2.5% per Day Strategy

I just came across an investment/trading strategy that is quite interesting.

Let me share it.

It's simple. Say, you start with $100, the idea is to invest in an instrument with the aim of gaining a small percentage. For example, 2.5%.

To illustrate, Day 1, invest all that $100 in a promising instrument. If the profit hits $2.5, i.e. 2.5%. Sell it all. The expectation is that this should happen within a week if the instrument is bullish.

Then pick another product and do the same.

This is how the growth chart looks like.

In about 400 weeks, or 7.69 years, 1 million can be reached!

Clearly, this is hypothetical. There are several things to watch out for, such as a sudden crash! So it is a strategy that also need prudence, such as a stop loss in place.

The Python code is shown below, in case you are interested to play with it.

import matplotlib.pyplot as plt
starting_capital = 100
target_amount = 1000000
weekly_growth_rate = 0.025
current_capital = starting_capital
weeks = 0
capital_history = [current_capital]
while current_capital < target_amount:
current_capital *= (1 + weekly_growth_rate)
weeks += 1
capital_history.append(current_capital)
plt.figure(figsize=(10, 6))
plt.plot(range(weeks + 1), capital_history, marker='o', linestyle='-')
plt.title('Capital Growth Over Time')
plt.xlabel('Weeks')
plt.ylabel('Capital ($)')
plt.grid(True)
plt.show()

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Disclaimer: This is not financial advice, and you should always do your own due diligence before investing!

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