Short Term Trading » Stock Day Trading

Forex Trading Robot

admin — Mon, 13 Dec 2010 03:14:15 +0000

day trading stock buying power?

admin — Thu, 08 Apr 2010 22:42:27 +0000

I currently have $4,000 in a discount brokerage account. This allows me to buy up to $12,000 worth of stocks by using margin. Since I was off work this past week I decided to buy a couple stocks and not hold them more than a day or two. The brokerage firm said I am now considered a patterned day trader and will restrict letting me buy stocks. They say I need $30,000 to be a daytrader. What is the difference if I make a lot of stock trades or not? Does anyone understand this daytrading rule and why I get to be considered a patterned daytrader just because I made about 3 stock trades a day?

You have been labeled a pattern day trader because you have made 4 "round trip" trades within a 5-day period. The pattern daytrader rule is not your firms rule-it is a rule that all investors must abide by, according to FINRA and the SEC. It is the SEC’s designation, and not up to your firm to decide. The only difference here seems to be that while the normal minimum equity for this type of activity is $25,000, your firm is requiring an additional $5,000, which they can do, since this is more strict than the federal requirement.

It is a risk control measure, in part because of the higher amount of buying power that you are receiving-whle you may be very careful with your loss control, and you may make money making day trades, most people do not, especially accounts with lower balances. Inexperienced traders, big and small, tend to hold on to their losers longer, and cash out of their profits too quickly. This activity tends to create an overall drawdown in most active trading accounts. The SEC places this rule in place so that smaller accounts do not end up with negative balances-to ensure that traders have enough equity to cover any losses that have been incurred.

If it is your first time, you should be eligible for a one-time exception. Call them and explain that you were not aware of the rule. It happens all the time. They probably don’t want to lose you as a client over this, but they have to follow the rules just like everyone else. You may have to put in a request to the margin department, so be patient and persistant. Good luck trading and remember to keep track of how many you have made, so that this doesn’t happen again until you have equity that is above the minimum.

Online Trading Day Trading and Stock Market ideas for Monday

admin — Thu, 08 Apr 2010 05:42:35 +0000

http://www.todaytrader.com. Day trading in stocks is both risky and difficult. Please consult your financial advisor before attempting to trade actively. TodayTrader is not responsible for any content that may be viewed on this channel. These videos are not meant to be recommendations in the market. Day trading equities requires a retail account balance of at least $25,000 and must remain at or above this level to trade stocks actively. This website is not a solicitation to buy or sell securities, options, or futures. The purpose of this content is educational only.

Duration : 0:16:21

Technorati Tags: day, forex, futures, help, learn, market, online, stock, trading, watch

I am receiving Unemployment Insurance Benfit and I am about to open an Day Trading Stock Account. Am I still?

admin — Wed, 07 Apr 2010 19:41:36 +0000

I am currently receiving Unemployment Insurance Benefit and I am about to open an "Day Trading Stock Account"…that I buy and Sell stock several times per day. For some reason, I am expecting to earn some $$$ regulary…per month.

Does it consider as an "Other Income"????
Some people say it’s not because it’s an investment.

However, what i going to do is not a long term investment and there will be lot of buy, sell transactions per day. – I will be expecting some thousands of dollars per month.

Am I still eligible to receive unemployment benefits????

I am in California and……to open an stock trading account, i will submit my Social Security # and all the information.

Please advice. thank you.

Your gains will be capital gains, filed on Schedule D. You should consult a tax professional. Early, not at the last minute.

If you really make "thousands of dollars per month" that will probably disqualify you for unemployment benefits. Keep the unemployment office informed of your income. That way you will avoid an unpleasant surprise later.

As a day trader you will need a margin account and $25,000.00 minimum balance. SEC rules! While you are on unemployment some (maybe all) of the mainline brokers will balk at giving you a margin account.

Before jumping into this, you should realize that most day traders do not make money. The thousands of dollars per month you hope to make, is more likely to be a loss.

I have zero experience with the stock market, is day trading a bad idea?

admin — Tue, 06 Apr 2010 16:42:51 +0000

I basically suck at my jobs, and i HATE working for the man. My life long dream, or day dream has been to make lots of money with stocks.

I am in a situation where I have disposable income, and was wondering if playing the market is a good or horrible idea.

Please dont advertise to me, just let me know from experience or stories of people who have day traded…

I’ve been trading for 2 decades and the markets are a lot more complex now than they were just even 3 years ago. I would not advise trading if you don’t have full time attention, the right technology, understand the basics of fundamental and technical analysis, a basic education in market history, market psychology, a ton of experience with depth of understanding on how markets really work, and the capital to play in this big game.

