Day trading to make money


You could be married for 10 years and the next thing you know you are divorced and you would not have predicted that. You could be healthy all your life and drink your vegetables and exercise and reduce stress, and a year later you could be dead from cancer.

You can always seek to increase the odds in your favor. But certainly a path to unhappiness is thinking the future can be predicted and controlled. A hundred percent of opportunities in life are created because people are uncertain about almost everything in their lives.

We are constantly trying to close the enormous gap between the things we are certain about and the things we are uncertain about, and almost every invention, product, Internet service, book, whatever has been created to help us close that gap. Sometimes this is hard. If your husband betrays and leaves you, you often feel like crawling on the floor and burning all the self-help books. You can say it something inside of yourself. Some people take too many risks and they go bankrupt.

This happened to me. But then I would take big losses and that would wipe out all my profits. The key is that you can take larger and larger risks if you work on better and better ways to deal with those risks. For instance, I might be able to risk marrying someone if I know she is not a hard-core drug addict who regularly betrays the people she is close to.

I can risk driving without a license if I always stay below the speed limit I know this is a stupid risk, but still. How can I get that job? When I was raising money to day trade, I probably contacted over 1, people. When I was starting an Internet business I started over a dozen Internet businesses and watched all of them fail but one. When I was trying to sell my Internet business I contacted over a dozen companies although Google broke my heart — damn you Google!

When I wanted to get married, I went on lots of dates. She would only go to tea with guys. Within the first 20 seconds you know if you are attracted. So keep it to a tea. But this is just a mental bias. Say no to it. Day trading pulls everything out of you.

It sucks the soul out of your body, blends it up, and then explodes. So you have to take care of yourself. And obviously, this applies to everything else in life. Every day, what small thing can you do to become a slightly better you? The only way to survive is to laugh. Guy makes a trade. The market goes against him. And then he loses all his money and goes crazy. The market is never crazy. The world is never crazy.

And I will go so far as to say that your girlfriend who just lied to you about where she spent the night is not crazy. I only care about you. Good and bad days happen. But life is about a billion little moments that add up to all the things around you. If you let one of those moments have too much control then you are bound to be mostly miserable. I was mostly miserable during the period I was day trading. I let that aspect of my life take control.

So I stopped focusing on being a good husband, a good father, a good friend, a good anything. Therefore, you will want to use the flat fee commission approach to reduce your trading costs. As your account value increases, the commissions paid as a percentage of your profits will decrease.

Lastly, most brokerage firms will offer lower commissions to clients depending on their account value. This sort of unique offering begins at k, so you would easily qualify. Imagine how that will make you feel as you approach each trading day. Think about the raw emotions that will pierce through your body as you drop your kids off at school.

Remember you are trading to be an above average or at the very top relative to all day traders in the world. For argument's sake, let's assume you are spending 50 hours a week trading and researching your strategy and only take off two weeks per year. This means you will work 50 hrs a week for 50 weeks for a total of 2, hours.

Now let's say you are super smart clearly because you want to take on day trading as a profession and only need 5, hours to master trading. At a minimum, we are still talking about two full years of practice to hone your skills. What do you think your odds of success are if you only have 80k in an account for you to survive this two to three year learning period?

Most of it has very little to do with the type of profession we have chosen or how good we are at this game. For you deciding to trade may mean a pay cut. However, you will be doing what you love which will make you a much happier person to be around for your family and friends. No one can put a price tag on happiness. Just so we are clear, below are the hard salary numbers. At this point, you are likely thinking all you need is a large sum of money, and all of your problems are solved.

If this last sentence describes how you are feeling, you are still going through the "Dreamer" phase of trading. This is where we all sit back and calculate all of the compound interest coming our way. We say things like, "If I only make 1 percent a day I will have over 10 million dollars in my account in 3 years!

Before you go and liquidate your k and life savings, first ask yourself the question can you make money with little money? As a trader, especially a new trader, your level of optimism of how much money you can make will borderline on insanity in the beginning.

Again, going back to our "Dreamer" example. But, one fo the first things I tell new traders is before you do anything, make sure you can turn a profit. If you can not make money trading 5k dollars, you will not make money trading k dollars.

