Education is key to successful day trading, and there are a wealth of education options online. Whether you want specific forex, futures or cryptocurrency training for advanced traders, or a free ebook for beginners, we explain how to find the best educational course for you and your needs.
Day trading is a vast subject that may seem overwhelming to potential traders. The truth is trading is complicated; there are no shortcuts or get-rich-quick schemes – and don’t believe anyone who tells you otherwise.
Trading Experience
However, that doesn’t mean you can’t make money from day trading. It just means that to profit from trading you should also profit from the experience and expertise of others. Investing in the best day trading education can equip you with essential knowledge, a valuable support network, and can set you on the path to trading success.
Specific Courses
If you aren’t already trading and are looking for the best day trading education, it’s a good idea to think about what kind of trading you want to do.
Are you interested in trading options or futures? Do you prefer simple shares or intricate indices? There are a variety of options available:
Share/Stock Trading
The most well-known form of trading. This involves purchasing and selling shares of various companies through a stock exchange. Our stocks page can assist in determining which stocks are best suited for day trading – ultimately, you need to consider volume and volatility.
Most stock trading education materials focus on a “buy and hold” longer-term strategy based on company fundamentals and value. Day trading stocks relies more on price action, so learning about technical analysis is more important than company analysis.
Forex Trading
Forex is an extremely popular form of trading, with billions traded daily. Short for “foreign exchange,” forex trading involves speculating on whether one currency will become more or less valuable than another. Check out our separate article on forex education training here.
Commodity Trading
Commodity trading involves trading in things like precious metals or raw materials that are used to make other goods. Commodities are divided into two groups: hard commodities are mined (gold, oil, etc.), while soft commodities tend to be agricultural products or things that are grown (wheat, sugar, etc.).
Cryptocurrencies
Cryptocurrency requires a higher level of education than most other forms of trading, simply because the product is still so new.
You’ll have heard of Bitcoin, which is the most famous example of a cryptocurrency. Bitcoin and others such as Litecoin and Ripple are digital currencies that work independently of banks. Cryptocurrency trading involves using digital wallets, blockchains and complex methods of encryption.
It is possible however, to speculate on price movement of cryptocurrencies without owning them. This simplifies the process and makes it far more accessible.
Futures Trading
Futures involves predicting whether the price of a commodity or stock will increase or decrease within a given time period.
Options Trading
Options are one of the more complex forms of day trading and would certainly require some form of trading education: It basically involves buying an ‘option’ to buy or sell stock during or after a period of time depending on whether you think the stock’s price will fall or rise.
Binary Options Trading
Binary options are a simplified form of options trading where you predict whether the price of a stock or commodity will go up or down over a set time period. The investment ‘stake’ is fixed, so the potential loss is capped. As the payout is also known in advance, these are often referred to ‘fixed risk’ trades. A trader will know exactly how much they will win or lose, regardless of the size of price movement on the underlying asset.
Binaries are high risk trades, and education options are limited.
They are now banned in Europe due to a proliferation of fraudulent operators. Paying for education is equally high risk, and free websites or forums are a superior option, alongside demo accounts.
Indices Trading
Trading indices involves trading on a group of stocks related to one particular area. The FTSE 100 for example is a collection of the top 100 companies quoted on the London Stock Exchange. The S&P 500 and Nasdaq are similar groups of stocks traded in the US.
It is possible to trade these index prices, and learning how to trade them revolves around price action and economic analysis for the market as a whole.
Social/Copy Trading
Social or copy trading involves setting up a trading account and linking it to that of another, more experienced trader. Whatever trades they make, your account also makes meaning your profits and losses are ‘copied’ relative to how much money you’ve invested.
Swing Trading
Swing is not a form of day trading, but you will see many day trading education sites offering courses in it. Swing trading is a form share trading where you keep hold of your shares for anything from 2 days to 2 weeks in order to profit from any ‘swing’ in their price.
