Sonia Kristina




Forex day trading secrets for success are all over the internet as vendors sell systems but when buying them you need to be aware of this secret which will save you a lot of money and put you on the road to forex trading success…

Day trading simply doesn’t work and you should try another short term method of trading that does.

So Why doesn’t day trading work?

Simple – it’s a proven fact that in today’s world of instant communications, all short term volatility is of a random nature therefore, you can’t use support and resistance in these short time frames as there not relevant, so the odds are against you and you will lose.

In days gone by, the floor trader had an advantage has he had the information first but with the rise of online trading this no longer applies.

The Proof!

Take any of the day trading systems online that claims to make profits, then, look at the small print on the track record and you will see the following words:

“Back test”, “simulated” and “hypothetical” and this means in simple English – made up, with all the closing data known in advance and of course that’s easy.

The vendors who sell these systems want you to trust a made up track record – but don’t trade it themselves!

Doesn’t inspire confidence does it?

Short Term Strategies for Profit

If you want to trade short term try swing trading.

This method takes advantage of overbought and oversold scenarios which last a few days to a week or so. In these periods you can get the odds on your side and you win because support and resistance is valid.

So if you want to win the secret of Forex day trading the vendors of systems don’t tell you is – it doesn’t work and focus on Forex swing trading, a short term strategy where you can get the odds on your side and can enjoy forex trading success.

Swing trading, is easy to understand and learn and you could soon be making big profits, in around 30 minutes a day or less.

Edison Nathan




Day trading can be a great way to make some extra money, but to be successful at it, it has to both be fun and exciting, and it has to be as safe as possible. Those two things (safety and excitement) may seem at odds with each other in the trading world, but they don’t have to be. In other words, what you do is to mix long-term portfolio investments with some day trading thrown in, for some fun and enjoyment.

That is, it should not be your entire investment activity. Long-term “boring” stocks and bonds investing should also a part of the mix, because this is going to provide the foundation of your investments, and therefore your safety net of sorts. With that done, you can throw in some such investment for some spice and a little extra money, too. Another key point of having long-term investments to manage as well as your day trading investments activity is that with that safety net, and with some limits placed upon how much you can date trade, you can really have FUN in this financial instrument — which you might not be able to do if you are betting absolutely everything on your activities.

So keeping that in mind, here are a few points when it comes to day trading:

1) No more than 3 to 5% of your equity should be devoted to such trading.

That is, you’re not going to be devastated financially if you lose out on a particular trading session, but it’s still enough of a thrill to be truly exciting. While the loss is likely to hurt, it won’t devastate you.

2) Technological support helps, but don’t use it as a crutch.

Fundamental and technical analysis charts, 24-hour a day stock market tickers, and so on make it much easier to trade, and this type of data can certainly help you make wiser trades as long as you know what you’re doing. However, that’s the key point; you need to know what this data means — as well as its limitations — before you can use it wisely.

3) Education is key

Before you ever become a daytrader, make sure you understand it thoroughly. Understand all of the terminology used, understand how to execute trades, and understand the market itself as completely as possible. In addition, the current economic situation has a great impact on the current market’s health. Make sure you know the current economic situation and its impact on your particular interest in this trading, such as capital investments, etc.

4) Large-cap stocks are best

Large-cap stocks with high trading volumes are your best bet for day trading. Not only are these solid, but they have a lot of data available about them. At least when you first start, go for general directions and don’t try to pinpoint top or bottom. As you continue to trade, keep track of trades and analyze what happened with them. As you continue, you’ll be able to see trends that you can use as valuable information for future trades.

5) Both losses and gains count

Most people lose money when they day trade because they don’t book their losses. However, this is important because you can’t simply keep hoping that the market is going to “turn around;” in fact, this is how most losses occur.

So before you decide to make an investment, decide where you’ll exit on the loss. Stop loss pricing is invaluable if you want to be successful in this trading. Focusing on limiting your losses is just as important as maximizing profits — in fact, more so.

6) Keep greed in check

Profits, too, should be booked regularly, because small gains are more realistic — and are much more likely to happen — than having a huge profit is. When you look at them in the short-term, markets aren’t based on “logic,” so you simply have to go with the flow. Do profit/loss booking objectively.

7) Keep emotions in check, and use discipline

Emotions are probably the biggest reason people fail in such trading. They become overconfident when they experience big profits, and losses can simply crush people. So keep emotions out of things; work with small gains and similarly small losses, and look for overall profit. Make sure you analyze your data and know when to get in and get out of a trade. This should make you profitable as a day trader.

David S Adams




When asked about futures trading, or day trading in general, the average fellow on the street will generally answer with something along the lines of, “dabbling in the market is like Las Vegas, you can get lucky or be unlucky”  I always get a chuckle out of this answer, as the fellow is obviously not trained in trading futures, or the stock market in general.

