Day trade with RobinHood. Make extra money with Zero Commission - The Profit Score

Day trade with RobinHood. Make extra money with Zero Commission

If you want to learn how to day trade with RobinHood then you are at the right place to start your trading or enhance your profitability. In this article we are going to show you exactly how to do that. In order to day trade in RobinHood you must have a Cash Account.

Cash Account for day trading with Robinhood

The reason you have to get a cash account is because if a Robinhood account makes more than three day trades within rolling five business days the account can be flagged as a pattern day trader. When you do get flagged as a pattern day trader you no longer could trade on Robinhood. To prevent this, you must get a cash account. Cash accounts allow you to day trade every single day. And it just takes a while for your funds to settle and return to your account. If I make a trade and I sell I’m not going to get that money until the next business day. Sometimes it takes up to two business days but from what I’ve noticed it only takes one business day. If you want to deposit money it’s going to take around three to four days for you to actually get your funds. wheres a margin account allows you to get your funds instantly while it transfers to Robinhood and to your brokerage. Once again first step is to get a cash account because that’s going to allow you to do day trades without having any problems from Robinhood.

TradingView Charting software

After that you want to be able to get a TradingView good charting software. I recommend trading view as it’s free for everyone. You can pay to get a membership to allow you to access indicators. The more experience you become in day trading the more money you’ll be making. And from there you won’t have a problem getting that membership because it’s not even that expensive. Once you learn how to use indicators it’s going to be really useful in your journey to become a successful day trader. Now I recommend using tradingview to watch your stock while the trading session is going on and then trade from Robinhood directly. The way you trade is completely up to you.

Day trade with Robinhood Stock Screener

However, there are a couple of strategies you could use to day trade. If you’re thinking about day trading with Robinhood, it is recommended to use a screener. Stock screeners are tools that help investors filter through a large number of stocks based on specific criteria such as price volume, market capitalization, and performance. It helps make more informed investment decisions which usually result in higher success in trades.

Technical analysis

These are essential tools for any investor looking to make smart decisions. To day trade with Robinhood, this is the best way to find successful stocks. In a nutshell you want to buy at support and you want to sell at resistance. These concepts are very important to know. If you don’t know much about technical analysis or just the trading World in general I highly suggest you to go through this website as it is dedicated to helping young investors become more experienced. Looking at Technical Analysis a chart may seem very complicated. You might be wondering what in the world is going on. But to a professional Trader, they see something completely different. so I suggest you just learn the basic fundamentals of technical analysis so you don’t completely overwhelm yourself. Learn about support and resistance and maybe learn about breakouts and possible reversal patterns. I have a couple of articles of those Concepts on this website so check them out.

Day trade with Robinhood Time Frame

The time frame to day trade with RobinHood, I recommend you using the one minute and five-minute time frame when looking at a stock. If you want to look at the long-term trend, you could do 15 minutes to even four hours. Typically that will help you get a bigger grasp on what the trend is and you know what when it comes to day trading. I suggest you just trade high-end stocks that have a lot of volatility and a lot of volume such as Tesla, Apple. I mean more importantly I’d recommend you just focus on one stock. That way all your attention is focused on one stock and one trade alone. The more experience you become the more you’ll be able to trade multiple stocks.

Day Trading Options with Robinhood

At the same time if you don’t have that much capital. I recommend trading options which is a great alternative when you don’t have a lot of money. Because you could put a little bit of money in and make a lot more money in return. RobinHood is actually a great software for trading options because it’s so easy to understand and learn. If you are going to day trade, I suggest you learn how to trade options. When it comes to options you can profit from any type of Market. You can profit when the stock is going up down or not even moving. It gives you more options to make more money in the stock market. Whereas if you are just buying shares, you can only make money when the stock is going up.

There are strategies in options that are Advanced that allow you to profit regardless if the stock goes up or down. If you devote your one year to just perfecting these strategies you will be able to make money in the stock market regardless of how the market moves. At the end of the day that’s what we want. We want to be able to make money on a daily basis by being able to predict the market movement.

Risk Reward Ratio

Now another thing you really need to understand if you are deciding to trade options. You have to be able to understand the risk versus reward part. Risk/Reward of the trading which is basically how much you’re willing to risk. A lot of times new Traders just skip that part because they just want to make money. And a lot of times that scenario typically happens like this, though they’ll win a couple trades, they’ll get confident in their ability to make these trades, so they’ll bet big on a trade and they lose on that trade and they lose everything they’ve made in their previous trades. This is a story that has been told to many Traders many times. this is something that happens to every Trader. The way to combat that, if you do want to day trade then keep these things in mind.

Number one, you have to do small trades consistently. it’s better to have small wins consistent then one big win.

Second, a great way to make sure that you don’t lose your money is to set stop losses and follow them religiously. A lot of times Traders will have the knowledge on how to trade however they don’t trust themselves 100 percent to do what is needed when a trade is not going their way.

Psychological Trading

Half of trading is psychological. If you don’t have the psychological part correct. You’re going to lose a lot of money day trading with Robinhood because day trading is very stressful. You need to understand a couple things.

One, being if you want to protect your account it is up to you to sell when you realize that the trade is not going your way. Often Traders don’t like to admit that they’re wrong and they rather lose their whole portfolio than admit. When you just had a bad trade and that you will have, the best solution for that is to convince your mind that the trade is not bad. You will not lose but in fact you are winning by cutting your losses and preventing a further loss.

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