day trading for a living

You will see day trading systems all over the net promising you huge gains but consider this key question before you buy one:

If the system makes such great gains, why does the vendor sell it for a few hundred dollars?

Of course, the answer is:

Because it doesn’t make money and the vendor is not stupid enough to trade it, when he can sell it to novice traders who are taken in by hyped up sales copy.

Day trading systems DONT work longer term and its one of the stupidest ways to trade online forex markets.

Don’t believe me?

Then ask any vendor selling a day trading system for a real time track record and see if you get one (let me know if you do)

What you will get is a hypothetical track record of great gains, but what use is this?

Hypothetical means it was done by the vendor knowing the closing prices, not risking real money!

Now if we al know tomorrows closing price today we would all be millionaires, but that’s not the reality of trading.

So why doesn’t day trading work?

1. Volatility in any daily or hourly period is random.

The period is to short and support and resistance levels are meaningless, so you cant trade of them – You may as well flip a coin.

So what happens?

Day traders constantly get stopped out and accumulate small losses as volatility can take prices anywhere in a daily period.

Do day traders ever win?

Occasionally they get lucky and win.

When they do they get obsessed with scalping a few points profit, or getting out at the end of the day, so they can never run profits to cover their huge amount of losses.

What happens – they get wiped out longer term.

There is no better way to lose your money than day trading!

Most day trading system vendors are:

Failed brokers, writers or salesmen and make their money from selling systems.

Of course they don’t trade themselves, as they don’t trust their systems to make money and would rather have the guaranteed income from selling the system it’s a lot less risky than trading it!

Day trading is a mugs game don’t fall for the hype look at the facts.

Sacha Tarkovsky
http://www.articlesbase.com/investing-articles/you-will-see-day-trading-systems-all-over-the-net-promising-you-huge-gains-but-consider-this-key-question-before-you-buy-one-123948.html

The buzz about the forex trading market is definitely increasing and more and more people are looking at getting started with forex. This article provides a brief overview about getting started with forex and allows you to access some of the other resources you may need if you are considering investing in this lucrative marketplace.

There are three reasons so many people are exploring the potential of forex for creating extra online income.

1. The forex trading market is easily accessible for the home trader
2. You can start out with small trades (as low as $12.50) while you learn the market
3. The various strategies and indicators are fairly easy to learn for anyone with a high school education.

The forex marketplace is the worlds largest trading market, now worth something like 3 trillion dollars a day. It operates 24 hours a day from Monday to Friday. Traders have the advantage of leverage when investing. This leaverage can be worth 200 times their investment. In other words, if you are investing $100, you are actually trading $20,000, and, the maximum you can lose is your $200. However if your investment is working in your favour you take all of the profits. So a 2% gain is going to turn into a $400 profit. Try scaling those figures up.

A word of warning though! With the figures above, it would only take a 0.5% loss to wipe out your investment. This is why, as a new online forex trader, you should seek to restrain the amount of leverage you have and keep your trades small while you learn the markets. Some experts think that a leverage around 20 times your investment is a good place to start. All of the forex broker websites will warn you not to invest any money that, if lost, would result in a change in your lifestyle.

Some online brokers give prospective clients free access to their software so that you can practise in real time with a dummy account. That is great. But, would you speculate in the same way if it were real money you were dealing with. For many of us this is unlikely. So, probably the best way to get started is with small real investments with a low leverage ratio. 

Craig Summer
http://www.articlesbase.com/currency-trading-articles/getting-started-with-forex-728782.html

Forex is the most traded commodity on the planet. Its traded more than gold or oil. Its traded more than shares or bonds. Heck it’s even traded more than google.com stock. Individuals, Businesses, Banks and countries are exchanging currency on a daily basis as part of the global community. Now with the onset of high speed internet, you can trade it for a living from your home computer.

But only a small percentage of traders end up making money from forex trading on a consistent basis.Are you fed up by trading alone and making the same old mistakes? Need a refreshing strategy that truly works? Then Market Bytes is for you!

Market Bytes unique trading service which combines Live Trading Room action, market commentary and teaches you how to set up breakout strategies for foreign exchange trading.

