Stable profit of 10,000 is very easy. You open positions twice and close them twice in a week, earning about 400 a week, which totals around 5,000 a year. Because it's easier to turn around with small capital.
But what is the point of this stable profit?
If the capital is too small, practicing futures trading is okay. But relying on this for a living is quite difficult. If you want to make 20,000 from 10,000 in a year, you would have to rely on luck. This can be a gamble, after all, 10,000 is not a large amount. The key to this issue is stable profitability.
What is stable profit? A 50% return in a year is already quite high; does it count as stable profit? A 200% return in a year is a good level; does it count as stable profit?
The biggest weakness of starting with 10,000 is that it can be easily wiped out. So you can't do long-term trading; you can only do short-term. In short-term trading, you can make money many times, but overall, the opportunities to capture large trends are very few. If you're just looking to practice, you might as well open a simulated account with 1,000,000 and quickly execute 10 to 20 trades daily to experience various market conditions.
In a simulated account, whether you incur losses or make profits doesn't matter; the key is the trading experience. If it's a real account with 10,000 RMB, even if you grow it to 30,000 in a year, it's not much. Of course, if you're not worried about living expenses, you can do that.
Overall, the best practice in futures is to use a capital of 500,000 or 1,000,000, with a yearly target of 10% or 20% to earn a little living expense, which is better than working. Of course, if you aim for more, the risk will increase sharply. If you start with 10,000 and aim for 20,000, 30,000, or 50,000 over several years, this process can easily be interrupted by a black swan event. Additionally, due to the large profit ratios and high targets, sometimes you may not be able to keep the right rhythm.
In short, the capital requirement for futures is actually quite high. To make ends meet, you need at least 500,000 in capital, and before trading this 500,000, you must have at least 2,000 hours of analysis experience. This includes but is not limited to simulated trading, manual review, reading books, etc.
Futures trading is one of the hardest industries in the world. Don't underestimate it; in other industries, making mistakes may just waste some time, but in futures, you could lose all your hard-earned capital. It can also change your mindset, so don't try it lightly.
In the end, I want to say one last thing. Many investment masters abroad do futures trading. They use a small amount of capital, double it in a year, and continue for three to five years, which would be quite miraculous. We shouldn't set our profit targets in futures too high.
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