How To Become A Day Trader
The Practical Guide To Day Trading
Most people who get into trading want to eventually become full time day traders.
The aspiration is to make money daytrading from home and be your own boss.
That's the dream, right?
The reality, however, is not so encouraging. Research has shown that among those who attempt to day trade for a living, only a small group is able to pull it off.
The implication is that if you want to succeed, you must approach day trading differently from most people.
How To Day Trade For A Living
The first thing to know is that there's no straight-forward procedure to day trading.
Ultimately, it's a form of entrepreneurship. And just like how there's no fixed path to become a successful entrepreneur, there's also no fixed path to become a profitable day trader.
This being said, there are guidelines that will keep you on the right track, and these are the points I'll be covering in this guide.
1. Conduct a Self-Assessment
Day trading is often portrayed as a fun and exciting path to easy money.
In truth, however, it's a highly stressful activity both mentally and emotionally.
Since day trading is about opening and closing trades within a few hours, there is little room for mistakes.
Success in this business requires:
- Extensive research,
- Meticulous planning, and
- Years of market experience
You will not find a truly successful day trader with less than 5 years of experience.
At the very minimum, therefore, you should only consider this path if you're able to commit to at least 2-3 years of dedicated practice.
In addition to this, you should also consider w