Do you believe the market is just a matter of luck?

Most day traders will tell you about their favorite set-up or the “trade that always works,” and their are countless anecdotes about trade set ups that have never lost money.  Of course, I would point out from the onset here, that no trade “always” works.  Even the best set-ups go south from time to time.  To count on a trade working every time will find a trader deeply disenchanted with trading theory.  There is a logical answer to this dilemma though, and most traders understand this concept.  They learn that trades and certain set-ups, and exits, for that matter, are a function of probability, and probability can either be your friend or your worst enemy.

In the world of probability, the complete range of potential outcomes are possible, however, certain outcomes within this range have higher probabilities than others.  This makes sense.  For example, an individual walks down the sidewalk on a busy street every day at 8 a.m. may experience several outcomes during her/her walk.

1.  A car may jump the curb and run her over.

2.  She may trip and fall, injuring herself.

3.  She may trip and fall, not injuring herself.

4.  She may walk along the route of her trip without incident.

5.  She may walk and have a heart attack.

The list for possible outcomes for a walk on a busy street are nearly endless, and I have only listed a few, for purpose of example.  But there are multitude of possible outcomes that an individual may experience on a walk.  Which is most probable?  Without analyzing a large set of observations it is not possible to scientifically give you this answer.  But logic tells us that on most days he/she walks down the sidewalk on a busy street without incident, as most people do.  To be sure, the vast majority of times the individual takes this walk it is an uneventful task given little thought.  However, does that mean that on the first day he/she makes this walk she will not fall and break her arm?  No, because falling and breaking her arm is within the range of possible outcomes of her walk.  See?   I think you get the idea.

Trading is very similar to this example, but when trading it is important to understand that on a given trade there are a vast set of possible outcomes the accompany each trade.  One outcome will have the highest probability, and then there will be a subset of less likely possibilities.  In other words, in the world of probability (whether it is walking down the street or trading a futures contract) there are a wide range of possibilities.

Now let’s throw another variable into the trading mix:  Time.   In probability, the shorter the time interval being examined the higher the accuracy of probability theory.  Conversely, the longer the time period under examination the lower the accuracy of predicting an outcome.

Why?

As time passes, new variables enter any equation and the ability to account, in a probabilistic sense, the potential outcomes of the action in question becomes more difficult.  Put more simply, more things can happen over a long period than a short period.  But it is still important to realize that the full range of possibilities can occur over any period of time, but some probabilities are less likely in shorter time frames. That reason alone, was enough to justify my commitment to short term trading years ago.  There were other factors, of course, but it stands to reason that trading in highest probability set is a very appealing approach to trading futures contracts.

Okay, okay, so I can hear you saying you get the basis premise of probability.  So what does probability have to do with trading?  Well, the same principle that applied to the individual walking down the sidewalk on a busy street applies to trading.   Every trade has a set of potential outcomes and each outcome has a potential probability.   Over the years, trading theorist have developed certain set-ups that have a higher probability of success than other set-ups.  Further, we stated earlier that the short period of examination results in higher degrees of accuracy, from a probability standpoint.

I trade intraday, usually in three minute intervals.  Of course, the first bar of any trade has a binary outcome, that is, it can either go up or down. We will exclude the null set in this example, which would be the price stays the same.  The second bar in the trade also has the same set of outcomes, and so forth.  Since I trade in very short time intervals, I feel my ability to apply the theory of probability and test the possible outcomes of certain oscillator/price action outcomes produces a higher rate of success than trying to predict potential outcomes over a longer time period.  Hence, in the complicated formulas used to predict probability, I stand a higher chance of choosing the trade with the highest probability of success.

There are a myriad of books written on the probability of trading and set-ups and they make fascinating reading and I recommend further exploration of probability and intraday futures trading.  The literature can bring many aspects of trading into sharper focus and dispel the notion that intraday trading is simply an expression of individuals who do not fully understand the underpinnings of trading.

Amit Malhotra




Day trader is an investor or individual who works with day trading stocks. When day trading is used in financial market, all activities related to trading stocks will be finalized in a day. Here stock trade involving buying and selling of stocks will be performed in a single day. Everything will be closed before the end of the trading day. Depending on the policies followed by the day trader, he can complete stock trades of around hundred transactions in a day.

Most commonly, day traders work whole day with dedication. There are mainly two categories of day traders. They are institutional day traders and individual day traders. Institutional day traders are part of stock trading companies or financial institutions. The chances of working and growth will be high for institutional day traders. They get more equipments and tools for day trading including capital and fresh fund. They can use this to trade for long time in stock markets. They have easy access to stock exchanges and center of stock exchanges. This will reduce the risks involved in trading of stocks by reducing the chances of competition from opponents and other individuals.

