dhampton82 asked:
I keep hearing about day trading, is it easy to learn and is it likely that i will not lose all my money doing it? I only have about $1000 to start and i am only 23 years old but i think it maybe fun and a learning experience for me if anything. What websites should I go with to learn/do some trading?
I keep hearing about day trading, is it easy to learn and is it likely that i will not lose all my money doing it? I only have about $1000 to start and i am only 23 years old but i think it maybe fun and a learning experience for me if anything. What websites should I go with to learn/do some trading?
{ 5 comments… read them below or add one }
Day trading is the buying and selling of stocks during the trading day by punters on their own account. The aim is to make a profit on the day and have no open positions at the close of the trading session. Day trading became a fad during the 1990s boom as people gave up their regular jobs to play the market full-time. The bursting of the hi-tech bubble was a rude awakening.
Day trading is when you buy a stock or futures position in a certain day, and sell off that position the same day. You can open an online account with several brikerage companies out there, but I would not recomend you to do that. Its a risky market, and amateurs are usually loosers.
1) Daytrading is when you buy stocks and sell them in the same day or when you sell the stocks and buy them in the same day.
2) No
3) Yes
You can daytrade ocassionally.
However if you daytrade more than 4 times in the same week your will become a Pattern Day Trader and this means you need a minimum of $25,000.00
Also, a typical investor can only have a margin of 2:1
This means that if you have, say $2,000.00 in your account you can buy up to $4,000.00 of stocks.
However, if you are a daytrader you can have a margin of 4:1
This means that if you have, say $25,000.00 in your account you can buy up to $100,000.00 of stocks.
Therefore, if you don’t have a $100,000.00 car or a $100,000.00 house that you can sell in case your holdings move in the opposite direction you expected you should not daytrade.
The stock market is not a game.
If you want to learn and you want to do some trading you can open an account in ameritrade.com and invest your $1,000.00
However, daytrading is not for you yet.
First, buy a $25,000.00 car and a $75,000 house and then save $25,000 and then you can daytrade and lose everything or make your first million.
i hav given u tat 10 pts..
Try this federal government website to find out about day trading. The second website is further advice.