Why should you start trading stocks?
Some people may give you a list of reasons of why trading stocks isn’t a good idea. While trading stocks isn’t for everyone and there are negative aspects, there are also several benefits as well. Here are just a few great reasons you might want to consider day trading stock.
One of the biggest draws for most people is the fact that stocks trading allows you to work from home and make your own schedule. You can set the hours and days you want to work. You also aren’t held accountable to a boss. If you’re a self motivated type of person, this could be great for you. However, if you need someone to keep you on track, it could be a problem. You’ll need to make sure that you can manage your time and stay on task before you decide to make day trading stock your full time business.
Another great reason people are trading stocks is the income potential. While not everyone makes huge profits, there are few people that make a comfortable living with day trading. Unlike other home businesses, there are very few costs with when trading stocks, so most of the money you make will be pure profit. Of course, you can use this money for personal expenses, or you can reinvest it to make even more money.
The next benefit of stocks trading is that you have complete control over your finances and trades. You get to decide which stocks you want to trade and which ones you want to pass on. You also decide how much money you want to invest, when you want to buy, and when you want to sell. Having control of all of these things can be much more comforting than worrying about someone else making your financial decisions.
Unlike long term investing, you don’t have to worry about what happens to your investments overnight. With day trading, everything is settled before the night is over, so you don’t have to worry about fluctuations in the market overnight or losing money. Along these same lines, day trading allows you to see instant results. You’ll be able to see if you’ve lost or gained money practically instantly. The only downside to this is that if you don’t work for a day, you’re not going to make money that day.
As mentioned before, there are some down sides with stocks trading. You can lose a lot of money if you don’t know what you’re doing, you don’t make money when you don’t work, and you have to be self motivated. Of course, there are also the great benefits listed above. You should weigh both the disadvantages and benefits to decide if stock trading could be a good option for you.