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[Thanks again]
That is the kind of brass tax experience I have been trying to uncover. I have dabbled a bit in some short term technical trading myself and did rather poorly. I stopped very quickly and took my tax loss. I usually do better forming a vision and sticking with companies that will benefit from that vision. I will probably wait until I don't need the money because it would probably be idiotic to quit now as I stated earlier. Here was my plan:
1. I have been following day trading brokers for maybe 2 years now. I liked the capability of M.B. Trading at first because the quotes could be read from TA for personal trading systems. Being a computer consultant, I have some experience in AI concepts and wanted to supplement any broker's tools with my own. I been watching the progress of Cybertrader for a while now and am impressed by the software from what I have read. The price server addition convinced me that I would prob. go with Cyber.
BY the way, I also checked out currency trading but was scared off because it just didn't seem that the vendors were truly giving the traders transaperent access to the markets. The commissions calculate diffrerently and I did some paper trading with some sample software which made it apparent that the commissions made it unlikely to produce a profit. It sure was cool being open 24 hrs though!
2. I planned to paper trade for at least a month full time just to get the feel of how things worked, the pace of the market, develop some rules, etc.
3. I planned on doing 1000 share trades because smaller shares would make it difficult to beat transaction costs but I like your idea of basically taking 10000 "learning money" for a test run with smaller lots. Any difference in executions with smaller lots?? I have read books concerning day trading "styles" and gravitated to grinding. I know that may be harder but I like the idea of having no tolerance for losses and just trying to make small gains over and over. I like getting out and moving on rather than being emotionally attatched.
Is that still possible to do that (i.e. how fast can you really get out of a stock?). I planned to avoid the really fast movers and pick large cap, high volume, volatile but not hectic stocks.
4. Reviewing the trading days activity every day to analyze mistakes, lessons, etc. I read that MB TRading had a tool that actually let you record the entire trading day and replay for post analysis. Does Cyber have this kind of functionality?
5. Continue to read as many books as possible to try and find out what makes a successful trader and imitate it.
6. Give it a year or two and let go of the dream if I did not progree satisfactorily.
Anyway, I will save your post and keep biding time.. Good Luck.
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