this is a public service announcement PSA for all you new day traders out
there for anybody who's thinking about starting out as a day trader if you
really want to start the day trade you want to learn more about day trading
make sure you stay tuned because I think this one idea will really change your
day trading journey or your day trading experience or maybe after watching this
video you won't even want to try to day trade I don't know let's talk about it
in this video let's go I get this question over and over a lot of people
they want to know about day trading everybody wants to know about day
trading it seems so easy right it seems like it's the easiest job in the world
and there's plenty of days where I think that hey this is too easy right day
trading is too easy but what happens here is people forget
people forget all the effort all the time the money the emotional battle
everything that goes into learning to day trade and day trading is one of
those things right where let's say you want to become a professional golfer now
you can't just go and play on the PGA like that you can't just go and set up a
golfing account and then start to play on the PGA and consider yourself a
professional golfer overnight now the problem here with day trading is that
you're able to set up a day trading account you can deposit a million
dollars into a broker and start day trading just like that even if you only
have a thousand dollars there's options out there five hundred dollars anybody
can become a professional day trader with one click of a button but the big
issue here is you become a day trader and you don't have the experience you
don't have the mental fortitude you don't have the emotional fortitude to
actually become a professional day trader it's one thing to open a broker
account to start to day trade it's another thing to actually make money and
a lot of people don't understand that when you first start the day trade the
hardest thing about day trading when you first start out is just to make money or
really just to not lose money that's the better way to put this the idea that
when you first start to day trade if you're a new date
the best thing that you can really do is to just focus on not losing money and
that should really be your major goal that should be your top goal your top
priority when you first start to day trade is to
just not lose money now that doesn't mean that you have to take consistent
trades all the time that doesn't mean that you need to constantly be in a tree
not losing money could mean not actually taking any trades at all and I think
that's one thing that new day traders even myself when I first started a trade
that was one of my biggest issues is I was just constantly trying to make money
I was just constantly trying to be in a trade it didn't matter what it was I was
just buying it I was maybe shorting it I thought hey the more I trade the more
money I can make right but the problem with that is you're going to end up over
trading you're going to end up blowing up your account they're going to end up
racking up commissions so when you first start date rating what you should be
focused on is just learning how to find stocks learning how to find those setups
just looking at all of the different opportunities starting out with small
size getting in getting out learning the process the execution being able to buy
the dip being able to sell the rip and repeat that over and over just doing
this every single day maybe only taking one maybe two trades a day maybe not
taking any trades at all that could be an idea as well maybe there's just no
setups if you don't see the perfect setup
don't take a trade now this is gonna be one of the hardest things about being a
new day trader even if you're not taking trades it's so so difficult to not do it
you're just sitting there and you're seeing these stocks moving and in your
head you're like I got to do something here I began to ceiling a Peter for 10
hours straight and not take a trade but what you really need to be focusing on
is just being able to identify those opportunities and that's really going to
be the hardest part of becoming a day trader is having that patience having
that mental fortitude having that emotional fortitude that you're able to
not trade if that makes sense remember every single trade that you take there's
a chance they're going to lose money and the more and more trades that you take
you're just adding on to those chances in
if you're a new day trader you just end up taking trades where you don't have
the opportunity and you're just trying to take a trait this is like I got to
take a trade I'm a trader right I'm a I'm a professional day trader I gotta be
trading but the issue here is that you got to be able to put in that time put
in that effort day trading is not a thing you're gonna get rich overnight
it's not like hey I open up my day trading account I put in ten thousand
dollars and Alan tomorrow I got twenty thousand dollars it's not that simple
now now that I say that someone's gonna comment and be like well I did it I
turned my ten thousand dollar account into twenty thousand dollars and only
one month using Robinhood hey congratulations you did it awesome but
99% of people out there are not going to be able to double their accounts
overnight it just does not work it just does not happen it's not that simple
it's not that easy remember the market itself is actually created to just take
your money you got the fees you got the Commission's you got all these things
against you you're trading against computers you're trading against some of
