The Ultimate Daytrading Guide: Invest Intelligently Step by Step & Earn Money With Stocks, CFD & FX E-Book

Homemade Lovings

• Herausgeber: BookRix
• Kategorie: Fachliteratur
• Sprache: Englisch

Veröffentlichungsjahr: 2024

Beschreibung

The Ultimate Daytrading Guide: Invest Intelligently Step by Step And Earn Money With Stocks, CFD & Forex

The book also tells you that ordinary daytraders are neither rich snobs nor crazy computer freaks who sit in front of the screens for hours watching stock prices. Maybe the book will also make you feel - after reading the last page - that you don't want to be a daytrader after all. Not everyone who is interested in equities, CFDs or other financial products is a born day trader. Perhaps you will also be convinced after the last page that you would be a perfect day trader. In the end, just remember: All the tips and tricks you'll find in the book will help you minimize the loss - don't immediately start thinking that you're a millionaire next week.

This guide provides you with valuable information on day trading and successful trading strategies. Whether forex, stocks or more: Thanks to the helpful tips and tricks of experts and the scientifically founded knowledge, beginners and advanced profit from this book.
 
In a short period of time you will learn daytrading knowledge and can successfully increase your assets on the stock exchange!

Leseprobe

Homemade Loving's

The Ultimate Daytrading Guide: Invest Intelligently Step by Step & Earn Money With Stocks, CFD & FX

BookRix GmbH & Co. KG81371 Munich

Guide to Contents

Opening Remarks

Basics

Basic information about the stock exchange

What is Daytrading?

The difference between trading and investing

What does a daytrader do?

Daytrading Strategies

What is traded?

Day trading in real time

What is a broker?

Strategies that really work

Scalping

Momentum Trading

Contra-trend trading

Pivot point trading

Automated trading

Trading Strategies For Beginners

What else needs to be considered?

Why is day trading so hard?

Chart Patterns and Indicators

What Beginners Have to Do Now

Successful Trading

A high-risk job

Daytrader as a profession?

Typical beginner mistakes

Step by step to a successful trading strategy

The Simple Rules

An art with clear rules

The Trading Plan

Trading is Business

What does success in trading really mean?

What is Postion Sizing?

How often should you trade?

Daytrading Advantages and Disadvantages at a Glance

Advantages

Drawbacks

Who is suitable as a day trader?

Money Management

Daytrading Psychology

Important Technical Terms

Closing Remarks

Opening Remarks

Opening Remarks

You want to know what daytrading is? Have you always been interested in this impressive world of the stock market? Then you should definitely read this guide. Day trading refers to short-term trading on the stock exchange. In this process, traders try to exploit the fluctuation margins of stock market prices. Many people think that as a day trader you are a gambler. They compare trading with betting and see the stock market as a kind of casino. However, this is a very big misbelief, because there is more to trading on the stock exchange than just gambling. Day traders are always on the lookout for profitable price fluctuations and try to profit from them. It is true that there is a lot of speculation about stocks, currencies or futures, but there is a lot of work behind these speculations.

As a day trader, you must be prepared to trade and trade every day in order to make a profit at the end of a week. For beginners, professional day trading is an elaborate procedure. A trading plan has to be created, a trading strategy has to be worked out and a lot of discipline has to be shown. Without patience and discipline you can achieve very little in this business. A day trader, unlike a normal trader, trades in a very short time. They open positions and a few minutes or hours later they close these positions again. Sometimes it may even take a few seconds.

Sounds like an exciting business? It is! Price developments play the most important role in day trading. However, these price developments can also be very susceptible. If, for example, negative news is published, this can have a strong influence on price developments. You already notice that as a day trader you are exposed to a very high risk of loss. For this reason, you are probably wondering whether day trading is a real profession at all.

Just in advance: It can be regarded as a real profession! But why is neither training nor study necessary for day trading? Why does the profession of a day trader expect so much knowledge, but no professional qualification? What makes this hobby, the profession or also the pastime so interesting and how can you start with it if you don't know anything about the whole topic? These and many other questions are answered in this guide for beginners.

