About this video

• Video Title: How To Start Day Trading As A Beginner In 2025 [Full Tutorial]
• Channel: Craig Percoco
• Speakers: Craig Percoco
• Duration: 27:26

Overview

This video serves as a comprehensive tutorial for beginners looking to start day trading, particularly in 2025. It covers foundational concepts of trading, essential tools and setup, the importance of trading psychology, an introduction to technical analysis, how to build a trading plan, and how to learn and implement a trading strategy. The presenter aims to provide a clear and simplified path to starting a trading career correctly, avoiding common mistakes.

Key takeaways

• Understanding Market Mechanics: The market moves based on supply and demand, creating imbalances that traders can capitalize on. Charts are visual representations of mass human psychology.
• Investing vs. Trading: Investing yields smaller gains over longer periods (e.g., 10-30% annually), while day trading aims for larger, more frequent profits within shorter timeframes by exploiting intraday volatility.
• Essential Tools: Beginners need TradingView for charting, a reliable trading platform (like Blofin, Bybit for crypto, or Topstep for stocks), and a trade journal for tracking performance.
• Trading Psychology is Crucial: Overcoming the fear of losing, the idea that being wrong is inherently bad, and the misconception that making money always signifies a good trade are vital for success.
• Risk Management: It's essential to define the risk per trade (e.g., a fixed dollar amount or percentage) and calculate position size accordingly to manage potential losses effectively.
• Technical Analysis Basics: Key tools for analysis include identifying trends (uptrends and downtrends), using Fibonacci retracements for potential reversal points, and recognizing fair value gaps as areas where price may rebalance.
• Developing a Trading Strategy: This involves observing market patterns, creating a rule set based on these observations, and evaluating the profitability and consistency of the strategy through backtesting (like using bar replay) and simulated trading.
• Executing Trades: Understanding order types (limit vs. market) and the role of leverage is important for entering and managing trades on trading platforms.

A fair value gap (FVG), also known as an inefficiency, is identified on a chart by a specific pattern of three consecutive candles. In an uptrend, a bullish FVG occurs when the high of the first candle does not overlap with the low of the third candle. The area between these two wicks on the middle candle represents the FVG. Conversely, in a downtrend, a bearish FVG is formed when the low of the first candle does not overlap with the high of the third candle.

These gaps are significant because price often revisits these areas to "fill the inefficiency," which can present trading opportunities. The speaker notes that price frequently reacts to these levels, and sometimes traders enter trades at the midpoint of the FVG, placing their stop loss outside the gap.