Wednesday, March 03, 2010

Day Traders

Day Traders are the darlings of remisers and broker firms. Without them, the commissions generated in the market would be greatly reduced. These group of people should be given free lunch everyday.

A Day Trader normally makes several trades a day and closed out his positions all within the same day. Day traders do know care about the fundamental aspects of the stocks they buy. The smart ones who study charts closely and follow price trend or patterns may have a chance to win. Sadly the majority of day traders are not proficient and professional enough to make a profit. They play on margins and before long, many of them, not only say bye bye to their hard-earned cash but also gotten themselves in debt.

If you want to be a Day Trader, learn the trick of the trade first or you will be tricked in the trade.