Day Trading Blog

Welcome to Day Trade The World™ day trading blog. Please click on an article to read it.

Stock Markets

Which Stock Markets are the Best Markets to Day Trade?

There are more than you think!

When selecting a stock market to day trade there are many things a day trader must consider. First off, any stock market in the world can be a great one to day trade. As long as the stock market itself is eligible for day trading. The stock market must allow you to settle both your buys and sells on the same trading day. There are some stock markets in Asia that do not allow you to do this, but overall roughly sixty percent of the world stock markets will allow day trading.

  • A trader must make sure they do his or her research about the overall stock market to ensure this is possible.
  • A day trader must make sure that they have all the tools necessary to trade.
  • The trader must make sure that his or her trading platform can trade the stock market. The trading platform must have connections to the market for execution and local stock quotes.
  • The trader has to make sure that he or she has access to news and stock charts for stocks in that market. To be a successful day trader, you must make sure you do not have an informational disadvantage to other traders in that stock market.
  • A day trader must have the proper tools, trading system and information to trade.

A day trader must make sure that the microstructure of the stock exchange is conducive to day trading. The spreads on the stock market should not be much tighter than the cost of trading. The trader must make sure that they are not disadvantaged by pricing. If other traders on the exchange have lower trading commissions, they will have many more opportunities to trade and will be at a significant advantage. The stock market should also have some intra-day volatility, so that there are opportunities to actually “day” trade the market.

If you are a day trader successfully trading a stock market and are looking to expand into a new market, make sure the new market has as many of the elements that have led to your success in the market you trade. Take your time to do your research and consider the points discussed here and you should have no problem finding more stock markets to day trade. Some trading platforms like the one at Day Trade the World offer access to stock markets all over the world.

 

Photo by reyner media nermedia

Successful Stocks Trader

Can a Successful Stock Trader Run a Successful Trading Floor?

The question that gets asked by most traders!

The answer to this question is: yes, it is easy to run a successful trading floor, as long as you understand what it means to run a trading floor. To run a successful trading floor, you really don’t even need to have ever traded. You just need to understand a little bit about management and human psychology. If you have been a successful trader, you will probably have a higher chance of success. To be successful, you just need to understand that day trading is very intense for the average person. A successful manager will keep heads cool on good trading days, and keep spirits up in bad days. In the trading business, you need to remember that stock markets are always changing and you need to make sure your traders are aware of the changes.

Making sure your traders have all of the tools and information they need is important. A very important tool is, of course, fast and reliable day trading software. Day Trade the World has you covered there, with software designed by traders for traders.

Another extremely important tool is a strong risk management system. You need a system that takes some of the high emotions out of trading. A trading system that uses simple mathematics to handle risk. Once again, Day Trade the World has you covered there.

To run a successful trading floor you also need to remember a few simple things. You should be constantly looking to hire new traders. With constantly changing stock markets, you need new people with fresh eyes to see new opportunities.

You need to be constantly training people. Getting them access to any information they need. And you need to actively manage the traders. A trading floor is very high energy, there is a lot of excitement and with that comes highs and lows. This is where your people management skills need to come in. If you were (or are) a successful trader, the advantage you have is knowing what it is to be a trader. You understand all the emotions a trader goes through.

Also, you may be able to teach any successful techniques or tricks you learned as a trader. If you understand these things you will be able to run a successful trading floor.

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Gambling

Is Day Trading Gambling?

As a day trader, I was told many times that it was just gambling. This is a common misconception of people who look at day traders without knowing anything about them. For people who believe this, I would tell them that there are a lot of day traders who are just gamblers. Those day traders’ careers are short-lived. The average professional day trader is just that – a “professional”. To make my point I would ask those same people who believe day trading is gambling one simple question: If day trading is just gambling, how do people make careers out of it?

Day traders spend a lot of time doing research on stocks. They process a lot of information before each decision. They read, watch and listen to news on stocks. Successful day traders having winning-to-losing trade ratios of over 65 percent. Gamblers are usually betting in situations where the odds are less than 50 percent. The average professional trader has access to so much information.

Trading platforms typically give traders stock quotes and stock charts. The faster and more reliable the stock quotes and charts are, the more chance of success a trader has. Traders usually get news from various public sources on the internet or on business television. A professional trader will probably spend upwards of 1-2 hours every day on dedicated research; however, they are constantly researching while they are making trades. The amount of information a typical professional trader has to process is staggering. What makes it more amazing is the speed in which he or she has to process all of this information while staring at his or her trading screen.

If day trading was just gambling, traders would not have to put in this much time, effort, research or practice to make a career out of it. Traders would not have 10 to 20 year careers. Career day traders treat trading as a professional career. They are disciplined, regimented and professional. Traders that come in to gamble usually don’t last in trading very long. Some may start gambling but then realize the potential and so put in the effort to make day trading a long and prosperous career.

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Photo By Mark Menzies

What is the Typical Day Like in the Career of a Day Trader?

The Excitement of Stock Trading – the Best There is!

Imagine a career where, when you wake up, the only sure thing about your work day is that it will be full of excitement. As a day trader, you really never know what will happen during the day. You get into the trading floor, say 8:30am EST. The buzz and the energy starts to rise as the traders come in to work. You spend an hour relaxing, reading articles, watching the news, looking at stock quotes and stock charts. You check to if there is anything exciting happening with your handful of “go to” stocks. You look at what stocks are in-play today and see if you might see an opportunity to trade them. And then bang! The opening bell rings at 9:30am EST and you are off into a world of excitement.

The trading day as a day-trader typically lasts six-and-a-half hours. If you ask the typical day trader he or she will probably tell you it feels like it lasts 30 minutes. There is so much information coming at you all day long. The rush of looking at stock quotes coming through your trading platform is intense. You make lightning fast trades all day long based on all the fast flying information that hits your trading screen. Before you know it the day is over. You look down at the profit you made for the day. The feeling is pretty amazing. All of sudden you feel kind of sad, because you realize you have to wait until tomorrow to place another trade and get that rush back. When the day ends you leave the trading floor. You take no work home, unless of course you want to. There are very few careers like day trading. The ability to make your own trading decisions is a great feeling. Very few work environments are both casual and exciting at the same time.

Does your career offer all of this? If your career doesn’t offer all of this you should look for the day trading floor that is closest to you.

Most day trading floors allow you to learn to traded without putting up any capital.

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Photo by Lending Memo

shawn

Interview with a Trading Floor Manager

TORONTO – With more than 9 years of experience as Trading Floor Manager, Shawn (33) is one of the most active Day Trade The World™’s Trading Floor Owners. He spent a few minutes with us to answer some frequently asked questions. Read them below.