Trading is difficult without the proper day trading tools. This list of day trading essentials will help guide you on your journey to success. Everything listed is what we as professionals use everyday in our work. The best stock scanner is Trade Ideas, Benzinga is the best breaking news site, and TrendSpider has the top automated charting platform.
In this digital world you need a computer set up for almost everything. As a result, a solid basic system will be able to get you by although you will be limited.
Having access to a stronger computer will allow you to work in the markets more efficiently. In fact, a stronger system will have less lag and allow for more monitoring space when combined with multiple monitors.
Along with computer space, you must think of how many monitors you wish to watch. However, if you’re only trading two or three stocks a single monitor is going to be fine. Yet if you are a more active trader the extra monitor space is an asset.
It’s a strong belief in the trading community that a minimum of two monitors is optimal. However, having a large array isn’t necessary and at time’s can be a bother. As a result, find what works best for your and your style.
Two monitors allows you to have split your work into easier to mange areas. With a laptop setup you can run a portable monitor to enhance your screen space for extra productivity.
Being a day trader we react to the most current market movements. Hence, having day trading tools like a dedicated news source (typically paid for) allows you access to breaking news quicker. This can be anything from Benzinga Pro, Fly on the Wall, as well as a number of other instant news sources.
Having access to the most recent news will allow you to position yourself in a better manor to make a profit.
Now fast news isn’t everything, it needs to be fast quality news. In fact, old news can be just as detrimental as getting a bad entry with a trade. The market swings in a matter of seconds not minutes. Simply put old news is not good news.
I highly recommend Benzinga Pro or Fly on the Wall as day trading tools. If you take a look at the Black Box trading system that we recently ran a trial for, you’ll see you get a subscription to Fly on the Wall with their service.
Quality education will yield satisfying results. Regardless of your trading level being able to reference historical data or learning material will be an asset. Now educational data is not only basic chart patterns and terminology. It’s any previous experiences you have written in your trading journal as well as courses you’ve taken which you can reference for day trading tools.
Historical data can include SEC filings or pricing data. In fact, all these things are historical resources that will be essential to long-term trading. As a result, if you’re just beginning your journey to becoming a full-time trader then educational resources will be your friend.
Check out our candlestick E-book (it’s free) for the first steps. In fact, we have advanced courses, beginner courses, and an active chat room that’ll grow your skills every day. Take it from experience, you never stop learning; especially when it comes to the market and day trading tools.
The digital trading platform is the Holy Grail for modern traders. It gives a level of access to retail traders that at one time was not even conceivable.
Modern technology has allowed us to become very wealthy from home. As a result, using a standard computer and the right kind of educational resources allows you to grow your wealth in a very feasible time frame.
There are hundreds of trading platforms in the world. The primary trading platforms that much of the Bullish Bears community uses are the ThinkorSwim (ToS), CMEG, and Interactive Brokers. However, this isn’t to say that these are the only trading platforms you should use. They are however, extensively well tested and know in the industry.
Regardless of what platform you go for, you need to have a thorough understanding of how it works. For example, order fill times, availability for options, and shorting capabilities are all questions you need to ask when choosing a platform. A platform’s value can be assessed through these main attributes.
We have several blog posts that cover many of the different trading platforms. Check them out and make the best educated decision for your trading style as as well as day trading tools.
Having a trading journal of some sort is going to allow you to track your progress throughout your journey. A self reference will help identify your flaws as a trader and what to build on. The trading journal let’s you step back in time, see how far you have come and what pit falls to look for in the market.
Many traders buy a dedicated trading journal. My preference is the Trader’s Almanac you can find it here. Others decide to just use a simple notebook. Regardless of what you decide to use, you need to have something to track your progress and keep things organized.
Writing down your P/L will help track the account. Yet keeping an accurate recorded of what thoughts you conjured during a trade can be a path for building on. Knowing these things will let you target the emotional areas you struggle with then work around them.
Keeping this journal as a token of your achievements can bring an unexpected amount of joy. Allowing you to see how far you have come as a trader from your first days.
No matter what you decide to get first, you need to have a few basic things. A solid trading platform, a solid trading computer, and a solid trading journal/education. These are the tools of the trade. Without them you are doomed to fail time and time again.
Finding what works best for you will take time. Everything will fall into place as you continue your journey. Figuring out what tools work best for you and your style are part of the process. The trading journal will evolve as you become a trader, having more concise entries versus when you begin.
Your platforms tend to evolve as your style evolves. The same is true for news services as some do outweigh others. Finding what delivers the kind of news that you are looking for to mold your trades around.
To learn more check out our other blog post here and check out our courses to start your journey.