The 5 things you need to know to be a successful daytrader - futures io
futures io

The 5 things you need to know to be a successful daytrader

Discussion in Psychology and Money Management

      Top Posters
    1. looks_one mrbotolo with 1 posts (0 thanks)
    2. looks_two Penny Stock King with 1 posts (0 thanks)
    3. looks_3 mahanik21 with 1 posts (0 thanks)
    4. looks_4 Dolas with 1 posts (0 thanks)
    1. trending_up 5,785 views
    2. thumb_up 19 thanks given
    3. group 14 followers
    1. forum 6 posts
    2. attach_file 0 attachments

Welcome to futures io: the largest futures trading community on the planet, with well over 150,000 members
  • Genuine reviews from real traders, not fake reviews from stealth vendors
  • Quality education from leading professional traders
  • We are a friendly, helpful, and positive community
  • We do not tolerate rude behavior, trolling, or vendors advertising in posts
  • We are here to help, just let us know what you need
You'll need to register in order to view the content of the threads and start contributing to our community.  It's free and simple.

-- Big Mike, Site Administrator

(If you already have an account, login at the top of the page)

Search this Thread

The 5 things you need to know to be a successful daytrader

(login for full post details)
  #1 (permalink)
Experience: Advanced
Platform: NinjaTrader
Broker: Private
Trading: Zn,6E,6J
sharky's Avatar
Posts: 1,060 since Jun 2009
Thanks: 624 given, 3,906 received

Five Things You Absolutely Need To Know To Become A Successful Day Trader
Most people feel the lure of day trading: seeing the frenzy on the floor of the New York Stock Exchange, grabbing onto the tail of a skyrocketing stock, and earning your millions. They want to start day trading and find the answer to that famous quote from the movie Wall Street: "How many yachts can you water-ski behind?"

Unfortunately, the vast majority of these beginner traders want to see results faster than it takes to watch the movie. In fact, about 90% of beginner day traders are knocked out of the game within the first few months.

The good news is that this fact can easily be addressed. Just about all of those who crashed and burned did so because they didn't have a plan. If you take the time to develop a plan and learn how to trade, you stand a much better chance of making that top 10% of day traders who go on to successful day trading careers.

Here are five things you need to know before you start day trading:

1. Is Day Trading Right For You? - This seems like a basic question, but you should seriously evaluate your trading personality. Will risking that much money make you nervous? Can you afford to lose money in the stock market? Are you financially - and emotionally - prepared to leave your job and co-workers behind you? These and other questions must be answered before you go any further in planning your day trading career.

2. How to Control Your Emotions - What most beginner day traders don't realize is that trading psychology has a huge impact on your success - and the market likes to play with your mind! There are many different emotions that come into play, but it boils down to two main dangers: fear and greed. It is vitally important you learn how to control your emotions before you try to tackle the market.

3. How to Develop a Solid Trading Plan - If you fail to plan, you plan to fail. And yes, it really is that simple. A solid trading plan will include details like determining what type of trader you are, your trading strategies (see below), what products (stocks, e-minis, etc.) you will trade, what software you will use, even your entry points, exit points, and stop loss points. The more detailed your plan, the more likely you are to have day trading success.

4. What Kind of Trading Strategies You Will Use - There are many trading strategies that will help you succeed at day trading. As a beginner trader you will probably be best served learning one or two to start with. For example, the Bull Trap is an easy type of momentum play for beginners to learn that allows you to predict a trend reversal, and cash in by following the momentum. But there are many different trading strategies; the key is finding the right set of strategies for you.

5. How to Develop a Business Plan - You should approach day trading as a business, not a hobby. Even if you plan to trade just part time, make sure you develop a full business plan that covers all the financial basics like how much trading capital you have, what your short-term and long-term financial goals are, developing cash flow statements, etc. You should also decide how you will work: where your office will be, what time you will be in your office in the morning, what daily preparation you will need, etc.

Learning these five things won't guarantee that you will become a successful day trader. But if you start day trading before you find out these answers, you most certainly won't get too far...sam/sharky (copied from another site)

Visit my futures io Trade Journal Started this thread Reply With Quote

Can you help answer these questions
from other members on futures io?
Paid coding for NT7 to NT8 Custom Plot() conversion
Trading Reviews and Vendors
Realtest vs Amibroker
Platforms and Indicators
TradingView like VOLUME indi for Ninja8 ?!?!
AddPlotNames2a support thread
(login for full post details)
  #2 (permalink)
San Diego
Posts: 3 since Mar 2014
Thanks: 7 given, 3 received

Thanks for that good info. How do I get Bull trap. Is there a fee for it? Can I watch live trades somewhere to sharpen my skills. I am in process of opening a trading account with amp and expect to live trade in a week or so for the first time. Finding a mentor would be great.

Reply With Quote
The following 2 users say Thank You to solarroy for this post:
(login for full post details)
  #3 (permalink)
 Penny Stock King 
New York City, NY, USA
Posts: 10 since Apr 2014

yeah definitely, this post helps a lot, i'd like to learn where to learn these beginner trader strategies as well!

Reply With Quote
(login for full post details)
  #4 (permalink)
Los Angeles, California
Posts: 24 since Mar 2017
Thanks: 4 given, 7 received

Hey what happened to Sharky?

Sent using the mobile app

Reply With Quote
(login for full post details)
  #5 (permalink)
Los Angeles
Posts: 5 since Dec 2017
Thanks: 0 given, 1 received

Can't disagree with that

Reply With Quote
(login for full post details)
  #6 (permalink)
Ede Netherlands
Posts: 4 since Jan 2020
Thanks: 0 given, 1 received

Many novice traders think about the action plan at the last moment, I think about profit all over again, not about how they will get it.

Reply With Quote
(login for full post details)
  #7 (permalink)
Richmond VA
Posts: 10 since Mar 2022
Thanks: 3 given, 5 received

Excellent post. I would also say don't overtrade, take your profit when you reach your goal or are even a bit short of it, and once you hit your loss target STOP immediately and walk away. This takes training the brain to go against human nature

Reply With Quote

futures io Trading Community Psychology and Money Management > The 5 things you need to know to be a successful daytrader

Last Updated on May 3, 2022

Upcoming Webinars and Events

NinjaTrader Indicator Challenge!


Copyright © 2022 by futures io, s.a., Av Ricardo J. Alfaro, Century Tower, Panama, Ph: +507 833-9432 (Panama and Intl), +1 888-312-3001 (USA and Canada),
All information is for educational use only and is not investment advice.
There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
no new posts