Day Trader

Dictionary Says

Definition of 'Day Trader'

A investor who attempts to profit by making rapid trades intraday. A day trader often closes out all trades before the market close and does not hold any open positions overnight. Some day traders use leverage to magnify the returns generated from small stock price movements.
Investopedia Says

Investopedia explains 'Day Trader'

Day trading is often glamorized as an easy path to riches. However, this is rarely the case. The SEC warns, "Day traders typically suffer severe financial losses in their first months of trading, and many never graduate to profit-making status." Day traders are handicapped by the bid-ask spread, trading commissions and expenses for real-time news feeds and financial analysis packages. These costs require day traders to earn significant trading profits just to break even.

Related Video for 'Day Trader'

Sign Up For Term of the Day!

Try Our Stock Simulator!

Test your trading skills!

Related Definitions

  1. Flipper

    1. A short-term ...
  2. Cambist

    An individual or ...
  3. Stag

    A slang term for ...
  4. Scalper

    A person trading ...
  5. Swing Trading

    A style of ...
  6. Trader

    An individual ...
  7. Position Trader

    A type of stock ...
  8. Blue Collar Trader

    A trader who has ...
  9. Momo Play

    A slang term ...
  10. Outside Days

    A term employed ...

Articles Of Interest

  1. Mastering Short-Term Trading

    Making money in a pressure-cooker environment is all about minimizing risk on hot picks.
  2. 4 Common Active Trading Strategies

    Learn four of the most popular active trading strategies and why active trading isn't limited to professional traders anymore.
  3. Would You Profit As A Day Trader?

    Market timing is surrounded by controversy, but does it work?
  4. An Introduction To Day Trading

    This article will take an objective look at day trading, who does it and how it is done.
  5. A Beginner's Guide To Scalping In The Forex Markets

    We look at what scalping is, how to do it and the characteristics of a successful forex scalper.
  6. Day Trading Strategies For Beginners

    From picking the right type of stock to setting stop-losses, learn how to trade wisely.
  7. Quit Your Job To Trade Stocks?

    Ready to quit your day job and become a full-time trader? These tips will help you determine your area of expertise.
  8. 3 Things Investors Can Learn From Traders

    By incorporating some of the best practices of top traders, investors can greatly improve portfolio returns.
  9. What qualifies a person as a day trader?

  10. What is the best time of the day to trade?


comments powered by Disqus
Recommended
Loading, please wait...
Trading Center