Are you a student and dream of earning money by trading on the stock markets? Good news, it’s entirely possible! However, to succeed in this demanding path, it is essential to start off on a good basis. To achieve this, we give you our essential advice for becoming a profitable trader, even while you are still at university. Ready to take the challenge ?
Trading training
To succeed in trading as a student, it is essential to start by choosing a complete training adapted to your level of knowledge. Whether you are a beginner or already have some knowledge, opt for a program that covers all aspects of trading, from technical analysis to risk management through market psychology.
Training adapted to your level and objectives
Let’s take the example of Julien, an economics student who wants to learn trading. After comparing several offers, he chooses one online training offering progressive modules, practical exercises and personalized support from experienced traders. This structured approach adapted to their beginner profile allows them to effectively acquire the basics of trading.
Make sure this training offers personalized support, with experienced trainers available to answer your questions and guide you throughout your learning. This support will be valuable in order to progress effectively and avoid costly errors.
Technical language and fundamental concepts
Once you have chosen the training, spend the time necessary to familiarize yourself with the tradin languageg. Master the key concepts as the spread, THE lever, THE Japanese candlesticks or even the moving averages will allow you to better understand market analyzes and develop your own strategies.
Let’s imagine that Sophie, a computer science student, enrolls in training to learn trading. By seriously studying specialized vocabulary and practicing recognizing graphic figures like the triangles, THE flags where the heads And shoulders, she gradually develops her ease in analyzing charts. This mastery of fundamentals strengthens his confidence and his ability to make informed decisions on the markets.
Take advantage of structured courses and practical exercises offered in your training to train you to recognize chart patterns, spot trends and entry signals. The more comfortable you are with these concepts, the more your self-confidence and your analytical skills will improve.
For successful training, rely onaccompaniement. Being guided during your training period will allow you to progress quickly.
| Choice criteria | Adapted training | Training to avoid |
|---|---|---|
| Content | Complete and progressive, covering technical analysis, money management, psychology | Focused on only a few aspects, lacking structure |
| Pedagogy | Practical exercises, concrete case studies, interactive virtual classes | Theoretical lectures without practical application |
| Accompaniement | Personalized monitoring by experienced trainers available | No tutoring or individual monitoring |
| Community | Exchange forum between students to help each other and stay motivated | Solo learning without the possibility of interacting with other learners |
Training
Before you start with real money, it is essential to practice on a demo account. Most of brokers offer these free accounts that allow you to test your trading strategies without taking any risk. Set yourself some realistic and progressive objectives during this learning phase.
Realistic and progressive objectives
Take the case of Thomas, a mathematics student passionate about financial markets. On his demo account, he first sets a objective of 5% earnings per month. As he refines its strategy and gain regularity, it gradually raises its objectives to 8% then 10%. This approach gradual allows him to develop his experience and confidence, without being subjected to counterproductive pressure.
For example, start by aiming for a performance of 1 to 2% per month, then gradually increase your virtual capital and your goals according to your results. This approach progressive will help you gain experience and confidence, without the pressure of unrealistic goals.
Analysis of your trades
During your training on the demo account, take the time to analyze each of your trades in detail. Write down your thoughts and emotions before, during and after the performance in a journal. Analyze them graphics to understand what worked and what didn’t.
Let’s imagine Laura, a psychology student who is starting trading. After each trade on her demo account, she notes in a file the reasons which pushed her to enter the market, her feeling during the position and its observations a posteriori. By analyzing her winning trades, she realizes, for example, that she has a good intuition to spot key supports and resistances. Conversely, studying his losing trades reveals a tendency to cut his gains too early out of fear. These findings allow him to to strenghten his assets and of to correct his weak points.
This approach will allow you toidentify your strengths, such as a good reading of underlying trends, but also your points of vigilance: management of emotions, haste, lack of discipline… Consider each error like a opportunity for progression and adjust your trading plan accordingly.
Do not hesitate to take note of your errors and analyze your trades this will allow you to progress.
To effectively analyze your trades:
- Note the context and reasons for your entry
- Describe your emotional feelings during the trade
- Explain the reasons for your exit
- Identify positives and mistakes
- Define areas for improvement for future trades
Solid emotion management
Managing your emotions will be a key factor in your trading success. To work there, the outfit rigorous of a logbook is essential. In addition to monitoring your trades, note your emotional feelings: moments of euphoria, stress, doubt…
The Trading Journal
Let’s take the example of Nicolas, a management student who has been trading for several months. In his diary, he scrupulously notes his state of mind before, during and after each trade. Over time, he realizes that fear often makes him take irrational decisions, like cutting a winning position too early. Thanks to that awareness, he puts in place rules to discipline, such as defining your profit objectives in advance and respecting your stops.
Over time, you will learn to know you better as a trader and will be able to set up strategies For manage your reactions. For example, in the event of a loss, you now know that it is better to take a break rather than wanting to “remake” yourself at all costs. This work on your emotions will save you from many costly mistakes.
