Whether testing the waters in the hunt for a new full-time career or merely pursuing a passion alongside another profession, part-time trading is becoming an increasingly popular venture for a variety of people. Although it may be a part-time commitment, the pressure in crucial moments is just as intense as for a full-time trader. Therefore, part-time traders have an obligation to develop a clear identity and set themselves clear boundaries. With some research and resolve, part-time trading can fit seamlessly into a busy life.
While part of the theoretical appeal of part-time trading is the ability to dictate your trading hours, it is advisable to remain consistent in approach and time commitment. Stock market expert Greg Secker has advised patience via LondonLovesBusiness, suggesting that it is easy for part-time traders to act rashly and collapse out of markets.
All traders require a consistent identity to keep themselves balanced during times of market volatility. For part-time traders, it is particularly vital to decide whether it is better to engage in swing-trading or day-trading. Swing-trading allows investors to hold positions for multiple days, thereby making it a more appealing approach for those who cannot keep a constant eye on markets due to other commitments.
For other part-time traders, day-trading in the forex market makes more sense. While many markets open and close on a working day, forex trading can be completed at any weekday hour and works well for those looking to supplement a 9-5 job with some evening analysis. Traders can access a diverse selection of 182 forex pairs via an online trading platform like Saxo’s, with 24/5 expert support also on offer. This is ideal for part-time traders looking to develop a regular slot in which to consider the markets, especially those new to the business. Having a support structure is also useful, particularly for people taking up trading for the first time.
Even with the 24/5 benefit of forex trading, it is still wise to select regular working hours. That way, traders can become accustomed to the fluctuations of the market at a particular time of day. As people wake up and go to sleep all over the world, there are inevitable patterns in prices. Becoming as familiar as possible with those patterns will make responses to price changes much more intuitive.
Settling on defined working hours is also instrumental in developing the mentality needed to have success in the tough world of trading. Randomly dropping in and out of markets can be a pathway to complacency and mistakes. It is the same as playing a sport; while a tennis player may well be able to pick up the racket after years of inactivity and demonstrate an impressive technique, they will inevitably be less sharp than during a time of regular practice sessions. Unless you’re the Roger Federer of trading, you won’t be at your best when unable to nail down a regular time to analyse markets.
This does not mean that the day job has to be sacrificed for trading to succeed. Instead, it is through the allocation of regular time and through the establishment of realistic long-term goals that makes part-time trading viable. By remaining patient and balanced in the pursuit of those goals, part-time trading could become a gateway to a full-time passion.