Article provided by: 30minutestocktrading.com
We've all seen it before: someone with a laptop computer sitting under a palm tree on a secluded beach trading while soaking up rays and sipping on a Mai Tai cocktail. The dream of trading stocks for a living does have some glamorous days, but for the most part, trading stocks is best done indoors with an ethernet cable attached to your computer. And it also takes months and even years of practice before you can become profitable or proficient at it. At that point, then it may be easier than working a 9 - 5 job. If you buy my course, I will teach you how to trade stocks for a living with the potential to make a 6 figure income at it, too.
The first thing you need is a well laid out plan to trading. First you must choose what strategy you will use to trade stocks and hopefully you will have a mentor to help you along your journey to go along with that strategy. Next you will need a good PC laptop or desktop computer. They are pretty cheap these days and most can be purchased for under $300. Next you will need an online brokerage account so you can put your trading orders in. There are many online brokers out there today and most are OK. Once you become my student, however, I will give you my top 3 online brokers for you to choose from. There are many choices out there these days. Some brokers offer $0 commission per trade. Others offer up to 6x leverage. Some online brokers are better suited to day trading than others, as well. It will be up to the individual trader and his/her own personal style to choose which one best suits them.
A well laid out plan consists of a beginning , a process, a risk management policy, and an end goal. For example, a beginning might be starting with $3,000 in your account balance. The process might be the trading for 30 minutes or less a day strategy that I sell on this website. A good risk management policy might be to only have 2 trades per day and max out at 2 stop orders executed per day and to stop trading as soon as hitting a profit. An end goal would be to turn the $3,000 account into a $500 a week income.
Now that the plan has been established, let's start with the beginning and the process. The beginning would entail buying a laptop or desktop computer for the sole purpose of trading stocks. You will do nothing else on this computer. This will help you stay focused on the task at hand and make you more of a propfessional. Now what you need is the process of trading, the strategy. This is the KEY to success. If you do not have the right strategy, you can have every other piece of the puzzle worked out perfectly and you are guaranteed to lose. Luckily, you have found the perfect place to get the strategy, my website. The key to trading is to practice as much as possible in order to reach Master Trader status. Practicing your strategy every trading day trains your mind to turn your good trading techniques into good trading habits. Trading stocks out of habit rather than out of conciounsly trying is a lot easier to do and make you a more profitable trader. Once you reach that professional level, then life becomes alot easier after that and you may be able to quit your day job as well ! Now that's a goal worth working hard towards.
Sticking to a good risk management policy while practicing your strategy is essential to have a long term trading career. The reason is simple and obvious: if you blow out your account in the beginning, you will not have any money to trade while you are perfecting your trading strategy. One good risk management technique that is pretty popular is not risking more than 1% of your bankroll (using a term from the gambling world) or total account balance per day. That way, even losing every day for 2 weeks will still leave 80% of your original bankroll in your account.
The end goal can be achieved in a few ways. You can keep your day job and save up all the profits you make each week and add them to your account balance until your weekly income reaches $500 a week (or whatever your end goal is ). You can use leverage to multiply your earnings every week until your end goal is reached. Warning: using leverage can cut both ways. Potential profits will multiply AS WELL AS the potential losses. I highly urge beginning traders to NOT use leverage until they have become proficient in their trading or have become a Master Trader. A Master Trader is someone who can predict their weekly or monthly returns or income with a high degree of accuracy. For example, Making 8% per week, +/- 1%. You can also you OPM (Other People's Money) in order to reach your end goal and split the profits with the investor. This way, you are not using your own money to trade (which takes some pressure off), but you have an added responsibility of taking care of someone else's money in your hands. That can be too much to deal with with some people, but that is up to the individual trader. Another way to achieve your end goal is to borrow the money needed to trade the account. The problem with this technique is that you will eventually have to pay it back with interest.
Once the end goal is reached, you will be in the top 5% of traders. Only 5% of traders are profitable enough to make an income trading full time or have become rich. If you have achieved that goal, congratulations! You are part of a small and proud community of traders that now have the ability to trade anywhere they want in the world. All one needs today is a good internet connection and a laptop. The world is your oyster! It can be quite an exciting life indeed. The first step is to decide if this is the right career path for you. The second step is to buy my course by scrolling to the bottom of the home page and click the buy PayPal button.
Good luck to you all and happy trading.