 Imagine you're constantly seeing your money going up and down up and down up and down because you're trading on lower time frames You're constantly watching the markets go up and down up and down up and down and you're seeing your money go up I'll open up and guys before you know it, you know your heart rate is beating and before you know it You'll be you become hyper tensor. Hey guys, so in this video I'm gonna be talking to you guys about the truth behind day trading Like most of you guys that are joining the for its market for the first time a lot of you guys are probably Lured into the market because you hear day trading is such a glamorous thing to do Personally, I'm a trader. I've been doing this thing called FX training for about eight years now So I'm gonna be not speaking to you guys today about the truth behind day trading. Is this something that you really want to be doing? Is it something that you want to quit your job and do full-time and are the brokers lying? Okay, the way they portray the ads is really true Are you gonna make all this money from day trading? So like I said guys in this video I'm gonna be speaking to you guys about the truth behind day trading if you're interested in finding out the truth behind day trading I suggest you stick around till the end of this video. Hey guys and welcome back to my YouTube channel My name is Dapoulis now Like I said earlier today, I'm gonna be speaking about the truth behind day trading now Like I said this video is for people who have seen ads about day trading I've seen very nice and flashy videos on you on YouTube as the people are portraying themselves to be day traders In quotes driving nice cars and stuff like that. Now the question is should you be doing day trading? Is day trading as simple as people make it seem so like I said in this video I'm gonna be covering that but before I get into the juice of this video Please do me a little favor kindly subscribe hit the subscribe button so that you know you guys can continue watching really nice videos From my channel and hit the bell button Notified anytime I drop a video and of course you can drop me a nice comment as well just to say hey I love your video. Thank you for helping me or thank you from saving me from losing all my money. Okay It's alright guys. So the first thing I want to establish when it comes to day trading is the fact that Okay, let me just tell you a little story about myself when I came into this market I actually wanted to be a day trader like I like the idea of sitting in front of my screen I'm just clicking buttons and making all this money like who does not want to not answer to a boss who does not Excuse me who does not want to answer to but who does not want to sit in their house and just click Click a couple of buttons and make all this money everybody wants to do that So that was me as well and guys I started day training with as little as eight hundred dollars at a time and You know guys it was this long story short. I lost all the money now The reason I lost all the money was because of a couple of factors Which I'm going to be going over in this video But the primary reason why I lost all my money was because of the mindset I came into the market with my set of making You know so much money if I just had one thousand dollars I can take one thousand dollars to ten thousand dollars and I can make all this money sitting in my home From my laptop and just day trading but guys that was not the case. I'm not missing guys It took me two and a half years of my forex trading career for me to become consistently profitable All because I had the right wrong mindset all because I didn't have an edge in the market All because I just simply did not understand how to trade properly technical analysis risk So the psychology the psychology the psychology behind trading and market psychology as well So there are all these factors that are pretty much working against me. All right guys So I'm going I'm going to be going over a list of things that you should take into consideration If you actually wanted to start day training, okay You really need to think about this before you get into day training All right guys So the first thing that you want to be thinking about in this market is The fact that you need to have an edge as a day trader You need to have an edge in this market. What do I mean by an edge? You need to have a pure understanding of technical analysis price action because you can't just come It's like a casino, right? The reason why a casino guys the reason why casino will always outperform the people who work in a casino is because the casinos have An odds whereby they win 60% of the time probably 55% of the time. Okay, whereas the remaining 40% of the time they lose. Okay, so they have a 20% edge sometimes the edge is even smaller the casino might win 55% of the time and the player by wind 45% of the time Well guys, you see just that 10% that 10% edge is the reason why over a period of time the casino will always outperform Anybody who comes into the casino to play and that's exactly how casinos make money Same thing with the Forex market if you come into this market and you do not have an edge in this market chances Chances are that over a period of time the market is going to outperform you So what I suggest for you to do is get yourself some education. Okay? Learn how to do technical analysis understand fundamental analysis, okay? Day trading requires me sitting in front of your computer from nine till five You need to be stuck in front of your computer from nine to