Connect with us
Finance Digest is a leading online platform for finance and business news, providing insights on banking, finance, technology, investing,trading, insurance, fintech, and more. The platform covers a diverse range of topics, including banking, insurance, investment, wealth management, fintech, and regulatory issues. The website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.


Day Trading Made Easy: 5 Winning Tips To Get You Going

Day trading is one of the most lucrative job roles in the stock market world. However, only a handful of people have been able to taste success. Ever wondered why? For starters, day trading is a risky proposition and perhaps one of the most uncertain too. Plus, it demands you stay at the top of everything- market volatility, behavioral finance, focus, discipline, and whatnot. People might as well settle for a far easier and safer role than being a day trader, right?

When it comes to active trading, both day and swing trading are opposite sides of the same coin. Gaining the highest profit from short-term stocks is the common objective for both camps. But there’s more to it, and that’s why understanding options swing trading is important. While day traders trade multiple stocks in 24 hours, swing traders would deal with a similar number of stocks for over weeks.

If you aspire to be a day trader, here are five expert tips for instant success. 

Always Stay Updated 

Day trading procedures keep changing now and then. Hence, to be a functional day trader, you must keep yourself updated with the latest happenings around the stock market. From knowing the interest rate plans of the Federal Reserve System to indicator announcements, you have got to keep yourself engaged. 

Here are a few thighs that you must include in your daily routine:

  • Start by making a wish list of stocks you plan on trading. 
  • Keep yourself updated about the companies and the latest happenings that may affect the stock prices you’re eyeing for. 
  • Always browse business news from reliable sources and stay sharp when the stock market opens every day.

Starting Out Small 

As an aspiring day trader, you should always focus on a maximum of one to two stocks a session. This will make it easy to track and find the best opportunities. Trading fractional shares is increasingly becoming common, which allows an investor to specify dollars in the smallest possible amount. Imagine Amazon shares trading at $4000. These days, brokers will allow the purchase of a fraction of the share for as low as $20, which isn’t even a percent of the stock. 

Stay Away from Penny Stocks

It’s only natural to hunt for low prices and exclusive deals as day traders. However, penny stocks are never a good idea as they are primarily illiquid assets taking you nowhere. Several penny stocks trading well under $3 per share were reportedly delisted across major stock exchanges. So, if you think there isn’t a real opportunity, don’t linger. 

Keep It Real About Profits 

Stocks are full of uncertainty. You win some, you lose some. As an aspiring day trader, don’t lose heart if your strategy isn’t working 100%. Day traders, on average, make only fifty to sixty percent profit from the trades. Instead, you should limit the financial risk to a certain percentage of your account. That way, you will always have clearly defined entry and exit points. 

Timing is Everything

If there’s one thing that separates a successful day trader from the average ones, it’s got to be timing. Typically, day traders jump to execute orders from investors when the markets open. However, such an approach makes more room for price volatility. One who is truly seasoned wits it out and starts recognizing patterns at the opening and closing hours for maximum profit. If you are just beginning, watching everything silently for the first half an hour is best. 

Generally, the mid-hours of the day are comparatively less volatile. Soon after, things shape up fast until the closing dong. Sure, rush hours are tempting, but try to hold on to your horses as a beginner. 

Wrapping Up 

Undeniably, Day trading is hard to master, but not when you are dedicated and disciplined. If you follow our expert tips, you will definitely buy yourself the best vantage point for profit.

Continue Reading

Why pay for news and opinions when you can get them for free?

       Subscribe for free now!

By submitting this form, you are consenting to receive marketing emails from: . You can revoke your consent to receive emails at any time by using the SafeUnsubscribe® link, found at the bottom of every email. Emails are serviced by Constant Contact

Recent Posts