Day trading has always been acknowledged by many as being as risky as gambling. Is this a bad rap, or is it really true? You cannot deny that trading and gambling involve great monetary rewards. Gambling has from the beginning of time been based on pure chance. Day trading to be successful on the other hand, has always involved skill and a good amount of knowledge to go along with a certain amount of luck. More and more day traders have been seeking day trading tutorials lately so that more skill and knowledge can be gained to increase their chances of success.
Traders are quite aware that they cannot rely on fate to decide their chances of winning at day trading. A good comparison to day trading would be a game of cards, not a game of roulette, slots, or other forms of gambling that are pure games of chance. Good luck has its place in bridge and poker. It comes into play in the cards one is dealt, something a player has no control over. However, the victor of the game is always decided by how the cards are played, not what is dealt. That is where knowledge and skill come into play.
The following are thirteen things you should know about day trading. These pointers should give you a good background, and supply you with important information about day trading and the importance of day trading tutorials before you make your first or next trade.
1) Learning to be a day trader means knowing the ins and out of the activity and what exactly is day trading.
Day trading involves the buying and selling of securities, or financial instruments such as stocks, their options, future contracts, foreign currencies, all within the same day they are bought. One is looking to take advantage of high market volatility or activity. The goal obviously is to profit from such activity. The actual doing it can seem strange and confusing to the uninformed and novice trader. Once one gets experienced, all the pieces of the puzzle fall into place.
2) Once the initial trade is filled and in the account, day traders will hold that position looking for an opportune time during the day to cash out of the position and realize an acceptable profit for their trouble. This opportune time may come in only seconds, minutes, or perhaps in hours.
Day traders never look to hold their positions for the long term. Their goal is to get out as soon as possible based on how they are doing with the position. Their ally is wild fluctuations during the day or strong developing trends in their holdings so that they can seek out potential profits in multiple short term positions or investments. Day traders will close out these positions during the day regardless of the positions profitability. This means, even at a loss, if necessary, they will go to a blank balance sheet at the end of the day. They can then look forward to a night of not having to worry about what will happen overnight to their positions when the markets open in the morning.
I realize it is way too early to see the importance of day trading tutorials, but you will if you keep reading this series of articles.
To be successful in day trading, you need to use a tutorial guide to keep you on course Click here to discover more about day trading. Go to http://daytradingtutorialswork.blogspot.com
Article Source: http://EzineArticles.com/?expert=Mark_Barkow
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