Day trading refers to the buying and selling of financial instruments like currencies, stocks or futures contracts, on the same trading day. This type of stock investment involves a lot of risk. Day traders carry out day trading by purchasing and selling stocks rapidly on the same day.

Securing quick profits through day trading is based on the hope that the value of the stocks will continue to rise or fall in the short period when the stocks are held, before being sold. Some feel the traditional rule of settling the trade before the market closes, may go against the market wisdom of letting the profit run. However, this helps the day traders in avoiding the risk of price gaps. Price gap refers to the difference of price between the last close and the opening next day.

Profit Making Through Day Trading Online

Day trading can be very profitable due to the rapid returns. Traders willing to take high risks generate huge returns with day trading. Earning huge profits takes a couple or minutes or hours. The advancement in technology and electronic communication, especially the Internet, has contributed a lot to its popularity in recent years. Initially, day trading was limited to professional traders of financial firms. It used to be a marginal form of trading stocks for the elite group of private investors. Today, even casual traders indulge in day trading to make a profit. Popularity of the Internet has triggered off the swift flow of information, at a click of the mouse, making day trading all the more easier to execute.

Online Day Trading Strategies for Quick Profit

These are five day trading strategies that every trader should keep in mind:

Follow the trend: Usually, day traders assume that the steady rise in financial instruments will continue to do so and vice versa, in the case of a decline. All trading time frames use ‘trend following’. Trend followers purchase a rising financial instrument or they sell the falling ones, short. This is done with the assumption that the trend will continue.

Range trading: In this strategy, rising as well as falling stocks are brought near to the lowest identified price and sold, once it hits the upper range.

Scalping: This strategy is also referred to as spread trading or quick trade. It involves the settling of trade within a few minutes or even seconds.

Playing news: The playing news strategy is considered to be most popular in the realm of day traders. It involves the purchase of stocks that offer good returns and selling of stocks with bad returns. The implementation of this strategy provides a good opportunity for quick profits.

Despite of the profit making strategies and popularity, day trading is not easy. It involves huge risk factors and according to statistics, 80-90% of day traders lose money in day trading and only 20% gain. It is an expensive and stressful, full time job, but if you are disciplined, a quick decision maker and can maintain good risk and money management, then you have strong chances of earning profit by day trading online.

Forex trading has fast become one of the hottest topics around these days as a way for people to invest and get rich. But is forex trading really an easy and surefire way to grow rich or is it just another risky venture? Undoubtedly, there are key fundamentals that anyone interested in forex trading should know before even attempting it.

Forex, also known as "FX" for some, is short for foreign exchange. Forex trading doesn't get in the big press like stocks, options or commodities trading. However, it is the biggest market in the world and it presents investors with an amazing opportunity for profit.

Forex trading involves the buying and selling of currencies between various countries. This is unlike stocks or commodities trading where money is used to buy a certain stock or commodity. In forex trading, you either make or lose money based on the exchange rate between a pair of currencies.

Unlike other forms of trading, forex trading is not investing in any single company or even a group of companies. Forex trading is the investment in the economy of a nation. What you are doing in forex trading is laying a bet that the overall economic wellbeing of the first nation will improve in relation to that of a second nation.

Let’s take for example that you are analyzing the Japanese Yen and the US Dollar. The research you did seems to indicate that the US dollar is quite undervalued and is going to rise in price, while at the same time you anticipate that the Japanese Yen will be dropping in value. Then now would be a time for you to execute a trade to buy US dollars and sell Japanese yen. If your predictions are correct and the US dollar rises in value while the Japanese Yen drops, you will turn a profit!

Now, you may be asking: “Is forex trading really that simple?” In actual fact, it is not as simple as that. The prices of different currencies are amazingly difficult to forecast because there are a lot of factors that can contribute to a change in exchange rates. One of the most important aspects to remember in forex trading is that you always trade in pairs of currencies. You will always buy one currency and sell another, so in order to make an accurate decision, you can not just look at one nation's economy; you need to look at both.

