Investing & Day Trading Education:  Day Trading Academy

Jan 16th Recap: The Fool And His Bets: 7.5pts

Day Trading in India never felt so good.  Sometimes a trader has a game plan that goes perfectly and other times it goes far from perfect.

The market is all about probabilities and as soon as we are able to recognize what the market is doing we are able to quantify that.  It’s important to realize how the market moves in order to understand market structure.  Once this occurs a trader begins to have a deep comprehension of what the market can do.

Investing is the same way which is the reason that we have started talking about investing opportunities around the world.

All of our successful students need a way to save money don’t they? You realize everyone’s taxes went up 2% in the United States correct?

Sadly, I’d like to inform you that day traders don’t officially pay social security but that is besides the point.  Day trading is very similar to investing in that one has to understand not only market principles, but also how they affect the market.  A successful investor has never thrived  following the advice of government reports or cronies on CNBC.

What I relate to software programs and fancy colors on charts.

They understand what has happened in the past and anticipate what will happen in the future.    Investors don’t wait for confirmation or something to reaffirm what behavior needs to be taken.  The identify their challenges and create a model of what potential prospects hold in the future.

When a country starts printing money and buying its own debt it’s a desperate attempt to recover what it has lost.  The beginning of the end. Watch out America there is a reason I visited Zimbabwe to obtain the one hundred trillion dollar bill.

Trillion dollar bill

Today was one of those days in the market where there was a déjà vu moment.  There were trades that were taken that some would consider aggressive or foolish when in fact, they aren’t.

Looking closely and examining the momentum, the trades weren’t so foolish after all because the expectation of the market was in line with the direction of the market.

Day Trading is all about taking risks.  We are, with all respect to the honorable gambling industry, educated gamblers.  By identifying what the market did yesterday (Jan 15th) a bias was created which isn’t necessarily the best thing.

However, the bias was in fact correct because the behavior was the same. If the behavior was the same what can be assumed is that the market will move in the same manner.

The market in fact did move almost exactly to the movement  yesterday (Jan 15th).

By identifying this an expectation can be developed as to where the market is going in an overall sense.  This ladies and gentlemen is what happens when a trader starts to understand how the market works.

No software that tells you when to trade and when not to trade can teach you this.

It’s about being able to adapt to what the market gives you, not automatically assuming what it may do based on previous results.

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