Free Education Vs Paid Education
Comparing Costs
If you’re researching trading education, one of the main things you’ll be considering is cost. The first thing to point out is that there’s no such thing as a free lunch; almost every platform or course that promises free trading education or tips will, at some point, want you to pay for more in-depth services.
The aim is to find a reputable, high-quality course that offers value for money.
What constitutes value for money depends on your own ambitions and circumstances. Here are some things to consider:
- Know what you want: There is a huge amount of trading education opportunities out there. Before you enter your card details on the first website that offers to help you gain financial freedom, make sure you know what you’re after. Do you want to trade futures or forex? Do you want to invest a little or can you afford more? Do you learn best by reading or watching? Do you want someone to walk you through the basics or are you happy to invest in some indicators and get cracking? Knowing these things will save you a lot of wasted expense that could be better invested in successful trading.
- Do your homework: Some websites are upfront about how much they charge for a course or educational package, others require more investigation. If a course offers ‘free’ education, it’s likely that after so many lessons, you will have to start paying. These costs aren’t always advertised or made clear, so be sure to read the small print or ask in advance what, if any, costs might be requested down the line.
- Budget: Course and indicator prices can vary wildly from $20 to $9000. There are also subscriptions that can range from $10 per month to nearly $200. Spending top money is a big commitment so, if you feel a premium course is for you, make sure you can afford it and that you’ll get your money’s worth out of it.
Finding Your Level
Online trading courses often have different levels, usually Beginner, Intermediate, Pro or similar.
As you’d expect the prices are on a sliding scale, with beginner courses being cheapest and advanced more expensive.
When browsing for the best trading education, assess what level of trader you realistically are. If you don’t know your FTSE from your elbow, then signing up for a premium, gold members trading room straight away isn’t going to make you a premium trader.
On the other hand, if you’ve done a little investing in stocks and want to take your trading to the next level, or maybe get involved in another kind of trading, then an intermediate course will be for you.
Advanced trading education should only be considered by those who have been full-time traders for a while and feel that they’d like some mentoring to work alongside their trading and keep their strategies fresh.
Whatever level you are, remember that education works best as an auxiliary to your trading. All the tips and books and demo accounts that money can buy are no substitute for real-world, real-time, real-money trading.
Paying For Quality
Day trading education varies enormously in the quality and type of resources on offer. Also, be wary of the trading school founders who say they started offering courses because they were sick of spending money on systems and indicators that didn’t work, an expensive course doesn’t necessarily equal a reliable course.
The kind of services or resources you might expect to find offered as part of a trading education package might include:
- Indicators: Programs that use various calculations to analyse and indicate the direction of stock prices
- Demo Accounts: These allow you to practice trading using a simulation platform and simulation money
- Webinars/Tutorials/Live Classes: Live online lessons or tutorials with experienced traders
- Mentoring: One-on-one support from an expert trader
- Downloadable materials: This might be things like PDF booklets or interactive quizzes that explain trading in greater depth
- Weekly/Daily E-mails: These might provide you with a certain traders insights or market advice for the day
- eBooks: eBooks are occasionally available free to generate interest in a more detailed, paid course
The main indication of the quality of any course or package is how credible the trader behind it is.
Only consider investing your money if:
The trader behind the education has at least ten years’ experience and demonstrable success. You can only become an expert trader through direct experience; anyone without a considerable amount of that is not going to be worth your money.
The course teaches you how to trade on your own. Any genuine trading teacher or mentor will empower their students to trade for themselves. Any course or platform that requires constant payment to keep you on their site is less likely to put you in the right headspace to become a successful independent trader.
Education Website Reviews
Now we know what we’re looking for and what’s potentially on offer, let’s look at a few of the best trading education websites out there and give an overview of what they offer:
Day Trading Academy
Day Trading Academy is the brainchild of Marcello Arrambide, a trader with over 17 years’ experience. Having lost vast amounts of money on bad software and indicators, he built up his own hands-on experience and then created Day Trading Academy as an “organic approach” to trading education.