In the Live Trading Room you will:
1. Work with Senior Forex Analysts
2. Use proven trading strategies
3. Increase your trading and market knowledge
4. Build “live” trading experience
5. Develop confidence as a trader
6. Real time Q&A
7. Make trading profits

MB LIVE is an “Elite Trading Club” where, as a member, you will learn to trade FOREX consistently and profitably by working with our Senior Analysts and panel of expert traders.

MB LIVE concentrates on trading the London open in the Forex markets.

The Live trading room is open daily from 6.45am – 10.00am (London time). You are able to discuss daily set up’s and chart analysis as well as making group decisions on what and when to trade. MB LIVE analyzes the market and your trades in real time, in a ‘hands-on’ working environment. Not only can you trade whilst you watch, you can also ask questions in LIVE market conditions.

As a subscriber you will receive trading alerts through the day with exact entry, exit and stop level. You will also receive analysis of commodities and stock indices.

To check it out, go to: http://www.marketbytes.com/
You can sign up for a 7 days trial, its free.

brend
http://www.articlesbase.com/currency-trading-articles/elite-trading-club-market-bytes-694051.html

Hey, I know this question depends on opinions, and even though I tried searching online for articles about it, I can’t seem to find an answer.

If I plan to start day trading, what’s the minimum amount of equity should I have? I mean by day trading, in my case, doing 3 to 5 orders per day.

if you know any articles discussing this, it would be great!

It’s totally depends on U. If you have small amount of money, then, try to find the trading company which require minimum deposit whatever amount ask for. In my personal experiences, they require minimum $500 for starting.

I mean something like a commodity, like I would trade options and make bets about if more than 100 friends would be online on facebook, or when someone would fall asleep in class but I need some damn creative answers to this one. Something that goes up and down in value and preferably move every few minutes but day to day is good enough, thanks

food is always good… depends on the time of day and what’s for lunch… i.e. you bring pizza on a day they serve salad… at lunch it’s worth less cause if nothing else you can get salad… but say right before lunch it’s worth more cause people will be hungrier… pretzels chips… things that that work well to…

I see several questions about buying stocks and selling them several times a week. I see many of the answers saying that you can but it is risky and you have to meet specific requirements? and why would you be called "pattern day trading" and what are the consequences for buying/selling a lot?

Depending who your broker is you have to have a certain amount of money in your account to make trades that fast. It takes about 3 days for trades to clear but when you have a certain amount of money in your account like $25K or more I think they clear them faster.

Pattern day trader is a term defined by Securities and Exchange Commission to describe a trader who executes 4 (or more) day trades in 5 business days, provided the number of day trades are more than six percent of the customer’s total trading activity for that same five-day period. As the trader is exposed to the danger of day trading and intra day risks, it is subject to specific requirements and restrictions.

As for as buying and selling the same stock a lot I say why not but its really hard to time the market. Also at some point when you do something to much you get got caught. Meaning you might buy it low and it keeps going lower. But if you can catch the price when its low and sell when its high by all means do it. I also think you would probably have to buy a lot of stock to make this profitable for you

When I say capital, I dont mean the amount I need if I want to make living out of it.Just want teh requirements for say, 1-2 trades per day.

you don’t need much at all.

especially with the picks the site below gives you.

this is who i use.

go to: http://tinyurl.com/4reu8z

they average 400% returns on very little investment.

they don’t have many spots left on their newsletter.

last time i checked it was like 27 or so.

good luck.

now is the BEST time to get in…

So how does it work? Why should you make any money by holding a bond for even a few seconds and then trading it? What is the process…im just confused how you own a bond, and why anyone would buy it from you through day trading and how/why you are making (or losing) money?

Its virtually impossible to day trade bonds, its not a very liquid market, and the volume for individual issues is very very low. You just don’t day trade bonds.

Then follow these: (all of them were copied and pasted from http://www.area51newmexico.com/class.php)

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Smoke a pipe and respond to each point the professor makes by waving it and saying, "Quite right, old bean!"

Wear X-Ray Specs. Every few minutes, ask the professor to focus the overhead projector.

Sit in the front row and spend the lecture filing your teeth into sharp points.

Sit in the front and color in your textbook.

When the professor calls your name in roll, respond "that’s my name, don’t wear it out!"

