Day Trading

Day trading is the buying and selling of a financial instrument, (such as currencies, commodities, shares), within a single trading day.This is done with the intention of making a short-term profit from the fluctuation of that particular instrument. Day trading is most popular in the foreign exchange market (forex), and to a lesser extent with stocks and shares. The reason why forex trading lends itself so well to day trading is due to its 24 hours a day, 5 days a week trading time.Additionally, forex’s high liquidity and for retail traders, the low financial deposits required by brokers is a draw.Consequently, in recent years there has been a growing online community in applying day trading methods, using technical analysis with regards to intraday swing trading. Trendlines, candlestick patterns and technical indicators are especially popular. Is Day Trading Right for You?Market conditions determine when and how a trader should utilize which strategy or strategies. Entry and exit points are critical in this form of trading, due to the relative high cost when paying broker spreads and commissions. A day trader needs to be able to earn enough from one’s trade after the aforementioned costs, which can be especially difficult for very short-term day traders, known as scalpers.These traders generally only stay in the market for a few seconds to a few minutes. The key advantage to day trading compared to longer term trading boils down to the simple fact.When day trading, traders are generally aware of the major news announcements, and can react to anything strange happening in the market.By extension, a longer-term investor could for example, wake up the next day to find an important politician has said or done something unexpected.
Day trading is the buying and selling of a financial instrument, (such as currencies, commodities, shares), within a single trading day.This is done with the intention of making a short-term profit from the fluctuation of that particular instrument. Day trading is most popular in the foreign exchange market (forex), and to a lesser extent with stocks and shares. The reason why forex trading lends itself so well to day trading is due to its 24 hours a day, 5 days a week trading time.Additionally, forex’s high liquidity and for retail traders, the low financial deposits required by brokers is a draw.Consequently, in recent years there has been a growing online community in applying day trading methods, using technical analysis with regards to intraday swing trading. Trendlines, candlestick patterns and technical indicators are especially popular. Is Day Trading Right for You?Market conditions determine when and how a trader should utilize which strategy or strategies. Entry and exit points are critical in this form of trading, due to the relative high cost when paying broker spreads and commissions. A day trader needs to be able to earn enough from one’s trade after the aforementioned costs, which can be especially difficult for very short-term day traders, known as scalpers.These traders generally only stay in the market for a few seconds to a few minutes. The key advantage to day trading compared to longer term trading boils down to the simple fact.When day trading, traders are generally aware of the major news announcements, and can react to anything strange happening in the market.By extension, a longer-term investor could for example, wake up the next day to find an important politician has said or done something unexpected.

Day trading is the buying and selling of a financial instrument, (such as currencies, commodities, shares), within a single trading day.

This is done with the intention of making a short-term profit from the fluctuation of that particular instrument.

Day trading is most popular in the foreign exchange market (forex), and to a lesser extent with stocks and shares.

The reason why forex trading lends itself so well to day trading is due to its 24 hours a day, 5 days a week trading time.

Additionally, forex’s high liquidity and for retail traders, the low financial deposits required by brokers is a draw.

Consequently, in recent years there has been a growing online community in applying day trading methods, using technical analysis with regards to intraday swing trading.

Trendlines, candlestick patterns and technical indicators are especially popular.

Is Day Trading Right for You?

Market conditions determine when and how a trader should utilize which strategy or strategies.

Entry and exit points are critical in this form of trading, due to the relative high cost when paying broker spreads and commissions.

A day trader needs to be able to earn enough from one’s trade after the aforementioned costs, which can be especially difficult for very short-term day traders, known as scalpers.

These traders generally only stay in the market for a few seconds to a few minutes.

The key advantage to day trading compared to longer term trading boils down to the simple fact.

When day trading, traders are generally aware of the major news announcements, and can react to anything strange happening in the market.

By extension, a longer-term investor could for example, wake up the next day to find an important politician has said or done something unexpected.

Education

Bridging the gender gap: Encouraging more women to enter the retail trading world

Bridging the gender gap: Encouraging more women to enter the retail trading world

  • Can the untapped potential of women in the retail trading world be unleashed?
Itai Levitan
Saturday, 08/04/2023 | 19:56 GMT-0
08/04/2023 | 19:56 GMT-0
Technical Analysis

USDCHF struggles near key retracement level amid ongoing battle between buyers and sellers

USDCHF struggles near key retracement level amid ongoing battle between buyers and sellers

  • Sellers still more in control in the USDCHF
Greg Michalowski
Thursday, 06/04/2023 | 14:46 GMT-0
06/04/2023 | 14:46 GMT-0
Education

Meet Jack the day trader

Meet Jack the day trader

  • What was your biggest mistake as a trader (or investor)?
Itai Levitan
Tuesday, 24/01/2023 | 18:28 GMT-0
24/01/2023 | 18:28 GMT-0
Education

Futures trading 101: Where do I even start?

Futures trading 101: Where do I even start?

  • Futures trading is the biggest game for experienced traders but where do I even start?
Itai Levitan
Saturday, 07/01/2023 | 20:24 GMT-0
07/01/2023 | 20:24 GMT-0
News

US stocks open sharply lower after higher than expected CPI

US stocks open sharply lower after higher than expected CPI

  • NASDAQ index leading the way to the downside
Greg Michalowski
Tuesday, 13/09/2022 | 13:37 GMT-0
13/09/2022 | 13:37 GMT-0
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