Learn about day trading futures, and how to avoid common pitfalls
Traders are often attracted to the allure of day trading. After all, closing positions at the end of the day provides small accounts access to leveraged markets with very little cash on hand. In addition, day traders have the luxury of knowing catastrophic events occurring while they are sleeping will have no impact on the value of their trading account. However, these luxuries come with strings and day trading is arguably one of the most difficult strategies to employ successfully... but with challenge comes potential reward. Accordingly, before choosing day trading as your weapon of choice, you must fully understand the potential pitfalls and have a keen understanding of market tendencies. Watch this video for a discussion on the do's and don'ts of day trading. Click on the image below to begin viewing.
· Mental aspects of day trading
· Day trading margin
· Always use stops?
· Be aware of market volatility and know the consequences
· Position sizing
· Price averaging
· Day trader's toolbox
· Counter-trend or trend-following?
· Considering commission
· Common trader pitfalls