Day Trading Computer Set Up: Explained By An Expert (2023)
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Are you thinking about taking trading as a full-time job? Or maybe you are already trading but want to take it to the next level? Well, to be a successful and smart trader, you will need a tailored computer set up. Your computer is one of the most important aspects of your trading business. It will affect your trading performance, efficiency, and ultimately your profitability.
You must be wondering how a customized choice of equipment can make such a big difference in your trading business. Let us explain it to you with the help of an analogy. Imagine you are a professional basketball player. You would not play in your sneakers, would you? Instead, you would use special shoes designed for the game to help you run faster, jump higher, and make split-second decisions. The same applies to trading. To be the best trader, you need the best tools; for a day trader, it is a day trading computer setup.
To better understand this concept, we have got Ezekiel Chew, the CEO, and founder of Asia Forex Mentor, to share his insights on the topic with us. He is a top forex trader, fund manager, and educator. With over two decades of experience in the financial markets, he is well-equipped to share his secrets to success with us. In addition, we will discuss how to come up with the top-notch and go-to computer setup for day trading.
Day Trading Computer Set Up – What is Day Trading
To start off, let us first understand what day trading is. Day trading is buying and selling financial instruments within the same day. This means that all positions are closed before the end of the trading day.
Day traders usually trade stocks, ETFs, options, and futures contracts. They rely heavily on technical analysis to make decisions as they believe that the price movements in the short term are mostly driven by market psychology. In addition to that, day trading includes sitting around your computer and monitoring the markets all day long. This is why setting up a comfortable and ergonomic computer is so important for better trad
If you want to do some serious trading, you need to invest in the proper computer, as your laptop and iPhone may not be enough. Moreover, you also need to open several tabs, which would cause many distractions if you keep switching tabs. So, a proper computer setup is crucial for day trading.
Components of a Computer Day Trading Set Up
When choosing a computer for day trading, the three most important components are trading monitors, computers, adapters, and a stable internet connection.
The first and foremost thing you need is day trading computer monitors. Many novice traders don’t know how many monitors they need for day trading. Also, they mistake thinking that any computer screen would do the job. However, that is not the case. You need to have a big enough monitor with the right resolution so that you can comfortably view the charts and data.
Choosing a trading monitor depends on your preference, including your trading strategies, lifestyle, and graphic card. Also, one monitor won’t be enough; you need more monitors with several screen displays. However, if you are a beginner, stick with the basics first and then upgrade as you get more experience.
While choosing a trading monitor, make sure to keep the following things in mind:
The higher the screen resolution, the more pixels there are. This means you can have a clear and detailed view of the charts. A minimum resolution of 1080 Px is recommended. Requires the application program interface (API) for video capture cards. The D3DX11 wrapper is used to create dynamic link libraries (DLLs). The best screen solutions ensure you will get high-quality images from your video card.
Size of the Screen
Bigger screen size will help you see more data in one go. However, that also means that it will take up more desk space. Get the dual-screen monitor capabilities if you are a day trader and need to monitor multiple software options simultaneously. But, if you choose 7 to 8 screens, smaller screen sizes are better to adjust on your desk.
You need to make sure that your external monitors are positioned in a way that is ergonomic and comfortable for you. For example, many people tend to have their monitors higher. This is because when you are looking at the screen for long hours, it puts strain on your neck. So, make sure to get an adjustable monitor stand. You may also need mobile monitor stands in case you use mobile screens for trading.
This is the number of times the image on your screen is refreshed per second. A higher refresh rate means a smoother image. For day trading, you need a minimum of 60 Hz but if you can afford it, go for a 144 Hz or even a 240 Hz monitor.
The next thing you need is a trading computer setup. This is a special type of computer that is designed for heavy use and can handle multiple tasks at the same time. A regular computer may not be able to do that.
Additionally, trading desktop computers can handle such tasks as Falcon Computers. Also, the best computers are what can be customized; don’t spend on unnecessary things you won’t use. You can also get a gaming computer as it makes the best trading computers.
When it comes to choosing a computer, below are the things that you should keep in mind:
Random Access Memory (RAM)
Random access memory is one of the most important things to consider when choosing a stock trading PC. RAM helps your computer in running multiple programs at the same time. As a day trader, you’ll need to accomplish many things simultaneously. For example, while executing a trade, looking for another one, reading the news, and checking your indicators, among other things. All of these operations must operate swiftly and without delay.
