Is this how day trading works?

Example Only





I buy $40,000 of shares (26,666) for say $1.50, and say later they go to $1.55 a share, then i sell them. 26,666 shares x $1.55 = $41,332. so i make $1,332 before taxes and fees correct?Is this how day trading works?
Since your example is a penny stock I would say it would be a wild gamble. But if you brought a $15 stock (2,666 shares) you would have a better chance. You are trying to predict the market and many have lost their shirts, pants and everything else trying that.Is this how day trading works?
Yes, you are spot on.





You need a minimum of $25k of cash in your trading account. Many times day traders will borrow a similar amount from their broker to make a single trade.





So typically the first few hours of the trading day are very volatile, often it makes sense to start after 11am. You buy your shares as you have said above, and then sell them seconds, minutes or hours later at a minimal (usually 3-5%) profit. Or you cut your losses, and take a similar % hit.





Given the volume of trades, reporting the numbers to the IRS would be a nightmare. But if you can make it work - good for you.
Yes it is that easy. Do listen to these people. The stock market is doing really good right now and if you do the research you can make alot of money. It also a blast trading and watching your stocks move.


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4. Bid on a stock with how many shares you would like.


5. Make money out of money.





If you really do the research and stick to it, you can really make some money. Its a blast! Ive been using them for a while so if you have any questions feel free to email me at b.alexander68@hotmail.com. It might sound hard but it really isn't.





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Best of Luck
Yes......





But the chance of your ';example'; actually happening involves a level of risk that most thinking humans (with knowledge) would never put themselves into.





Your example makes it look easy. It's not.
Correct, except that generally, day traders post a loss instead of a gain, because day trading is simply gambling.

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