Is day trading a myth or is it possible?

Question

I also wanted to know if their were any legit books out there that teach what to look for when investing in stock I dont want a book that promises alot of ridiculous things.

Answer 1

Day trading simply means that you have no positions (short/long) in any security at the end of the day--you have only cash at the end of the day.

Can you make money day trading? yes, but it's high risk.
Good luck.

Answer 2

If you really wanted to know about Day Trading, you would look at your local library and find there are literally hundreds to choose from. I don't think you're very serious, more of a whim, so you won't get any in-depth answers until you do some of the work.

Here's a few beginner's books:

"Which Is Better, Buy-and-Hold or Market Timing?"

"Do You Have What It Takes to Be a Market Timer

The Beginner's Bible in Technical Analysis is:
Edwards & McGee"Tech. Anal. Of Stock Trends"

Droke, ClifTechnical Analysis Simplified

Kahn, Michael N.Tech. Anal. Plain & Simple

Kamich, Bruce M.How Technical Analysis Works

Lefevre, EdwinReminiscences of a Stock Operator

Lofton, ToddGetting Started in Futures

Lowenstein, RogerBuffet (Warren)-The Making of a Capitalist

O'Neil, William J.How to Make Money in Stocks

Oz, TonyHow to Make Money From Wall Street

Rotella, Robert P.Elements of Successful Trading, The

Schwager, JackStock Market Wizards

Schwager, Jack D.New Market Wizards

Sperandeo, VictorTrader Vic-Methods of a Wall Street Master

Wasendorf, Russell All About Futures

Slutsky, Scot and Darrell JobmanComplete Guide to Electronic Futures Trading, The

The first answer here was more or less on point, but the only other person that answered with any knowledge of fact was the Currency trader.

The others are just full of dooky, e.g., cierestar says "A lot of people make a LOT of money in day trading." He makes it sound so easy, when in fact, 90% of the peple lose. He also says "what makes day trading work is the ability for the traders to buy and sell in HUGE quantities. Like $5000-10000 trades." Then his math is horrible in the next paragraph and he shows a general vein of ignorance on the subject.

To a successful Day Trader, $5000-$10000 is beans. Maybe cierstar means 5000-10000 shares of stock, which would be more likely. Second, a Day Trader is not looking for a 10 pt move in a day; that is simply ignorance on cirestar's part. And 1000 shares of stock do not "influence" the liquid stocks one iota. Maybe cirestan is used to trading penny stocks. A successful Day Trader is a knowledgeable trader, and knows he can only day trade where and when there is liquidity.

Another answer by "thav" starts out with "I am pretty sure..." You don't need to go any further, but he tries to equate "investing" with "Day Trading." He could not be further from the truth, and he should be "pretty sure" about something else.

"Investing" is buying something for the longer term, at least, more than one day. Neither is selling short considered "investing." A Trader goes either way, and is often in and out in a few minutes.

I trade stock index futures, and my average trades lasts less than 30 minutes. For a single contract, my commission cost is less than $10 round trip. I trade online at TerraNovaOnline, and they have several traders that trade more than 200 trades per day, and many more that trade over 100 trades every day. But that is something else, more like Super Day Trading. With the after-hours session, Day Trading simply means you will open and close a position within 24 hours, or several times.

A good place for you to go and learn about trading would be Investopedia.com

You should also try their simulator.

Enjoy

Answer 3

A lot of people make a LOT of money in day trading. What makes day trading work is the ability for the traders to buy and sell in HUGE quantities. Like $5000-$10000 trades.

What that does is bring the trading fees down to 1% or lower.

If they are able to buy 1000 shares of stock and the stock goes up $.10 and they sell, then they just made $100.00. If they buy 10000 shares of a stock (which will inlfuence the cost right off )and then sell it when it goes up at the artificially inflated $.10 a share, they'll make $1000.00.

Answer 4

Daytrading is for real. It is definitely possible to do but there is alot of risk involved. I think the hardest thing to do would be to find someone that is willing to teach you the ropes. You will definitely need, without a doubt, a mentor. You would need to know the potential pitfalls and traps that exist in daytrading by someone who has already been down that road. Just like everything else, there are a trillion people out there that claim to have THE secret to making money in the stock market. That may true for them but not for anyone else. You must be able to learn from them and with them. I like to see results before I jump into anything. It helps me feel better about the whole thing. Don't get me wrong, there are those out there making a ton of money everyday thanks to the system they have created but you still need to do your homework. Good luck.

Answer 5

You can make money day trading. You can also make money going to Las Vegas and playing poker. But most people lose money doing these things. You are not going to make money day trading after reading a few books anymore than you are going to make money playing poker in Vegas after reading a few books. There are only a few exceptional people who will make money this way.

Below is a government website about day trading. The second link is also good.

Answer 6

I am pretty sure day trading is an actual way of investing, but you need a ton of money to make a profit. but a book i will highly recommend you read is The New Market Wizards, by Jack D. Shwager the link for this book on amazon is, http://www.amazon.com/gp/product/0471132365/ref=pd_lpo_k2_dp_k2a_1_txt/103-8072940-5111057?%5Fencoding=UTF8

Answer 7

All rubish....
Waste of time....
SO no books..

Have some practical knowledge..
trade of real time online demo....
Trade Stocks...
and get experience...

If you want to learn day trading then email me


Girish
[e-mail]


Learn Free Day Trading Online,Intraday Trading Course, Learn Day Trading Free.
http://lansing.craigslist.org/fns/172121865.html

Answer 8

It's no myth. Day trading is certainly possible, but most (90%) lose money at it.
I can't help you with stock; I trade currencies.

Answer 9

its possible but damn hard to do. most everybody loses their shirt. there just enough winners to entice others to try it, nobody hears about the losers