Trading the stockmarket (NO Referrals)
- Thread starter mcast123
- Start date
You'd likely be best off not day trading in the first place. Again though it depends what you're trading etc.. but the answer is yes. Monthly fees you might pay would be for software and data feeds, you pay commission/clearing fees for the trades you place with a broker.
Again though it sounds like you're pretty new to this and tbh.. it's worth noting that it is very likely that you'd just lose money if you just started taking random punts intraday.
Soldato
Well thread was originally supposed to be about trading... for additional irony the OP started this thread after quitting his job to day trade for a living, bold move... didn't work out too well unfortunately and I guess that ought to be a warning for others.
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That's exactly what I was going to do try and take random punts. Maybe I didn't think this through properly. I have been running a practice account and was making a lot through that. I think this was unfortunately the perfect time to do it and maybe I have left it too late to make the easy money. Would BP still be a good one to buy and hold now? I was also thinking HSBC and Aviva again.
If you look at GDR, HEMO seem way undervalued. Or you could read it that GDR are way overvalued. To punt or not to punt?...
Soldato
GDR - Their share price shot up when they said they were going to try to test for covid19. No announcements about the other 2-3 tests they were working on.
If covid19 testing pops then I guess it will drop again.
If covid19 testing pops then I guess it will drop again.
It's funny, isn't it? Carnival up nearly 31% in 7 days.
Soldato
Can't imagine they're cash rich right now, that's really surprising - think all those refunds.
Looks like they have a lot of assets, ratio vs Debt is good - maybe prime to survive and currently undervalued?
30% in a week though - crazy
There isn't easy money to be made in general. Basically most day traders lose money because they get deluded into thinking this might be an easy way to make money, perhaps over a small sample size of trades that worked in their favour or perhaps because some "trading" article aimed at retail clients convinced them that they could beat the market by day trading. Perhaps they even have bad results on the slm, but that was all down to those couple of silly trades, they wouldn't have taken those trades for real... the other trades that went well were the proper ones etc...
There is a whole cottage industry out there of the blind leading the blind - generally focused on technical analysis - essentially statistics dumbed down/made easy and with lots of pseudoscience/dubious claims and subjective methods thrown in on top. They'll perhaps talk about risk management - this will be explained as some arbitrary rules "only risk X amount per trade because I said so". Obvs it will perhaps stop you from blowing up immediately. Then if you fail you'll perhaps be coaxed into thinking that it was down to "psychology" you perhaps made some mistakes, didn't follow your trading plan etc.. Problem is your trading plan based on some magic line crossing another but not when some other magical line is present or some subjective pattern emerges etc... probably doesn't give you an edge in the first place.
Other problem is lots of people tend to do this (in the UK at least) via CFD or SB firms offering a two way quote - so not only do you need an edge to beat the market (hard enough in itself) you have an additional obstacle to overcome too, no sticking orders in the order book and getting your buy order filled at the current bid etc.. you have to cross that spread the firm is giving you on order to buy/sell - sometimes that spread might not be much different to the underlying market, sometimes it could be a bit wider...
Essentially you'd be placing bets with a negative expectation, some of them will win some will lose but overall, in the long run, the cumulative effect is losing money.. just like if you were playing roulette or any other table game in a casino... or indeed if you were an amateur sat in a cash poker game with a bunch of pro players - in the long run you're bound to lose.
Soldato
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This nonsense is what $4Trillion of manipulation gets you
https://www.bbc.co.uk/news/business-52390840
Soldato
It does make it fun gambling though with small bits of disposable income rather than your savings/investments. Just backing and shorting Tesla (such a weird stock) can make you a couple of hundred or more a day alone.
PSTI took a massive dive a short time ago back to the high $8 mark. Congrats to all of those that got out at $12.
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