Introduce yourself to the class as the "master of the pan flute".

Give the professor a copy of The Watchtower. Ask him where his soul would go if he died tomorrow.

Wear earmuffs. Every few minutes, ask the professor to speak louder.

Squint thoughtfully while giving the professor strange looks. In the middle of lecture, tell him he looks familiar and ask whether he was ever in an episode of Starsky and Hutch.

Ask whether the first chapter will be on the test. If the professor says no, rip the pages out of your textbook.

Become entranced with your first physics lecture, and declare your intention to pursue a career in measurements and units.

Sing your questions.

When the professor calls roll, after each name scream "THAT’S MEEEEE! Oh, no, sorry."

Insist in a Southern drawl that your name really is Wuchen Li. If you actually are Chinese, insist that your name is Vladimir Fernandez O’Reilly.

Speak only in rhymes and hum the Underdog theme.

Page through the textbook scratching each picture and sniffing it.

Wear your pajamas. Pretend not to notice that you’ve done so.

Hold up a piece of paper that says in large letters "CHECK YOUR FLY".

Inform the class that you are Belgian royalty, and have a friend bang cymbals together whenever your name is spoken.

Stare continually at the professor’s crotch. Occassionally lick your lips.

Address the professor as "your excellency".

Sit in the front, sniff suspiciously, and ask the professor if he’s been drinking.

Shout "WOW!" after every sentence of the lecture.

Bring a mirror and spend the lecture writing Bible verses on your face.

Ask whether you have to come to class.

Present the professor with a large fruit basket.

Bring a "seeing eye rooster" to class.

Feign an unintelligible accent and repeatedly ask, "Vet ozzle haffen dee henvay?" Become aggitated when the professor can’t understand you.

Relive your Junior High days by leaving chalk stuffed in the chalkboard erasers.

Watch the professor through binoculars.

Start a "Mexican wave" in a large lecture hall.

Ask to introduce your "invisible friend" in the empty seat beside you, and ask for one extra copy of each handout.

When the professor turns on his laser pointer, scream "AAAGH! MY EYES!"

Correct the professor at least ten times on the pronunciation of your name, even if it’s Smith. Claim that the ‘i’ is silent.

Sit in the front row reading the professor’s graduate thesis and snickering.

As soon as the first bell rings, volunteer to put a problem on the board. Ignore the professor’s reply and proceed to do so anyway.

Claim that you wrote the class text book.

Claim to be the teaching assistant. If the real one objects, jump up and scream "IMPOSTOR!"

Spend the lecture blowing kisses to other students.

Every few minutes, take a sheet of notebook paper, write "Signup Sheet" at the top, and start passing it around the room.

Stand to ask questions. Bow deeply before taking your seat after the professor answers.

Wear a cape with a big S on it. Inform classmates that the S stands for "stud".

Interrupt every few minutes to ask the professor, "Can you spell that?"

Disassemble your pen. "Accidentally" propel pieces across the room while playing with the spring. Go on furtive expeditions to retrieve the pieces. Repeat.

Wink at the professor every few minutes.

In the middle of lecture, ask your professor whether he believes in ghosts.

Laugh heartily at everything the professor says. Snort when you laugh.

Wear a black hooded cloak to class and ring a bell.

Ask your math professor to pull the roll chart above the blackboard of ancient Greek trade routes down farther because you can’t see Macedonia.

Rach emailed me her funny story; "At the start of this year (year 9) we are starting a topic on polygons and the first thing my teacher asked is ‘What is a polygon?’ My answer was ‘A dead parrot’. "
__________________________________________________________
Mr ‘The Answerer’ the question, which you obviously missed, is ‘Do you want to make a splash (big deal) on the first day of school?’.
It’s all in the title. Plus, things in jokes and riddles aren’t always questions. They are often just people telling jokes.

LMAOO i wish i could do these but i dont go to school
but i enjoyed reading them so ill give you a star

Let’s say I hold 100 shares of stock XYZ overnight. The next day, I buy 100 more shares of stock XYZ. Later that day, I decide to sell the 100 shares of stock XYZ that I held overnight. Do the IRS and the SEC honor the same first-in-first-out rules when it comes to day trades? In other words, is this considered a day trade?

Yes. No.