Drawn by extreme market volatility and the chance to profit from rapid moves in a stock within just a few hours, day traders are once again making their way into the market. On the way out are the "buy and hold" investors. New York Magazine has published an absolutely must-read article (Stock-Surfing the Tsunami) about one New York day trader (Peter Milman) who epitomizes the new breed of market participant. Milman has used quick wits, the ability to decipher news events in real-time, and a little knowledge about technical analysis to trade millions of dollars in client and proprietary money. If you're checking out the New York Magazine article online, look for the cool sidebar: "How to make $14,000 in 4 minutes." The sidebar works through, minute by minute, how Milman traded an ultra-short financial ETF more than 100 times in five minutes before the closing bell. Wow, talk about fast adrenaline!
The article also points out that some unemployed investment bankers and other workers laid off from major Wall Street firms are also trying their hand at day trading. A small capital investment (basically, one year's bonus) is enough to bankroll a lean trading operation. However, as the article suggests, it's possible to lose that entire bankroll in just a few days.
[image: Peter Milman: The Day Trader]
