Anonymous asked in Business & FinanceInvesting · 10 years ago

Is day trading as simple as watching stock rise and fall thought out the day?

Probably sounds like a dumb question, but is there any rhyme or reason to day trading, or is it simply watching upward and downward trends on a daily basis.

Is it as simple as taking 300 bucks a day plugging it into the market and seeing what happens?

Could you day trade on couple hundred dollars?

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10 Answers

  • 10 years ago
    Favorite Answer

    The simple answer is no. Day trading is a difficult profession that can require years to perfect. I've been investing for 30+ years. Five years ago I started swing trading (holding a stock from 1 to 30 days.... sometimes, for me as long as a couple of months). I started day trading early in 2009.

    There are two distinct skills needed;

    Technical Analysis

    Trading Money Management

    You can't be successful at day trading without some expertise in both.

    On average 95% of those that try to day trade give up.... or lose their account. Usually in a short period of time. Some people succeed relatively soon (very few)..... most take 3-5 years.

    I'm pretty typical. I'm reading a new trading book every month... or re-reading one. I take weekly webinars regularly. My broker does 1-2 every week. One of them (Monday's) is solely on trading psychology.

    Discipline, patience, having a plan (sticking to it) & plenty of trading education are the basic requirements

    Here's some of the web traders I follow;

    I hope this answers your question. Trading becomes a passion. But the hours you have to put in every day can be exhausting.

  • Anonymous
    10 years ago

    There are guys that I heard about from a trusted friend... Two brothers to be exact. They are day traders and work 4 separate stocks. They make millions each year. There are people that can manipulate a stock. they have to know what is going on.

    I tried day trading, but lost my shorts. The professionals make their money off of novices like me. If day trading is your goal, try and learn everything you can and if you are real lucky, you may be able to hook up with a pro that will take you under his wing.

    I should have paper traded at first, which means pretend trading with my notepad. You could pretend you have $5k, and find stock(s) and pretend you bought them. Then you could see how you would win or lose.

    I have seen some trading brokers that actually offer new investors their own free pretend trading account, to just play around and learn without risking and probably losing any actual money.

    Good luck!


  • Barbro
    Lv 4
    4 years ago


  • 10 years ago

    You need a large capital to be profitable in day trading. I would say $150,000+ of money to trade. $300 is chump change, wont get you anything. Considering stocks go up 1-3% or even lower on average, you need to trade with lots of money to see 1% gains as being profitable. If you bought a stock and its total worth is $300, and that stock goes up 2%, you made $6. Factoring in commissions, you already lost money. But if you bought the same stock with shares worth $7000, a 2% increase in stock price makes you $140 in profits. If you bought $30,000 worth, you would have made $600! See, it takes money to make money. Just yesterday (fri 5/14), if you day traded yahoo and bought at the low and sold at the high, you would have made .25 profit per share. If you bought shares worth $300, your profit before commissions would be 4.64; $7000=$108; $30,000=$464.

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  • Anonymous
    10 years ago

    I don't know who told you this but they are very wrong. Wouldn't every person in the US be a day trader if it is as simple as you say? Plus, you need a lot of money to make it work. A true day trader is making a point or two at best in a day, so considering commissions you have to have several thousand dollars in play to make anything. Then you better hope you are right.

  • Ryan M
    Lv 7
    10 years ago

    $300 per day in trading?? Are you joking? You need THOUSANDS of dollars to become a day trader. Just the trading fees alone will make any gains that you get on such a small position vanish. For example, say that your trading fees for one buy and sell are $10 per trade. Therefore on that $300, you have to account for $20 in fees for one trade. You will need that one stock to make over 7% JUST to break even. If you think that stocks go up 7% per day...then you REALLY have no business even thinking about becoming a day trader. If you manage to get your hands on some real money, then you can give it a whirl....but not with chump change. Also keep in mind that over 90% of day traders are broke within a few months. Over 95% are broke within a year.

  • Anonymous
    10 years ago

    no its need to do heavy research about the past, current share prices & lots of other stuff. For that the best way is to get in touch with a trader or visit an online trading sites like Mansukh, Sharekhan etc..

  • Anonymous
    10 years ago

    1-you need $25,000 minimum to open an account and be a"day trader" - anything less and you will be limited to only a few transactions per week

    2-"watching" isn't trading

    3-unless you know what stocks to trade, you are sure to wind up with less money than you started and very few day traders make enough to live on full time

  • 10 years ago

    LOL! If it were that simple, you wouldn't have 90% of day traders going broke or even bankrupt (losing more than they ever had to begin with) within a month. Yes, there are a very, very few who are very, very astute and knowledgeable and they actually earn a living at this. It's the "astuteness, knowledgeableness & experience" combo which is the rarity.

  • 10 years ago


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