Day Trading: How I Made Money & How Day Traders Can Make It (Strategies, Tips, Tricks And Hacks)
How to make money day trading doesn’t have an absolute answer. However, How I made money day trading might offer some clues on how you can go about it.
Day trading is fast-paced and gives an adrenaline rush. It offers the possibility of making a lot of money in a short amount of time if you are good. Unfortunately, most who try day trading fail.
How do day traders make money? Can you really make money day trading? In this article, I give some valuable day trading tips and explain how I made money day trading (enough to retire early). I don’t provide you with a day trading strategy, but the correct mindset required to succeed, which is the best day trading tip I can give you. However, day trading is unlikely to make you rich. Only a few succeed.
Day trading is popular:
Articles about day trading get about twice as many hits as other articles on this website.
What’s so appealing with day trading? Is it that most people think it’s easy money? It’s not, rather the opposite.
Is it the adrenaline rush? It shouldn’t. The more “boring and dull” you make day trading, the better you should perform. Boring is good in day trading.
Is it the dream of not working for the man and be completely independent? For a lot of people, day trading can be very isolating.
Is it the dream of being “left to your own devices”? Left on your own you suddenly have to take full responsibility for your actions. For many, this is very hard.
Statistics indicate most day traders lose money, and for those profitable, it took years to become consistently profitable. But if you have the right mindset, you can improve dramatically.
Before you start – day trading is hard:
If you are a swing trader or long-term investor you have an overnight tailwind to boost your returns. If you look at the total returns in the S&P 500 over the last 30 years, you’ll see that all the gains have come from owning stocks from the close until the next day’s open:
The gain intraday from the open to the close is zero! You are thus saying no to an overnight tailwind!
Can you really make money day trading? How did I make money day trading?
Yes, there are a lot of positives with day trading, but as with other endeavors, it requires hard work and discipline. And let’s face it: most day traders lose money, and very few make it worthwhile considering time, effort, and risk. Please read why day traders fail.
There are many investors and gurus warning against day trading. In the media, day trading is often described as a casino. For some it probably is, but for the rational and agnostic quantified trader, day trading can reap good returns.
I think the naysayers completely miss the poin