Business

Steps You Need To Take To Become a Broker According to Wendy Kirkland

By Christy Bella | September 17, 2020

Table of Contents

If you are fascinated with the world of trading and want to enter the retail trading scene and become a successful day trader or a Wall Street sensation, then read on. In this article, we have jotted down some steps that will make your journey easier. A day trader is someone who essentially trades penny stocks. So let’s discuss first the steps to follow to become a successful day trader, then we will discuss more how to get yourself prepared to be a Wall Street trader

Learn the Ropes About Trading

The first thing you need to do is immerse yourself in learning the ropes of trading. You have to get a firm grasp on the concept of penny trading. You need to study charts and companies thoroughly. You also should be able to identify the patterns by studying the market.

Wendy Kirkland Trader is a reliable source that will provide you with valuable materials to learn everything there is to know about the trading scene. Once you have understood the basics you can try paper trading to apply what you have learned. The theories you have learned from pattern recognition may be applied in paper trading to see if your thoughts are aligned correctly with your investments.

Get the Setup Ready

You don’t need a lot of equipment if you are starting day trading. You will, of course, need a brokerage account to trade. A good laptop with a stable internet connection is also a must. These are the essential pre-requisites for your trading to start. Trading can also be done nowadays on your mobile phone by using one of the trading apps.

Start With A Small Trade

When you are starting off as a trader, it is a good idea to make a small start. You don’t want to end your career before you even started it, as making a bad trade can easily blow up your account. You need to learn as you go when you are a beginner so it is a good idea to keep your portion size small. This is especially important as you are bound to make a few mistakes at the beginning.

Allow Yourself to Grow With TimeBritish

Losing big by making risky trades is not going to impress anyone. So you need to let yourself grow with passing time. You need to refine your methods by learning from your mistakes. You can study what type of trades are consistently making profits and determine if it works for you. If they are, then you need to focus on those trades and over time, strengthen your position. This is the key to creating a long-term steady trading career.

Get a Proper Finance Education From a Business School

If you want to make your mark as a Wall Street Trader you are going to need some qualification. If you plan to work for one of the respectable investment banks you will most probably need to have a great degree from a reputed business school. This might not necessarily be fair, but you have to accept the fact that Wall Street is picky. And to make it big on Wall Street you have to meet their requirements.

Get Trained At A Brokerage Firm

This is a common way for many Walls Street Traders to start their careers. To secure a position in a brokerage firm you will essentially need the degree that was mentioned previously. There are many strategies you can learn while working at a hedge fund or a brokerage firm. Gaining more knowledge about the industry, the rules and regulations of the stock market, how trading is carried out, and what tools are used to trade are topics you will get to understanding while working in a company. Just be sure and be prepared to put in at least 60 to 70 work hours per week.

Get The Required License

You are going to need a license if you are going to trade your client’s money on behalf of their banks. If you don’t obtain a license to trade money for other people you will be seriously breaching the security laws. Most of the professional traders will have Series 7 and Series 63 Brokers license.

To obtain these licenses you need to take up the course and pass the exam. You will be required to obtain more licenses depending on the type of Wall Street professional trader you are aiming to become. These tests are pretty thorough and will require a lot of time and effort for you to get them. You do not need a degree though to become a day trader.

Register with FINRA

Obtaining your licenses will get you registered with FINRA. FINRA mainly is a regulatory body that helps to keep a check on the brokers and financial markets. It will help you trade more cautiously if you can check up with some broker or a trader to see if any regulatory actions were taken up against them at any time. FINRA has the means by which you can make that check.

Work Your Way From An Analyst To An Associate

You will most likely start your job on Wall Street as an analyst. This is the base job of an investment bank or hedge fund. You will be reading thousands of pages and be glued to your computer for hours on end drinking tons of coffee.

After you have performed well for a few years as an analyst you can get promoted to an associate institutional trader or an associate investment banker. And at this point, you will start making serious money, as you will have control over your decisions and book of business.

Conclusion

Trading is most definitely a skill that you acquire over time by studying markets and noticing patterns. It is a skill that you can get better at only by investing time and effort. The more you choose to learn from your experiences, the better you will be as a trader down the line. The steps mentioned above will help you on your journey. So take the first step and immerse yourself in the powerful world of Trading.