Day Trade: Lose Weight Fast; Get Rich Quick?
Lose weight fast; get rich quick
I always chuckle when I see ads which promise quick results with one simple purchase. Who actually loses 30 pounds in one month? And if by chance they do, those 30 pounds might very well be back on their waist a short time later. So many promises are too good to be true.
And so it is with the stock market and day trading. There are many books and online courses out there that claim with one simple strategy you will make money from “day one” or after a week or even after just one month. Some people actually believe these claims and spend significant sums of their hard-earned money for these products.
My first rule of day trading that I will tell anyone considering it as a career is very simple: Day trading is not a strategy to get rich quickly. It’s hard work. It’s very hard work. It is not a get rich quick scheme. Day trading can be a profitable profession. But keep in mind that it’s a highly demanding professional career and most definitely not a casual activity for beginners. It takes time to become a consistently profitable trader.
Trading in a simulator for several months, using real time data, with the exact same amounts of money you intend to use when you go live, is virtually a mandatory prerequisite. You must practice and then practice some more. Join a community of traders. Watch how successful day traders plan a trade. Ask questions. Master one strategy. Be a thoughtful trader. Be self-disciplined. Avoid emotion.
For a sports team to win – be it in football, hockey, soccer, or any sport – they need to have a good defense. So do you to succeed at day trading. You must practice defensive money management. In day trading, you will be competing with the sharpest minds in the world. The market is a massive crowd of traders. The main objective of day trading is to take money from other traders while they are trying to take yours. The money you desire to win belongs to other traders and they have no intention of giving it to you.
And that is why day trading is such a very hard and serious business. It is definitely not a get rich quick scheme. But if you persevere you can succeed. With discipline, with hard work, with study and with practice.