More on Personal Growth

Daniel Vassallo
4 years ago
Why I quit a $500K job at Amazon to work for myself
I quit my 8-year Amazon job last week. I wasn't motivated to do another year despite promotions, pay, recognition, and praise.
In AWS, I built developer tools. I could have worked in that field forever.
I became an Amazon developer. Within 3.5 years, I was promoted twice to senior engineer and would have been promoted to principal engineer if I stayed. The company said I had great potential.
Over time, I became a reputed expert and leader within the company. I was respected.
First year I made $75K, last year $511K. If I stayed another two years, I could have made $1M.
Despite Amazon's reputation, my work–life balance was good. I no longer needed to prove myself and could do everything in 40 hours a week. My team worked from home once a week, and I rarely opened my laptop nights or weekends.
My coworkers were great. I had three generous, empathetic managers. I’m very grateful to everyone I worked with.
Everything was going well and getting better. My motivation to go to work each morning was declining despite my career and income growth.
Another promotion, pay raise, or big project wouldn't have boosted my motivation. Motivation was also waning. It was my freedom.
Demotivation
My motivation was high in the beginning. I worked with someone on an internal tool with little scrutiny. I had more freedom to choose how and what to work on than in recent years. Me and another person improved it, talked to users, released updates, and tested it. Whatever we wanted, we did. We did our best and were mostly self-directed.
In recent years, things have changed. My department's most important project had many stakeholders and complex goals. What I could do depended on my ability to convince others it was the best way to achieve our goals.
Amazon was always someone else's terms. The terms started out simple (keep fixing it), but became more complex over time (maximize all goals; satisfy all stakeholders). Working in a large organization imposed restrictions on how to do the work, what to do, what goals to set, and what business to pursue. This situation forced me to do things I didn't want to do.
Finding New Motivation
What would I do forever? Not something I did until I reached a milestone (an exit), but something I'd do until I'm 80. What could I do for the next 45 years that would make me excited to wake up and pay my bills? Is that too unambitious? Nope. Because I'm motivated by two things.
One is an external carrot or stick. I'm not forced to file my taxes every April, but I do because I don't want to go to jail. Or I may not like something but do it anyway because I need to pay the bills or want a nice car. Extrinsic motivation
One is internal. When there's no carrot or stick, this motivates me. This fuels hobbies. I wanted a job that was intrinsically motivated.
Is this too low-key? Extrinsic motivation isn't sustainable. Getting promoted felt good for a week, then it was over. When I hit $100K, I admired my W2 for a few days, but then it wore off. Same thing happened at $200K, $300K, $400K, and $500K. Earning $1M or $10M wouldn't change anything. I feel the same about every material reward or possession. Getting them feels good at first, but quickly fades.
Things I've done since I was a kid, when no one forced me to, don't wear off. Coding, selling my creations, charting my own path, and being honest. Why not always use my strengths and motivation? I'm lucky to live in a time when I can work independently in my field without large investments. So that’s what I’m doing.
What’s Next?
I'm going all-in on independence and will make a living from scratch. I won't do only what I like, but on my terms. My goal is to cover my family's expenses before my savings run out while doing something I enjoy. What more could I want from my work?
You can now follow me on Twitter as I continue to document my journey.
This post is a summary. Read full article here

Samer Buna
3 years ago
The Errors I Committed As a Novice Programmer
Learn to identify them, make habits to avoid them
First, a clarification. This article is aimed to make new programmers aware of their mistakes, train them to detect them, and remind them to prevent them.
I learned from all these blunders. I'm glad I have coding habits to avoid them. Do too.
These mistakes are not ordered.
1) Writing code haphazardly
Writing good content is hard. It takes planning and investigation. Quality programs don't differ.
Think. Research. Plan. Write. Validate. Modify. Unfortunately, no good acronym exists. Create a habit of doing the proper quantity of these activities.
As a newbie programmer, my biggest error was writing code without thinking or researching. This works for small stand-alone apps but hurts larger ones.
Like saying anything you might regret, you should think before coding something you could regret. Coding expresses your thoughts.
When angry, count to 10 before you speak. If very angry, a hundred. — Thomas Jefferson.
My quote:
When reviewing code, count to 10 before you refactor a line. If the code does not have tests, a hundred. — Samer Buna
Programming is primarily about reviewing prior code, investigating what is needed and how it fits into the current system, and developing small, testable features. Only 10% of the process involves writing code.
