Top 10 Vital Day Trading Tips

1. Top 10 Vital Day Trading Tips Presentation by biglivetrade.com

2. Play with a plan Prime important of all tips on day trading. Never put real money on the line until you have a plan of action. This means to know what you’re buying and selling, how much you’re going to trade and when you’re going to trade it. A trader without a plan is a pig heading for an expensive slaughter.

3. Risk management and mitigation It is very important you sit down and develop a risk management strategy. This will ensure you only lose what you can afford. Without one of these, your time as a day trader could be extremely short-lived.

4. Embrace technology With hundreds and thousands of other traders out there, you need to bestow all the resources around you to stay ahead. With that being said, day trading and charting platforms offer a huge number of ways to analyse the markets. You can also backtest your strategy against historical data to fill in any cracks. Mobile apps will also ensure you have instant access to the market, almost anywhere. Combine that with a lightning fast internet connection and you can make fast, informed and accurate decisions.

5. Keep learning, keep enduring The successful trader never sits on his laurels, he’s always looking to trade smarter. Doing that means staying up to date with the news, utilising trading books, and staying tuned into emerging schools of thought. Markets evolve and you need to evolve right along with them.

6. Stay ahead with facts Make sure your strategy buy sell signal software is established, sustained and backtested with facts. We are emotional beings and after a big win today you may be feeling abnormally brave when the markets open tomorrow morning. Don’t fall for it, it is a trap! Let facts and figures guide your decision-making processes.

7. Focus on entry and exit rules religiously A perfect entry and exit’ such things dont exist. Stick only to the entry and exit parameters of your plan. If you start thinking ‘maybe I should see if this works’, think again. Maintain discipline and your bottom line will thank you for it.

8. Keep side eye on the money This may sound illogical, but is very importand. Having money at the forefront of your mind could make you do carefree things, like taking tiny profits in fear of losing what you’ve already won, or jumping straight in so you don’t miss a move. Instead, focus on sticking to your strategy and let your strategy focus on making you money.

9. Be alert and responsible Many traders lose and then blow trumpets that the market was out for them. By not taking responsibility, no one will never learn from their mistakes. Whatever happens, always point the finger at yourself in a constructive way. What did you do wrong? How can you stop it happening again? Do you need to amend your trading plan? This is a way of self assessment which will take you ahead eliminating previous mistakes.

10. Maintain a trading journal Maintaining a record of previous trades is an priceless tip. Softwares now enables you to quickly and easily store all your trade history, from entry and exit to price and volume. You can use the information to identify problems and amend your strategy, enabling you to make intelligent decisions in future. You never meet a trader who regrets keeping a trading journal.

11. Push the breaks If the strategy isn’t working and not gaining any momentum, don’t keep on throwing money at it. Go back to the drawing board and rethink. If you are unable to stick to your plan, don’t just sit in the hot seat, you’ll only start to decent on a dangerous slope, and there’s definitely no money at the end of it.