We are in a structural recession globally right now. We’re not allowed to work quite as much as before the pandemic and lockdown, and despite mountains of idle cash in the big financial industries, they are unsure where to invest. It is an uncertain time and the sentiment is mostly fearful and doubtful. In other words the FUD has never been higher. With so many markets crashing and so many businesses bankrupt, where does smart money invest?
Wherever the whales go there goes price and so should we follow. But what we have no is mediocre business opportunity and it seems like we may be sitting on the sides in cash which sounds like a nice problem to have but it does not foster growth. Money that is not working through investment, is actually losing value in today’s macroeconomy.
Dry powder is fine if a little spark comes along and you can use it to create some growth but it could also blow up the entire balance sheet in our faces. So when we are limited in our traditional forms of investment compared to just six months ago, then we have to reinvent ourselves and think outside the box.
The economies of most nations are taking strain and contracting like seldom before at present as work dries up an unemployment spikes to record levels, not seen since the Great Depression. It is at times like these that we need to find alternative channels and learn new skills.
I have resumed my training in trading online, which I can do at home in my own time. It’s like a hobby where I teach myself to trade forex and other commodities, like a day trader, and if I get good at it, I will be making money from my living room sofa, without having to leave the house.
And since I can hardly leave the house now for fear of covid or some lockdown law or the other, I need to find ways to earn a living elsewhere. Work form home is the new lifestyle so here I am picking up the old trading education once more and giving it another go.
In the past two years I have tried trading crypto as a day trader on the exchanges and I was able to make the odd 1-5% at a time, but the market was overall down all year so my investment lost value over time despite my minute profits on each trade. Nevertheless I had a lot of fun doing it.
So today, and over the past week I have returned to teaching myself forex trading as a day trader and I love the learning curve. It is like a strategy game to me, and I feel like a kid having fun all day long. It feels great to not be desperate for money, even though I am broke. My needs are simple and I have so much wealth in other departments that I feel like a wealthy man despite having less money than I have had in a decade.
Money comes and it goes and when you are over the allure of riches and the need for cash to feel blissful in life, then day trading becomes like a game. This is especially true since I train on a demo account, using fake money to practice. The good news is that although the learning curve is steep, I am making progress. And my mind loves the new stimulating study. If ll goes well I will be scalping a few dollars on a few trades daily. And the potential is massive.
I don’t recommend day reading unless you love staring at a screen full of numbers all day long with great attention. It’s not for everyone. And you may lose a bit of money along the way as a novice. But then the greater the risk the greater the reward. I am not the type to give up too easily and I need something meaningful to stimulate my mind so teaching myself day trading is just the right thing for my mindset right now.
When I tried it last year, I lost money and became fed up, and decided top leave it to the experts. But this year I am giving it another go and with greater success, although still in training. I found out some new tactics to add to my arsenal of trading strategies and today made some consistent profits and learned a lot from my few mistakes. So there is hope yet for me as a day trader.
I recommend starting your training on a demo account before actually trying your hand at live trading. The fact that you have money or even talent is not enough in this business. You also need training and practice and experience, so get that on the demo account first. It is helping me in a big way to learn the ropes.
I will keep you informed if I make some significant progress and share some tips in coming posts but for now it is daily training and practice, whether swing trading, intraday or my current favorite – scalping – be sure to study the art of technical analysis as well as fundamental analysis and you too can earn a living as a day trader from your sofa at home online. May the trade winds be with you as you navigate the charts.
(image pixabay)
It's not easy to be a day trader but a good piece of work.
In the beginning you will lose money and will be beaten, and unless you are resilient enough to take the losses and keep trying, you will lose out as do 90% of people. But if you are able to keep trying, eventually you get better at it and can start making profit. I recommend getting a demo account where you can practice all day until you have mastered a particular strategy that suits you before trading live. That is what I am doing now.
It is a steep learning curve requiring hours and hours of attention for days and weeks on end staring at the screen charts. It requires intense dedication and commitment, so is not for most people. It is a specialized skill but I love it and it is quite a rush. Day trading requires months of practice so be prepared to take a few losses in the beginning but don't be discouraged. If you crack it and learn the skill then you have tapped into a gold mine and can earn a living from it.
Start learning to day trade with a free demo account if possible. There you can practice on live charts in real time but with demo money before using your own real fiat currency.