Day Trade Online

By Christopher A. Farrell

Book Overview

The explosive growth and low cost of online trading has created a new class of investor who can now make a living buying and selling stocks over the Internet in a way that was once reserved for Wall Street's most powerful brokerage firms and investment banks. While technology has made entering the "major leagues" easy, staying in is not. Before taking to the fast-paced, high-risk playing field, it's absolutely essential that you have a firm grasp of the rules and a solid game plan. Day Trade Online is the play book novice competitors need to become strong contenders. Written by seasoned practitioner Christopher Farrell, it is a one-stop, step-by-step overview of how to make a successful living, whether full- or part-time, trading via the Internet. Day trading can be quite lucrative, but only if you know what you are doing. As Farrell points out: "Trading for a living is hard. Trading for a living over the Internet is even harder. There are many challenges and obstacles that confront you. Venturing into this jungle unprepared is a recipe for disaster." This straightforward guide provides the head start and heads up necessary to thrive as an Internet day trader, covering everything from the dangers and pitfalls of trading online to an in-depth analysis of which trading techniques work and which don't. Day Trade Online presents inside information on the strategies of top trading firms, including the most secretive, misunderstood, and profitable function on Wall Street: exploiting the bid-ask spread. Along with complete details on this rarely revealed methodology, you'll learn about: The tools needed to get started in online trading. Trading on the NYSE and NASDAQ. Which stocks to trade - and which to avoid. Beating the specialists and the market makers at their own game. The dangers and pitfalls of online brokers. Most importantly, you will learn to look at ten different stocks and pinpoint which one to trade, when, at what price, and why. With the right know-how, you will then be able to apply this knowledge to every single stock that you screen. Written for the day trader, by a day trader, this is indispensable reading for anyone looking to join an increasingly popular - and profitable - arena. "I see the ads on television. Open an account and your first trade is free. Trade as many shares as you'd like for one flat fee. Free real-time quotes. Free market research. Trade stocks. Trade options. With the click of a mouse. It's that easy. Anyone can do it . . . I think back on my time on Wall Street. Does the little guy really have a chance?" - from Day Trade Online. Yes. You do have a chance - a tremendous opportunity to day trade online. But only if you are prepared. Only if you know what you are getting into. In Day Trade Online, a successful online day trader walks you through the ins and outs of day trading online, and provides you with everything you need to get started and be successful. This step-by-step guide will show you: How to choose and use online brokers. How to set up an online account. What equipment you will need and what it will cost. How much capital you need. What stocks to trade, when to trade them, when to stay out of the game. How to trade on margin - safely and profitably. The day trader's secret weapon - a strategy for your trades. Be prepared. Get Day Trade Online for the tools, tips, and strategies you need to thrive as an Internet day trader. Don't make your first trade without it

• Format: Hardcover
• Language: English
• ISBN: 0471331201
• ISBN13: 9780471331209
• Release Date: March 1999
• Publisher: Wiley
• Length: 256 Pages
• Weight: 1.20 lbs.
• Dimensions: 9.4" x 0.9" x 6.3"

Customer Reviews

The Consistent Money Is Here In The "Teenies" Strategy

I have been applying the "Teenies" strategy, discussed in Christopher's book, for over a year and a half. The cashflow I bring in daily averages from $600 to $900. That's the net from both my winning and losing trades. The are two brilliant, yet simple elements to this strategy. The first is the focus on singles, not home runs. Home runs are the illusions that kill most daytraders today. The second key element involves limited risk. This strategy sets you up to be disciplined. You don't need a whole lot of money to make this work and you don't need to put your entire portfolio into each trade. You put on a bunch of small trades which limit your risk while increasing your odds of success. Best of all, the "teenies" strategy works in all types of markets (up,down, sideways). A book worth reading? Absolutely! It's paid for itself many times over.Kirk H. Alamo, CA

Best of the bunch of otherwise garbage books on day trading

This was the first book which actually introduced me to the principal of why you might want to day trade over buy-and-hold. Gives clear undertanding of how to create marginal advantage for yourself by understaning spreads between bid and ask. I dont day trade but I have stopped buying stocks at market and only buy at limit and otherwise try to take advantage of the spread. This to me was the most important lesson and I have learned it well. I would recommend this book to a thinking person.

DON'T LISTEN TO THOSE THAT RATE THIS BOOK WITH ONE STAR

By far, this is the BEST book on online trading. Mr Farrell's methods make perfect sense and the beauty of it are their simplicity. I suspect this (the simplicity of the methods) is why so many reviewers here rated the book so lowly, because they simply couldn't swallow the fact that they could have thought of it and wrote the book first before Mr Farrell.For one, Mr Farrell is neither a gambler nor a risk-taker. His methods, though won't make you an instant millionaire unless you have a few million dollars as risk capital yourself to start with, are nevertheless almost fool-proof. If you have the patience and are not overtaken by greed, you can actually make a decent living as an online day-trader if you follow the book throughout.I was holding a day job and contemplating quitting the job and becoming a full-time day trader for quite some time till this book came along. Now, I'm able to make a decent living as an online day-trader, thanks to Mr Farrell.

excellent book - apply strategy to higher volume stocks

I've read Farrell's books several times and have been trading the way the book says for a few months - I made over $7,000 last month - I've refined the strategy to fit my risk profile - avoid illiquid stocks and stick with NYSE listed, more active low priced stocks instead- even ones that trade 1,000,000 shares a day are great, so long as they are below $10 per share - I really think it is the best daytrading book written because it caters to the online trader, not the high end daytrader- apply the teenies strategy to low priced stocks that have bottomed and you have a very good chance of making money - I have - and, avoid the dogs - for instance, a $5 stock that may have come down from $20 over a few days but has stopped falling and is picking up on high volume - stocks like that are done falling -the strategy works even better by lifting offers and then offer a 1/16th point higher on a limit - it is like initiating momentum - the genius of the this book is that the strategy exploits the online brokers - you can trade 5000 shares at a time of a $5 stock and make a 1/16th once a day and make out nice and really anger the online brokers in the process - my best trades are making 1/4's on 5000 share lots - buying a 5 3/8 and selling at 5/8 - thats $1250 bucks on a $10 trade commission - not to shabby - if it goes against you, just get out and lose a 1/16 - no big deal -thanks for a great book -