Here's Why You’re Bad At Trading Stocks
3 questions day traders should ask themselves (but don't)
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In chapter 9, we reviewed the terrible odds of picking individual stocks.
At first glance, a chapter on “trading” stocks might feel redundant. But, picking individual stocks and holding them for an extended period of time is a completely different animal than day trading. There are a lot of charlatans that will try their hardest to get you to buy their $3,000 online course that promises to “teach you how to day trade for a living.”
If you ever feel even the slightest inclination to fork over your hard-earned cash for one of these courses, reread this chapter and the evidence I am about to layout.
What is day trading?
As the name implies, day trading is when assets are bought and sold over a very short period of time—often within the same trading day.
Two common financial assets that day traders buy and sell are;
Stocks
Options