Why Is Day-Trading Not For a Homemaker

Credit- ArthaYantra

Are you a mother, staying at home or working from home, looking to earn money through day trading? Then, this post is for you to learn why day-trading is not recommended, any day!

First things first, easy-money in the stock market is a myth! Once or twice, luck may play a role. But if you aim for it all the time, to your dismay, you will simply be knocked out of the contest very soon. Below are the evaluated reasons that help you understand why trading is big ‘No’ for mommies.

Uncertainties are Difficult to Withstand:

Share market is full of uncertainties. If you dive into it without proper knowledge, you are gambling with your money in a game where most situations would be unfavorable to you.

Like most traders who dream of getting rich soon, if you are imagining the profits you would earn, hold on! First, estimate how much you can afford to lose in a day or in a single trade. This is the right approach to enter day-trading. Statistics reveal that not many new traders survive through the first year, while 80% to 90% traders consistently lose money in the long run.

Now, if you think you cannot afford to lose even a penny, day-trading is not for you!

In-depth Analysis is Crucial:

You might wonder how and why many traders take up the profession when stock markets are so uncertain! Here, it is important to understand that those professional traders are being paid for what they are doing and more importantly, they are trading on other’s money.

On top of it, all the trades would follow long hours of in-depth analysis. Even a 10-minute trade requires a 2-hour market performance analysis.

If you are not into thorough analysis and lack the expertise, day-trading is certainly not for you!

Can You Handle Unpleasant Situations?

Day-trading involves too many emotions and mood swings every minute. Many times one feels worse, not because of losing all the money, but because nothing seems going right. One might experience a really bad week. And this is surely an unpleasant feeling, which eventually takes a toll on your health.

Why do you want to experience that? After all your kids and the entire family can feel the unpleasant vibes around you.

In conclusion, day-trading is not a career. On the other hand, if you want your money to grow in the long run, pick right investment channels like mutual funds. With long term investments in mutual funds, you can make around 10% to 12% returns, based on the portfolio. For more information on the right portfolio for you and personal finance advice, connect with us at www.ArthaYantra.com – an online fiduciary established to offer expert, holistic financial advice to every individual, irrespective of her wealth status.

Feature Image Source

loader