Programming is not writing code. Programming need nurturing.
2) Making excessive plans prior to writing code
Yes. Planning before writing code is good, but too much of it is bad. Water poisons.
Avoid perfect plans. Programming does not have that. Find a good starting plan. Your plan will change, but it helped you structure your code for clarity. Overplanning wastes time.
Only planning small features. All-feature planning should be illegal! The Waterfall Approach is a step-by-step system. That strategy requires extensive planning. This is not planning. Most software projects fail with waterfall. Implementing anything sophisticated requires agile changes to reality.
Programming requires responsiveness. You'll add waterfall plan-unthinkable features. You will eliminate functionality for reasons you never considered in a waterfall plan. Fix bugs and adjust. Be agile.
Plan your future features, though. Do it cautiously since too little or too much planning can affect code quality, which you must risk.
3) Underestimating the Value of Good Code
Readability should be your code's exclusive goal. Unintelligible code stinks. Non-recyclable.
Never undervalue code quality. Coding communicates implementations. Coders must explicitly communicate solution implementations.
Programming quote I like:
Always code as if the guy who ends up maintaining your code will be a violent psychopath who knows where you live. — John Woods
John, great advice!
Small things matter. If your indentation and capitalization are inconsistent, you should lose your coding license.
Long queues are also simple. Readability decreases after 80 characters. To highlight an if-statement block, you might put a long condition on the same line. No. Just never exceed 80 characters.
Linting and formatting tools fix many basic issues like this. ESLint and Prettier work great together in JavaScript. Use them.
Code quality errors:
Multiple lines in a function or file. Break long code into manageable bits. My rule of thumb is that any function with more than 10 lines is excessively long.
Double-negatives. Don't.
Using double negatives is just very not not wrong
Short, generic, or type-based variable names. Name variables clearly.
There are only two hard things in Computer Science: cache invalidation and naming things. — Phil Karlton
Hard-coding primitive strings and numbers without descriptions. If your logic relies on a constant primitive string or numeric value, identify it.
Avoiding simple difficulties with sloppy shortcuts and workarounds. Avoid evasion. Take stock.
Considering lengthier code better. Shorter code is usually preferable. Only write lengthier versions if they improve code readability. For instance, don't utilize clever one-liners and nested ternary statements just to make the code shorter. In any application, removing unneeded code is better.
Measuring programming progress by lines of code is like measuring aircraft building progress by weight. — Bill Gates
Excessive conditional logic. Conditional logic is unnecessary for most tasks. Choose based on readability. Measure performance before optimizing. Avoid Yoda conditions and conditional assignments.
4) Selecting the First Approach
When I started programming, I would solve an issue and move on. I would apply my initial solution without considering its intricacies and probable shortcomings.
After questioning all the solutions, the best ones usually emerge. If you can't think of several answers, you don't grasp the problem.
Programmers do not solve problems. Find the easiest solution. The solution must work well and be easy to read, comprehend, and maintain.
There are two ways of constructing a software design. One way is to make it so simple that there are obviously no deficiencies, and the other way is to make it so complicated that there are no obvious deficiencies. — C.A.R. Hoare
5) Not Giving Up
I generally stick with the original solution even though it may not be the best. The not-quitting mentality may explain this. This mindset is helpful for most things, but not programming. Program writers should fail early and often.
If you doubt a solution, toss it and rethink the situation. No matter how much you put in that solution. GIT lets you branch off and try various solutions. Use it.
Do not be attached to code because of how much effort you put into it. Bad code needs to be discarded.
6) Avoiding Google
I've wasted time solving problems when I should have researched them first.
Unless you're employing cutting-edge technology, someone else has probably solved your problem. Google It First.
Googling may discover that what you think is an issue isn't and that you should embrace it. Do not presume you know everything needed to choose a solution. Google surprises.
But Google carefully. Newbies also copy code without knowing it. Use only code you understand, even if it solves your problem.
Never assume you know how to code creatively.
The most dangerous thought that you can have as a creative person is to think that you know what you’re doing. — Bret Victor
7) Failing to Use Encapsulation
Not about object-oriented paradigm. Encapsulation is always useful. Unencapsulated systems are difficult to maintain.
An application should only handle a feature once. One object handles that. The application's other objects should only see what's essential. Reducing application dependencies is not about secrecy. Following these guidelines lets you safely update class, object, and function internals without breaking things.
