The question I get asked often from students is “Should I day trade?” My answer, though, is not always black or white as there are many factors each student needs to consider. Do you need to make immediate income from your day trading to pay your bills? If the answer to that question is a resounding yes, then to quit all else to day trade is probably not the best decision.
The answer is, of course, but there is a learning curve to make that a reality. Many traders like the thought of becoming a day trader. Many like the appeal of not having to hold positions overnight. Others like the possibility of fast profits. Others just like the appeal because it sounds fun and challenging. The truth is that Day Trading is surely for everyone, but then again, trading any time frame is not for everyone either.
My day trading journey started after I left a career in corporate America. I gravitated towards trading because of the freedom it seemed to provide. Thankfully, when I started to trade, I did not need to make any income to live or pay my bills. This lessened the pressure for me greatly. Despite that my first attempt at day trading did not meet my expectation and I ultimately exited trading to start another business.
The reason my first attempt did not go so well was because I fell into one of the most common new trader traps. I chose to make money first, and then I would invest in education to learn how to make more. Just typing that flawed thought process out makes me chuckle because it sounds so unsophisticated.
One of my mentors, when I entered back into the business, said something to me that was so smart. He said you either pay for trading education or you pay the market but make no mistake about it; you will pay one of them. If you step into the logic corner it does not take a genius to see the brilliance from that statement.
So about four years later I decided to give trading another shot. The thought of trying it the first time without having the proper education was bothering me. I remember saying to myself that if I ultimately found out that trading was not for me, I was only going to make that decision knowing I did and tried it the correct way, which was first to get educated. To think I could make consistent profits without education was not the path I was going to go down again.
When I re-entered the trading business, I invested in education, both from taking courses and getting personal one on one coaching. That decision was the smart and correct one. It has turned into both a full-time career for me but also a second career of teaching courses to other students and personally coaching other students.