I thought of getting into day trading on many occasions, but never actually did it because it required too much dedication and time that I did not have. Day trading is actually a very stressful full time job, and very few profit from it.

So to be honest, I think I am glad I never became one. Day trading is extremely risky business and can lose you a lot of money in a  matter of minutes. Money that you do not have, because many day traders trade on margin.

The biggest lie about day trading is that you can actually make consistent profits with it! I have to let you know about the key factor that means you will not be successful unless you are very, very lucky!
There is no way on this earth that you can predict the day to day volatility of investments that are this short term!

Why?

Volatility in the short term is random and fluctuates like the lights on a graphic equalizer! There is no software or person in the world that can accurately predict this.

Most traders will avoid day trading like the plague, unless investing in ‘safe’ options like banks or government entities, with increases practically guaranteed.

If you see day trading systems advertised online and it very likely you will, always cast a skeptical eye over their profit claims, as they will not have hard evidence to back their claims. Don’t fall for the clever advertising that in most cases is compiled by people who have never traded in their lives!

You should be aware that their trade records are compiled with hindsight, after all if we all knew tomorrow’s outcomes today we’d all be very rich! Always check out the small print – the disclaimer – and they will tell you that the figures are hypothetical.

If you take one thing away from this blog post, please put the odds in your favor by looking at long term investments.