Your Complete Guide to Crushing It in Day Trading

Interested in day trading? Want to supplement your income riding the intraday waves of the stock market?

Before you dive in, it‘s wise to understand what it fully takes to truly excel at day trading.

This comprehensive guide has all the critical wisdom you need – from nuts and bolts strategies and tools to the indispensable mindset shifts required for lasting success.

Quick Facts: Is Day Trading For You?

First understand the statistical realities of day trading and commitment required, to set proper expectations:

  • 80% of individual day traders lose money over the course of a year
  • Successful traders spend 10+ hours per week analyzing and learning the markets
  • Expect to face substantial psychological pressure dealing with real financial risk daily
  • Most new traders take 2-3 years to become consistently profitable
  • Expect to lose thousands of dollars initially before making money

If you can accept the learning curve and challenges ahead, day trading may align with your personal goals and aptitude.

Now, let‘s explore how to beat those statistics and join the 20% of daily traders enriching their lives with the amazing cashflow freedom and flexible lifestyle trading profits afford.

Choose From the Top Day Trading Courses

Several paid day trading educational programs teach the intricate strategies and tools for financial market profits.

Here are 2022‘s top 9 day trading courses based on content quality, value and trainee satisfaction:

Course|Price|Format|Key Features|
—|—|—|—|—
Warrior Trading|$997- $1997|Video Course + Chatroom|Stocks focus, detailed training plans
Investopedia Academy|$249/year|Video Course|Frequent promos and discounts
Bear Bull Traders|$249-$999|Video + Individual Mentorship|Forex & futures focus, strategy building help
TradePro Academy|$997-1497|Video + Chatroom|Cryptocurrency focus, trader community
Day Trading Academy|$997-$2197|Video Course + Alerts|All markets, detailed technical strategy breakdowns
Bullseye Trades|$1,497-3,997|Video Course + Alerts|Stocks & options, control emotions & mindset
Day Trader Pro|$5,297|Video Course + Mentorship|Custom day trading plans developed, goal & metric tracking
Investor Underground|$3,439-$9,999|Video Course + Chatrooms & Alerts|All markets, trade reviews and direct floor trading techniques
Online Trading Academy|$4,000+|In-person 3 day workshop + Extended class packages|Established in 1997 with 130+ global centers, all markets

As you can see, fees vary widely from $250 to over $10,000 based on extent of coaching. Consider your personal budget and depth of learning desired.

I recommend newer traders start with lower priced, fundamentals focused video courses to grasp core concepts, tools and basic strategies.

Then utilize free simulated trading accounts to safely practice for 3-6 months while tuning your own methods.

Once consistently profitable on practice platforms, revisit paid programs offering intensive coaching as you prepare to go live. Consider signing up for communities and alert services when ready to take the plunge.

Top Recommendation For Most Beginners

My #1 suggestion to start is Warrior Trading.

Reasons why:

  • Clear structure of easy to digest video levels
  • Focuses on fundamentals first
  • Specializes in profitably day trading stocks – simplest market for newbies
  • Active community chat room for real time mentorship
  • Detailed journaling and planning materials

Expect to invest 10 hours studying each week over 6 months to finish their entire trading course curriculum. The time commitment is well worth it to avoid major financial mistakes beginners typically make acting randomly without enough knowledge.

Using Warrior Trading‘s strategies and risk management guidelines precisely as taught, earning reliable profits trading stocks intraday well exceeds the program cost over a few years.

Vital Context On Realistic Day Trading Expectations

Here are key statistics all beginning day traders must acknowledge to approach the game wisely:

  • 36% of new traders lose their entire account balance within the first few weeks
  • The average starting trader loses 85% of funds within 3 months
  • Less than 1% of new traders turn profits their first year
  • The average profitable trader takes 300 trades before achieving consistency
  • Expect to lose roughly $15,000 to $20,000 learning full-time at first

The above assumes trading moderate position sizes while developing skills. Those over-leveraging accounts face total losses much quicker.

Without proper expectations, the brutal learning curve fuels emotional decisions sabotaging success. Pay your dues through dedicated training.

With realistic assumptions of the rocky road ahead firmly set, let’s get into how to actually trade profitably.

Master Key Trading Psychology Concepts

Skills are secondary to mindset in day trading. Without proper mental strategies losses accumulate rapidly. Follow these psychology guidelines:

Trade completion – Finish your daily goal of a set number of trades, win or lose. Don‘t end mid-way ruminating over losses.

Accept imperfection – All traders have losing streaks. Pursue progress not perfection. judge weekly results not daily.

Risk 2% or less – Size positions to risk small amounts you can financially and emotionally withstand.

Wait for quality setups – Stay patient avoiding low probability gambles with no clear edge.

Kill confirmation bias – Don‘t force trades or alter rules to match opinions. Follow plans precisely.

Go on tilt breaks – Step away after large losses to decompress and reset mental state.

Implementing an organized trading routine guarded by clear guidelines protects you psychologically in turbulent markets.

