There are many factors that can go into day trading for a living. One factor that can reasonably be considered the most important factor is the capital expenditure. Or, more succinctly put, the amount of money that you put up for your day trading will always be the most important factor.
But, where does this money go? Some may wonder if this is a rhetorical question but it is more urbane than that. How so? Let's explore the full monetary expenditures involved with day trading.
Most people assume that the only money invested is that used in the trade. This leads them to reasonably conclude that the concept of money centers on how much you put into the trade and how much you profit or lose in the trade.
While such monetary expenditures are legitimate, they are not the totality of the money tied up in the trade. In order to truly succeed at day trading for a living, the profits of your trades must cover all costs associated with the venture. This means all business costs and living costs much be covered.
Then again, "covered" may not be the best term to use. Covered can refer to breaking even on the deal. No one wants to work solely to break even. That means your day trading profits must be exactly that - profits which cover all necessary costs.
Surely, you will have utility costs, computer costs, robot trading costs, and research costs that will all factor into your budget. This is to say nothing of the expenses needed in order to survive.
That means all your living expenses such as home mortgages or apartment rent, food, and car expenses all have to be covered. Now, does this seem to ominously sound like a job to you? Well, that is exactly what day trading for a living is!
Actually, it is more than just a job because it has many additional benefits beyond merely working for a living. Day trading can make you independently wealthy and that will surely cover all your costs. This makes the risks associated with day trading well worth it for those that are looking to make such strong profits.
For many, these aspects of day trading for a living come as no real surprise. They are little more than basic common sense approaches to any type of personal income or wealth generation.
However, for those that may be new to day trading or are seriously considering it as a way to make a living, the notion that all expenses must be covered when only using day trading as a source of revenue must be taken into consideration.
Thankfully, the money one can earn day trading for a living can be quite significant. Not only would you need not have to worry about making your monthly expenses, you may not even have to worry about working ever again. Needless to say, that makes day trading for a living an attractive proposition for many people.
But, where does this money go? Some may wonder if this is a rhetorical question but it is more urbane than that. How so? Let's explore the full monetary expenditures involved with day trading.
Most people assume that the only money invested is that used in the trade. This leads them to reasonably conclude that the concept of money centers on how much you put into the trade and how much you profit or lose in the trade.
While such monetary expenditures are legitimate, they are not the totality of the money tied up in the trade. In order to truly succeed at day trading for a living, the profits of your trades must cover all costs associated with the venture. This means all business costs and living costs much be covered.
Then again, "covered" may not be the best term to use. Covered can refer to breaking even on the deal. No one wants to work solely to break even. That means your day trading profits must be exactly that - profits which cover all necessary costs.
Surely, you will have utility costs, computer costs, robot trading costs, and research costs that will all factor into your budget. This is to say nothing of the expenses needed in order to survive.
That means all your living expenses such as home mortgages or apartment rent, food, and car expenses all have to be covered. Now, does this seem to ominously sound like a job to you? Well, that is exactly what day trading for a living is!
Actually, it is more than just a job because it has many additional benefits beyond merely working for a living. Day trading can make you independently wealthy and that will surely cover all your costs. This makes the risks associated with day trading well worth it for those that are looking to make such strong profits.
For many, these aspects of day trading for a living come as no real surprise. They are little more than basic common sense approaches to any type of personal income or wealth generation.
However, for those that may be new to day trading or are seriously considering it as a way to make a living, the notion that all expenses must be covered when only using day trading as a source of revenue must be taken into consideration.
Thankfully, the money one can earn day trading for a living can be quite significant. Not only would you need not have to worry about making your monthly expenses, you may not even have to worry about working ever again. Needless to say, that makes day trading for a living an attractive proposition for many people.
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