It has come across many people’s mind about day trading for a living. Although some people know that doing this for a living is very risky and that it requires a lot of experience first, there are some people who just dive into it. There are people who are successful at day trading while there are also others who are not. Although most of us would prefer to be on the winning end, there is still a chance for you to end up on the losing end.
Day trading can very well be a source of living if you really know what you are doing. Although most, if not all of the successful traders still lose, they know how to balance their loses or should we say win more than their loses. You see, trading shouldn’t be viewed as simply as a single transaction or single trade that you make. It should be viewed as a whole for a specific span of time.
For most people who hear the term day trading, the first thing that comes into mind are stocks and the stock market. Day trading can be all about the stocks but trading the stocks can be very difficult especially because you have to come up with at least $25,000 just to get started with it. This amount should be deposited to your account in a brokerage firm of your choice. This is just the minimum amount and it is your duty not to let your account have less than that. This just means that you really have to deposit more so that the excess can cover for the commissions as well as the loses you encounter through trading.
The Eminis Day Trading
Not a lot of people have heard about eminis. This is still related to day trading but instead of stocks, you will be trading futures. The great thing about this is that you don’t have to save up $25,000 just to have an account with your brokerage firm. You can start trading with as little as $3,000. Although this low amount can be quite affordable for most who want to go into day trading, it would still be best if you can add more to it. The more money you deposit, the more you can have to trade and the more you are likely to profit or, on the contrary, lose.
Eminis futures are contracts that are traded and there are lots of different eminis that you can trade. The most popular of which is the S&P 500 or the ES. You can buy and sell the futures and the movement of the price between what you sell or buy is what you take home as profit or loss. Aside from that, you will also need to pay the brokerage firm a commission fee. The fees differ from a one brokerage firm to another so make sure to do a lot of research first before selecting a brokerage firm to work with.