five constantly analyzing and choosing out the best possible trades The best possible trades How do you pick up the best possible trades if you can't even understand price action? How do you pick up the best possible trades if you do not even understand how to interpret the chart? So guys you need to have apart from even understanding price action You need to have a solid strategy that you've tested over and over again guys You need to have this Strategy that you have back tested for at least the last 10 years so that you are confident in your strategy You are confident in going into this market. So guys like I said earlier You need the first thing you need to have as a day trader is the fact that you need to have an edge in this market Alright guys now guys the second thing you need to have the second thing you need to know about that being a day Trader is the fact that you need to understand how to do top-down analysis like I stress this so much I see a lot of traders come on lower time frames and they are constantly doing the analysis on lower time frame now guys This was me. I remember my first four extra strategy was this I think I used to trade on the 30-minute time frame and my strategy Literally, it was that moving average crossover a lot of you guys will come into this market for the first time We'll actually stumble on this strategy and for those of you who have been trading this market for a long time You've probably come across this strategy I'm talking about way by if to moving averages crossover once I'm to moving averages crossover you either buy or sell Let's say usually I was using about the hundred moving average and the 10 Okay, so the 10 was a smaller moving average and 100 was the bigger one, right? So when the 10 crossed about a hundred I would cross over to the downside I would sell and when it crossed about to the upside I will buy now guys This was my strategy at the time I will make money sometimes and I'll lose money sometimes but over the long run the strategy was proven not to work Okay, I was probably my win rate was probably about 35% Okay, so that wasn't good enough. So that's exactly why my strategy did not work So guys, that's why I'm stressing moving average strategies do not work indicator strategies do not work. You need Now you've probably come across an ad you've probably come across some guru who's using some special tool who's using some special Indicators for their trading and you're probably thinking once you install that indicator into your into your charts You would probably be able to you know be able to know what to buy what to sell But that's not the case indicators do not work in this market You need to learn how to do what they call top-down analysis top down analysis is basically when you're able to do your analysis From a higher time frame to a lower time frame Okay, because two and a half years into my trading hours training on lower time frames I could only see the problem valid trading on lower time frame that you can only see what's happening on a smaller time frame So guys, we need to go to a higher time frame to basically go and Understand the general perspective of the market because the market can be in the bullish trend on a higher time frame Okay, the market come for instance, GBP USD at the moment is bearish overall However, temporarily it is bullish. So imagine the overall trend is saying sell But on the 30 minutes and 15 minutes is telling you buy What's gonna happen is that over a period of two three four five trades? You're gonna get crushed you might be lucky on the rebound buying for the first trade You might be lucky on the rebound buying on the second trade. However guys on the third fourth fifth six seven eight nine ten trades Chances are that the market is going to correct back to its original direction The original direction is always what's happening on a higher time from a ticket again guys What you see on a lower time frame is never the purchase What you see on a lower time frame is never the overall perspective if I had used This top-down analysis approach when I first started learning how to trade when I was new to this market I would not have been getting to into a lot of those trades I was getting into nothing is wrong with using your smaller time frame strategy However, you need to be able to analyze from top to bottom very important so that I mean because like I said the market might Bullish so if you are smaller time frame strategy telling you to sell You know that the overall perspective is bullish is up is long go buy Everybody's going as in literally the big boys are looking at buy opportunities But your smaller time frame strategy is telling you to sell you should know that I'm not gonna be selling this market because my lower Time frame strategy is telling me to sell because overall perspective is bullish Guys, I can't even stress this enough Literally if the higher time frame is telling you to buy and your lower time frame is telling you to sell Stick to what the higher time frame is telling you guys So this is exactly what I mean by top-down analysis Analyzing from the top all the way to the bottom and then using your smaller time frame strategy to execute Guys we need to execute in the same direction as overall trend. I cannot stress this enough Okay, analyze from top to bottom and execute what on what you see on your lower time frame very very important guys Now guys the third thing I'd like to highlight about Being a day trader is the fact that it's actually quite time consuming like I remember when I started day trading