Obviously, there is no need for you to limit yourself to only one pair of currencies in forex trading. There are dozens of different currencies to choose from on the forex trading market. However, if you are a beginner in forex trading and is just starting out, I would strongly suggest that you stick to the seven major currencies:

USD - US Dollar

GBP - British Pound

EUR - the Euro

CHF - Swiss Franc

JPY - Japanese Yen

CAD - Canadian Dollar

AUD - Australian Dollar

It is highly advisable for small investors to concentrate their forex trading on just these seven major currencies. Gain a good understanding and knowledge of the economy of these nations and their currency movements and you are well on your way to forex trading success.

Have you seen an offer for stocks and shares trading software that seems to be too good to be true? Chances are you're absolutely right!

Like most promotions that promise the easy life, with you sitting back after an hour or so at work in your pyjamas while the dollars come rolling in, it's probably another scam. Share trading scams are more common now that so many of us have internet access though many variations have existed prior to the internet. One of the more modern versions would have you spend up big on a special software package that analyzes stock market data. This data is either input by you from a newspaper or is input by the promoter after you connect to their system, the software then analyzes that data and makes recommendations on which buy or sell trades to make for the day.

Often this expensive software package turns out to be little more than a dressed up spreadsheet, which you could probably have put together yourself. Worse, after using the package for a while it dawns on you that you would need to make many thousands of trades, have very deep pockets and also a whole heap of luck in order to make the sort of returns the promoter sold you on. Remember that stock market trading patterns of the past, while often a useful guide, are in no way a prediction of future market movements!

Worse again, you may find that you have been steered to use a 'recommended' broker, who of course benefits from each buy or sell order you might make in the form of the brokerage you must pay. What's that you say? The broker and the promoter are related businesses or are jointly promoting the software? Now there's a surprise!

There are a few variations on the theme such as software for gambling on the outcome of horse races. The software produces a recommended betting strategy based on all the horses recent form. Save yourself the cash and all that data input and just go see what your newspaper says instead. Newspaper tipsters work with the same historical data and are at least as accurate!

As with all work in your pyjamas type scams, the usual warning signs should set the alarm bells ringing in your head. Does it sound too good to be true? Are there lots of glowing testimonials from happy customers, none of whom can actually be identified and contacted?

Stop and think - what are you being charged for software or access to a system? What are the ongoing costs after you opt in? Why is the promoter selling this excellent package? Shouldn't he be lying back on a beach somewhere instead of spending his time marketing?

With the growth of the Internet and its accessibility to the general masses, every FOREX broker maintains a software package for his clients to transact and get information about market prices online. With the increasing popularity of online trading with traders, the FOREX brokers are improvising their tools keeping in mind the clients needs in terms of software tools.

The two basic types of the FOREX trading software are - web based and client based. Since the most crucial functionality of the online trading tool must be the ability to provide market information at real time and updating it in the flash of a second; the software must be able to perform with minimal processing delay and must be accurate to deliver the entry and exit points for the trade.

The web based software is the one which is on the broker's website. There is no installation required on the client’s computer. The client based software is the one which is first downloaded and then installed on the client’s machine which is in synch with the broker’s. The web based client software is considered to be more popular due to their convenience, safety and reliability characteristics as the users can log in to them using their unique account from any computer and from any location over an Internet connection. Whereas the client based software has the restriction of using one chosen computer for every trade.

Another mandatory requirement for trading software is security or protecting the user’s critical data over the net. In the web based software the user information is secured with high-strength encryption to prevent viruses, intruders or hackers to access or modify the user’s data during transmission. Although the client based software is also secured during transmission, it has the shortcomings of the usage of a single trader’s computer and hence the possibilities for data loss are higher in this case.

The FOREX software is aided by a series of data servers which hold the web site content and user transactions. These servers are reliable in securing the user information and data integrity and ensure accurate transaction processing. Since servers are subject to power outages and natural disasters, at least two sets of servers in separate locations are maintained to ensure maximum uptime and data backups guaranteeing the integrity of the user’s financial data in case of server failure.

