How Day Traders Make Big Money - Their Secrets Revealed!

By Tim Hunt

A job as a day trader is a great way to make money in a very lucrative field. It is not, though, an easy way to get rich quick. You will need to put effort and work into it.

As it happens, trading stocks and commodities as a day trader is great job, and a financially rewarding one. It does require certain characteristics and habits for the highest chances of success.

A good time sense is the first important habit. Day trading is not the job for people who drag themselves out of bed in the late morning and can't think before their second, or third, cup of coffee. Day traders must be up and alert before the opening bell. In New York, trading opens at 9 AM. This is 6 AM in California, and a very early 5 AM in Alaska and Hawaii. The best time to plot trading strategy for a given day is before the opening bell ? you'll need to not only be awake by then, but alert and thinking on your feet.

A second critical habit is a good set of numerical analysis skills. Making and losing money based on gut hunches is a given, but you'll also need to make educated choices based on what you've read, summarized, and synthesized so that you can make good judgments quickly with this background knowledge. All of this needs to be done fast, and you'll need to quickly judge trends in financial markets and apply these snap analyses to your trading decisions.

Let me just point out that you don't have to be a mathematician to be good at day trading. You can learn certain quantitative skills, even if you were never that great at math. Certain numerical skills will seem automatic to you once you've practiced them a bit.

A third habit that breeds success for day traders is patience and the ability to make keen observations. These habits must be combined with an excellent short-term memory. Patience can be tough to muster when you face the disappointment of missing a stock at its peak, or when you lose money because your low never came to pass. Try not to let these challenges drag you down. Also be sure to keep your cool when you score a winning trade.

The fourth habit you'll need to cultivate is research skills. Day trading, thankfully, does not require the same kind of in-depth numerical analysis as long-term investments, but you'll need a handle on the flow of information so that you can use this knowledge base when making quick judgments. Doing your research ahead of time is the only way to make good judgments quickly. But, don't get bogged down so much by research that you lose the ability to think and act fast.

Bear in mind that you don't have to do all of this research on your own. Top day traders have many tools and services available to assist in the research process.

If you think you are ready for a career change and that day trading may appeal to you, you'll need to start by creating a support team. At a minimum, you'll need a broker, and a few investors willing to help you level the market. Realize ahead of time that it's hard work, and will require savvy, dedication, and focus.

If you think you may possess these skills and traits, day trading can offer a thrilling way of earning a remarkable income. You can really have fun at the job, and if you have what it takes to be successful, you'll come away "enriched" in more ways than one. - 23200

About the Author:

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It Takes Time To Learn The Stock Market

By Sharon Demeter

Learning how to navigate the stock market might be intimidated to someone just starting out. Even though many of us have lost money, there are those that are becoming interested in the market for the very first time. With the Dow being the lowest it has been in a long time, these people are probably thinking that now might be a good time to get on board. Anyone new to stock investing should know though, that just because the market is low doesn't mean it can't go lower.

You don't have to feel too overwhelmed if you are trying to figure out the stock market for the first time. If you are interested in knowing how to buy stocks, you should know that it is easy and you can do it without ever having to speak to any human person. So, if you feel scared by all the market jargon and are hesitant to get involved, know that it is easier than it appears.

Opening a stock account online is not much different than opening up any other type of account online. You will need to get a user name and password, and then enter your name, address, and social security number. The social security number is required because law requires that your transactions be sent to the IRS. After you send in your money, you eill be able to start buying stock with the click of your mouse.

Before you open a real account, if you want to learn about buying stocks, one of the best ways is to join a fantasy online stock trading game. There are several of them where you can set up an account and trade stocks just like you would online only with virtual fake money. These games let you get used to all the nuances of the market and you will be managing your own portfolio. Of course nothing is ever like the real thing but this is a good way to learn about stocks and how to do the research. Some of these stock trading games are available for free and even give out prizes!

It is important to remember for beginners that they can lose money in the stock market. Once your first stock is purchased, it can go down just like we have seen in the last year and a half. That is perhaps why it is scary because you know that your money is in play and you can lose if your stock goes down. However, it should be noted that the stock market has been a historically good place to invest and beginners should remember that. - 23200

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Are you interested in learning about buying stocks for beginners? Please visit my site Stock Market For Dummies.

Psychology Of Money Management

By Ahmad Hassam

Many new currency traders just dont know and understand the fact that risk analysis and money management is important in currency trading. Many think, Why money management has to be so boring and not sexy, when they hear the word money management. Its just this kind of behavior that gets average novice trader into trouble. Why money management is so boring?

Most of the novice traders do in fact think that the currency market will do exactly what they want it to do and they will end up with a trade that can make them a lot of money. Getting into a trade is thrill enough in itself at first glance. Everyone wants to make money and a lot of money. You seduce yourself into thinking that once you enter the trade, it will be honky dory.

For some reason or another market is not complying with the plan of making a lot of quick cash and is not going in the desired direction. Then all of a sudden it seems that the market is not at all cooperating. Instead, it is going in the wrong direction.

