Don’t Wait — Start Today!
If you’re someone who isn’t invested in the stock market, I bet a lot comes to mind when you think of trading stocks…
You might have thoughts of market crashes, that story you heard from a friend who lost a lot of money playing risky stocks. The list goes on…
But I’m here to tell you today that, as an individual trader, there has never been a better time to start trading than right now!
And here are a few reasons why:
● Online/mobile phone trading. This has completely leveled the playing field! Anybody with an internet connection and a few extra dollars can start trading right now.
● Low commissions. Unlike expensive transaction costs of the past, online brokerages have record low commissions.
● A wealth of tools at your disposal. Between free screeners and internet resources, you can develop a solid trading strategy after a few weekends of reading and research!
The markets are capitalism at its finest. No store to open or stock to shelve, no employees or products to push. And most importantly you set the hours!
By starting small, you can develop your trading skills with low cost positions. You want to get your feet wet without risking too much. You want to develop confidence and good habits so you can rake in profits down the road.
The key is to develop a trading philosophy and risk tolerance that suits your style. Experiment with different methods and techniques to find what works best for you.
Once you find a method that clicks for you, it is just a matter of adding zeros… building bigger positions without changing your method.
All you need is a positive mindset and faith that your trading discipline will provide the success you desire.
Keep it In the Money,
Trading Tip of the Day: Don’t Overextend Yourself…
It’s easy to get caught up in the moment when the markets are hot…
A careless trader might sometimes pinball from stock to stock without thinking when things look good. It’s important to know how timeframes and the frequency that you trade affect your long-term ability to stay profitable.
Here’s a helpful tip: The shorter the time frame, the less predictable the price. Unless you’re experienced with very short-term strategies, don’t waste your time day trading. It’s almost inevitable that you’ll eat into any gains you made.
Day trading is hard. Anyone who has ever tried knows it. I seriously doubt that a group of the smartest traders in the world could beat the market by trading every five minutes.
Only trade the patterns and setups that work with your system – or you might risk losing your shirt. Overtrading isn’t going to make you rich. But it might make you go crazy.
Instead, try developing a plan with a modest time frame that can net you steady, consistent gains. Do your research, read up on different strategies and evaluate your risk tolerance.
With the availability of mobile trading and online brokerages, there’s no reason you can’t start trading successfully shortly after getting acclimated to the markets.
Bottom line: Slow and steady wins the race!
— Greg Guenthner