If you are wondering how much RAM you need, the answer is at least 8 GB of RAM but if you can afford it, get 16 GB or even 32 GB.
CPU (Central Processing Unit)
This is your computer’s brain and helps execute the instructions. For day trading, you need a fast CPU with a high clock speed. As a beginner, you can go with the dual-core processor. However, Quad-Core Processor is recommended as it doesn’t freeze your system.
The minimum speed of your processor must be 2.67 GHz. Moreover, the faster the speed, the better it is for trading.
Solid State Drive (SSD)
This newer type of storage device is much faster than the traditional hard drive. As a result, it helps in loading the programs and data much faster. Not only that, but it also helps to store all your trading data, documents, trading software, and more.
An SSD with a minimum capacity of 128 GB is recommended for day trading. You can also switch to a higher capacity for better trade management if needed.
This is one of the most important things to consider when choosing the best computer for trading purposes. A graphics card helps you display the charts and data on your trading screens as you need to run multiple programs. Likewise, your video card should support and run multiple processes efficiently.
For day trading, you need a minimum of 2 GB of video memory but if you can afford it, get 4 GB or even 8 GB.
You may not know, but adapters are essential for your day trading setup. Your trading setup consists of several components and devices that need to be connected. For example, you must connect your computer to the internet, trading software, and monitors.
To do that, you need adapters. One of the most popular adapters is the Ethernet adapter that helps you connect to the internet. Another popular adapter is the HDMI, which enables you to connect your monitors to the computer.
For a convenient trading experience, a stable and fast internet connection is essential. Your profitability depends on real-time data for trading, and a poor internet can disrupt that. That’s why it is recommended to have a minimum internet speed of 10 Mbps for day trading.
Also, you must have an internet backup, which could be your phone with a data plan or another internet device.
The technology and hardware are prone to failure. That’s why it is always recommended to have a backup for everything. As a day trader, you should invest in the following back-ups:
Power outages are one of the most common disrupts of your trading. That’s why it is essential to have a backup power supply. There are several types of power supplies available in the market. First, you can go with the UPS (uninterrupted Power Supply) that provides backup power for a few hours. However, for day trading, it is recommended to have a UPS with at least 500 VA (volt-ampere).
Another important backup for day traders is an extra computer. It can be hacked or infected with a virus. So, you should have a backup computer or trading laptop that you can use in case your main computer fails.
Best Forex Training Course
There is no doubt all these things may seem a bit technical to follow. In fact, the price makes so many wild swings each day that it can be very hard to measure buying pressure or selling signals. Also, learning all the technical analysis you need for forex takes more than just a day. Instead of relying on the odd article here and there, you may want to get a full detailed course to take you through all these situations.
Here is where the idea of the Asia Forex Mentor by Ezekiel Chew comes in. The course is a robust introductory guide that will give you the knowledge you need to trade forex. It’s a beginner-friendly guide as well that works for folks who want to trade forex and any other financial asset.
The Asia Forex Mentor will not just teach you how to predict price shifts, daily volume, and these other technical indicators. It will also teach you how to manage capital and explore some of the most advanced risk control measures in the world. After all, as long as you are managing your capital correctly, identifying overbought and oversold pairs will be the easier part.
Also, if you are an advanced trader looking to learn some of the tricks used by leading banks, this course is also ideal. As a matter of fact, The Asia Forex Mentor is developed by someone who has taught some of the leading investment bankers how to trade forex. You will be able to identify a losing trade, gauge price movement under immense trading pressure, and maintain a level head even when the markets are volatile.
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Conclusion: Day Trading Computer Set Up
There you have it. We have discussed everything you need to know about setting up your desktop computer for day trading. However, these were the components that are must-haves for everyday traders. Apart from these, there are several other accessories and gadgets that you can buy to make your trading experience more convenient. It includes trading keyboards, silent case fans, etc.
But, before buying anything else, ensure you have the essentials in place. And, once you have set up your computer, connect it to a reliable internet connection and start trading!
Day Trading Computer FAQs
Can I use my laptop for Day Trading?
Yes, you can use your laptop for day trading. However, it is not recommended as laptops are not designed for heavy usage. They can overheat, and this can disrupt your trading. You may need an additional monitor and computer for your trading setup.
What is a good monitor for day trading?
A good monitor for day trading is a 24-inch LED monitor with a resolution of 1920×1080 pixels. This will give you a clear view of the market and help you make better trading decisions.