One of the problems in online trading software/tools is the processing or the data transmission delays. There are a number of factors that result in a delay in data transmission for software like Internet connection speeds and the physical distance between the client machine and main server. To avoid these obstacles in trading the FOREX traders should have a reasonably high-speed modern computer and a fast paced stable Internet connection to ensure the full functionality of the FOREX software offered by their broker. Also the broker must be chosen in the same area as one’s trading place to avoid the delays in this extremely volatile market.

Most popular trading software have integrated charting functions with a variety of viewing functions facilitating the access of real-time price quotes for most currency pairs and they allow the trader to buy or sell at market prices or enter and exit the market using stops or limits. Some brokers offer advanced packages like the ability to trade directly from the chart and full analytical functions in their software for a monthly fee.

Technical analysis may be used as either an alternative to or as a supplement for fundamental analysis. Technical analysis looks at the past performance and history of an investment. It relies on data showing this history and current trends and patterns to make predictions of future market activity. It ignores the intrinsic value of the investment in favor of its statistical abstract.

The Forex market lends itself to technical analysis rather well. The history of the value of currency pairs is a matter of statistical record and can be easily accessed. Its supporters claim it is the only sure way of understanding the market and predicting its future. This is especially true in the Forex market. Fans of technical analysis say that the economies of modern nations are so very complex that they can not be accurately predicated. It is only in the study of the past history of the currency and the trends that are revealed that a possible glimpse of the future be found.

To better understand the difference between fundamental analysis and technical analysis consider this example. If you were interested in determining what flavor of ice cream was the best to buy, the fundamental analyzer would go into the ice cream store and try several different types. He seeks its intrinsic value. The technical analysis man would sit outside the store and take notes on the flavors others are buying to decide which was the most popular and therefore most likely the best. He does not look at the intrinsic value, but relies on the data he gathers from others to make his decision. Of course, in the end, it is going to be his own preference that settles the question, and this is true of the market. Both fundamental analysis and technical analysis are mere tools that help you make the decisions that in the end only you can make.

Forex trading holds significant differences to stocks trading. Understanding these differences will aid a trader in deciding the right market to enter. Forex trading itself has several advantages over stocks trading and is ideal for the beginner and individual small investors.

1. Low Transaction Costs for Forex Trading.
There are no hidden fees for forex brokers as they are not paid by the traditional commission based fees. The fee paid to the forex broker is calculated directly from the trade in the form of the bid ask spread. In forex trading, the spread is the difference in how much you pay for a currency and how much you sell it for. This spread is commonly expressed in "pips" or points.

2. Forex Trading is a 24 Hour Market.
Forex trading can be done anytime of the day, the forex market is open for business twenty-four hours a day. This is considered a huge advantage for individual small investors who are just starting out forex trading in their spare time. This allows forex traders to juggle their schedule around their trading opportunities; they can schedule their forex trading when it is convenient for them.

For those of you who are night owls and prefer to trade at 1am, then forex trading is just right for you. Depending on where you stay, there are banks opposite the globe open for you to trade.

3. Fast Trade Execution and High Liquidity in Forex Trading
Trading forex means that you are trading in cash. No other form of investment has more liquidity than cash and as such, trades are executed almost instantly. There is no lag time in forex trading.

4. Having Leverage and Margin in Forex Trading
One of the significant advantages that forex traders have is the ability to trade on margin. This gives them a huge leverage in their trading and presents the potential for extraordinary profits with relative small investments. Let’s take for example; with a forex broker that allows a margin of 100:1, you can buy $100,000 in currency with only a small $1,000 deposit. A word of caution for the uninitiated, leverage can go both ways and may lead to large losses if you are not careful.

5. Forex Trading Requires Only a Small Sample to Study.
Stocks trading present thousands upon thousands of stocks to trade. Small and large companies, international companies, newly issued IPOs etc. It is highly impossible to follow them all.

Forex trading, on the other hand, presents only seven major currencies to follow so that you can devote more time to each of them. Many successful forex traders do not even trade in all seven major currencies; they just choose three or four and master them to achieve success in forex trading.