Individual day traders on the other hand work on their own abilities and sources. They usually work alone. They use capitals available at their own disposal or from loans. They even manage to get finances from private institutions and manage money. Individual traders can’t manage money from other individuals on their own will. They will have to follow the regulations set by law. They can seek the help from the brokers to make their work easier. These brokers will have access to the stock, which will increase the opportunity of trading.

In early ages, all traders trading in a day were institutional. This is because of the difficulties they had to face when they were individual day traders. There were huge imbalances between individual and institutional day traders in terms of facilities including capital. But when technological advancements introduced latest techniques in stock market as well, situations started changing. Internet and other facilities like computers increased the chances of trading using powerful techniques and at relatively less expenses. When legal aspects were relaxed and came up with favors for individual traders, things became favorable for individual traders. This smoothened the imbalance also. Thus, more and more traders were attracted to this business of stock market.

live and learn


I invest in stocks through Share Builder. I have made money in stocks but small cap stocks are hard to tell. What small cap stocks are a great investment?

Christopher Call




Many day traders, especially beginning traders, assume that day trading is a science. They assume that there is a secret formula for day trading success, and to learn day trading is like studying for a physics exam.

And they think that if they can discover this secret day trading formula, that they will be able to plug in “X” and get “Y” every single time.

They think that successful day trading is a science, and should be approached as such.

But these misguided day traders are just plain wrong. Dead wrong.

Successful day trading is a true work of art, and Master Day Traders are artists.

Have you ever been to the symphony? Or to a high class broadway play? Have you ever enjoyed a concert? Or even a really good piano recital? Have you ever marvelled at a piece of art, or a sculpture?

Artists are some of the most revered people who have ever lived on this Earth. You recognize the names – Beethoven, Mozart, da Vinci, Picasso, Michelangelo. Going more contemporary, consider The Beatles, The Rolling Stones, Ray Charles, Louis Armstrong, Andrea Bocelli.

Everyone is impressed by high quality art. But what does that have to do with day trading?

Day trading is an ART, not a SCIENCE.

Don’t believe me? Consider this.

You can read a few books and sit down and pass a physics exam. You can take pretty much ANY scientific formula and, following it, get the same result every single time – even if you are a complete novice. In science, you can expect “Y” to happen every single time that you do “X”.

But can you read a few books, and sit down at a piano and play Beethoven’s Fur Elise? If a complete novice were given the sheet music to Mozart’s Symphony No. 40, would they have a prayer of interpreting it, and creating music from it? Not a chance.

The is also true for a Trader. You can’t just read a book or two and become a successful day trader. To learn day trading requires much more than that.

And the Market isn’t nearly as predictable as a scientific formula. If you plug in “X”, you MIGHT get “Y”, or you might not.

To learn day trading requires practice, patience, and dedication. Just like learning to play the piano. Or to paint a masterpiece.

Also, ask any great artist how they composed an incredible symphony, or a great sculptor how they created their masterpiece. They will almost universally tell you that they could “feel” it, could “sense” what it would become.

These Masters don’t see a block of granite – they see the “Statue of David”. They don’t see a blank piece of paper with a bunch of lines – they see Beethoven’s 5th Symphony. They don’t see a plain canvas – they see the Mona Lisa.

A Master Trader doesn’t look at the Market and see a confusing and irrational swirl of lines and erratic, unpredictable behavior – they see the opportunities for profit that the market presents, and they understand how to take advantage of it.

When you watch a Master Musician perform, do they have an intense, studious expression on their face, like a scientist in his lab? Not likely.

They will often have their eyes closed. Their bodies will sway with the rhythm, as if to coax the music from the instrument with their body language. They “feel” the music.

A Master Trader is much the same. They “feel” the market. They sense what is going to happen next. Not because they read it in a book or saw it on a DVD.

But through practice, patience, and dedication, they have learned to “feel” what the market is going to do next. Through endless hours of effort and experience, they have mastered the markets.

Here’s another truism – most of the great artistic masters learned from another master. They didn’t learn on their own.

It would be nearly impossible for an artist to go from ground zero to a Master without tutelage from another master.

The same is true of a Trader. If you truly want to become a Master Trader, the fastest (and least expensive) way to achieve that goal is to learn from a professional.

Traders who try to teach themselves the art of Trading rarely get past the figurative “stick figure drawing” stage. They’re still playing “chop sticks” while those who learned from the Masters are playing Mozart.

Day traders who truly want to become Masters also quickly realize that to really learn day trading, they are going to have to pay their tuition. They can either pay a professional to teach them how to trade, or they can pay the Market.

And I guaranty you this; the Market is a much more cruel, and much more expensive professor.

Traders who have chosen to pay the Market to learn how to trade are almost universally among the dubious 95% who lose ALL of their risk capital within the first year.

Those who want to learn day trading secrets that will lead them down the path of total market domination will find go out and find a Master Trader, and latch on to them, and will emulate their actions and trading style.

