With the advances in electronic technology, especially with the explosion of the internet, there has never been a better time to look at day trading as a full time business.
Just a few years back, the only way to really have a chance for success in day trading was to work on the floor of one of the major exchanges. It was not long ago that the commission to make a trade in a futures account was or more for a round turn.
In addition, placing a trade required calling a broker who then had to call the floor and have the floor broker execute the trade. You hadn’t a clue where your order was filled for some time. This was a killer.
Trading to make 4,5, or up to 10 ticks was virtually impossible because of the huge transaction costs and not knowing where you were as far as your completed transaction. This was a time when the term “slippage” was the buzzword in the trading industry.
Trading on the floor required either owning or renting a seat on the given exchange. 0,000 is not an uncommon price to pay for a seat! Rent was ,000 or more!
Despite the expense,floor traders were able to make money, because of the very low transaction costs, and the huge edge they had.
Not the case today. Day trading the S&P 500, the S&P 500 Emini, and even individual stocks can all be done electronically today. Commisions are only around a round turn, very little slippage, and it is nearly impossible for floor traders to manipulate your orders. The playing feild is now level.
These changes have made it possible for the average intelligent person to succeed at online day trading.
Inspite of this, there is one very important obstacle which must be overcome. You must know what you are doing! Professional training is a must.
There is some very useful information about becoming a day trader on sites like http://www.become-day-trader.com/ .
The very best way to learn is to train under the wing of a professional day trader. The difficulty in this is finding someone willing to train you.
If you do your research, you can find professional training. The internet is filled with vendors selling trading systems. Be very careful when reading the hype. Type “day trading” in Google and see what you find.
You have to approach this the same way you would looking for a franchise, business opportunity, or even choosing a University for your education. Ask questions, ask to see track records, and ask for references. This is the most important step on your path to success.It is important that you do not shortcut!
The 7 hyped trading systems are what cause most people to fail.
The common knowledge is that 95% of day traders fail. They fail because they go out and purchase one of these sytems, buy some book about day trading and then think they have the knowl how to succeed.
Once you learn a sound trading approach and develop your trading, or business plan, you can earn outstanding income.
It is common for day traders to earn in excess of 0,000 per year and in many cases,much more.
There are not many businesses that allow you to be in complete control of your success.
You will have no employees, advertising or martketing expense, rent, sales requirements, or service obligations. When you are a professional day trader you are the business!
If you get professionally trained, online day trading in an excellent way to make a living