Day Trading Secrets Revealed

veluri1967

Well-Known Member
#1
There are so many secrets (if you call them so) to day trading, its hard to keep track of them all.

Secret 1 What You Do When the Market is Closed Matters Most

Sure, its great to be able to interpret data at lightning speeds, spot valid trades within seconds, and execute them flawlessly, but without proper preparation, you will never find those opportunities. Proper preparation includes spending up to an hour before the market opens sifting through market scanners, reading news feeds, and watching pre-market trading. It also includes some time after the market closes evaluating your trading for the day and keeping an eye on the after-market action. Without this you will fail.

Secret 2 Less is More

Youre not going to believe this one until you try it all for yourself, but the less help you use, the more money you will make. It is about the monitors, and the indicators, and the distractions like chat rooms where you think youre getting some super trading tips. You will eventually find that you can trade using just one monitor, maybe even a laptop from the patio. You will eventually realize that all indicators are just interpreting the same basic information and youll find the ones that work best for your trading style. And you will eventually realize that your trading style is unlike anyone elses and trying to follow chat room traders is a futile effort.

Secret 3 The Price action is Your Best Friend.

Some people are good enough that they can trade using the price action (or time/sales) window alone. Many are not that good at it. It gives you every trade in real time, and every indicator is merely a step or two away from this direct line of information. Even trusty charts arent so clear as the picture painted by the price action. Consider price action and a stock chart and its time/sales and you are a happy trader.

And now for the

Ultimate Day Trading Secret There are no Day Trading Secrets.

Its not like day traders sit around and come up with day trading secrets that will make them millions. All the information to become a successful day trader is readily available. The problem is that most people simply want some easy system to make a lot of money, so I guess the big secret of day trading is that this actually takes a lot of work. That is why more people fail; because most people are lazy. The only people who try to pursuade you that day trading is easy are marketers trying to sell you some new propriatary trading system, indicator, trading robot, or eBook. These are also the same people who want you to believe that there is a such thing as day trading secrets. They are praying on the typical lazy humans who simply want to make a quick buck. The ironic thing, though, is that the only people making a buck are the people selling day trading secrets while those who are searching for them are simply wasting money.

Message is very clear and loud. Just donot waste your money in search of Holy Grails, tips, system. Work hard and become a successful day trader.
 
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veluri1967

Well-Known Member
#2
Day Trading Secrets (Continued)

SECRET NO.5 - Using correct lot sizes

Brokers advertising would have you think that its feasible to open an account with Rs.1000 and use 20:1 leverage to open mini lot trades of Rs.20,000 and double your money in one trade.

Nothing could be further from the truth.

There is no magic formula that will be exact when it comes to figuring out your lot size, but in the beginning, smaller is better.

Each trader will have their own tolerance level for risk.

The best rule of thumb is to be as conservative as you can. Not everyone has Rs.50,000 to open an account with, but it is important to understand the risk of using larger lots with a small account balance. Keeping a smaller lot size will allow you to stay flexible and manage your trades with logic rather than emotions.

==========================================================

Jhalak

Have you ever tried multiple lot entries in trading?

If not give it a try. You will be pleased to watch the results.

Lot means any thing from 1 lot of futures/options to 10 shares or 1000 shares, but it is unit of alike.

Enter into trade with some lots (which is comfortable to you) and exist atleast 50%-80% of the position (higher the better) at the slightest profit and keep remaining position to ride the trend if unfolded a major trend in the direction of trade after a brief retracement.
 
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veluri1967

Well-Known Member
#3
SECRET NO.6 - UNDERSTAND THE WEIGHTAGE OF RISK IN RISK REWARD RATIO.

Risk can cause anxiety for traders.

•Determine Risk first. This is most important. Am I ready to risk?
Always know the amount of your exposure.

•Use stop loss orders. Donot wait. We will study at EOD if a wider stop loss could have resulted in profitable trade. But for now, donot wait.

• Decide carefully whether to use any margin at all. Its the main killer. Why do play with a killer. Donot touch it at all.

• If the market is not behaving as anticipated and you are not clear of market behaviour, first thing to do is avoid using margin and reduce your exposure to the barest minimum.

Trading on the margin can be both risky and profitable. But our concern is risk.
 

veluri1967

Well-Known Member
#4
Secrets are no more secrets.

If you think contrary to revealed secrets, just try the following free demo a/c.
It is free from any promos. Y just need to register with email a/c.

w w w. t r a d i n g s i m. c o m (Remove spaces)


The a/c is funded with $50,000 with 4 times leverage.
Follow whatever strategy you like, double your a/c ie $1,00,000/-
You have to make it within a maximum of 200 trades.

If you make it without following revealed secrets, I think I will have to learn a lot from you.

Ultimate Secret - Donot hide your loosing trades.

Keep it open to all. It helps others besides yourself.

 

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