Input from intraday traders

Discussion in 'Professional Trading' started by jj90, May 4, 2006.

  1. jj90


    I've been recently interested in going prop, and have located a prop firm in my city. I'll refrain from mentioning the name. As I have no experience in intraday trading, I'm looking for inputs from those that have.

    Let me clarify. I trade options primarily, and I know how to handle a position and my risk. I also know my entry/exit criteria. From what I could find using search on ET, daytrading is similar in some aspects but vastly different in others to options. While I realize I have to learn a new set of rules in the intraday market, my options background and experience is to me more important than making it as a day trader. I say that because I have heard from others that daytrading is the hardest equity trading out there as there is so many things that the other side can do to screw one over.

    So I guess my question is, is daytrading integratable with my options trading, or is it 2 completely different games? Or perhaps this is a question that only I can answer.

    The key point is that whatever knowledge of daytrading I acquire, shouldn't override my options knowledge. Side by side or complimentary yes, but never overriding. This is why I ask for inputs from those with experience. Of course I would like to succeed in the day trading arena, who wouldn't, but if learning a new game destroys my old game, I'd rather stick to my old game.
  2. jj90


    Let me rephrase my question. Are the mechanics of daytrading completely different from those of options? Another way of looking at it is, if you have 2 trading styles, is one exclusive from the other or does one inherently dominate the other from your experience?
  3. Options are not used for day-trading.

    Day-traders mianly use Equities, Futures, or Forex.

    Options are mainly used for hedging, or speculation on a longer timeframe.

    So unless you bought and sold options in the same day, which doesn't seem to make too much sense.

    I don't know.

    I think you should come to day-trading equities with an open mind.

    Does the firm you are going to offer education and a mentoring program?
  4. Also about trading styles.

    I have talked to a few traders VIA Pm, most say they try to have a back-up trading style, or market they trade incase one goes horribly wrong.

    For example, I'm day-trading, but also got a simulator account open for swing-trading or longer term holding.

    Having multiple ways of trading protects you in the longer term I'd imagine.
  5. romik


    how do you convert virtual bucks into hard cash in that case?
  6. ???

    Um, you can't.

    That is why I said it is a SIM-U-LATOR., there ya go

    If you ever find out how to though, be sure to PM me with that info, I'd appreciate it :)
  7. romik


    No, it just came across the way if you lose some in your real account you will make up for the loss on a simulator :D
  8. Well I grew my 100,000 sim account by 5k, so I think that covers all my tuition for "The House of Market Pain" when I first started.

    So all is good so far.:cool:

    I should go buy an ice cream cone to reward myself, I think i'll skip on the Xbox 360.
  9. jj90


    The firm will provide training and capital, not sure as far as mentoring goes. I agree daytrading options is suicidal. It's that most of what I could find about daytrading are things like credit trading, penny scalps, or intra day position trades. Basically, pretty much nothing to do with options.
    It would be great to learn how the floor is reacting to my buys/sells in options by understanding the mechanics more when I put in my order.
  10. Well let the firm teach you. HOPEFULLY it is not rebate trading. Hopefully they have a mentor, and suck him dry for info.
    #10     May 4, 2006