Learning to trade from a professional, from a true Market Master isn’t cheap. There are costs involved. But I will tell you this – learning to trade from a professional will cost you THOUSANDS less in the long run than trying to learn on your own.

Ian C Jackson




Sometimes you will hear the term “end of day trading”. Needless to say, I took the term rather literally when I first came across it. Day trading is founded on the principle of using prices of stocks as they are at the end of each day’s trading hours.

Generally, all trading activity takes place during any one day. Traders make their judgements based on the performance of the previous day’s figures – or more often than not, a whole series of figures from a number of immediately preceding days. Either way, the measure of unit for the time scale is one day.

1. The factor that separates it from other methods is that there is no trading done after hours, or over the course of weeks or months. Until the advent of the internet and broadband in particular, only the full time traders in the business had any profound interest or knowledge in stock market trading. But nowadays, we are fortunate enough to have this exciting business brought right into our living rooms and there’s much we can access in terms of knowledge and putting that knowledge into practice – for profit.

2. In days gone by, the only way you could trade was through your broker or bank. But now, I’m happy to say, everything is wide open. In a matter of hours, you can have your very own stock market trading platform, without even getting out of bed if you don’t want to. I have data feed for stock prices supplied to me every day for less than $1 a day, and an online account which shows me streaming up to date prices, rather like a rolling spreadsheet which cost me a $200 one time payment, to open an account.

3. There’s a lot a fear and caution surrounding trading, but in my opinion, most of it is unfounded and based on lack of knowledge. And there are several risk management techniques available and some quite milder natured markets you can begin with you can I was quite fearful until I started to explore the possibilities and take a serious look at the whole picture. The management system of stop loss procedures certainly calmed my fears and I wouldn’t day trade without them now.

Sacha Tarkovsky




Many day trading systems rely on pivot points to determine where the market may go next and believe that these indicate important points of support and resistance that can be acted upon for profit.

Let’s take a look at them in more detail.

A pivot point is a point of rotation hence the name.

Pivot points are support and resistance levels derived from the previous period’s high, low, and closing values.

The period by day traders in currencies is normally taken from the daily chart or from the hourly chart.

You can also combine pivot points with traditional support and resistance techniques to enter and exit trades

In simple terms a pivot point is used to denote support and resistance within the period traded.

So do they work in day and intra-day trading?

I have never seen anyone make long term profits with them.

I see lots of vendors of systems that claim they do, but never seen a track record of real time profits.

Fact is this has to be one of the stupidest ways to trade.

How can you accurately predict where prices are going to go in such a short time period?

Pivot points are of no use whatsoever in a short time frame.

Think about it.

Trillions of dollars are traded each day by many millions of participants and most of these are not interested in daily or intra day action and pay no attention to it.

The ones who do, tend to be the mug speculators who think day trading works and of course it doesn’t.

To make money with any form of technical trading you need to have data that you can use that can help you get the odds in your favor.

Daily or intra day pivot points don’t help you do that.

It looks good as theory on paper, but try it in the market and you will lose your equity longer term.

TRY THIS SIMPLE TEST

If any vendor tries to sell you a system based upon pivot points, ask them for their real time track record of profits over the long term and see if you get one.

Day Trade Online




By.-  http://www.ChatHotStocks.com

Beginner traders often fantasize or wonder about how some people are able to achieve tremendous profits by trading stocks just a few hours on a daily or weekly basis.

So going farther than the hype & the bells and whistles that a lot of the called “trading gurus” like to invoke, the real “secrets” of the stock market game are enclosed within the trading set ups and market signals you rely on to decide how to CHOOSE stocks, as well as WHEN to BUY & when to SELL them, or even when to SHORT SELL those that are poised for a profitable fall.

So the clearer your set ups are, the faster you can spot a potentially profitable trading scenario and ACT ON IT reducing your risk.

Complicated technical systems and information overload can make you slow and confuse you right from the start, making you loose money instead of making your profits grow.

In essence, You can be sure that the trading method you employ to approach the stock market and pick stocks can make a big difference in your results as a trader. In order to succeed you will need to FOCUS on a set of simple trading strategies that you can implement without hesitation.

Fortunately some sites on the web do offer more effective and updated day trading methodologies. One of those sites that can show you how to take advantage of certain stocks on positive and negative momentum as well is http://www.ChatHotStocks.com

They focus on momentum stock trading strategies, that are practical and easier to apply than many other technical systems out there.

Stock trading doesn’t have to be complicated as many people perceive. But you do need to follow a well organized set of rules and tactics, that once you master them, you can aspire to replicate profitable trades with consistency.

Robert B


AT&T is decades old but it’s history seems to be to do worse than the stock market.

I am interested in knowing one or more stocks that have traditionally beaten the market, especially if they are dividend stocks.