Sharing experience
Trading can be a lonely activity, especially when you’re just starting out. To progress in managing your emotions, do not hesitate to exchange with other traders, notably via specialized forums. Sharing your experiences, your doubts and your successes will help you put things into perspective and stay motivated.
Imagine Marie, a young budding trader who is going through a series of losing trades. Discouraged, she confided in a mutual aid forum between traders. THE kind messages make him realize that even the best go through difficult times. He is advised to temporarily reduce his exposure to regain confidence. By applying these tips and thanks to the support of the community, Marie regains her serenity and returns to positive performance.
You will realize that all traders, even the most experienced, face the same emotional challenges. Their advice and encouragement will be invaluable to you. However, be sure to always remain critical and not blindly follow the strategies of others: develop your own!
Your mindset is very important in trading. Surrounding yourself with people who are just starting out like you is a great way to reassure and motivate you.
| Emotion | Impact on trading |
|---|---|
| Fear | Cutting winning positions too early, not daring to enter trades that are valid |
| Euphoria | Increasing positions excessively after a gain, no longer respecting stops |
| Frustration | Wanting to “recover” at all costs after a loss, taking unplanned trades |
| Doubt | No longer following your plan, hesitating to follow the signals, constantly changing strategy |
Rigorous risk management
Preserving your capital should be your top priority when you start trading. The golden rule is to never risk more than 1 to 2% of your capital on a single position. This may not seem like much, but it’s the best way to limit your exposure in the event of a loss and ensure the longevity of your account.
The rule of 1-2% of your capital
Let’s take the case of David, a computer science student with capital of €1000 to start trading. By applying the 1% rule, he does not bet more than €10 per trade. Even if he goes through a black streak of 10 losing trades in a row, his account will only suffer one drawdown by 10%. This prudent management allows it to stay in the race and of continue to progress serenely.
So, even if you suffer several losses in a row (which will happen sooner or later), you will avoid burning out all of your capital at once. This disciplined approach is essential to last over time and progress peacefully in your learning.
Stop losses
Other essential tool to manage your risk: stop loss. By placing a stop order at a price level, you automatically limit your loss if the market turns against you. You can therefore protect yourself without having to constantly monitor price developments.
Imagine Élodie, beginner trader which opens a long position on Tesla stock at $750. Having defined its maximum loss threshold at 1% on this trade, she immediately places a stop at $742.5. The stock suddenly falls following bad news. Thanks to her stop, Élodie limit breakage to 1% and can calmly focus on other opportunities.
Always place your stop-loss when you enter a position, based on your technical analysis. Define it maximum loss level that you accept, and do not move it over time. Respect these stops scrupulously, even if it sometimes means exiting at a loss. On the long term, this protection will make all the difference.
Did you know that 80% of investors individuals lose money in stock exchange ?
To calculate your position size based on your capital:
- Define your capital allocated to the trade (ex: €1000)
- Set the maximum risk percentage per trade (eg: 1%)
- Calculate the maximum acceptable loss: 1000 x 1% = €10
- Locate the planned entry price (e.g.: €100)
- Place your stop according to your analysis (ex: €98)
- Calculate the position size: 10 / (100-98) = 5
- You can therefore buy 5 units at €100 to respect your 1% risk threshold.
Distrust of promises of easy gains
If trading attracts you, you have surely already seen advertising for trainingmiracles« , promising to get rich quickly and effortlessly. Beware of these tempting offers! Trading is a real profession, which requires a serious and progressive learning for long-term success.
Progressive learning and regular practice
Let’s take the example of Jérôme, a student tempted by training promising « €1000 per day without knowing anything about it ». After reflection, he finally preferred to opt for a more serious program, spread over several months and covering all aspects of trading. By following this rigorous course and training regularly, he acquires a solid foundation for a lasting career as a trader.
Focus on acquiring the basics, through comprehensive courses and regular training. Wait until you have a few months of experience on a demo account before moving on to real money. And even afterward, continue to train yourself, refine your strategy, work on your psychology…It’s a process of continuous improvement!
The real performance of trainers to avoid scams
If you are interested in trading training, take the time to compare several offers. Check the concrete results trainers, their real performance on the financial markets, andalumni reviews. Beware of too laudatory testimonials or some promises of quick wins. Favor trainers who are transparent about their results and their methodology. Do not hesitate to ask for proof of their performance and consult forums or discussion groups for independent opinions. By demonstrating diligence, you will avoid scams and choose training that will give you real added value.
Become a profitable trader as a student is a challenge that requires a methodical and rigorous approach. By acquiring solid training, practicing on a demo account, developing emotion and risk management, and being wary of promises of easy gains, you will put all the chances on your side to succeed in your investments. Trading is a continuous learning journey, where the patience and the perseverance are your best allies.