6. No Bear Markets in Forex Trading.
In forex trading, since you can trade either short or long, you will be able to make money whether the prices go up or down, that is if your predictions are accurate of course.

7. Forex Market is Not Easily Influenced.
The forex market is so amazingly huge that no one individual, bank, fund or government body can influence it for a long period of time. Forex trading is the opposite of stocks trading where one negative television appraisal of a company's stock could possibly send it into a tailspin.

Based on the above advantages, forex trading is a clear winner for the beginner and individual small investors. If you are deciding on a form of trading to enter and master, then forex trading is the choice for you.

So it's called "Electronic Currency Exchanging" or "e-Currency Trading".

E-Currency is simply it’s own form of currency that has been developed and utilized on the Internet. It's also known as 'Internet money'.

You probably haven't heard of "E-Currency Trading" before. Simply put, E-commerce (commerce on the Internet) has really only started to grow in the last 2-years. This has caused exponential growth in the use of e-currency, and therefore, more people are getting involved, and greater profits are being made for those who invest.

For a long time E-Currency Trading has been a simple but secret 'money pipeline' for a few 'in the know' people. But all this is about to change. And you'll discover why in just a moment.

But first, let me say that this is NOT Forex, HYIP or Day Trading of any sorts. (And don't worry - you don't need to know what those systems are).

E-currency trading is a relatively unknown business. It's not something you'd read about in a home business magazine. Truth is, not many people know about it. And that's why the few who do, are raking in all the profits! (You can too. Read on to find out how).

What's more, you DON'T need to understand all the details of this business in order to profit from it. Do you think Bill Gates knows every thing about software? Of course he doesn't. But he's still made an utter fortune from that business!

I'm sure you can see my point. The simple truth is ... You really don't have to understand how this business works, in order to profit from it.

There really is only one thing you need to understand. And that's the simple instructions I give you. And they really are simple. I mean, if you can cut-and-paste, then you'll have no trouble following these easy instructions.

Now, let me take a brief moment to explain how it works ...

How E-Currency Trading Works, And How You Can Make Money While You Sleep ...

In a nutshell, you're investing in an "e-currency" which is actually a type of shares. They are referred to as, "Currency Exchange Companies" and they're located in the US and around the world.

By buying these 'digital shares' with your money, you are providing the liquidity (hard cash backing) to allow the e-currency company to trade in the marketplace.

The company that you're temporarily "lending" your money to is able to borrow funds based on the dollars you make available to them. You then share in a proportionate amount of the commissions from the transactions they make (which is how you make money).

I like to use the analogy of the currency exchange booths at International Airports. These companies make money from transactions. It doesn't matter which way the currency markets move, as long as transactions are being made, these companies will always make money.

For example, a customer wants to exchange his US dollars into Australian Dollars. Whether the US dollar is higher or whether the Australian dollar is higher doesn't matter. The company takes a percentage of the exchange, whenever they take one currency and exchange it into another.

These companies need a constant flow of different currencies into their booths, in order to exchange them for their customers.

E-Currency Exchanges operate the same way. They trade in the many different e-currencies, and they need enough currencies in order conduct transactions for their customers.

If you supply them with the money they need to be able to get these currencies, then they will share the profits they make with you.

Truth is, once they have your money, it never 'physically' travels anywhere. The E-Currency Exchange simply uses your funds to make the exchanges happen but your money never leaves your account.

I have done a lot of research trying to find the right program to assist me in my dxinone journey. You could start yourself but you would be missing out on profit exhilarating techniques. I highly recommend you visit my site, I'll show you the best program to get started!

Building passive income is something that everyone wishes they could do, some people will spend countless hours and thousands of dollars searching for that one passive income opportunity.

Sadly most people never find it. In the end they get know where fast, and think everyone and everything is out to get them and their money. Well that isn’t totally true.

There are some real passive income opportunities out on the web. You just have to know where to look. However I am going to do the hard part for you and tell you about a great passive income opportunity that I am currently using to create a nice monthly income.

