Getting started with day trading is a pretty big decision. You can achieve the ideal of bringing in profits with only a few hours a day trading, but that won't be reality for many people that are just beginners and it will be necessary to just stay above the water during the first year and to actually get a feel for what it's like with all the fluctuations. Your only goal during the beginning and the learning stages is to just stay in the game and not to sink. If you still want to undertake this activity, and if you are still interested after this introduction, then day trading just might be for you.
You can't play by the ear when doing day trading and you need to have a plan and a certain strategy in order to have an advantage. Don't take any trade too lightly and always have an open mind. You should try to locate a live chart for a certain asset you have a decent knowledge base for and you should watch how the value of that asset changes over time.
You should have a consistent strategy so that you can monitor your results and see what works and what doesn't over time. You can ask someone to provide you with a strategy or you can figure it out yourself by observing an asset and the changes in its value.
In order to get started day trading, you should know how much capital you really need. You can look at capital like you would look at employees and how good of a manager of your capital you are will determine the money you will be making.
Whichever amount of capital you decide to start trading with, you want to give yourself a safety net and deposit a little more money than that initial amount, around 20% more. It is good to have this as a measure since there are rules and restrictions and, for example, in the example of trading stocks, you will not be able to get into and get out of the trade during the same day if events start to unfold contrary to what you expected as a part of your strategy.
When you look at forex, for example, the minimum amount of capital for entering doesn't really exist, but you still want to have a decent amount of capital since very little capital means that you don't have a lot of opportunities and a lot of possible plays.
This book covers the following topics:
- Tools and platforms
- How day trading works
- How to find stock for trades?
- Introduction to candlesticks
- Risk and account management
- Day trading strategies
- Step by step to a successful trade
- Secrets for success
- Common mistake with day trading
- Rules for successful day trading
...And much more
Day trading is not something with which you can make money overnight so you will have to commit to mastery and that is done through settling on a strategy and then consistently practicing that strategy until you can prove that your strategy can net you a profit.