The last thing you will worry about is your day trading salary. Your mind will be focused on things like how to not waste an entire life's savings in the stock market. If anyone says to you, "Well you need to spend money to make money," please tell them to keep their opinions to themselves. The stock market is the one place that if you are careless with your money, it will leave you faster than any other investment vehicle known to man.

There are a ton of options out there, and if you want to learn more about how to do this, please read the blog post - " How to Day Trade with Little Money and Keep Your Day Job ".

Now that we have listed all of the stats and have talked through all the possible ways to make great money day trading let's ask ourselves a really important question. I'm willing to bet that few, if any of you reading this article are contemplating working for a large bank or trading firm.

My gut tells me that you have landed on this article because you are thinking about venturing into the world of retail day trading. Imagine you are responsible for someone or something. Really think about that, do not just skim over this point. This could mean someone's college education, helping with medical bills, or just buying them food.

Now imagine that you are relying on what is completely unpredictable, the stock market, to provide support for the people that matter to you the most. How does this make you feel? Now, I am not trying to scare you by any means. I genuinely want you to walk through this exercise with me. Now imagine that you cannot meet these demands for a month. Then a month becomes six months. Well, six months becomes five years.

Are you willing to endure the constant questioning from the people that have every God given right to question you? Will you be able to withstand the mental laps you will put yourself through as you go on this journey? These are the questions that I ask myself constantly, and I believe it's ok to ask yourself these questions because it keeps the pencil sharp. Treat trading the same way you would any other career that requires hard work, smarts, passion and a bit of luck.

For some reason, day trading is looked at as the lottery of life. For me, learning to day trade has arguably been one fo the most challenging endeavors of my life. It still baffles me that everyone wants to know about all the money to be made, but are unwilling to put in the thousands of hours of trade review and practice to get better. If you heard someone joined a law firm, would you expect them to make a senior partner's salary in a year? As I have stated in other articles, just learn to make enough money to cover small bills first.

This could be your cable bill or gas bill. Don't worry about the person making k a year from their boat house off the Florida Keys.

Do not include time in this path to profitability. Just make it about you progressing in the right direction on a quarterly basis. If you focus on the process of making money the right way, you will be able to scale up to the targets discussed earlier in this article. When I say the "right way," I mean no major blow ups with your account, reasonable risk taking and an equity line that keeps trending up and to the right.

Instead of focusing on how much you can make per year trading, you need to think of how much you are willing to lose. I know that is a bit ironic since this entire article is based on making money.

The thing is learning to trade takes time, and tuition is not free. There are few studies that speak to the profitability of retail traders. The study looked a total of 14, customers. This small group of investors made So, one thing I wished I had done was set a not to exceed level in terms of money I was willing to lose when I first started out trading.

I have to give the full picture of trading - good and the bad, to paint the reality of what it will take. There are so many gurus spewing the latest trading system that I get worked up when I'm blogging, because learning how to trade is hard.

Just to go back to the study I cited earlier from France, the study did not track performance relative to a person's trading experience. To say this a little simpler, let's imagine we grab random people to see if they can hit a 95 mile per hour fastball. So, the same rule applies to trading. If 89 out of have never traded in their lives and then fund a forex account, what do you think will happen? The real question is how long and how many trades does it take before a trader begins to turn a profit?

Therefore, do not get caught up in these percentages, other than to know you will need to work hard for what you want. Don't worry about the salary or the money. Just focus on being the best trader you can be and do whatever you can to avoid losing your shirt.

If you follow these simple rules, at some point your equity curve will begin to take off and your dream will surely become a reality.

But like J Park, are you willing to put in the hard work for two years before seeing any results or will you take the easy way out like those poor souls trading the Forex in France? The choice is yours, but if you are asking me, you need to feel a little pain to truly value the sweet. How much money you can make in the market comes down to two simple things: Please remember that you need to first put your focus on turning a consistent profit and not on your earning potential.

I hope you have found this article helpful as you continue along your path of becoming a professional day trader. To learn more about how we can help your trading performance, please take a look at the latest offerings on our homepage. Free Trial Log In. Day Trading Salary — How much money can you really make? Next Lesson in this Course: Day Trading Salary - How much money can you really make? How much money can you make day trading futures?

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