Day trading is one of the most demanding yet lucrative ways of making money in the stock market.
In day trading, the primary characteristic is making trades -buying and selling- within just one market day. It can be both exciting and stressful, depending on a trader's skill level and experience.
Strategy plays a significant role in day trading. In its absence, traders might indulge in impulsive decisions that could result in significant financial damage.
Traders have a variety of strategies to choose from- scalping, swing trading, and arbitrage are a few examples. The choice of strategies largely depends on the traders' objectives, trading style, website and risk tolerance.
To excel in day trading, an investor must stay up to date with market indicators and any promising or thunderous news that may impact their trades.
Understanding the psychology of trading is also key to overcoming the emotional challenges that can come with the volatility of day trading.
In conclusion, day trading can offer substantial financial rewards if approached strategically and with discipline. But, it's not meant for everyone- it demands commitment to perpetual learning and managing financial risks.