馃攳
Thinkorswim Paper Trading Stocks Tutorial - Thinkorswim Tutorial - YouTube
Channel: Riley Coleman
[0]
so how do you practice trading risk-free
[2]
in this video I'm going to go over some
[4]
of the pros and cons of paper trading
[6]
and how to use the thinkorswim platform
[9]
to paper trade
[14]
hey how's it going
[16]
on this channel you will learn the steps
[19]
I took to go from trading with a
[20]
full-time job
[21]
to trading as a full-time job though if
[24]
you're new here consider subscribing and
[26]
today we're looking at paper trading in
[28]
the thinkorswim platform the best part
[31]
about paper trading or trading with fake
[34]
simulated money is that it's risk free
[37]
you don't have to put any of your money
[40]
on the line to test out or learn how to
[43]
trade in the stock market because that's
[45]
a big fear or maybe setback for a lot of
[48]
people is that oh to start trading or to
[51]
learn I have to put my money on the line
[54]
but that's actually not true you can use
[57]
paper trading to get that stress and the
[59]
risk out of there because you'll have to
[62]
put your money on the line that creates
[64]
a less or stress free environment so you
[67]
can really just dive into learning how
[69]
to trade instead of having to deal with
[71]
all the emotional swings of either
[73]
making or losing money that comes with
[75]
trading another awesome thing about be
[78]
able to pay per trade is that it allows
[80]
you to learn the platform you don't want
[82]
to accidentally have money on the line
[84]
in a trade and accidentally hit the
[87]
wrong button that could lose you
[88]
potentially thousands of dollars being
[91]
able to practice everything in a
[93]
stress-free and risk-free environment
[95]
while you're just learning the platform
[97]
is really important while you're
[99]
learning the platform this also allows
[100]
you to practice a trading strategy and
[104]
hone in your trading strategy a big
[107]
important thing about trading in the
[109]
stock market is creating a strategy and
[112]
then seeing where that strategy works
[114]
and doesn't work one of the best ways to
[116]
do that without having to risk your
[118]
money is doing that paper trading and
[120]
doing that paper trading also build your
[123]
confidence in the trading strategy
[125]
because you are able to see that you are
[127]
able to be profitable with that trading
[130]
strategy while trading it in almost real
[133]
time conditions working out a strategy
[135]
based on just past performance doesn't
[138]
really work the only way to really test
[140]
this strategy is to test it forwards and
[143]
test it either in real time with a paper
[147]
trading account or putting your money on
[149]
the line with a real account the
[151]
smartest way to do that is using a paper
[154]
trading account so you don't have to
[155]
risk your money on maybe a strategy that
[157]
isn't going to be profitable a big thing
[159]
to keep in mind though is that paper
[162]
trading definitely does not equal real
[164]
money trading because you don't have all
[166]
the stress of risk and your own money on
[169]
the line it will not simulate exactly
[172]
what it will be like it's a lot easier
[175]
to follow your trading strategy in a
[178]
simulation because you don't have that
[180]
money to affect you emotionally it's
[183]
easy to say that oh it won't affect me
[185]
but emotions in the stock market play a
[188]
huge role and never downplay the fact
[191]
that emotion is going to affect you
[193]
because the swings of our own money
[195]
affect our emotions greatly and that
[198]
will cause us to maybe sway from our
[201]
trading plan and affect our returns in
[204]
the end which may be the paper trading
[206]
wouldn't have had happen with the fact
[208]
that it is paper trading it can be
[210]
easiest to not take it serious because
[213]
it is just play money and you can really
[215]
mess around playing with a huge sum of
[218]
money that they usually give you but you
[220]
need to take it seriously because you
[222]
are going to be using this potential
[224]
strategy that you're testing with your
[226]
own money in the end and you're not
[228]
going to be wanting to mess around then
[230]
knowing that your strategy is profitable
[232]
based on you being as serious as you can
[235]
and trying to make the simulation as
[237]
real as possible to develop real results
[240]
and a real strategy so when you switch
[243]
from paper trading to real money it's
[244]
not a huge difference in how you're
[246]
trading it's just the fact that you're
[248]
actually using real money if you traded
[251]
way differently then you're gonna trade
[253]
when trading your real money you're
[254]
gonna have much different results and
[256]
most likely there will be results that
[258]
you're not gonna want so first off how
[260]
to get into thinkorswim - paper trade
[264]
you need to first sign up for
[266]
thinkorswim
[267]
and once you have an account with them
[270]
when you are logging in you really make
[272]
sure to change this live trading in the
[275]
paper trading and then that will log you
[278]
into the simulation instead of the main
[280]
platform when you log in now that we're
[282]
in the actual account the first thing
[284]
you'll notice at the top left is you
[286]
actually have money and generally you
[288]
will start with a hundred thousand and
[290]
it'll show that you have two hundred
[293]
thousand in buying power because you
[294]
have a margin account another important
[297]
thing is up at the left you will see
[298]
that you have delayed data and right now
[301]
for me it says you have I have 20
[303]
minutes of delayed data but you should
[305]
be able to call their client services
[308]
and ask them to make your data not
[311]
delayed so you can trade with the real
[313]
time of the stock market you try and
[316]
make it as close to a real simulation as
[319]
possible that actually trade there are
[322]