the biggest firms in the world who know a lot more than you do you're trading in
some of the best traders in the world like I said in the beginning of this
video there's really no other place out there where you can go and start doing
something with the professionals we're at the best the best professionals in
the world there's just not really any other opportunity out there other than
day trading where you can become a day trader overnight and you can basically
be trading against Warren Buffett the next day you never know you never know
who you're trading against every tree there's a winner there's a loser so you
might make money on a trade and Warren Buffett might have lost money you never
know there is no beginner area there's no amateurs and then the professionals
and then the legend one big pool of sharks and then the little fish which
are me and you and other investors and day traders were the little fish and
we're swimming around in that pool and we're just trying to get a little bit of
a little bit of money just give me a little bit but the problem is those big
sharks they've been there for so long they know what they're doing they see
the patterns they know exactly how to take the fish right out of your hands so
you got to be careful and you just need to focus when you first start to day
trade just focus that first year of day trading if you can make it an entire
year your first year day trading not actually losing
money you're beating 90% of people in the world that in itself is an
accomplishment trust me if you can go an entire year without losing money I'm not
saying you can't have red days I'm not saying you can't lose a little bit of
money but if you can go an entire year looking at your P&L for the entire year
if you look back and you say hey I broke even hey I mean $1,000 that's amazing
you really got to understand that because this is the hardest the hardest
game in the world to play day trading is the only job in the world that you show
up and you work all day long you do everything exactly by the books and you
still lose money and a lot of people just cannot handle that so when you
first start the day trade remember the longer that you date trade the more
experienced the more you focus on just becoming a better day trader it's gonna
pay off in the long run but the first year maybe the first two three or four
years of day trading it's gonna be a battle and you're gonna be battling so
many different things not just your emotions you're battling the market
you're battling just experience in general you're just battling everything
and there's nobody there to help you nobody's gonna hold your hand through
this no one's gonna say hey don't do it don't take that trade because you're
gonna take it and you're gonna end up losing money and the only person you can
blame here is yourself and you need to have very realistic
ideas when it comes down to just the overall return people ask me hey I want
to start out with $5,000 I need to make this much money right off the bat I'm
like what what where what you want to make money right off the bat you want to
start day trading today and you want to start making money by next week get out
of here get out of here just go ahead and walk on out because it's not gonna
happen you need to just focus on learning today trade learning the
patterns learning the setups learning how stocks move how does stocks move in
waves so if your new day trader there it is
stop worrying about making money and just start worrying about learning to
day trade and also learning how to not lose money if you just focus on not
losing money for the first year if you just focus on not losing money for the
FIR year you're gonna become a much better
day trader probably than me after that first year because in my first year I
didn't know what I was doing and I was just doing all kinds of crazy things I
lost money I made money I lost money a trader did it was bad I didn't really
learn the basics until after that first year of me having no idea what I was
doing and then once I had an idea what the basics were I still didn't follow
the basics I still just wanted to get rich overnight and you can see kind of
the process that I went through to get to this point and you know still there's
days where I'm like hey I'm ready to break the rules I'm ready to get rich
and then those are the days that I get smacked in the face remember the market
is always gonna teach you a lesson you're not teaching the market any less
the stock market has been in existence a lot longer than you've probably been
alive so at the end of the day the market has seen everything it's seen
every little trick that you got in your book there is no trick that the market
has not seen so at the end of the day if you think you're pulling a fast one
you're probably not you're probably not you're gonna get fast one pulled on you
maybe another video in itself if you think that you found the huge million
dollar overnight trade there's a good chance you did it because I've done that
I've done that so many times where I got to trade and I'm like huh this is gonna
get me so rich I'm gonna get so rich from this trade it's gonna be amazing
and then reality kicks in and I end up either losing money or breaking even so
that's one thing to think about if you get into a trade and all you can think
about is how much money you're gonna make from the trade it's probably a bad
trade I'm just put it out there and put it out there so and I think about
something to think about talk to you guys later on if you haven't already
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