Question from a customer:
I want to do day trading for a living. is it possible for me ?
Answer:
I do not know. It depends on you.
1. Do you have enough capital to trade for a living. At least $100,000
2. Do you have money to survive without any income for at least one year.
3. Do your family members support your decision ?
4. Are you profitable doing Swing Trading ?
5. can you manage risks and emotional ups and downs ?
6. Do you have a risk management program in place?
Level two day trading is fast and furious. You can make lots of money or lose lots of money.
Remember the day trading boom of 2000, when everyone tried to make money in day trading. As long as the market was going up, it looked so easy, but when the market went down, they were wiped out.
Many proprietary trading shops lure traders by offering low commissions for trades. Then, once you are a customer, they force you to do many trades in your account because they want to make commissions. Do not fall into this trap. You should be able to take a trade only if you feel like it and you feel that the setup is correct.
Also, keep a fixed daily losing limit. If you lose x amount of dollars for the day, then you will just get out of the trading room and only trade the next day.
Whatever method you use to trade, as long as you maintain strict risk control, it will be really difficult to lose all your money in day trading.
Have a look at the following website
http://www.rsofhouston.com/
I have heard varying opinions about them.
They have a few setups which they trade consistently.
Have a look at their website and you decide if you want to use them.
One coaching person I really like is Tony Oz. i like him only because he places the correct stress on how to handle risk. His stock trading course is on the following page.
http://www.tonyoz.com/stock_trading_course.html
I have taken this course and i can say that it is good and inexpensive. You can get free stock risk calculator program from his website at the following web page
http://www.tonyoz.com
This software calculates the stock quantity to buy so that your risk per trade is less than two percent of your capital. Again this concept is nothing new for Dreamtai members.
You can calculate this manually using a calculator or in Excel spreadsheet.
You can start with swing trading and then if you have good win loss ratio and are making profits, you can shift to lower time frames.
Here is another trading website for Active Traders that you will find useful
http://www.elitetrader.com
Just a note: DreamTai is not affiliated with any of the above sites