His theory is that those who learn through Day Trading Academy then teach others what they have learned. It’s not a company; it’s a “community of traders”.
So far so inspiring, but what does this mean in practice?
Day Trading Academy focuses on futures trading, specifically using the E-Mini S&P, an American futures index derived from the S&P 500. They teach a system called the Congressive Trading Strategy that involves using indicators but primarily focuses on teaching traders to make their own trades. The academy accepts traders of all experience levels, dividing them into Beginner, Intermediate, Advanced, and Pro categories. Signing up for their newsletter grants access to a free 41-page PDF booklet and a free web class. The full four-part course costs $2997 and includes videos, exercises, and feedback.
Warrior Trading
Warrior Trading offers instruction in multiple trading areas, such as Options, Swing, and Cryptocurrencies. They also pride themselves on being a trading community but differ from Day Trading Academy in that they focus on testimonials from successful students rather than the founder’s personal journey. Warrior has five mentors, with only one having significant trading experience. One of their main selling points is their live, members-only chat room, which includes commentaries, Q&As, and watch lists from other traders. The goal of their trading philosophy is to teach their system over a 15-chapter course. Warrior offers three education packages: Starter, Pro, and the application-only Inner Circle.
Among the contents of these courses are chat room access and a trading simulator. The in-depth courses and group mentoring begin with the Pro package. Exclusive access to the main traders and one-on-one mentoring is only available with the Inner Circle package.
The Warrior Starter package costs $997 for one month. The Pro Bundle packages range from $4299 to $5299 for between 90 days and 1 year’s access. Both packages then subscribe you to Warrior for $197 per month. The Inner Circle package is a flat $9997 per year.
Quantum Trading
Quantum Trading is the brainchild of Anna Coulling, a vastly experienced trader who has written many top-selling trading education books. Quantum Trading education covers a wide amount of trading types including stock, forex, cryptocurrencies, and binary options.
Quantum’s approach to trading education is selling indicators and platforms. Unlike Day Trading Academy and Warrior, there are no courses or strategies on offer here, but there are free video tutorials and articles on how to use the products on offer.
The indicator packages available from Quantum-which are mostly forex-based but do cover some other areas-range in price from $20 to $900.
IG Academy
IG Academy is an award-winning trading education website which claims over 40 years’ experience in the trading sector. With a focus on trading through leverage, spread betting, and CFDs, IG helps you trade in a number of styles such as indices, forex, stock, and commodities.
IG Academy offers a number of free courses which include video tutorials, interactive exercises, and quizzes. They also offer live trading webinars and a free demo account for those who sign up to their website.
They also offer a free chat room (although membership is required to post), which boasts a community of over 30,000 members.
IG Academy encourages users to sign up for their trading platform, which provides ongoing support and education as you trade independently. Unlike other companies mentioned, IG profits by charging commission on trades. If trading volume drops below a certain amount, users are charged a $30 monthly subscription.
Investopedia
Investopedia, founded in 1999, is an American company whose goal is to offer “accurate and unbiased financial education” to the public. They provide a wide range of financial courses through their Investopedia Academy, covering topics from day trading to personal finance.
Investopedia offers courses in various types of trading, such as options, forex, cryptocurrencies, penny stocks, and binary options. Course prices start at $199, with different bundles available at varying prices. Payment is a one-time fee, and once you purchase a course, it is yours to keep. Course content includes videos, exercises, and downloadable materials. The website also provides access to past free webinars.
Investopedia operates differently from other education websites in that it offers a more scholarly approach. You purchase the course, learn from it, and use it to further your own trading. You are not being sold a platform or a set of indicators.
Online Trading Academy
Online Trading Academy offers a unique “patented core strategy” that can be applied to stocks, forex, futures, and options trading. With over 130 tutors, many of whom have real-world trading experience, this company provides comprehensive education to its users.
