In this article, we’ll explore how one trader, Libor, began trading with a small amount of capital and found potential for meaningful returns. His story shows that a conservative approach and modest starting capital can offer opportunities in trading. Please note that the article below is based on experience of the trader Libor, results might vary for every trader.
Starting with a Conservative Approach
Libor began by first testing his strategies on a demo account. In October 2023, he used three simple strategies to see how they might perform. After three months, his demo account showed a 6% profit with a steady equity curve, encouraging him to transition to live trading.
Moving to a Live Account with $2,000
In January 2024, Libor opened a live account with a conservative deposit of $2,000. He launched six strategies and continued monitoring them closely. This cautious approach helped him manage risks while building real-market experience.
Demo Account Results (October 2023 – December 2023) with a 6% profit over 3 months
Results After Six Months
After six months, Libor’s account had a maximum drawdown of about 5%, which he managed without deviating from his strategies. By July 2024, his account had grown by 19%. While this was a promising result, it’s important to remember that all trading carries risk, and such outcomes are never guaranteed.
Live Account Results (January 2024 – July 2024) with 19% profit over 6 months
Key Takeaways from Libor’s Experience
- Demo Testing Before Live Trading: By first testing strategies on a demo account, Libor gained confidence in his approach before moving to real money.
- Diversified Strategy Use: Using a few strategies across a wide range of stocks, Libor aimed to reduce risk. With just six strategies, he achieved a broad level of diversification.
- Gains with Modest Capital: Starting with $3,000, Libor achieved a 19% gain in six months. However, this was his personal result and doesn’t ensure that others will achieve the same.
- Staying Calm During Drawdowns: Libor’s conservative approach helped him remain calm during a 5% drawdown. He trusted his strategies and stayed patient, though he was aware of the inherent risks.
Final Thoughts
Libor’s journey illustrates that trading with a modest amount of capital can offer potential, but it’s not without risk. His story is one example of a structured approach that worked for him, though outcomes will vary for every trader.