I would start by reading this excellent book.
"Manias, Panics, and Crashes: A History of Financial Crises"

http://www.amazon.com/Manias-Panics-Crashes-Financial-Investment/dp/0471389455

Day Trading UNG ETF and Stock Market Help for July 30

admin — Tue, 06 Apr 2010 02:35:33 +0000

Duration : 0:12:17

Technorati Tags: day, daytrading, futures, help, live, market, nasdaq, nyse, online, Short, stock, term, trading

Questiion about stock day trading?

admin — Mon, 05 Apr 2010 16:42:50 +0000

I started to do Stock Day Trading and Iam doing well, I mainly use my guessing and my common sense.
However, just recently started to follow stock alerts from financial advisors
But people are keep telling me you should stop doing this it is very risky!!
I still don’t see the big risk!What are the risks involved? do yo recommend for me to keep doing it? If yes what precautions I have to follow.
If not, what alternative investing you think about?
Long and detailed and logical advise are most welcome.

thanks

Mostly swing trade myself…but was a big fan of Investors Underground …which has a day-traders chat room….. loaded with some fairly astute traders. Blogs and seminars are still free but there may be a charge for the chat room now….. but even if you just try it for a while, there’s plenty of potential for learning there .!!

I am looking for a stock trading software which will scan the best day trading stock.?

admin — Sun, 04 Apr 2010 18:41:43 +0000

u can try this in the demo account .
and u can trade oil ,gold, NASDAQ 100, DJ 30 , and many more .Forex trading .

http://www.avafx.com/?tag=7777

Day Trading Stocks and ETF’s in NYSE and NASDAQ Aug 27

admin — Sun, 04 Apr 2010 00:33:03 +0000

Duration : 0:13:36

Technorati Tags: day, daytrading, futures, help, live, market, nasdaq, nyse, online, Short, stock, term, trading

The Pitfalls Of Day Trading Stock Online

admin — Sat, 03 Apr 2010 22:36:31 +0000

An intelligent trader once said, `The only difference between gambling at a cassino and day trading stock online is that you have to serve yourself drinks when sitting at your home computer.`

Sure… some day traders have made some decent money through day trading stock online. But these are the exception, not the rule. Most day traders lose in the long run and that `long run` aint too long at times!

You see, the trouble is… most day traders are seeking a `quick fix`. Their persona isn`t suited to mid term or long term trading. They quite likely have lost money in the past, either through gambling of some sort, or through losing patience with longer term trading strategies that turned sour. They most likely don`t have a large capital base, especially if they`ve been wiped out a few times in the past. And so the concept of… day trading stock online is incredibly appealing.

Unfortunately, far too many traders who`ve either made the switch to day trading – or who are brand spanking new to it and thereby lack basic risk management skills, embark on a journey they`ll never forget… for the wrong reasons!

For one thing, seduced by the apparent simplicity of it all, many traders approach the whole thing of day trading stock online without really knowing what they`re doing. Secondly, they have little or no concept of the underlying risks involved. Thirdly, as I`ve already alluded to, they often find themselves `horribly undercapitalized`. Fourthly, and most definitely a deal-killer…

They play with borrowed funds!

Not a good move… and a breach of fundamental trading basics to boot!

So, is it even possible to make a living from day trading stock online?

Yes it is. But the odds are stacked against you from day one. You absolutely positively HAVE TO HAVE A PLAN… or you`ll lose… simple as that.

For starters… you have to know your entry and exit points BEFORE entering the market. It`s no good waiting until the market has moved so far against you that you`re too frightened to take the loss! When you participate in day trading stock online you have to leave your emotions at the door and follow your plan like your life depends on it (which some might argue `it does`).

Suppose you buy 1,000 shares of abc-xyz at $1 per share – on a day trading basis… and you notice that the stock rises 30 cents a share before lunch. The left-side of your brain coolly advises you to `get out and pocket a massive $300 profit`. Hells bells… 30% in a morning is a good earn!

However, you also have this other side of your brain which has no basis in logic. It is commonly referred to as the `emotional side` or right-side of your brain. It also has a deeply embedded relationship with every gambler`s nemisis… `Greed`. Accordingly, you decide in your professional lack of wisdom to… `Just hold on in there a little longer… it`s bound to go higher`.

You go out and make some lunch, have a coffee… and smile…in the knowledge that you`re a day trading wizard who is on the brink of making a fortune. And it`s all so damn easy!

1.45pm…

The stock has reached intraday highs of $1.37… `Maybe it`ll hit $1.50 by closing bell?`

2.52pm…

News comes out that the company`s patent is invalid… the stock plunges to $0.60 in three minutes…

For you, the dream has not only been shattered, but the sky has just fallen in… and your $1,000 investment has reversed a $337 profit into a $400 loss… and it`s still falling.

You find yourself hurled into a maelstrom of helplessness, fear and chaos…but with no plan in place, you simply hang on in there.

3.30 pm…

Trading in the stock is suspended. The last trade went through at $0.42. You are so stunned you can`t even shed a tear. Your day trading career lasted precisely 6 hours, 22 minutes and 8 seconds…

`Welcome to the frenetic world of… day trading stock online`.

For some of you, this article may very well bring back some rather painful memories. For others, let it be a warning…

If day trading stock online is something that you are serious about and want to succeed in, then at least show you`ve got the intelligence, emotional control and discipline to survive the bad hits as well as bagging the big profits!

There are over 10,000,000 web pages in Google dealing with courses and coaching on the subject of day trading stock online. So, before you risk another cent… do yourself (and your bank account) a favour… and start researching the mentoring options out there… until you find one that suits.

Jimmy Cox
http://www.articlesbase.com/non-fiction-articles/the-pitfalls-of-day-trading-stock-online-51721.html