Day Trading & Forex Forum

• Giles now you know what trading is, you must decide what are you going to trade. Is it Indices, Shares - UK or USA - commodities, forex, CFDs covered warrants, options, futures? What do you know about them? Do you know what the differences are? What is your experience in any area? Do you own shares? Are you familiar with the jargon? Do you realise the effort it will take on your behalf just to get an idea of the basic terminology Are you aware that 90% of new traders fail? Are you willing to put the time in to do the research?
• What is your attitude to risk? Can you stand losses? How much are you prepared to put into the bank? Are you disciplined? Can you make an unemotional decision? Can you stick to rules? Have you an inquisitive mind? Do you have to know all the reasons why things happen? do you question everything?
• Are you a technophobe? Do you have to have logical reasons for everything? Do you think that if you have the right software then you will be a good trader. Do you have a positive outlook? Are you adaptable? Can you react quickly? Can you listen and learn? There are thousands of financial books on subjects such as stocks, futures and trading. Have you any idea where to start? There are thousands of websites giving advice.  Have you any idea which ones provide free charts and information?
• Do you question peoples' advice and motives when you are offered anything? Do you think that there is a trading system that works? Do you think the more expensive things are the better they are? When you are offered something FREE do you question it. Do you realise there are dozens of people offering the newcomers advice?  Why? For what reason?

Well Giles before you start thinking that trading is for you, you will need to respond to these questions

Finally Giles – have you got what it takes?. Answer these questions before you start to ensure you have some of the qualities required and are aware of the hard work involved in learning to trade.

Giles: And I thought it was easy! I think I’d better get some background before I start. You mentioned some good books.  Which ones would you read if you were a complete novice?

John B: There are many, but here are three which will guide you along the right lines especially number 3 – but that’s just my personal opinion. Others will have their own favourites, but I would invest in these before spending one penny on software. You will find out about yourself – nobody is going to do it for you, the quicker you realise its totally within your grasp, the solutions are in your head and your attitude, then you will be taking the correct initial steps to trading consistency.