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Trading Strategy For The Elderly

Having a trading strategy is an important part of trading. Everyone who makes money from day trading does so with a trading strategy in place. However, trading strategies differ from person to person. The kind of trading strategy that fits one person perfectly will be the entirely wrong trading strategy for someone else. When you are learning how to day trade it is important to find the right trading strategy for you and this is particularly important if you are over the age of 80.

Trading Strategy for the Elderly

Why would there be a different trading strategy for the elderly as compared to people who are younger? It is quite simple. Whether you are 18 or 80, when you are trading you need to decide on several things that will affect the strategy you use to trade. The things that you need to take into account include your level of risk tolerance or aversion, your stage of life and the kinds of timeframes you are looking at trading over. Obviously, if you are 80 you will have different answers to these questions than if you are 18. You probably do not want to risk everything on trading as you do not have the same kind of time to go back and start again - you also probably can not move back in with your parents if things go wrong! The elderly are also more likely to be risk averse as they have more to lose. Timeframes for forex day trading will be shorter. And the pay off from trading will need to take into account things like medical bills and pension support.

Learning How to Day Trade

While there is a difference in trading strategy between those who are 18 and 80 there is not a difference in the best ways to learn how to day trade. You will still need the knowledge behind you to make it work. While you may have more advanced knowledge of things such as different industries, forex day trading and financial markets than an 18 year old there are areas in which you may need to get some help such as with operating often complicated computer programs over the internet. It may be second nature for an 18 year old to log on to the net and surf for the latest financial information while chatting in three different chat rooms at once and aggregating all of the latest financial information from all over the world via RSS feed - but it is less likely to be second nature to an 80 year old. These are all things that can be quite easily learned, however and once you do learn them you will find a whole new world opening up to you - not only financially and in your trading life but also in your personal life, particularly if you have not already discovered the joys of the internet and email for staying in touch with loved ones and learning about new things or finding other people from around the world who are interested in the same things that you are.

Forex day trading is a great way for the elderly to wisely invest their money over a short period of time as it allows them to get good returns in a fairly quick time frame and all from the comfort of their own home. Even training in forex day trading can be conducted from the home with various internet, DVD and CD packages available. Meaning even those who are physically challenged can continue to increase their wealth no matter what their age! There are so many advantages of day trading and so long as a sound trading strategy is planned, implemented and not deviated from, this can be a very financially rewarding way for the elderly to keep themselves active and involved.