What’s the Secret to Day Trading?
The goal of trading is consistent profitability that significantly outweighs loss and trading-related costs. Income surplus, lack of debt, and financial independence are dreams for most people. Understandably, trading draws many people in due to the relatively low cost and requirements. Many people have personal computers capable of running day trading software. The main financial requirement is qualifying for a brokerage account, but with the MES (Micro E-mini) and other more-affordable instruments, things have become more accessible.
This can be a double-edged sword. On one hand, many people want to find the secret to day trading or expect that hard work will pay off as it has in regular occupations. This is not the case. You can spend months perfecting your trading strategy all to have it wash away with months of new, seemingly chaotic price patterns. What good is an income source of it’s unstable? That is true – day trading can never be guaranteed stability because the next fluctuation of price has degrees of the unknown. No one is going to tell you that price will move by five points in the next 10 minutes with 100% confidence unless they are liars, insiders, have a time machine, or access to some special technology most are unaware of. And if any of these are true, why would they share their trading secrets with you?
The best option traders seem to have, considering time is always a factor (especially when looking for ways to make money), is to go with trading systems that have stood the test of time. Also, it is important to check out reviews to see what people are saying. In this industry, it is common to see many amateur trading operations pop up and disappear within weeks or months due to a system performing poorly or the business not following industry regulations.
In the videos above, two price action trading systems are reviewed that have been around for a while: the Trade Scalper and Atlas Line. Look at the multiple days and the outcomes. Did price actually drop as predicted by a Short signal? Did price actually rise as predicted by a Long signal? How often does this happen?