If a person cannot manage their gains and losses, know how to buy, sell quickly, reverse their opinions, reverse their beliefs and, thus, their positions in a minute, then day trading is not for them. A day trader seeks to win every day, he or she must have an insurmountable amount of market sense and has neither the time nor the desire to make predictions. They must be opportunistic and quickly be able to change their stance at a moment’s notice.
Day trading is adrenaline in high doses but this type of trading is not suitable for all. To win in the stock market, there are many strategies that could help, but only strategies adapted to certain personalities will win. Visit Facebook.com/RockwellTrading for more details.
Mistakes to steer clear of
One of the most common mistakes that affect young traders, and even the most experienced traders, is being constantly on the market. They lose their energy and lucidity and, in the end, they lose their performance. With that said, day trading is an addiction.
Trading can rapidly become an addiction, just like pathological gamblers, etc. People can easily become addicts of trading without even realizing it. Some see themselves sitting at their computer for 16 to 19 hours a day.
Some people who watch American and European futures markets will sleep a couple hours and then get up and do it all over again. Do this for a week, and people will start to collapse and spend their weekend wondering about the reopening of the markets on Monday.
Trading is like a drug
As a drug, day trading can make people dependent since it gives them very lively and contrasting emotions like fear, greed, adrenaline, and joy. “Normal” life seems quite bland to some day traders. One feels “alive” when one is properly positioned.
Many traders do not go to these extremes, but there are traders that spend more than 100 hours a week on futures. Their lives are usually so mundane that trading is a type of safety “blanket” that provides them with a feeling of living life to its fullest. If you are new to day trading, it is imperative to never become like this.