Day trading for a living – Stocks or Options
The Best Day Trading Strategies for Day Traders
Regardless of your position, these are the tools you must have to succeed.
Infrastructure. Modern day traders rely on a combination of computers, monitors, routers, modems, and specialized software to keep abreast of the market on a 24/7 basis.
But first avoid becoming overwhelmed by learning these four basic strategies first:
- News Trading
– When a major news event occurs that affects the stock market, savvy day traders spring into action.
Using this strategy is as simple as keeping up to date with current news stories and moving quickly to buy or sell as needed.
- Range Trading
– This is where in-depth research and patience really pay off.
Learn the normal high and low range of a specific stock and always trade within it.
- Pairs Trading
– As the name implies, this strategy involves trading in pairs.
Choose a category, and then go short on a weak stock and long on a strong one.
By making these trades simultaneously, you dramatically increase your odds of achieving remarkable profits.
- Contrarian Trading
– Despite what the current momentum of a stock suggests, this strategy requires you to trade against it.
Many beginning day traders struggle with this strategy, but more seasoned traders know that it’s a terrific way to make some serious money.