The passive income opportunity that I am currently raking in the money with is the e currency exchange program. That’s right you herd me correct. E currency trading has been around for years, and is a global business waiting for people like you and I to profit from it.

Most people have no idea what e-currency trading even is. This is why you might not have herd of his passive income business before. So few know about it, but it is by far one of the greatest ways to make a passive income online.

In the e currency system you can earn anywhere from 1 – 4% daily on your account. The money in your account will then compound every day for as long as you stay in the e-currency exchange program. At anytime you can withdraw money for spending or whatever you please to do with it. It’s that simple.

Had enough of the stock exchange? Tired of options? Perhaps then the foreign currency exchange market, or Forex, is something you should consider. The Forex market has exploded in popularity recently and is by far the largest trading market in the world. How, then do you get started in this potentially lucrative arena?

The first thing you need to do is get some education and knowledge on how the Forex market works. There are several good books available on the subject, while the Internet also has many good resources available for the novice Forex investor. Once you feel that you are ready to begin trading Forex you need to find a broker to handle your transactions. Fortunately, most brokers on the Internet allow you to practice trading with play money so that you can experience what it is like to trade Forex without risking any real money. They usually also provide some instructional resources and software tools to help make your trading easier. You should be sure to check that your chosen broker has registered with the Commodity Futures Trading Commission.

Getting your account ready is similar to registering with your bank. You will need to fill out a form of your details and provide the broker with some identification to prevent fraud. The broker may also want to draw up a margin agreement. This allows them to step in if the think you are making a trade that is too risky. Then, depending on what your starting capital is you will choose an account size to open with. These can range from anything from around $250 for a mini account to a few thousand for a larger account.

Once your chosen account is funded you are more or less ready to begin trading. Trading is commission free but you should still be careful never to risk more than you can afford to lose by always using stop-losses to limit damages should things go wrong.

Online foreign exchange trading occurs in real time. Exchange rates are constantly changing, in intervals of seconds. This is what makes Forex trading such an exciting ride.

Quotes are accurate for the time they are displayed only. At any moment, a different rate may be quoted.When a trader locks in a rate and executes a transaction, that transaction is processed with immediate effect and the trade is completed for whatever profit (or loss) the user has made.

As rates change so rapidly, any Forex software must display the most up-to date rates otherwise the user may not achieve the level of profit they were expecting. To accomplish this, the Forex software is continuously communicating with a remote server that provides the most current rates.

The rates quoted, unlike traditional bank exchange rates, are actual tradable rates. A trader may choose to “lock in” to a rate (called the “freeze rate”) only as long as it is displayed. This means that if you see a rate on-screen that you want to trade at, once you hit the button to commence the transaction you will receive that very rate that was on-screen.

The Internet revolution caused a major change in the way Forex trading is conducted throughout the world.

Until the advent of the internet-Forex age at the end of the 1990’s, Forex trading was conducted via phone orders (or fax, or in-person), posted to brokers or banks. Most of the trading could be executed only during business hours. Additionally it was only major players such as banks and governments that were able to get involved, it was a highly lucrative but highly time-consuming business.

The Internet has radically altered the Forex market, enabling around the clock trading and conveniences such as the use of credit cards for fund deposits. The Internet has also opened the door for the average person to be able to join in the fun. Previously it took thousands of dollars just to open an account, not it needs less than $100 to start trading.

In general, the individual Forex trader is required to fulfill two steps prior to trading: • Register at the trading platform (Click here for the best broker reviews) • Deposit funds to facilitate trading

However, many online Forex market makers require the download and installation of software specific to their own trading platform. Consequently, accessibility is limited to those terminals that have the software. Since Forex trading is borderless, and may be performed at any given time, it is obviously advantageous to have access to trading from as many locations as possible.

Certain Forex Brokers have a completely online system that can be used from any PC with an Internet connection. This means that you never need miss an opportunity to trade Forex. Opening a Forex account has never been easier and trading has become second nature to many thanks to the various strategy and training services available.