing your knowledge account now whether you're practice trading using Stockstotrade, remember to click the link just below, whether you're trading with a small account, a $500, $1,000, 2,000.
E-Trade is one of my preferred brokers. They allow accounts to be open for $500. Interactive Brokers is a few thousand. But whether you're making a little or losing a little or just paper trading, at least start growing your knowledge. Get experience and take careful notes, okay?
People ask me: What do you need to do to really grow a small account? Is it just amazing hot picks? You have to get lucky? No, you have to be meticulous and you have to treat this like the process in the marathon that it is.
This is not a sprint, especially when you have a small account.
You're not gonna grow $100, $500, $1,000 into a million anytime soon. Tim Grittani made his first million in three years. There is a whole CNN article. I'll post the link just below this video. That was actually a really good article.
CNN looked at all of his trades, and that story blew up. 1,500 into a million in three years. But understand that the majority of his gains happened during his second and third year, not his first year, so I need you to have the right mindset. I hate getting emails from students who have the wrong mindset. They're like oh, I've been studying hard for three weeks and I'm just not getting it.
And I'm like, yeah, 'cause you're just starting. You're growing your knowledge account. And if you're just starting with literally zero knowledge, that's okay. So many people message me, they're like oh, do I have to be good at math, do I have to know about corporate finance? No, you don't need to know any of that.
 
Tim Grittani worked as a State Farm agent, okay? And he was in khaki pants selling insurance.
He hated it. He studied hard. He made nothing for the first nine months.
And then even month 10, month 11, month 12, he wasn't making millions. He's making maybe 500, maybe 1,000. You can see all of his trades. They're all public. That's the cool thing about me and all my top students.
We are all totally transparent. We share every single trade that we do. Why is this so important? Because there's so many fakes in this industry. This is why 90% of traders lose.
They don't have the right information. They don't have the right mindset and they don't have the right guidance. I never had a teacher. Remember this, okay? I taught myself everything and I don't want that to be your life 'cause frankly, I have worked too hard to get the knowledge, to get the money, to where I am now.
But you can get the knowledge and get the money to where you wanna go quicker using my lessons. And I know I talk fast. If you have to watch this video lesson or all my video lessons a few times, that's fine. But you gotta start growing your knowledge account ASAP. I'm sorry to be so persistent in that.
I know you just want hot picks. But I have to take away all of your degenerate urges where you just want hot picks. You want hot alerts. You want the chatroom. Listen, the chatroom is useful.
We have a thousand plus traders in my chatroom, which is very good for trade idea generation, but you can also use stocks to trade. That has 40 plus of my scans built in, so you can learn exactly what stands, what setups work the most.
So you have multiple options here. But you gotta get started as soon as possible. Not necessarily trading as soon as possible.
This is a very subtle difference, but it's important. People say, oh, I'm just gonna do nothing while I'm saving up and I'll come back to you in six months. No. You will be hurting your knowledge account. Start studying ASAP.
Read the complete Penny Stock course. I'll post the link just below this video too. Look at all of the links, okay? This book was written by my student Jamil. It covers all of my favorite rules and patterns and lessons that we've learned.
And frankly, he was like Tim, you're disorganized. You have lessons everywhere. Let me put it all in one book. And he did that.
And now it's become a gigantic bestseller.
So that's a good option. We have books, we have software. I have video lessons. But you have to have the right attitude. I can't do that for you, okay?
This is why I make video lessons like this because I'm gonna send this video to everybody who says I have a small account, what should I do? You need to focus on growing your knowledge account ASAP. If I can drill that into your head, fantastic. And then also, understand that it takes time. You have to see a hot play, you have to see a supernova, you have to see a hot sector again and again and again.
And usually, by the third or fourth hot sector that you see, you start to see that the patterns repeat.
But in the beginning, you just see stocks up 50, 100, 200% in the day and you're like (speaks in foreign language). (speaks in foreign language) It's very scary, okay? We're trading the most volatile stocks in the market. I understand the majority of the world hates on penny stocks.
But this is the beauty of being real. This is why I can wear a wrinkled shirt and wear my hat backwards. I can do whatever I want because I've worked my butt off for 20 years. I grew my knowledge account enough to grow my monetary account enough and now, frankly, I'm living the dream life. After this, we're gonna go, go out in my Rolls Royce I just bought, freaking living the life here in Miami.
Are you excited for that, Master P.? - I am 'cause I wanna drive. - Yaaahhh, calm down.
You gotta grow your knowledge account first too. If you're gonna drive my cars, you better know how. Have you ever driven a Rolls Royce before? - Never drive.
- No, so exactly. You're not gonna drive. And this is the same thing. Driving cars, especially expensive cars that you've never driven before, it's very dangerous. Trading is very dangerous.
But you gotta start learning as soon as possible. There's no way they'll drive a Rolls Royce or my Lambo or Ferrari or McLaren to practice it without risking the entire quarter of a million, 300,000. Some of my cars are $400,000. It's very, very dangerous if something goes wrong. With trading, a lot of you guys with small accounts, you look at it as a bad thing.
You're like ah, I can't wait to have a bigger account, then I can make real money. Be grateful when you have a small account because you don't have much to lose, okay? You're starting from the bare bottom. When someone tells me a very sad story, they're like oh, this happened, this happened, this happened, it's so sad.
I'm like well, there's only upside from here.
That's how you have to look at it. And there are actually benefits with small accounts. You can go in and take trades that people with big accounts can't. You can make a quick 10, 20, sometimes 30 or 40% with a small dollar amount as opposed to somebody with a million or $10 million account. They can't take that and move the needle much on their account.
Literally, if you catch one of these high-flying supernovas that have been spiking 100, 200, sometimes even 500% in a day, you can actually grow your account substantially.
I know it's not a lot in the beginning monetarily speaking, but it grows your knowledge account and if you can grow your monetary account at the same time, that's win-win. But understand that your knowledge account has to be just hitting lessons, lessons, lessons. So even if you lose seven trades in a row and you lose $10, $20, $50, $30, and you're like I can't do anything right, even while you're losing, you're growing your knowledge account. And I know it's not fun, I know it's frustrating, but that's how you have to look at this.
You're paying market tuition, okay? So you can either learn the hard way all on your own or you can cut down your learning time and learning curve with me and my lessons. I've been where you are at, okay? I've been under the PDT rule. In fact, I've put myself under the PDT rule every year.
As we're filming this in, what is it, three months into the new year, I went back starting my $12,000 account, which I do every year and I go with a small account just in order to specifically to teach and I donate all the trading profits to charity, but that $12,000 account is up to like 18,800.
So a little over 50% in three months. And I'm not trading perfectly. I'm still traveling. I'm still losing sometimes.
But I like showing you these outsized returns. And I'm not saying that you can necessarily make 50% in three months. This is me after 20 years, after my knowledge account is freaking, you know, my knowledge account is solid, okay? Like it's on steroid, because I've been learning for 20 plus years. More important than how big or small is your monetary account, how big or small is your knowledge account?
And when you're first beginning your knowledge account, it's usually zero.
That's okay. You can still learn. You can still get better. But you gotta be focused and you gotta have the right understanding.
That's what this is all about. Leave a comment underneath this video. Let me know what you think. Hey, Tim Sykes, Millionaire Mentor and Trader. Thank you for watching my videos.
I hope that they help you. I wanna share everything that I've learned over the years. You can check out more videos right over there and also click Subscribe so that you can watch all of these videos, get that knowledge, and become my next millionaire student. (bright music). https://www.trafficwave.net/cgi-bin/newmember/enrlform.cgi/yosehbaez/paid
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