I'll literally wake up in the morning. Literally you think I had it nine to five I'll sit in front of my computer and I'll be grinding out like I'll be doing all the analysis and I'll be sat there waiting for the Opportunities to set up all the indicators then it's set up and stuff like that. So guys day trading is so time consuming Do not think that you're going to go into day trading and live your best life Never you would almost never see the sun when it's coming up and when it's going down Literally because you be stuck in front of your computer Trying to make some paper. So All the ads that you see or once you get into it being once you become a day trader you Become liberated in this market or you become liberated, you know from the night to five. That's a lie That's a fucking lie because you will be stuck in front of your computer Okay, so you need to really think about it, right? What is the odd? What is the opportunity cost of being a day trader? Okay, what is the opportunity cost? For instance, if you do not have a massive amount of capital, right? And you're probably being a day trader right at the end of the year You're probably looking to make even if you make a hundred percent return on your investment, right? And your capital is probably about I don't know Maybe ten thousand dollars because a lot of people who are coming to this market do not have that Logry of a large capital size. So if you come into this market and your your your return on investment at the end of the Year is a hundred percent, which which I highly doubt If you have ten grand, okay, and you are looking to make a hundred percent Return on investment at the end of the year Hundred percent return on investment at the end of the year is ten thousand dollars Okay, so that means you made ten thousand dollars in profit at the end of the year You need to calculate your opportunity cost. How much would you have made working for somebody else? I know a lot of the jobs paid upwards of 50 60 70k at the end of the year now This depends on what part of the world you are if you're in the UK, okay? So you probably make about 24k as a big as a as a entry-level graduate But you know for people who are a lot more advanced in their nine to five careers You're probably making about 50 to 60k at the end of the year. So if you really think about it, right 10k isn't a lot of money Okay, convert to 60k. So what I'm trying to say in essence is that you need to really think about this day trading thing because You can potentially be making a lot more money with your normal regular nine to five than you ever make from day trading So capital is also a very huge factor. So guys, what is the opportunity cost of day trading? All right guys, like I was saying guys day trading can be quite time consuming Do not think that you're going to be liberated from your You know nine to five hustle just because you started day trading day trading can be quite time consuming Now guys the fourth thing you need to consider when you're going to day trading and the fact that day trading is actually an emotional roller coaster guys Man, the things I've seen in this market like guys, you literally you literally cry like I'm so happy like, you know I'm actually quite profitable now and I'm making all this people guys my journey at the beginning was so terrible guys Day trading is such an emotional roller coaster because Imagine you're constantly seeing your money going up and down up and down up and down because you're trading on lower time frames You're constantly watching the markets go up and down up and down and you're seeing your money go up and up and down And guys before you know it, you know your heart rate is beating and before you know it You become hypertensive now. I remember I went to the hospital a couple of weeks ago And they they checked my blood pressure. My blood pressure was 140 over 100 140 over 100 now. Um, they actually told me that That's so much for my age And you know, the doctor started to ask me why is your blood pressure so high? And I told him he said what do you do for a living and I said I'm a financial trader I was like now I understand why you know guys now is 140 over 100 now. It's still pretty high right now because While I was a day trader my blood pressure to spike up so high I'm you know, your blood pressure pretty much has a threshold once it spikes over a second region Okay, you automatically become hypertensive. So day trading made me hypertensive because I was constantly watching my money Go up and down up and down up and down And you know, this is just supposed to show you that day trading can actually be a health hazard Now you're probably wondering all my days day trading is such a bad thing. How do I go about solving? I'm not saying trading is bad, but day trading is actually an emotional roller coaster So what exactly did I do for me to become? You know consistently profitable. Was it day trading guys? It was not day trading What is my hack to day trading my hack to day trading? Literally, it's the fact that I have to understand that listen. This is an emotional roller coaster. Okay I'm I can't they miss to be away Like I can't be standing in front of my computer constantly monitoring the stuff like this thing is absolutely driving me insane Now guys, what I started to do was I started trading on higher time frames Okay, whereby I will do my analysis on a higher time frame I will execute on a lower time frame But because on a higher time frame if I could do an analysis Usually my take profit is anywhere between 350 to 500 pips. So