Any minimum number of trades required to enter in a day?

[echo13]

Hey,anyone knows if there is a minimum number of trades that a trader (not retail,self-employed etc.) must enter during the day? Or can he only enter two,three trades a week,eg. swing trader?

 

[TradeSelector]

Hi Echo13,
How many trades a trader enters trades per day, per week, per month, or per year is entirely down to the individual trader. In fact it would be an extremely dangerous position to be in if you HAD to enter a minimal amount of trades day!
The only issue you are likely to have around trading frequency would come down to your choice of broker. For example, some brokers will offer better rates for a certain frequency of trades placed, and may waive charges if you meet a certain level of trading. This has more to do with how they figure out what to charge you than anything else though, and you should certainly never EVER feel pressured into trading more often than you feel comfortable with.
If ever a broker does make you feel this way, then might I suggest looking for new one!
Hope that helps, Matt.

 

[tomorton]

You might look at it another way - how many trades should a trader have OPEN simultaneously? I'm no genius but in my experience, it's possible to review 20 charts and in the next 5 minutes find an entry point on every one, long or short, over greater or shorter time frames. But then you have to find their exit levels, keep these under review, and manage the position and risk etc. etc. on all 20 - great territory for running into a ****-up.

 

[TradeSelector]

You might look at it another way - how many trades should a trader have OPEN simultaneously? I'm no genius but in my experience, it's possible to review 20 charts and in the next 5 minutes find an entry point on every one, long or short, over greater or shorter time frames. But then you have to find their exit levels, keep these under review, and manage the position and risk etc. etc. on all 20 - great territory for running into a ****-up.

Yes that's very true. Trade management is in fact the primary reason I set up 90% of my trades using a trading system and let it take care of a lot of the calculations for me in terms of entries, exits, stop positioning, etc. Of course I still have to think pretty hard about certain situations and always keep risk at the forefront of my mind, but in general this approach makes trading a large number of positions a whole lot easier to handle. Each to their own of course though - trading is always about finding out what works best for you.

 

[echo13]

Thanks for your replies guys!
Does this apply to traders in investment banks as well? From what i heard,they do a round-up on their trades of the day,like what went wrong etc.