Making money in a recession is no easy task in any profession, finances tighten up and trying to make sales is close to impossible. Jobs are scarce and being laid off or losing your own job can be detrimental to anyone. Making money in a recession is hard enough but I would like to throw an unorthodox idea into your mind.
What about making more money in a recession than when things are going great?
I kid you not when I say this is what I do for a living when I day trade. I do not wish bad things upon the world but in the current world of uncertainty I can do better with my day trading business than 10 years ago when things were doing great. It’s not complex to understand exactly how it works so for the newbies out there I will explain how this works with the stock market.
The Stock Market
The stock market is simply a medium of exchange between buyers and sellers, think of it like Ebay or a garage sale. The only difference in the stock market is that you are buying and selling pieces of your livelihood; your retirement, live savings, kid’s college fund, and even investments. The actual tangible product that you are buying are pieces of ownership in companies, companies get better and worse with time which is why people buy and sell stocks.
Because these same people are buying and selling stocks that are tied to their livelihood, there is emotion that controls the stock market. When your making money you don’t panic or even worry, if you put your money in a product and it makes you money every year everyone is happy. If your livelihood depends on this product and it’s losing money then you may sell it lower than you should.
Your going to BUY when you SHOULDN’T and SELLING when you should be HOLDING.
You might buy it back at a lower price and try to sell it at a higher price only to have to sell at another loss at the end of the day. Understand where I am going with this? You’re going to get nervous and make stupid decisions.
Making Money in a Recession with Day Trading
Since the masses make these decisions the stock market goes crazy. When people’s emotions are involved there are more decisions being made and irrational decisions at that. Have you ever noticed how easy it is to destroy something compared to actually building it? This principle applied to the stock market as well. Since people are afraid that market moves a lot faster when it goes down than when it goes up.
As a day trader there is one thing that I need to make money, movement. The best thing about day trading is as long as the market is moving up or down I can make money. When the market gets erratic and things are bad in the world the market moves much faster than when we aren’t in a recession and the economies around the world are growing.
I was born in a third world country and had to work hard when my family moved to the United States. In order to start living the American dream I started working at 12 years old and had 4 jobs by the time I was 16. I wanted a live with complete FREEDOM, that is my American dream, complete and absolute freedom.
I got into day trading just before college and was working full time, going to school full time, and I didn’t sleep roughly 2 or 3 nights a week because I was practicing my skills with my new day trading indicators to try and make my dream come true. Ten years later I have traveled to about 50 countries, share my stories via my travel blog, and day trade around the world. If I can do it, if a 60 year old man can do it, there is no reason why you can’t do it.
Click here to learn more about my day trading story.
Expectations for 2012
I have been indirectly exposed to the world of finance and working directly in the finance industry via day trading for roughly 15 years (about 10 are day trading). I anticipate the world situation to get worse, not better. By understanding some of the concepts that I have mentioned in this post we can come to the conclusion that my lifestyle will only get better. I say lifestyle because day trading is a lifestyle, not a profession.
I started coaching and training other people that want to learn how to day trade via this day trading academy website. If you are interested in learning how to change your lifestyle sign up for the email list below, we will catch up on where I am in the world and learn how I am personally training someone to day trade:
I came upon your site followig an email from Ninja Trader that highlighted your partnership with them, and was pleased that I did see your site. The freedom to travel and trade is certainly one that I aspire to and looking at your charts it all looks so easy !
I realise that of course this is not easy – I have been trading (read learning) for around 6 years and still do not have the consistency to make a good living from this – my trading is up and down with little consistent profitable days.
I would therefore be very keen to learn your strategy and and learn to be profitable.
I look forward to hearing from you.
Hi Daryl its great to hear from you… I just got your email about the three people that I am accepting into the training program. I just replied would love to chat with you sometime, let me know if you have any questions