Many traders have already been lured to one of the many active discussion forums or online chats on day trading. While it can be very tempting to join an online discussion to get good advice or the latest news, you must remember that there are also dangers in these places that you should be aware of. That’s why there are a few important things you should consider before engaging in a chat room or day trading forum.
1) Make sure you already have a trading plan in place.
Before you decide to take advantage of the wealth of information available in online Chatroom, you need to develop a trading plan. More importantly, you need to be willing to respect that plan and follow it. One of the biggest dangers you face is getting influenced by the information you encounter and changing course. If you have accustomed yourself to following your plan of action, the information from the day trading chat will help you get the most out of your system, rather than causing emotional reactions that can lead to bad decisions.
If you don’t have a plan or system, don’t go into the Chatroom with the intention of finding information that you can immediately implement. Instead, use these online resources as places where you can gather data over time. Based on this information, you will be able to develop your plan before the negotiation begins.
2) Know who is behind the curtain
Some of the larger day trading chat rooms bring together many traders from different walks of life, but there are also some that are sponsored by certain trading companies. While the information you encounter there may seem very useful and well researched, you should pay attention to the source and its true motives. Many of these forums and chat rooms only serve to lure unsuspecting traders to buy the trading products or services offered by the company behind the site. This does not mean that the products or services of these companies are bad, but it is important that you know the true intentions of the people whose advice you listen to on these sites.
Remember, if you are the disciplined day trader that you should be, you will find or develop a plan or system and stick to it. Avoid chats that are a front for other systems or services – this will keep you out of trouble.
3) Leave your emotions at the door.
If you participate in the gathering and sharing of information on these Camchat and day trading forums, you may find yourself in a discussion or topic that “pisses you off” for one reason or another. Whether you disagree with the information presented by another person, or you are suddenly excited about the potential for advice you have stumbled upon, you should step away from the computer immediately. Remember that your emotions are the biggest threat to your trading success. You are here to explore and learn, not to succumb to your emotions and veer off course. Don’t react to these topics or discussions and don’t let them drag you down any further.
If you remember that you are only here for the facts, it will be much easier for you to avoid getting emotionally involved in an online discussion. If you can’t avoid this kind of drama and can’t leave your emotions at the door, this job probably isn’t for you.