I think the biggest fascination of day trading is that you can work wherever you want. And there are lot of other benefits: no customers, no employees, no vendors, no boss, ... just to name a few. So it s not surprising that there s a huge interest in day trading.
But there s also another side of day trading that you should know: Day trading is not a get-rich-quick scheme, even though some seminars convincingly sell it as such.
In this article you will learn what you need to do to succeed with day trading.
Let s get started.
What Exactly IS Day Trading?
It s quite easy to define day trading: Day Trading refers to the practice of buying and selling financial.
These days it is easy to get started with day trading. Competition amongst brokers is fierce, and many brokers will let you open a trading account with as little as $2,000.
What it Takes to Succeed with Day Trading
Its an independent business where your success is in your own hands and no one else s.
Therefore you have to treat day trading like a business. Every successful business man has a business plan, and as a trader you need a solid trading plan.
Here are some key elements of a good day trading plan:
- Your Goals: How much money do you want to make with day trading?
- The Markets: What markets do you want to trade?
- The Timeframe: Do you want to trade on 60 min, 30 min or 10 min charts?
- The Trading Style: Do you prefer trend-following or trend-fading systems?
- The Entry Rules: When exactly do you enter the markets?
- The Exit Rules: When to take profits? And when do you bail if the market moves against you?
- The Results: What results do you expect? And how can you improve your plan?
These are just a few things you need to consider when getting started with day trading.
Characteristics of Successful Traders
Below are some characteristics of successful day traders:
- Successful day traders have tools that help them to identify the direction of the market.
- Successful day traders always know when to exit.
- Successful day traders control their emotions.
- Successful day trading typically requires skill and discipline as well as experience and knowledge of the capital markets.
- Successful day traders know that not everyday is a high probability trading day and overtrading can be hazardous to your wealth.
- Successful day traders invest the time and money needed to learn the tools of the trade and get the best tools and resources they can.
In Conclusion
Take the time to learn the business, practice without using real money in a stimulated scenario, study as much as you can about it before you begin and most importantly do not risk money you can not afford to lose.
Day Trading is exciting. Day Trading can be very lucrative. And it can help you achieving your dreams.
Define your goals, make a plan and then execute the plan!
Good luck and all the best in your trading.
Markus Heitkoetter has been trading for more than 19 years and is a http://www.free-daytrading-info.com expert. For more free information and articles on http://www.free-daytrading-info.com please visit our website http://www.free-daytrading-info.com alf quincy
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