Losing 300k in one trade....

[Mata Nui]

Just been reading a bit of the thread on ET. Someone has calculated that the loss would be about 60% of the account based on the margin Infinity would allow. So he would have been trading a 500k ish account before the loss. That must hurt. Guess he wont be getting that new yacht then.

 

[Pazienza]

Just been reading a bit of the thread on ET. Someone has calculated that the loss would be about 60% of the account based on the margin Infinity would allow. So he would have been trading a 500k ish account before the loss. That must hurt. Guess he wont be getting that new yacht then.

From what I recall of the action on the day he was lucky they pulled the plug when they did.

 

[DashRiprock]

if he wasn't getting a margin call why did infinity liquidate his position?

 

[bedsit]

A mate of mine told me that recently Rob Hoffman from TTM lost over 300k in one single trade. I googled ''rob hoffman loses 300k'' and read the first few links- it seems to be true!

I'm not to sure about his 'strategy' as I'm not a subscriber (luckily ;-) but it appears that he adds to losers until he is in the green which is widely accepted to be a ticking time bomb type of strategy......

Anyone else know anything about this?

R

It depends how big is his account.

Different traders have different risk tolerance.

 

[Mata Nui]

I must be missing something but i see a big hole in his business model. If (as it seems likely) his main income is from subs etc and the trading is simply the vehicle to get those subs surely it would have made sense to have a mate fade his trades once he started averaging down. That way he could have a net neutral trading account but still get the cash. He would be 300k better off at least.

 

[Pazienza]

if he wasn't getting a margin call why did infinity liquidate his position?

I think he was beyond that. Have a look at the ET threads, it's all on there I think.

 

[Hotch]

I must be missing something but i see a big hole in his business model. If (as it seems likely) his main income is from subs etc and the trading is simply the vehicle to get those subs surely it would have made sense to have a mate fade his trades once he started averaging down. That way he could have a net neutral trading account but still get the cash. He would be 300k better off at least.

Maybe he does

 

[fayalac]

I've posted a couple of summaries about this (look back over my recent posts). Basically the guy is an utter chopper. He uses a martingale system to get a massive win rate, and scoops a few hundred bucks per time. Unfortunately, the day it went wrong he kept buying (I think) TF until he was carrying about 850 cars. At that point the broker pulled the plug.

WTF this is supposed to be God only knows. He has no risk control whatever, but he charges people to watch him "trade".

By the way, this fiasco was opened with a single contract. He actually went from 1 to 850 .

There are some threads about it over on ET, one called Robert Hoffman, one called something else (I think it's the name of the two guys that actually run the room that he works from). If you can't find them let me know, I'll try to dig out the links for you. It's worth a read, pretty funny stuff.

You surprise me....., it seems that you know a little more than you show....

 

[barjon]

Just been reading a bit of the thread on ET. Someone has calculated that the loss would be about 60% of the account based on the margin Infinity would allow. So he would have been trading a 500k ish account before the loss. That must hurt. Guess he wont be getting that new yacht then.

Well, if that's right he's got to make about 150% on what he's got left just to get back to where he started with his one lot trade. What you reckon? 'bout a month and a half .

jon

 

[fayalac]

To be honest....., if i were him, i would not be worried for my new yatch....., i would be worried for my wife. Well, i would have to worry to find a new wife.

 

[Pazienza]

You surprise me....., it seems that you know a little more than you show....

Just what I've read on ET I'm afraid. Have a look back over my posts, I don't exactly fo in for vendors and tipsters.

 

[counter_violent]

The guy would do well to look up some other betting systems used mainly in roulette....martingaling from 1 to 850 contracts doesn't sound at all clever.

 

[Pazienza]

The guy would do well to look up some other betting systems used mainly in roulette....martingaling from 1 to 850 contracts doesn't sound at all clever.

Depends what you're trying to do CV.

If you're trying to make money trading, no it doesn't.

If you're trying to make money off subs to your live room based on a 99% winning percentage or whatever, it's actually not bad. Sure, some people will wake up and leave, but there will be no shortage of others to take their place.

 

[wackypete2]

To be honest....., if i were him, i would not be worried for my new yatch....., i would be worried for my wife. Well, i would have to worry to find a new wife.

Have a yacht... you can find a wife
Have a wife.... can't afford a yacht

Peter

 

[counter_violent]

Have a yacht... you can find a wife
Have a wife.... can't afford a yacht

Peter

Rent everything...best way

 

[DionysusToast]

The guy would do well to look up some other betting systems used mainly in roulette....martingaling from 1 to 850 contracts doesn't sound at all clever.

Still - it would have been awesome to watch.

850 lots on the line - to try to fix a 1 lot position. Amazing.

 

[petedeluiz]

Losers average losers

 

[shewolf]

Still - it would have been awesome to watch.

850 lots on the line - to try to fix a 1 lot position. Amazing.

850 lots on the line - to try to fix a 1 lot position. Stupid

 

[scose-no-doubt]

850 lots on the line - to try to fix a 1 lot position. Stupid

terrible dancing

 

[Pazienza]

terrible dancing

...great a$$.

Makes up for it and then some.