Online share trading has enabled virtually anyone anywhere in the world to trade shares. The US stock market is still the most lucrative and the most liquid market in the world and even after a major crash in late 2008 it is still the most popular market top trade.
If you consider the fact that billions of dollars flow in and out of the major exchanges every minute of every day you can start to see just how big an opportunity it is to make money day trading. With a bit of skill, a bit of capital and a lot of determination anyone can make money trading shares online.
The challenge is not in the skill or in the technical side of trading. It’s pretty simple once you get the hang of it. More than anything day trading and swing trading is about developing the right mindset and the right attitude.
This is where you should start. You need to develop your trading mindset as much as you develop your trading skills. Reading books, attending seminars and surrounding yourself with successful traders is crucial in learning how they think and how they do things.
If you want to be successful as a day trader you need to take it very seriously and always treat it as a business. You are going to invest money in it and you need to make a return. Like any business you will have to spend money to make money and you need to treat your overall trading operation from a business perspective. It will help you to focus on profits and being diligent in your decisions.
One of the biggest mistakes that newbie day traders make is that they trade with what is commonly known as “scared money”. If you trade with your life savings and you are always afraid to lose some of it you will always make bad decisions. Accept the fact that you would never win 10 out of 10 trades. Even the best day traders in the world succeed with only 50% of their trades. You only need to be right 30% of the time to make money with online trading.
Be prepared to learn different trading strategies and be willing to try new things. Focus on mastering a strategy and then using it diligently on every trade you do. It’s all about finding something that works for you and then mastering it and milking it for all it’s worth. Some of the best traders in the world use the simplest trading strategies – and it works.
Don’t complicate things – especially if you are first starting out. Keep it simple and always trade to win. Keep and open mind and be willing to be wrong. Stick to it and online trading will be kind to you and provide you with a great lifestyle.