Basics

Basics

In order to survive on the stock market, it is important to learn some basics. Many beginners plunge into the business of day trading without preparing well beforehand. Unfortunately these are not very successful. The following chapter is important for you to be successful.

Basic information about the stock exchange

The stock market trades in stocks, commodities such as gold and silver, bonds and interest rates. The prices on the stock exchange vary very strongly, so that there are no fixed prices in advance. But who can buy on the stock exchange? Anyone can participate on the stock exchange as a buyer or seller. Anyone can therefore participate in exchange trading, usually by electronic means. Whereas shares used to be delivered in physical form, nowadays they are only traded virtually. To ensure that everything is fair and transparent, there are fixed rules and companies that monitor transactions on the stock exchange. Basically, the stock exchange is nothing more than a market in which offers to buy and sell are brought together and settled via third parties.

For the ignorant, stocks are a kind of lottery. If you are lucky, you will immediately win the main prize. If there's a bit of bad luck in the game, you can lose everything very quickly. But for the knowledgeable, the stock market is definitely not a game of chance. There is more to stock trading than the ignorant think. If someone buys a share, he theoretically becomes an entrepreneur. A share is a share in a company. Whoever buys a share in a company becomes a co-owner of the company, so he owns a small piece of the big cake. So he owns a bit of the factory site, a fraction of the machines and even some of the goods produced. A share certifies the value of this company share, which is why it is also called a security.

But how can one share earn money? If the company - from which you bought shares - is doing well, the shareholder gets a share of the earnings. The shareholder thus participates in the success of the company. Accordingly, the co-owner receives a portion of the profit generated once a year - a dividend. If the company is doing better and better from an economic point of view, the shares of the companies also become more sought-after, so that the price of the shares of the company rises.

Of course you also have to consider the bad times. Of course, if the company's business is going worse, the shareholder will also notice. If the winnings fall, the payout may also be reduced. If the company even makes a loss, the shares in the company tend to be an unpopular investment. Conversely, the share price falls.

As you can see, the stock market has little in common with a lottery. So the shareholder is on the same roller coaster as the company and experiences the economic ups and downs at every moment. Of course, the shareholder also has some rights. For example, he may attend the Annual General Meeting once a year and decide together with the shareholder what the next step is. They can also criticise the management of the company and help decide how much should be paid out as a dividend.

How much money does the shareholder have to spend? In principle, a single share is enough to become a shareholder. He can therefore have a say even with a very small sum of money. Sounds pretty simple, doesn't it? For many people, the stock market may be quite a mess, but it is not. Imagine a market. You will see fresh fruit and vegetables offered for sale. Normally a price tag is attached to each product, but it is possible to trade on such a market. When people are slowly on their way home and the traders have to get rid of their products because they may not be able to eat them the next day, the traders may sell the fruit and vegetables at a cheaper price. That's the typical market, but that's how the stock market ticks. The price is determined on the basis of available supply and corresponding demand. However, the people who trade on the stock exchange buy less fruit and more stocks, commodities, bonds, food such as sugar and coffee or even electricity.

On the financial markets, the settlements are carried out by traders, who must comply with rules which are subject to strict supervision by the German authority and other special authorities. These authorities simply want to rule out the possibility that fraudsters may cause major damage. The stock market is seldom about food, and it is mostly about shares in valuable companies with jobs and social responsibility.

Nowadays shares are not really present or tangible. This means: Securities only change their owner virtually. Many things are settled digitally and electronically, so that a security changes from one securities account to another. The purchase price is therefore debited from one account and credited to the other account. On the stock exchange, many things happen only electronically. In the past, shareholders had the items delivered to them; today, the shares of all shareholders within a company are collected and recorded in a single collective certificate. This document is then stored at a neutral location, the securities collection point.

All transactions now run only on the computer. Even the share prices are transmitted electronically. The direct contact between buyer and seller no longer takes place. In Germany, however, there are still a few stock exchanges where the brokers can be found directly on the spot, but this system will lose importance over time and ultimately be driven out of the stock exchange.

What is Daytrading?