How To Start Day Trading? Learn all about trading at CAPEX.com

Before learning how to day trading, it’s important to understand the basics. Day trading differs from traditional investing in that – unsurprisingly – positions are generally opened and closed within a single business day. Whereas investing often involves tying funds up for years in the hope that a stock or commodity will go up in value. Traders, on the other hand, look to make numerous, small transactions throughout the day.

How does day trading works?

The idea is to take advantage of the small price fluctuations that occur across the various financial markets day-to-day. The great thing about trading is that you can bet on an asset price going up or down.

We, at CAPEX, offer an award-winning platform for day trading – something which, if done right, can provide a lucrative income stream. However, we often find that there can be a little confusion as to exactly what’s involved.

As we’ve mentioned, day trading is highly accessible thanks to modern technology and by following a few simple steps, you can be up and running in no time at all. However, we do recommend doing your homework before jumping into the markets – which is why we have put together this guide.

Find a broker

First things first, if you want to start trading then you’ll need to find a suitable broker that can provide access to the markets you are interested in – whether they include forex, cryptocurrency, stocks or any other form of asset.

This step is worth taking some time over and is important to learn how to choose an online broker – after all, there’s no point opening an account with a trading platform if it doesn’t offer the services you need.

Open an account

Once you’ve chosen a suitable broker or exchange, then you’ll need to register and set up an account. This will require you to input a few details, such as your name, address and email. It’s important to ensure these details are accurate, as any reputable platform will ask you to verify them before allowing you to start trading.

You may also find that your chosen platform offers more than one account type. For example, at

CAPEX, we offer five account types to suit every level of trader – from the novice coming to the market for the first time, right up to the professional making numerous transactions every day.

Research your market

If you want to put yourself in the best position for success as a trader, then you need to do your homework. It’s fair to say that day trading has a fairly steep learning curve – not only do you need to get to grips with complex trading tools, you also need to learn which factors affect your chosen market.

Fortunately, platforms like ours at CAPEX often provide invaluable information resources to help you learn how to start day trading. Our CAPEX Academy, for example, can tell you everything you need to know about the various financial assets available, as well as give you an overview on different strategies and approaches to day trading.

Make a Plan

Once you’ve set yourself up with a day trading account it’s a good idea to take some time to set up a basic plan of action. This doesn’t have to be anything complicated – it can be as simple as coming up with a weekly schedule and budget. You might also want to start by focusing on a particular market until you have learned the basics of day trading.

Start making trades

Once you’ve opened an account, done a little research and come up with a basic trading strategy, then you’re ready to enter the market. Don’t forget, at CAPEX we do offer a demo trading account, so if you are still a little uncertain on exactly how to start day trading, you can always make a few practice ones first.

If you are looking to start day trading then you will of course need to find a reliable broker or exchange that will allow you to access the market(s) of your choice. This is a decision worth taking some time over and we think, at the very least, the following considerations are essential:

Licence and regulation

Only ever consider using brokers or exchanges that have the necessary licencing and regulation credentials to operate in your jurisdiction. If a platform holds a licence, then this means there is a degree of accountability and protection for you as a user. Any reputable firm will make their licencing information freely available. For example, here at CAPEX, we display details of multiple licenses in the footer of our website.

Customer service

Even the most experienced trader needs help from time to time, so it’s important to check that your chosen provider offers adequate customer support. Ideally, there will be multiple ways to get in touch and help should be available in your language. Given the nature of day trading, it’s also important that you can get in touch in real-time – such as via webchat or by telephone.

Account options

At CAPEX, we realise that not every trader has the same objectives or level of experience. That’s why we offer multiple account types, to ensure our users can find a package that suits them. If you’re looking to start trading, then having options when it comes to your trading account can help you keep costs down and get access to appropriate trading tools.

Trading platforms

In addition to different account types, it’s also important that a platform offers more than one trading platform. For example, a novice trader might prefer our CAPEX web trader, whilst those looking for more complex charting options might want to use the MetaTrader 5 platform. It’s also worth noting that some trading platforms are better suited to particular markets than others.

Register

Register an account on CAPEX.com and start trading.

Verify

Send over your documents and verify your account.

Deposit

Login into your CAPEX.com account and deposit money.

Trade

Start trading with CFD’s and over 2100 other instruments.

Register Account