To participate in any of OTA’s paid courses, prospective traders must first attend a free half-day class.
The Core Strategy course has two levels: Core Strategy and XLT Core Strategy (XLT represents Extended Learning Track). The Core Strategy class is a seven-day, two-part course that costs $7000, with no more than 22 students per class. In addition to teaching OTA’s core strategy, it provides access to a real-time trading platform and concludes with an exam.
The XLT course costs $8500 for three months, followed by a $625 per month subscription, or you can pay $12500 for three months and have lifelong access. The XLT course provides more of a mentoring environment for your live trading. You can trade live while utilizing OTA’s trading tools and communicating with their investors.
The Stock Whisperer
The Stock Whisperer is a website focused on stock trading education, although there are also some swing and options education packages available.
The Stock Whisperer is Stefanie Kammerman, a well-known name in the trading world who has been trading since 1994. Kammerman earned the nickname “The Stock Whisperer” due to her seemingly intuitive ability to predict stock market movements.
The Stock Whisperer website is a rich source of stock education resources. Her subscription-only trading room, The Java Pit, allows traders to view her screen during pre and live trading sessions.
The majority of the course packages focus on coaching you to trade independently.
One-on-one stock coaching with Stefanie herself can be purchased for between $299 and $1249.
The Stock Whisperer also offers ‘Boot Camp’ packages of varying lengths. These are intensive, online courses which help educate you about trading and allow you to take part in simulation trading.
The Boot Camps cost anywhere up to $3499. There are also downloadable workshops available looking at different aspects of trading. These are probably better for traders who already have some trading experience and retail from $99 to $999.
TRADEPRO Academy
TRADEPRO Academy was founded in 2012 by George Papazov, a Canadian who, despite his youthful looks, has nearly 20 years of trading experience. TRADEPRO offer to ‘certify’ potential traders in stock, options, and forex trading (it’s worth noting here that you do not need to be certified just to trade stock from a broker account).
There are three levels of trading courses at TRADEPRO: Swing, Pro, and Elite. All involve the same courses in Trading Foundations, Options, and Forex, and access to Webinars and daily tips. The Pro and Elite packages offer further courses, more support, mentoring, and access to more trading software.
One attractive aspect of the TRADEPRO courses is that they are purely on a monthly subscription – as opposed to an upfront payment and subscription. The Swing package is $99, Pro $129 and Elite $169.
Tradenet
“Tradenet is the world’s best day trading academy” announces their homepage.
Tradenet focuses on teaching forex, commodities, and EU stock trading. The brains behind the company belong to Meir Barak, a professional trader and market expert who established the site in 2004.
There is a wide variety of day trading courses and resources available from Tradenet. These courses range from self-study courses, taught courses, weekly mentorship sessions, and educational packages, with prices ranging from a few hundred dollars up to around $5000. You can download resources yourself, or get 1-on-1 sessions with one of Tradenet’s professional educators. All of these resources are built on Meir Barak’s personal trading strategy.
Tradenet sells four different trading education programs: Intro, Student, Expert, and Pro. These programs range in price from $500 up to $9000 and include access to some of the sessions and resources mentioned above, as well as a demo trading account.
Online Educational Trading Videos
One thing we haven’t discussed in this piece is the role of YouTube trading education videos. The first thing to say about these is that, while there is a place for them, it’s a potential minefield. If you’re looking for free trading education on YouTube, you should apply the same standards of research you would for any trading education course.
Before you rely on a video because it has impressive graphics or a snappy title, remember to consider whether the video’s presenter has significant experience as a trader. Are they genuinely teaching you something for free, or just luring you into buying something you don’t need? Can a profession as complex as day trading be distilled into a five or ten-minute YouTube tutorial?
As a guide to the absolute basics of day trading for beginners, YouTube is hard to beat.
However, it’s also worth questioning how many traders worth their salt would give away worthwhile trading education completely free.
Further Reading