what I'll do is I'll come on the lower time frame. No Higher time frame. I'll do my analysis my take profit 350 to 500 pips Then I will come on a lower time frame execute the trade for about a 50 pips stop loss And then I'll take set my take profit about at about between 350 to 500 pips Tp So what this helped me do was I can set the trade and then I can go and do Other things that I need to do with my life Okay, because in order for the market to accumulate 500 pips or move 500 pips in a certain direction What this means is that this needs to happen over a period of time So it takes time what I'm trying to say that it takes time So once I set my trade with a 50 pips stop loss Then I can go and do other stuff while the market accumulates all these pips in my favor So guys, this was absolutely fantastic for me. I didn't have to sit in front of my because Whilst I was standing in front of my computer. I was never making up to 500 pips Now all I whereas all I do right now is I set one trade and then the market makes 500 pips for me I think that's a better strategy for for you guys to go after because There's no point sat in front of your computer constantly monitoring this market It's absolutely crazy. It's an emotional roller coaster. So it wasn't until I started doing that It wasn't until I started analyzing on a higher time frame coming down to a lower time frame And then placing trees and allowing the market make money for me Literally the market was making money for me Wasn't until that that my blood pressure actually started coming down I was you know, my blood pressure before it was a lot higher than 140 over 100 But you know what actually started to bring my blood pressure down was the fact that I will place a trade And then I'll go do other things spend time with my family travel And do other businesses that I love to do and allow the market make money for me Now guys last but not the least day trading is an absolute rat race Because you realize that you get into a trade you make 30 pips Get into another trade lose 40 pips. Now you're down minus 10 pips 15 pips plus minus five pips all up and down and then at the end of the day you find out that you probably made only 25 pips at the end of the day and at the end of the week you find out that you only made 50 pips And at the end of the month you find out that you probably only made maybe about I don't know maybe a hundred or 60 160 pips to 200 pips Now guys, this is an absolute rat race because you're waiting losing when you're losing There's there's not there's no systematic approach to your trading day trading is a rat race The most sustainable way to go about this is trading once or twice a month making 10 to 20 percent consistently guys Personally, I trade only once between once to three times in a month Place the first trade Let it happen place the second trade let it happen place the third trade Probably once or twice in a month and i'm done because you have to understand that I understand how to do top-down analysis I analyze from a higher perspective So I can see the general perspective of the market So once you can see the general perspective of the market I come to a lower time frame place the choice and then I can go and do other things I can make what literally I make more money Being a passive trader than people who are constantly sat in front of their screen day trading I make more money as a passive trader Trading just once or twice a month that somebody who sits in front of their screen every day trading So guys, these are the things that I need you to know about day trading Feel free if you want to be a trip if you feel you have an edge in this market Feel free to go ahead and start day trading But guys that's not the way to go about it The best way to be a forex trader is to use the forex market as an investment vehicle 10 to 20 percent a month risk 3 percent to make 10 percent trade once or twice a month and then you're fine Guys, I don't know why you guys think you can flip your account in a month. You cannot flip your account in a year That's gambling Day trading is actually gambling as far as I'm concerned if you want to actually have a Sustainable income from the forex market You need to treat the market as an investment vehicle and not an ATM machine You don't need to treat the market like a casino treating like an investment vehicle And guys once you're able to treat this market like an investment vehicle It will go ahead and reward you like an investment vehicles. All right guys So on that note, I hope I've been able to shed some light on day trading If you've ever, you know thought about this before drop me a comment below If you think this video has been very helpful to you If you feel this video has saved you from losing a lot of money from day trading I suggest you drop me a comment below so that you know just come drop me a comment below so that we can just Talk about you know your experience because I know a lot of people are losing so much money in this market Because they're signed in front of your computer day trading day in and they are all right guys on that note I'm going to leave you guys feel free to check um in the suggestion somewhere around I'll probably drop, you know another video You know that might be similar to this one feel free to watch any of my other videos I go in depth as to how it should be going about your trading all right guys Do not forget to subscribe to my channel and I'll catch you guys in my very next video Love you guys and take it easy. Bye. Cheers and bye. Bye. Bye. Bye. Bye. Take it away