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Avoid Day Trading Your Dollars Down the Drain
by Kori Puckett

Day traders quickly buy and sell stocks during the day, hoping their stocks will continue climbing or falling in value for the seconds to minutes they own the stock. This allows them to lock in quick profits. Day traders usually buy on borrowed money, hoping that they will reap higher profits through leverage.

Day trading, however, can be highly risky. Most individual investors don't have the wealth, time, or temperament to make money and sustain the devastating losses that day trading can bring.

Here are some of the facts that every investor should know:

-Be Prepared For Severe Financial Losses

Day traders typically suffer severe financial losses in their first months of trading. Many never graduate to profit-making status.

Given these outcomes, it's clear: you should only risk money you can afford to lose. Never use money you'll need for daily living expenses, retirement, or take out a second mortgage, or use your student loan money for day trading.

-Day Traders Don't "Invest"

They sit in front of computer screens and look for a stock that is either moving up or down in value. They want to ride the momentum of the stock and get out of the stock before it changes course. They don't know for certain how the stock will move, but they're hoping that it'll move in one direction, either up or down in value.

True day traders don't own any stocks overnight because of the extreme risk that prices will change radically from one day to the next, leading to large losses.

-Day Trading Is a Stressful and Expensive Full Time Job

You must watch the market continuously during the day at your computer. It's extremely difficult and demands great concentration to watch dozens of ticker quotes and price fluctuations to spot market trends.

You'll also have high expenses, paying your firms large amounts in commissions, for training and computers. You should know up front how much you need to make to cover expenses and break even.

-Day Traders Borrow Money Heavily Or Buy Stocks On Margin

Borrowing money to trade in stocks is always a risky business. Day trading strategies demand using the leverage of borrowed money to make profits.

This is why many day traders lose all their money and may end up in debt as well. You should understand how margin works, how much time you'll have to meet a margin call, and the potential for getting in over your head.

-Check Out Day Trading Firms With Your State Securities Regulator

Like all broker-dealers, day trading firms must register with the SEC and the states in which they do business. Confirm registration by calling your state securities regulator, and ask if the firm has a record of problems with regulators or their customers.

You can find the telephone number for your state securities regulator in the government section of your phone book, or by calling the North American Securities Administrators Association at (202) 737-0900. NASAA also provides this information on its website at http://www.nasaa.org/QuickLinks/ContactYourRegulator.cfm.

Just like anything else in life with potentially great rewards, there's risk involved with day trading. Just make sure you're in the right mindset and armed with sound information before you through yourself headfirst into buying and selling stocks.

--------------------------------------

Kori Puckett created and currently maintains MindOverMatterSecrets.com. Discover the 8 Most Common Mistakes Traders Make and How You Can Avoid Them. Visit: http://invest.koripuckett.com

Home & Garden, Food & Drink, and More Available At http://www.koripuckett.com

Kori Puckett may be contacted at or koripuckett@yahoo.com






Day Trading Profit ... How to pick HOT STOCKS in 2006 ...
Learn Day Trading

by Tom Levington

Day Trading Profit ... How to pick HOT STOCKS in 2006 ... Learn Day Trading .- By ProfitableStockMarket.com

The stock market will present you with a lot of hot stocks in 2006. Many of them are going to be new technology stocks that come from the nanotech, biotech, voip, healthcare, homeland defense or internet sectors.

Most of them will seem promising, but the truth is that a good number of these trading & investing opportunities are extremely risky, while others are not as good as they seem. That's why it's very important to know how to choose the best especially if you want to day trade them.

When you know how to pick and approach the best hot stock trading opportuntites, you are able to generate a consistent and respectable amount of money in a very short period of time.

Experienced day traders recognize that trading hot stocks on momentum can be the fastest way to make money in the stock market.

You don't necessarily have to trade momentum hot stocks all the time. But you can learn how to take advantage of them when you encounter the best opportunities for going long or for shorting them to make money when they are poised to fall down.

If you want to learn how to trade and pick hot momentum stocks in a simple yet effective way every week, just log on to ProfitableStockMarket.com right now and discover what youve been missing.

Take a Look at The Valuable Strategies and Bonuses that You can access today:

+ $ Trading Psychology. Realistic mindset of experienced momentum traders. The ones who make more money look at every opportunity in certain ways.

+ $ Short Selling Opportunities. Focus on these strategic scenarios and short stocks like a pro over and over without getting confused. The other side of the golden coin: Shorting to profit when the stock goes down.

+ $ How to pick momentum stocks every day in an easy and fast way. Pure gold over and over.

+ $ What kind of stocks to look for and how to classify the opportunities for greater trading profits. Come and get a truckload of $$$$$ from now on.

+ $ Profitable momentum trading without technical analysis.

+ $ What kind of stocks and "opportunities" to avoid and why. Save thousands in losses from trades gone bad in the future.

+ $ The "little details" you should look for before you consider a momentum daytrade.

+ $ Things to consider when trading low float momentum stocks

+ $ Buying micro cap and small cap stocks with momentum.

+ $ Trading NASDAQ stocks or OTCBB - OTC stocks ?

+ $ Getting ready for the trading breakout. Position your self for success.

+ $ Will my market rally last more than 5 minutes or less? What to do

+ $ It's all about the stock rally. The rest is just a bunch of elegant B.S. Learn to focus on what matters.

+ $ How to lock in profits on the way up

+ $ Should I hold overnight trading positions for a possible gap up ?

+ $ What to do if the stock rally stops moving. Cash in your pocket !

+ $ Level 2 trading ( L 2 ) strategies for momentum stocks.

+ $ Time frames for trading stocks with momentum, Pros and Cons

+ $ Premarket stock trading strategies and tips.

+ $ Trading momentum stock opportunities during market hours. $$$$

+ $ Trading at the open or waiting till the dust settles to make your move. It depends. This can make a big difference in your results.

+ $ Stocktrading during lunch hour ?

+ $ After hours trading tactics and tips. Super value, yours included !

+ $ Become an expert of your hotstock watch list.

+ $ You don't need to watch the stock market all day. Profitable stock traders have a better way.

+ $ Stock trading is not a job. Save money and don't make it another rat race.

+ $ Watching charts and stocktrading all day ? Overtrading is not the way to go. Learn why !

+ $ Testing the high probability trading plan

+ $ Stress free day trading tips and strategies for beginners and experienced stock traders. Your time is here!

+ $ Real examples of recent on-line trading opportunities. Learn in a practical way.

+ $ Powerful stock market resources and tools for day trading with our strategy. Discover momentum stocks in a snap and choose only the best every day. No waisting time. Its all about results !

Just picture your self waking up EVERY morning fresh and confident knowing you can identify, validate and take advantage of great momentum trading opportunities that are capable of generating you very profitable results.

For more information visit us today at Profitable Stock Market http://www.ProfitableStockMarket.com

Profitable Stock Market helps day traders and investors pick hot stock trading opportunities every day at http://www.ProfitableStockMarket.com

Profitable Stock Market helps day traders & investors choose stock trading opportunities in a practical way every day at ProfitableStockMarket.com

Tom Levington may be contacted at http://www.ProfitableStockMarket.com/


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