to legally “day trade” you need to have $25,000 in a brokerage acct – any less and you will be limited to teh number of transactions per week you can do – SEC laws
Key points
Best stocks to Day Trading are the ones you are very familiar with. You need to study the stock: what are the normal chart patterns and what are the catalysts that could cause it to make an abnormal move. Pick some you are are already familiar with and watch them daily. Don’t rely on tips. Tips are usually given with an ulterior motive.
Shorting? Unless you are very good I would advise against shorting in a strong up market. You could easily get hurt and face a margin call.
Overnight risk has no place in intraday trading.
If you haven’t heard, there is a danger connected with keeping stocks overnight. With intraday trading, this risk may be disregarded. The primary benefit of day trading is that all positions are settled on the same day. As a result, you do not need to hold the stocks, and your money is not at risk of becoming trapped.
Even when the market is down, intraday trading can lead to profits.
Another intriguing aspect of day trading is that it allows you to benefit even while the market is sinking. This is achievable because to a technique known as “short selling.” It refers to selling a stock at a high price and then purchasing it at a lower price later.
Intraday Trading Technical Analysis for Increased Profits
If you truly want to optimise your income from the stock market, basic research is essential. It is the study or analysis of a company’s financial state and performance. It is, however, a time-consuming and difficult operation. But here’s the thing about day trading: you may choose companies based on technical analysis rather than fundamental analysis. Nothing can stop you from making a fortune from day trading if you master technical analysis.
Earn a Consistent Income from Intraday Trading
There is no doubting that intraday trading is dangerous, but the fact that the gains are large is why it is gaining popularity. With the right trading tactics, you may quickly create an additional source of income by trading for a few hours each day. You may accomplish this from the convenience of your own home or workplace. With well planned investing techniques, it might become your principal source of income over time.
