Day trading sounds like fun right. You see people turning hundreds of dollars into millions on youtube or social media in general. Well, even though i'm a full-time day trader, i just got ta be honest with you here day trading is probably not for you, hello, everyone. My name is jay aka humboldt trader i've been day trading for over seven years now in this video, i want to talk about the three reasons why you shouldn't day trade, so if you're interested in seeing more beginner day trading content like these, please remember to drop A like and subscribe, the first reason you shouldn't day trade, and perhaps this is the most critical one.

You should not day trade if you are struggling financially, i'm a strong believer that, if you're having trouble paying your bills paying your rent, if you don't have a job providing you with stable income or if you're drowning in debt, then you shouldn't day trade. I know this might be an unpopular opinion and i might get some heat for this since we live in a world rampant with stories of rags to riches on social media, it's so common nowadays that we see people turning a small amount of yolo money into millions. In one trade like the wallets that bought shiba inu tokens last year for eight thousand dollars and turned that into one billion dollars in one trade and for many readers or audience online, they would assume that they could achieve the exact same thing in psychology. This is called survivorship bias.

Survivorship bias is a tendency for people to cherry-pick people or strategies that successfully made it through a selection process and ignore all those that failed people tend to focus on these survivors, even if they survived in a large part due to luck. Rather than viability, it is exactly this phenomenon that causes us, even myself, included when i first started as a brand new trader to have that false confidence. Thinking that, if i see two people online turning one hundred dollars into a thousand dollars or millions, then that means i could definitely repeat the same thing too, and it is that false confidence and the lack of media coverage that make us overlook the other 98 people Out of this group of 100, who lost their 1 000 instead, which is the other side of the story we rarely hear about when i first started day trading. Yes, i admit i did fall for that survivorship bias.

I thought i could get rich quickly because of all the things i read online, but the big difference here is that i had a 9 to 7 job. So, even if i lose my entire trading account, which, by the way i did, i would still not be devastated financially again, i kept my employment income to pay for the bills and to refund my account. That's the big difference here. So if you have a stable income - and you want to start day trading with a small account and start learning on the side - definitely do what you want.

As long as you are financially stable, i am not trying to discourage people from day trading, but what i am cautioning against is to put your last 1 000 in your bank account to day trade, especially if you don't have a job. I think that would be extremely risky and potentially devastating. There's always going to be people out there, encouraging you to spend the last one thousand dollars you have into investing in yourself and purchase education programs who learn to day trade, invest in stocks or cryptos, amazon, fba, shopify, etc. I personally disagree with that.

I think the right way to invest in yourself is to make sure you use that money wisely to pay your rent and to pay your bills. That's the reason: whenever people ask me on instagram or youtube that they have one last five hundred dollars in a bank account and they want to day trade with me. My first response is always i'm sorry, but i don't think you should day trade don't purchase. My academy, if you are struggling financially, if you really want to learn day trading, you can check out my playlist below called day trading for beginners.

It's free, there's, tons of content and knowledge for you to learn. I know this may sound discouraging, but this is tough love. I'm saying this as your sister, your friend or some may even call their trading mom. Yes, believe it or not.

I did get some mother's day cards from my ht members on mother's day. So this is what they mean by. I don't think i have any kids that i know of. I genuinely believe that new traders can only become profitable over time if they focus on the learning first and take the initial losses as market tuition and pay.

Your dues and that's the reason if you are indeed struggling financially, you will likely throw stops risk management out of the window. So if what i just described sounds like you, please keep that one thousand dollars to pay for your bills and look for a job that will allow you to live a stable life once you have your life and finances in order, and if you still really want To learn day trading then sure, perhaps it's worth revisiting them. If you have a job - and you are doing fine financially, then sure do whatever you want, whether that's going o-ing yolo on gamestop amc or shiba inu, you do you it's your own money. The second reason you probably shouldn't stay trade is, if you are looking to get rich quick now.

This is something we covered many times on this channel day. Trading is not a get rich quick scheme did. I think i could get rich quickly following just chat. Room alert seven years ago: yes, i'm definitely guilty and did i actually get rich in one month? No, in fact, all those services like copy trading chat, room alerts are very likely going to lead you to blow up your small trading accounts.

Sure you might make fifty dollars there a hundred dollars there following someone else's buy or sell alerts, but all it really takes is one trade for you to lose 200, 500 or even a thousand dollars, because following alerts teach you nothing, you don't know the proper way To plan out your trades, which include entries, exits and stops and how to manage your risk. So even if the trade goes against you, you keep the loss controlled, but you get to live to trade another day. That's the reason. Many beginner day traders had roller coaster.

Pianos in their first year in trading, it's because they only focus on the illusion of quick and easy money instead of planning out their rescue world beforehand. That's why we call it risk reward in trading, not reward risk. Like we mentioned earlier in reason, number one day trading requires you to pay tuition to the market. We all start out losing money as a beginner day trader, whether you want to admit it or not, but you get to decide how much to lose.

Only those who truly focus on planning their trades and risk management before clicking buttons will make it in this game day trading. This business is trial by fire. So if you want to get rich, quick and make millions tomorrow as a beginner day, trading is not for you. The third reason you shouldn't stay trade is, if you are incapable of critical thinking and taking responsibility for your own actions.

Day trading is not like a regular 9 to 5 job, where you go to work for your boss and whether you do well or you slack off, you are still guaranteed a paycheck. This is a business where you are 100 responsible for your own actions, whether that's profit or loss. In fact, as a trader, you could show up to work and still lose money, but at the same time you could do all the right things and make a huge amount of profits, whether it's a win or a loss. You are solely responsible for your own trading.

Account balance at the end of the day. This is a business where you need to make judgment, calls based on your own trading style and risk tolerance. One trader may see a good loan opportunity and buy the stock on the way up. While the other trader may see a short setting up near resistance level.

There is no right or wrong answer. There is only trade management and, following your own plan and setups, whether you press the buy or sell button or no trade at all, that's entirely up to you as traders. We need to be introspective and review each win or loss. Where are the areas we can work on for next time? How can we improve our strategies or manage our risk better? These are all reflections and thinking you should be doing for yourself after each trading day sure it would be easy and convenient to always blame the pumpers, the alert and how the market is rigged when you lose money.

But what happens when you make money? Do you attribute some of those gains with the wins to the same people? I don't have the answer to those questions, but i know for myself whether i make it big or lose big. I take full responsibility for my own actions in trading and, of course, for my own trading account. If i lose it's, no one else's fault. If i profit all of those gains belong to myself too.

Until the cra enters the door, you don't have to be smart or have an mba in finance or economics to day trade, but you do need critical thinking, skills and be mature enough to take responsibility for your own decisions. Otherwise, trading is not, for you remember, kids, day trading is a risky business. If you are struggling financially, if you think you could get rich, quick or if you cannot take responsibility for your own actions, then day trading is definitely not for you again. I am not trying to be discouraging i'm just being real and not feeding you the kool-aid.

This is tough love. However, if none of the reasons you just talked about apply to, you, then feel free to learn from my day trading for beginners playlist down below in the video description and make sure to like and subscribe. If you want to see more in the future. Thank you guys so much for watching, as always, i'm the humble trader - and i will see you guys next time - thank you guys so much for watching.

If you want to learn more day trading content, make sure to subscribe and check out my website at humbletrader.com.