While greed is the downfall of many, a lack of sufficient funds is the downfall of many others. Money is a necessity in a market economy. Money is what provides you with food, clothing, shelter, and medical care. Money also gives you power and influence to protect yourself from corrupt people. So, while a hunger for too much money may corrupt you, a lack of a good income may leave you destitute. For most people, the day job provides for the minimal necessities, but comes short of providing the money necessary for a comfortable, safe lifestyle now and during retirement. This is why learning to find stock investment success is an important part of life in a market economy.
For those who want the big money now, there is day trading. This type of stock investment should not be taken lightly, as it is the definition of high-risk, high reward. You can make a lot of money in day trading whether the market is going up or down, provided you predict which direction it will go accurately. If you are wrong, you can lose everything quickly. It is not as risky as going to the casino, where the rules always favor the casino. If you are very smart and you really study the market, it is more like you are the casino. In this case you will win slightly more often than you lose. But if you put all of your eggs in one basket, you can lose it all at once and have no further chances at winning. So, day trading is not for the faint of heart, nor the foolish.
There are some common misconceptions about day trading. One of these is that you have to trade stocks daily. The truth is that it is called day trading merely because you may make several transactions on a daily, or even weekly, basis, often not holding onto a stock for very long. But, if you think something will happen over the course of a week or two, there is no reason you have to do something today or tomorrow. In fact, day trading success is more about taking time to closely study the markets, individual corporations, and world news than it is about being highly active. You have your money on the line, so you have to be a diligent student to be a success in day trading.
Even though trading daily is not a requisite of successful day trading, studying the market daily is. Those who have achieved success in day trading typically know about every major world and market event every day. The availability of information on the Internet has considerably increased the success of some studious day traders.
Another requisite of day trading success is being able to make quick adjustments to market changes, but without ever panicking or diverging from your central investment plan. Those prone to panic are not good day traders. Above all, you have to be good under pressure to achieve stock investment success in day trading.
Thomas Smith is a blogger and the owner of Stock Investing Today. For more great stock investing tips, visit his website at Stock-Investing-Today.com.
Article Source: http://EzineArticles.com/?expert=Thomas_P_Smith
For those who want the big money now, there is day trading. This type of stock investment should not be taken lightly, as it is the definition of high-risk, high reward. You can make a lot of money in day trading whether the market is going up or down, provided you predict which direction it will go accurately. If you are wrong, you can lose everything quickly. It is not as risky as going to the casino, where the rules always favor the casino. If you are very smart and you really study the market, it is more like you are the casino. In this case you will win slightly more often than you lose. But if you put all of your eggs in one basket, you can lose it all at once and have no further chances at winning. So, day trading is not for the faint of heart, nor the foolish.
There are some common misconceptions about day trading. One of these is that you have to trade stocks daily. The truth is that it is called day trading merely because you may make several transactions on a daily, or even weekly, basis, often not holding onto a stock for very long. But, if you think something will happen over the course of a week or two, there is no reason you have to do something today or tomorrow. In fact, day trading success is more about taking time to closely study the markets, individual corporations, and world news than it is about being highly active. You have your money on the line, so you have to be a diligent student to be a success in day trading.
Even though trading daily is not a requisite of successful day trading, studying the market daily is. Those who have achieved success in day trading typically know about every major world and market event every day. The availability of information on the Internet has considerably increased the success of some studious day traders.
Another requisite of day trading success is being able to make quick adjustments to market changes, but without ever panicking or diverging from your central investment plan. Those prone to panic are not good day traders. Above all, you have to be good under pressure to achieve stock investment success in day trading.
Thomas Smith is a blogger and the owner of Stock Investing Today. For more great stock investing tips, visit his website at Stock-Investing-Today.com.
Article Source: http://EzineArticles.com/?expert=Thomas_P_Smith
http://ezinearticles.com/?A-Profile-of-Stock-Investment-Success-in-Day-Trading&id=2229381
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