This is an obvious one. In order to trade stock online, one must have a computer. This computer should have the power to be fast and it should at least have Windows XP as an operating system.
Tool #2: The Internet
Another obvious one, right?
What may not be so obvious that the internet should have a broadband connection. Dial-up would take far too long and cause far too many problems.
Also, there should always be a back-up internet service available for stock trading. Even the most reliable internet servers go down sometimes. Being left without access to the internet could be very costly.
Just in case the computer isn’t working and/or both internet servers are down, every day trader should make sure he/she has access to a telephone. That way if he/she needs to exit a trade and doesn’t have internet access, he/she can call the brokerage firm to exit the trade Trading Online In Italy .
Tool #3: Trading Brokerage
To trade stock online, everyone needs a brokerage that supports Day Trading. There are many different types of brokerage firms that charge many different fees and offer many different services.
Choose wisely with what you need and want in mind.
Also, look to choose a brokerage that offers good stock charting software and good trading software. You can purchase the software separately, and you may want to do so anyway, but having it all supplied by the brokerage firm is usually the most inexpensive way to go.
You also want to choose a brokerage that provides its clients with market data. Again, an online stock trader can get this information him/herself but its often easier and more cost effective to choose a brokerage that provides their clients with all the information.
With each of the essential tools for online stock trading there are many different options. A Day Trader needs to decide what he/she needs and wants out of each tool. Then the tools should be used their full extent.