many ways to open just a I share order
[325]
on this platform but easy way I like to
[328]
do is just go to charts and then if I
[331]
have this chart open of Apple and I
[333]
wanted to buy a hundred shares of Apple
[336]
at the price 215 I can just right click
[340]
and click buy and that will open up this
[343]
order down here of defaulted to a
[346]
hundred shares of Apple at the limit
[349]
price of 215 because that's what I had
[351]
clicked up here and then to make that
[353]
I'll have to do is send and that'll
[355]
create that order and as you can see
[358]
because the price of Apple is above 215
[361]
it's out and right now it's at 215 and a
[364]
half about I won't get filled on that
[367]
because this is a limit order to get
[369]
filled at when the price is exactly 215
[372]
so the price of Apple has to come down
[374]
to 215 for me to get filled on those
[378]
shares if I wanted to adjust this order
[382]
quickly to maybe get filled right now at
[385]
Apple all I have to do is click and drag
[388]
this limit a hundred that came up and
[390]
get it to about the exact price that
[393]
Apple is trading at and then if I click
[396]
that it'll create this new buy order at
[399]
that new price and I can
[401]
like send and that will delete the old
[403]
one and create a new one as you can see
[405]
I got filled up here it says I cancelled
[408]
and then got filled on my new order of a
[411]
hundred shares of Apple and to look at
[413]
that order now I just have to go to the
[415]
monitor tab and I have these other
[418]
random positions that I was messing
[419]
around with earlier but you can see
[421]
right here I have a quality of a hundred
[424]
shares of Apple it says what price I got
[426]
in it and then it says how much I am up
[429]
so I'm up already a quarter of a percent
[431]
on that which is $26 you will be able to
[434]
monitor this and see as the price goes
[436]
up and down if I wanted to close this
[439]
position I can just right click and
[441]
create sell order and that'll bring up
[443]
the trade tab and down here it will say
[446]
that I'm selling a hundred shares of
[447]
Apple and then I can click confirm and
[451]
send and that will send in that sell
[454]
order now I can go back here and I can
[457]
see that that order is working to sell a
[459]
hundred shares of Apple it might not get
[462]
filled right away just based on the
[464]
market conditions and maybe the price
[466]
moved away from the sell price that I
[469]
want so maybe I want to sell at two
[473]
fifteen and a half but now the prices
[475]
moved down to two fifteen I won't be
[477]
able to sell at two fifteen and a half
[479]
because that's 50 Cent's above the
[481]
market and no one's gonna want to buy
[483]
above the current market value of that
[485]
stock now if you're wanting to trade
[487]
options you can go into the trade tab
[490]
and it'll have the options grid now to
[494]
just buy a basic call option you will
[496]
have the calls on the left side here and
[499]
you can see that here down here in the
[502]
darker background and the black
[503]
background is the out of the money
[505]
options and then right here you will
[508]
have at the money options because the
[510]
price over here is to about 215 and the
[513]
current price of Apple is 215 and then
[516]
beyond that you will have in the money
[518]
options that are more in the 200 price
[520]
range and below the actual price of the
[524]
current value so just to buy a basic at
[528]
the money option I can just right click
[529]
here and click buy single and that will
[533]
come up with a
[534]
by order here to default at buying 10
[538]
call options and I can see that down
[541]
here the current price is at 155 it just
[545]
moved up a sense and I can click confirm
[547]
and send and then I'll bring up another
[549]
tab and it'll show you how much that is
[552]
currently charging me because I'm buying
[554]
ten of these and it's times a hundred of
[558]
that current price there so it's $150
[560]
per each call option and then times ten
[564]
because I'm buying ten of them it's
[566]
gonna cost me fifteen hundred dollars to
[568]
buy ten of these it'll give me control
[570]
over a thousand shares of Apple or just
[573]
fifteen hundred instead of having to pay
[575]
two hundred thousand dollars so I can
[578]
just click confirm and send for that and
[580]
you can see up here it makes that little
[582]
ding and then I got filled on 10 call
[584]
options of Apple you can see down here
[587]
because I'm looking at Apple it'll have
[589]
my positions on Apple soakin so you can
[592]
see that I have a hundred shares of
[594]
Apple down here and then ten all options
[596]
of Apple as well and it will have all
[599]
the Greeks of those options and it will
[602]
also tell you how much money you're up
[604]
and down or those positions you have if
[607]
I wanted to sell this I can just right
[609]
click and create closing order to do
[611]
that and to make more complicated
[613]
strategies I can right click on here and
[616]
click buy or sell and you can see that
[619]
it comes up with a ton of different
[621]
strategies to use for options even
[624]
though it is fun to trade with a huge
[627]
size because you're given this huge
[628]
account I would suggest that you trade
[631]
using the size of account you're gonna
[633]
use if you're gonna just start out with
[635]
a few thousand dollars try and trade
[637]
around those parameters because it'll
[640]
make it as fluid transition when you go
[643]
from paper trading to real money trading
[645]
hey thanks for checking out this video
[647]
if you want to learn more about trading
[649]
in the stock market or the thinkorswim
[651]
platform make sure to subscribe to the
[653]
channel if you like this video give it a
[656]
thumbs up and as always if you have any
[658]
comments or questions ask them in the
[660]
comments below
Most Recent Videos:
You can go back to the homepage right here: Homepage