It was a sure thing at that time. The trade couldnt go wrong in your opinion. The gut feeling was so clear and compelling when you had entered the trade. Now it has gone so far wrong in the wrong direction that you may have difficulty in getting out.

Do you know now that most of this evolution of a position gone bad has to do with you entering the market and risking real cash without having a plan, a stop and a tested money management system before entry. What to do now?

Most of us do not think it painful enough to change our thinking and take sound money management seriously until we suffer a few losing trades to bring the concept home. Now many of us have faced this type of a situation.

The psychology of risk control sooner or later begins with genuinely believing that you will benefit from a risk control plan. When you have mastered your psychology, you will experience less anxiety in your trading and will be able to implement your trading plan more consistently.

So instead of fearing a stop out when your trading system tells you that the trade has gone bad, think of it as getting a step closer to the winning trade. Never ever risk more than 2% of your equity on a single trade. So if you have a $10,000 trading account, the most you will lose on a single trade will be $200. By limiting your loss potential on each and every trade, you will reduce your level of stress and anxiety during trading.

Your pride will increase from generating greater profits from each trade. You will begin to see the profits increase as you gain confidence in your money management plan. That increased pride will make you more confident in your abilities to become a successful trader. - 23200

About the Author:

Mr. Ahmad Hassam has done Masters from Harvard University. He is interested in day trading stocks and currencies. Develop your own Forex Trading System. Get Netpicks Forex Signals Free!

Forex Platforms

By Paul Bryan

The popularity of Forex is increasing each day and new people are gearing up to put their feet into the Forex trading business. Initially Forex was meant for big players like the banks and corporate units and other rich people. But with online Forex the scenario has changed completely and it has become accessible for every common man. To start with, one doesnt need a very huge sum and so people from all walks of life are able to trade Forex.

Many people who are doing full time jobs can also do Forex trading as a part time business and earn some extra bucks. Likewise there are people worldwide who are trading Forex as a full time business. Now trading Forex has been made easy and simple with the introduction of several trading platforms, both in manual and automated forms.

Forex trading is turning out to be very rewarding and these platforms are so designed that the traders can utilize them to reap instant profit. The hype around these platforms are such that people are kept presuming about the reality of the instant income. It is also very essential to find out the actual facts with regards to these tools. It is true that many people are getting success using them but not every user is equally lucky. However earning instant income through Forex is not impossible either. If a few can do it others can achieve success as well and the best way is to utilize these Forex platforms in the proper way.

For all kind of relevant information, the internet is the best medium. Here one can avail all the information about the different trading platforms being designed to trade Forex and their expertise towards generating instant income.

On the internet itself there are a lot of expert Forex traders who shares their views and guide the new traders in the direction of earning a reasonable sum. Of course not all sites are genuine so one needs to be very careful in selecting the right reviews which are authentic and are published to assist the people who want to start of with Forex trading.

In a sea of websites giving information on Forex platform, more than half are just not up to the mark and unprofessional. So there is every chance of a trader being misled if not highly cautious. Till now majority of the expert traders have recommended three Forex platforms which are being reviewed as topmost in the business. For example, Easy Forex is projected as the best being followed by eTaro and Forex Yard. Their performance is being judged taking into consideration several parameters such as amount of deposits, dealing with Credit cards, type of platform, Demo account, Pip/spread value, risk measures, Leverage, and service and support.

Easy Forex is the first choice, followed by eTaro, and Forex Yard and this view has been put forth by a lot of traders. For online Forex trading it is just the beginning and hence there may be a wide communication gap. While searching the internet it may take hours or even days to get you to the most accurate of information.

With time every little detail will surely be sorted out so that people will be able to do it in a more comfortable way. So every trader in Forex should take their time and carefully select the trading platforms so that they can achieve huge success in generating instant income. - 23200

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For unbiased ratings on the best forex brokers and for perfect ratings go ahead and visit: Forex Platform Reviews

Investing Tips For Stock Market Beginners

By Riz Goodman

If you are new to stock market then you should first take small steps and the first baby step is that you should learn all the stock market terminology. The other steps that you need to get done are the opening of an account with a stock broker as well as using a dummy account to get some good fail safe testing in the stock market.

There a few avenues from where you can in reality get the real understanding about the stock market basics as well as the stock market terms If you are looking at online place then the best place to start are the stock exchanges site of NYSE, NASDAQ and FTSE. These sites will provide you with a very good start for your learning process

Another good way is to buy some beginner's books and then read them thoroughly. An ideal way to learn with the books will be to join some stock market game where you can turn the theory you are reading into a real practical work. That will help you gain the understanding of the stock market as a trader.

Always get the basics first before thinking of going for high end products like futures and options. These are very high risk products and chances are that you will burn your cash in little time. That is why it is better to wait and watch and learn the game.

After a few weeks of learning the next best thing is to open up an account with an online discount broker and use that account to buy a first few stocks. Never buy high volumes but small volumes to test the waters.

Stock Market is a risk place so you should be well prepared. In that preparation make sure that you have the risk taking ability. The stock market is not for the faint heart - 23200

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Learn the stock market basics before you start stock market investing.