Quote:
Originally posted by Biggy2
The chances of coming out ahead daytrading are slim to none..
About 30% of traders succeed in the short-term, in the long-term, that number gets reduced drastically..
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buy low, sell high = profit
when most people discuss daytraders they are talking about someone who is making 50 - 200 trades per day, skimming pennies from each.
i didnt mean to say daytrading, i mean more of short term.
"buy low, sell high" if you beleive that, then its just a matter of identifying a stock that has the potential to rise just a little bit, and then put yourself into a position where that "little bit" makes a big profit.
example;
you find a stock that is up and down from $1.00 to $1.50 over the course of 2 months. Now buy 5k shares when it hits $1.10 or less, and set an auto-sell at $1.40 (.10 less than resistance), just forget all about it and wait for it to sell by itself when hitting target. $1500 profit.
try and pick 3 - 5 stocks a week, make the buy and then set the sell, leave them.
barring the possibility of the market crashing, and/or the particular stock goes down the drain ... no reason why this wont work, it works every day.
naturally you have to consider the trades that might end up taking 6 months to hit your target and finally sell, but with a bit of research and a bit of knowledge im hoping to be able to minimize that possbility by doing research and picking well.
so no it isnt daytrading, but it seams to be working so far.
and naturally as your capital grows/reduces you can adjust your position size. so instead of taking a 5k position and waiting for .30 to hit my goal, i can take a 10k position and wait for only .15 hence increasing my chances of hitting it sooner.
hmm ok that was a ramble, sorry for that lol