Six Top Benefits of Being a Day Trader – Introduction
The world’s financial market is the most dynamic industry in the world. The securitization of everything has made it possible to trade virtually all financial instruments. For example, today, it is possible to trade coffee, cocoa, and complex securities like ETFs and bonds online. In the past, these assets were reserved to the sophisticated investors in large institutions like Morgan Stanley, Goldman Sachs, and JP Morgan. Today, people from around the world are trading these instruments in real time. In this article, I will explain a few benefits for trading the financial markets.
It is an inexpensive business to start. If you are an entrepreneurial person, there are chances that you love creating businesses. There are chances that finance is a key bottleneck when you are starting a company. This is because of the vast amount of money you need to have when starting a company. In trading however, you don’t need all this money. Instead, you can start a profitable trading business with less than $500. Further, unlike other businesses, if you are good at what you do, you can start making money the same day you start trading.
Second, you can trade either on a full-time basis or on a part time basis. If you are employed, you can easily become a trader by focusing on the times you are not at work. This works because trading happens on a 24-hour basis. Therefore, if you work during the day, you can create a strategy to trade after work. If you work at night, you can create a trading strategy that involves working during the day. The secret is to have a good work-life balance.
Third, as a trader, you will be ahead of other people in terms of the happenings in the international issues. This is because for you to succeed, you need to have a good understanding about international politics and economics. For example, if there is an election in a country like United States, you will be aware of what to expect if a particular candidate wins. Staying informed is an invaluable thing for you.
Fourth, as you develop your skills as a trader, you will be able to automate the entire process. These days, even when you don’t have any coding experience, you can easily become an algorithmic trader. This is because there are a few free platforms that help you develop trading algorithms. Further, there are platforms that help you copy trades from experienced professionals.
Fifth, unlike other industries, you don’t need a physical office to become a successful trader. In fact, most of the world’s best successful traders do it at home. This helps reduce the costs associated with running a company. These costs include the daily commuting costs, government levies, and service charge.
In addition, trading is one of the few industries that runs on a 24-hour basis. Every day, Monday to Friday, the markets around the world are usually open. This means that you can allocate your trading time at a time that you are comfortable with it. If you love trading in the morning, you can do that and if you love trading at night, you can do that too.