As of Wikipedia’s definition:
Day trading refers to the practice of buying and selling financial instruments within the same trading day such that all positions are usually closed before the market close for the trading day. Traders that participate in day trading are called active traders or day traders.
That said, I would like to give out some useful day trading tips now, thanks to a research I conducted online over the last week:
Factors Influencing Day Trading
1 – Liquidity
2 – Volatility
3 – Timing
4 – Strategy
Potential Risks to Day Trading Practice
– trading a loser’s system
– risk capital not adequate
– a poor strategy
– bad timing
– a poor money management
All of these factors may influence your day trading performance. Keep in mind that, the more scrupulous you are, the less risk you run into. Remember that a good strategy is key to success too: do not underestimate your work of analysis and strategy/technique setup; it can often turn into your winning factor, if you play your cards well.
So, I’ve hit bedtime. I will be online this week if you need more resources and documents to learn more about day trading, for the moment, all I can suggest is:
- Wikipedia.org
- DayTradingCenter.net
Take care.
