Princeton Daytrading, LLC does not recommend or suggest any stocks for trading. All clients must make their own decisions as to what stocks they will trade. Trading strategies taught by Princeton Daytrading, LLC are for educational purposes and are NOT guaranteed methods for making money. Daytrading is an art and, as in painting a picture, there are many ways of applying paint to a canvas, but the value of the art comes from the way the artist applies the methods he/she has learned. All traders are responsible for their actions and should therefore consider their financial situation, investment experience and investment objectives before trading their hard earned money. Daytrading has many inherent risks. Your daytrading capital should be money that you can lose without having a major adverse affect on your living conditions. Daytrading capital should not be funded with retirement savings, such as an IRA, student loans, second mortgages on your primary residence, emergency funds, or your current income used for living expenses.
Clients get involved in daytrading because of the potential to make large profits in a short amount of time. Clients must be aware that there is the potential to lose large amounts of money in a short time.
Clients without proper training and knowledge of the securities markets will most likely lose their money. Besides daytrading against other daytraders trying to profit, you will be competing with professional traders employed by securities firms.
Day trading on margin or short selling
could result in losses greater than your initial investment.
When clients daytrade with funds borrowed from a firm (margin) or someone else, they can lose
more than the funds originally placed at risk. This happens when a decline in the value of the securities that are purchased or sold short require additional funds be paid to the firm to avoid the forced sale of those securities or other securities in an investors account. Short selling has unlimited risk due to the fact that there is no limit to the stock's upward price potential, therefore, we don't reccommend short selling when holding the stock overnight under most conditions.