Trading Can you live on trading income? Myth or Reality?

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Many people who are new to trading wonder what is trading? Where are the operations carried out? Is it possible to live from trading? Does it require too much knowledge? What are the risks? Does it take up too much time? Does it require investment? The answers to all these questions will be disclosed so that you can draw your own conclusions.
Before starting to answer these questions, it is good that you know that future traders must not only understand the concept and the application. It is of the utmost importance that they understand that this form of income requires passion and your quality time. It is not enough to learn and invest, it is necessary to create a link with what you do.

What is trading?

Trading basically deals with the purchase and sale of financial assets that are within a certain market and these can be: cryptocurrencies, forex, stocks, among others. In which you only have to take into consideration that the way to earn money is adjusted to buy at a low price and sell at a high price. Although you can also bet on opening a trade at a high price and closing it at a low price.

How where are the operations carried out?

The operations must be carried out through a broker, it is an intermediary that allows you to enter the financial market and gives you the possibility of creating demo accounts, in which you can apply different types of strategies before moving to a real account. The broker gives you access to existing platforms within the financial market.

Is it possible to live from Trading?

Yes, it is possible to live trading. It is a fact that achieving success in this modality means that you can afford to say that you work trading and have a good income thanks to it.
Many people have become rich with this modality, such as:

  1. Larry Williams

  2. Steven Cohen

  3. Paul Tudor Jones

  4. John Arnold

  5. George Soros

They have achieved success applying different ways, but nevertheless with two data in common: short-term investment.

Does it require too much knowledge?

You don’t necessarily have to be a genius, but you do have to understand math and statistics. These are the pillar knowledge of trading. To understand trading you must know that it is based on market speculation, because we do not really know what will happen, but we make a prediction in time based on our knowledge or in other words carry out a trading operation. In a very simple way, it can be said that trading is numbers (stocks, currencies, the future, among others) that are interpreted with graphs (behavior over time).

What are the risks?

Trading involves two key risks: psychological and monetary risk. Are there only those two? No, but nevertheless I am going to give you a little explanation of why they are the most important.
Applying trading many times causes a low self-esteem, especially when you are starting out, because by not seeing results you feel that you are wasting time and money. As stated above, it takes patience and dedication. Knowledge is very important when carrying out operations, in fact you have to know what you are doing to predict how your investments or actions will behave in the future.

Does it take up too much time?

It depends on how beginner you are and in what period of time you apply trading. It is essential that you understand that trading is a job in which you are your own boss, therefore the time you invest in it depends solely and exclusively on you and the way you do it, trading can be done in time operations of even seconds. The shorter the trades and the more successful you have, the longer you will be trading.

Does it require investment?

It does not require a lot of investment, you can start with a capital investment tailored to you, there are applications such as iq option, which you can get through the Play Store for your mobile phone or you can even operate directly from your browser. This platform allows you to invest money to make trading operations in any time range and to your needs.