Beginner Day Trader

>>1565925
just promise me you will stop when you lose the 1000

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I plan to continue to use the practice accounts until my gains are consistent enough to begin using real money

around same situation, so bump.

>>1565925
yeah you should start by putting your entire $1000 in vxx, srty, or something of the like. you will make a great return. then the next step is up to you.

you understand you're competing against companies with millions to invest in a single stock and algorithms that multiple ivy league phds cooked up? idk what makes you think you'll have an edge in the market.

I'm not trying to make millions, nor am I trying to control the market. Just trying to make a small profit on a small investment if it can be done with a bit of learning

>>1565961
so like I said what gives you an edge? what allows you to determine which direction a stock will go next correctly 55%+ of the time?

are you good at math? are you knowledgable about investing basics? do you understand programming languages? are you paying $8 commissions so you lose 1.6% of your total starting capital entering and exiting a position?

for the absolute beginner, read this http://www.investopedia.com/articles/trading/06/daytradingretail.asp

>>1565961
btw not kidding about vxx et al. you will get a great return from that soon.

Truthfully, I'm not exceptional at any of the things you mentioned. I really know nothing about this subject, and I'm not afraid to admit it. It's something new to me, and I'm willing to learn if it is something that can be done without a university degree. If I'm losing $16 for every deal, but still coming out ahead by $10 or even $5, so be it. It's a learning experience. Even that 1% gain is rewarding enough to keep going

Anyways, thanks for the constructive advice. Heading to bed. I'll check back here tomorrow and continue the conversation if the thread still exists. Cheers

>>1565989
well If you're very intelligent and maintain that attitude/discipline you have a chance at making it. but it's a big longshot if you want this to be your primary profession.

The commissions are going to murder you because if you invest $200 in one stock, first of all you're risking 1/5 of your capital in something you're not experienced with. Secondly you're going to have to get an 8% return in a day-a few days just to break even. 8% in a few days is insane and not sustainable. if someone started with $200, made 8% every 2 days and reinvested the 8% profit to compound the returns, they'd have trillions in a year. so you see you're not going to break even with $1,000 unless you risk it all and get lucky or use 0 commission like robinhood.

robinhood has many problems and I don't like them, but these commissions are going to make it impossible for you to win daytrading.

I wish you luck and I hope you stick with it. Even if you're not cut out for it, you'll learn a lot and maybe have some fun. Check out "Mastering the Trade" it's a pretty good book for a beginner.

Thanks again

What videos do you recommend (pirating off Piratebay) learning trading?

I am >>1565953
I'm similar to op, but I think I know a bit more than him on the matter.

I can start with a bit more money too, 3k-4k, I've been paper trading and researching a lot for the past months and I am starting to form a plan and a strategy.

the tools I plan to use are TradeZero for swings, Robinhood for day trades, still deciding which tool for charting (ToS platform is a strong candidate) and if it goes well, I'll migrate to SureTrader (I know.. but it'll be temporary!) to start shorting (by the time I have around 10k) and then if all of that goes well, I'll migrate again to interactive brokers, I'm open to suggestions on good brokers though.

along the way I plan to invest in crypto, too. looks promising and fun.

if all goes terribly bad, I'll quit trading after blowing up three similarly sized accounts and move on (I'm a 26yr old engineer in a 3rd world country. I can save 800-1000 usd a month here, no masters degree for now. my savings: 2.5k. I'm good at math, of course.)

what does /biz/ think about this plan? shoot. I can take it.

>>1565961
>trying to make a small profit
Ok, if that is your goal, then it's not consistent with being a day trader. Day trading always comes with certain risk. With the market being so volatile, you most likely end up losing.

Why don't you settle for mutual funds or blue chips?

To avoid spending all your money on trading commissions trade options. Similar commission higher risk/reward.

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OP here again. What do you guys have to say about Forex?

>>1566237
who cares what /biz/ thinks? if you want to succeed go at it, analzye, reflect.
you will fail and fail and fail but eventually become a good trader and succeed more than failing.
its really 95% about work and dedication

I like that attitude

>>1566821
Drink whisky and enjoy the sure thing, kid

>>1565931
fpbp

>>1566856
wat?

>>1565925
>about $1000 I can start with

come back when you have like $50k sweetie

>>1565925
>questrade
what trade? never heard of this crap.

>$1000
dude, you have to take into account commissions from your broker. with $1000, you cannot make a profit as a beginner. think about it. most brokers will charge 10-$20 or $0.02/share for a round trip trade (buy and sell or short and cover). thats already 1% to 2% you have to make to break even.

lets be generous here for a second and say that you average 60% successful trade with a 5% gain, along with 40% failed trade with a 1% loss. now add your commissions, that becomes 3% and 3%.

how the fuck do you win? you can't, unless you figured out some sort of magical formula for a massive reward:risk ratio. i believe this would only be possible with trading OTC pump and dumps, but believe me you're not going to be able to day trade OTCs without a high quality broker, like speedtrader or centerpoint securities. those require a 25k to 50k minimum balance.

my advice: don't start until you learn some basic mathematics first. if you can't manage that, then don't even try to day trade. real day trading is not gambling, but most people gamble and say they're day trading. its a tough game.

the general approach to day trading is to first notice a pattern. not necessarily completely technical analysis, but just anything that effects the price of a stock in one way in a very specific situation.

eg., the price of a biotechnology stock went up 50% in less than 3 days from prior sideways consolidation, and a 10m+ volume on the previous day. look for a point to short sell on the next day, because you noticed on the daily 3 month chart its generally not likely in this situation for the stock to continue to rise in price without a major set back first.

put all that shit in google spreadsheets. create a strategy you can rely on 50%> of the time to profit. make sure your reward:risk is atleast 1:1. don't try to trade with lower reward than risk unless the % of success of the pattern is extremely good.

pattern recognition + statistics + research ability + a large amount of money to start with + quick reaction time = success as a day trader

any less than these = you lose a lot of money

another advice is dont use the Robinhood broker

with brokers, you get what you pay for. if its really cheap, it probably sucks. if its expensive, its probably good

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>>1567346

>>1567374
do you even know what a short sell is? you probably don't because theres no short sell with robinhood. its also slow. good luck trying to panic out of a position when the stock is crashing

>>1565925

go to youtube. watch these guys' videos. barrymohan81, daytraderrockstar, madaztrader

OP You need at least $25k to be a day trader. Your account will get limited without that equity.

Stop associating "day trade" with "easy money" #1. You wanna turn a quick buck. Do you even know what day trading is? I flip stocks over a few weeks but even that's not day trading.

#2 >>1566241 just fucking buy blue chips or a mutual fund. Don't be retarded.

If you wanna go full retard anyways go trade crypto. Plenty of fast moving "easy money" there.

Here's what you do. Find a stock that regularly jumps Monday morning, and buy in Friday evening. When it jumps on Monday, sell immediately, then stay out the rest of the week.

Repeat until rich.

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>>1567383

theres plenty of short etfs that give u exposure 2 shorts without risk of unlimited downside btw.

shorting is the best way to lose money anyways.