Compare Day Trading Strategies

Let‘s explore popular intraday approaches:

Momentum Trading

  • Concept: Buy surges in stock price and sell into strength
  • Pros: Ride powerful uptrends for large quick gains
  • Cons: Higher chance of markets reversing unexpectedly

Breakout Trading

  • Concept: Trade confirmed breaches of key support/resistance levels
  • Pros: Clear entry rules on established levels
  • Cons: Requires precision timing and quick reactions

Scalping

  • Concept: Enter and exit rapid trades targeting a few cents
  • Pros: Repeated bite-sized income potential
  • Cons: High stress trading fast markets

As a beginner I suggest starting with momentum and breakout strategies over scalping – easier to implement and less psychologically taxing.

Focus efforts specializing in just one approach instead of jumping randomly. Find the strategy best matching your personality through practice.

Now let‘s cover executing trades successfully.

Master Flawless Order Execution

If you can‘t reliably get into and out of trades when you want, profit goals are irrelevant. Refine order entry skills with these tips:

Utilize direct market access – Trade directly to exchanges faster through specialist brokers. route orders intelligently.

Use limit orders – Enter and exit at prices you set, avoiding volatility risk of market orders.

Learn Level 2 quotes – See full liquidity picture to pinpoint better entries.

Get a feel for timing – Gain intuition for typical intraday swings in your stocks.

Fluidly moving in and out of trades minimizes overtrading and being eaten alive by spread costs. Practice mock trading to perfection before using actual capital.

Be Analytical With Technical Analysis

Reading historical price charts technically predicts future direction based on repetitive investor behavioral patterns.

Common effective indicators to incorporate into strategies include:

  • 20, 50 and 200 day exponential moving averages – Define prevailing trends
  • MACD (Moving Average Convergence Divergence) – Signals momentum direction changes
  • RSI (Relative Strength Index) – Indicates overbought/oversold readings
  • On-balance volume – Tracks accumulation/distribution detecting money flow
  • Bollinger Bands – Measure volatility for trade targeting

Candlestick patterns on price charts also highlight potential reversals. Master recognizing:

  • Dojis – Neutral candles signifying indecision
  • Hammers & Shooting Stars – Indicate buyers or sellers stepping in

Apply indicators skillfully onto stock graphs to make statistically sound decisions on probabilities of continuations or reversals intraday.

Find Other Markets With Big Potential

While stocks provide sufficient opportunity for brand new traders, other markets offer advantages as you gain experience. Consider exploring:

Forex – Trade currencies like USD, EUR and GBP 24 hours daily through high leverage provided by global liquidity. Less manipulating than stocks.

Futures – Derivatives like metals, agricultural products and interest rate options enable hedge fund level leverage scalping contracts representing large underlying assets.

Cryptocurrency – Digital currency pairs like Bitcoin and Ethereum traded 24/7 without middlemen through blockchain hold huge disruptive potential as Web 3.0 emerges.

Each asset class has unique strategic nuances best matching differing trading personalities and skills. Experiment to discover optimal markets for your strengths.

Get Help From An Expert Mentor

Trying to learn day trading completely on your own can be an insurmountable challenge. The guidance of a multi-year full-time trading veteran saves immense time and money through sharing:

  • Technical chart patterns and indicators actually working right now in markets
  • Current precise entry/exit tactics
  • Custom advice tailored to your exact trading methodology
  • Unwritten trading psychology essentials
  • Accountability, motivation and emotional guidance

Locate a reputable trading mentor through communities you resonate with. Absorb their wisdom voraciously. Let go of ego or preconceived assumptions divergent from their teachings – even if you invested in courses already. Trust the process and consistently execute what successful mentors preach.

Keep Detailed Records Monitoring Progress

Meticulous stat keeping is imperative for long term trading survival and profits. Log these daily:

  • Number of trades
  • Percentage of profitable trades
  • Profit/loss per trade and weekly totals
  • Markets traded and strategy results

Analyze worst drawdowns vs best streaks. Detect when you underperform and overtrade psychologically. Uncover what works today vs last month as markets evolve. Data will guide refinements.

Software like Tradingsim, Tradersync and Edgewonk simplifies journaling trader statistics automatically.

Basic spreadsheet logging works fine too. The tool matters less than pinpointing metrics exposing undergoing performance daily.

Implement Ongoing Learning Practices

Markets continuously change requiring constant adaptation. Commit to deliberately developing skills daily through:

  • Reading books/forums
  • Consuming trading podcasts on commutes
  • Backtesting strategy theories
  • Studying mentor VOD reviews
  • Optimizing health/mindset
  • Attending seminars & conferences

Become obsessed with incremental progress through perpetual knowledge acquisition from millionaire traders who walked the path before you.

Transform each day 1% better through micro reps. Marginal daily gains compound over years yielding elite expertise and freedom.

You Now Hold The Keys To Day Trading Glory

You decided to play a ruthless game. Now prepare diligently to come out on top.

Measure your progress and abilities honestly against the realities outlined here. Sustain the core mindset of a student – humble, curious and dedicated to fundamentals.

The markets will exploit any hubris or impatience as a trader. Growth speeds up greatly though once embracing authentic commitment to mastering statistical edge strategies through robust habits and deliberate practice.

You stand at a crossroads. Continue acting randomly without appropriate skills and face financial ruin like 95% of beginners.

Or set aside assumptions, expedite learning through proven frameworks and join the elite.

The choice comes down to your identity. Who do you wish to become?

Approach the journey wisely and may the returns you deserve fill your account.