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Day trading 101 Sign up for our Absolutely Free - 5 Day Video
Boot Camp on How To Trade at http://daytradervideo.com
We've already discussed that becoming a day trader takes building 2 skill sets. In this
day trading 101 video we discuss those two skill sets in more depth.
How do you build each?
Let me tell you how I built each.
Day Trading 101 - Technical Aspect
1. Technical skill set
Figuring out the right amount of indicators that works for you is the most important thing
to do first. Understand that too much can be a bad thing.
Make sure that your trading plan is complete and try not to leave out any problem areas that you might have. If
there is a question about something that you aren't too sure about make sure that you backtest
it to find a good solution.
You should also find out what makes you comfortable vs. what your coach or someone else tells
you to do
If you're taking premature exits because of your emotions (fear) this isn't good. I suggest
you begin to write out your emotions during the trading day and try and figure out what
is causing your uncertainly.
While you do that you need to be developing a really thorough trading plan. Now don't
overdo it but make sure you cover situations that give you problems.
Continually improve on your trading plan and add or take away things from it.
Day Trading 101 Mental Aspect
2. Building the mental part
If you're new than that's good because you haven't heard all the BS stuff about beliefs,
meditation, deep breathing, changing state etc.
I can tell you from personal experience that this doesn't work.
In addition to being a trader I've had the opportunity to be a high stakes poker player
I played some of the highest stakes online and there was a clear advantage to those people
that
were able to
control their emotions.
A huge misconception about emotions is that people think that they are bad in trading
but this is wrong. Emotions actually provide a clue as to a problem that there is in your
mindset.
So, here's some of my best tips.
First of all make sure you prepare to trade, and also make sure that you analyze and evaluate
after you are done.
Finally track your emotions during the course of the day and mark anything down that is out of the ordinary for
you during the course of the day
You'll want to come back to this spot and see what you can come up with.
Hope this helps.