Classify logic and state concepts. Class means blueprint template. Class or Function objects are possible. It could be a Module or Package.
Self-contained tasks need methods in a logic class. Methods should accomplish one thing well. Similar classes should share method names.
As a rookie programmer, I didn't always establish a new class for a conceptual unit or recognize self-contained units. Newbie code has a Util class full of unrelated code. Another symptom of novice code is when a small change cascades and requires numerous other adjustments.
Think before adding a method or new responsibilities to a method. Time's needed. Avoid skipping or refactoring. Start right.
High Cohesion and Low Coupling involves grouping relevant code in a class and reducing class dependencies.
8) Arranging for Uncertainty
Thinking beyond your solution is appealing. Every line of code will bring up what-ifs. This is excellent for edge cases but not for foreseeable needs.
Your what-ifs must fall into one of these two categories. Write only code you need today. Avoid future planning.
Writing a feature for future use is improper. No.
Write only the code you need today for your solution. Handle edge-cases, but don't introduce edge-features.
Growth for the sake of growth is the ideology of the cancer cell. — Edward Abbey
9) Making the incorrect data structure choices
Beginner programmers often overemphasize algorithms when preparing for interviews. Good algorithms should be identified and used when needed, but memorizing them won't make you a programming genius.
However, learning your language's data structures' strengths and shortcomings will make you a better developer.
The improper data structure shouts "newbie coding" here.
Let me give you a few instances of data structures without teaching you:
Managing records with arrays instead of maps (objects).
Most data structure mistakes include using lists instead of maps to manage records. Use a map to organize a list of records.
This list of records has an identifier to look up each entry. Lists for scalar values are OK and frequently superior, especially if the focus is pushing values to the list.
Arrays and objects are the most common JavaScript list and map structures, respectively (there is also a map structure in modern JavaScript).
Lists over maps for record management often fail. I recommend always using this point, even though it only applies to huge collections. This is crucial because maps are faster than lists in looking up records by identifier.
Stackless
Simple recursive functions are often tempting when writing recursive programming. In single-threaded settings, optimizing recursive code is difficult.
Recursive function returns determine code optimization. Optimizing a recursive function that returns two or more calls to itself is harder than optimizing a single call.
Beginners overlook the alternative to recursive functions. Use Stack. Push function calls to a stack and start popping them out to traverse them back.
10) Worsening the current code
Imagine this:
Add an item to that room. You might want to store that object anywhere as it's a mess. You can finish in seconds.
Not with messy code. Do not worsen! Keep the code cleaner than when you started.
Clean the room above to place the new object. If the item is clothing, clear a route to the closet. That's proper execution.
The following bad habits frequently make code worse:
code duplication You are merely duplicating code and creating more chaos if you copy/paste a code block and then alter just the line after that. This would be equivalent to adding another chair with a lower base rather than purchasing a new chair with a height-adjustable seat in the context of the aforementioned dirty room example. Always keep abstraction in mind, and use it when appropriate.
utilizing configuration files not at all. A configuration file should contain the value you need to utilize if it may differ in certain circumstances or at different times. A configuration file should contain a value if you need to use it across numerous lines of code. Every time you add a new value to the code, simply ask yourself: "Does this value belong in a configuration file?" The most likely response is "yes."
using temporary variables and pointless conditional statements. Every if-statement represents a logic branch that should at the very least be tested twice. When avoiding conditionals doesn't compromise readability, it should be done. The main issue with this is that branch logic is being used to extend an existing function rather than creating a new function. Are you altering the code at the appropriate level, or should you go think about the issue at a higher level every time you feel you need an if-statement or a new function variable?
This code illustrates superfluous if-statements:
function isOdd(number) {
if (number % 2 === 1) {
return true;
} else {
return false;
}
}Can you spot the biggest issue with the isOdd function above?
Unnecessary if-statement. Similar code:
function isOdd(number) {
return (number % 2 === 1);
};11) Making remarks on things that are obvious
I've learnt to avoid comments. Most code comments can be renamed.
instead of:
// This function sums only odd numbers in an array
const sum = (val) => {
return val.reduce((a, b) => {
if (b % 2 === 1) { // If the current number is odd
a+=b; // Add current number to accumulator
}
return a; // The accumulator
}, 0);
};Commentless code looks like this:
const sumOddValues = (array) => {
return array.reduce((accumulator, currentNumber) => {
if (isOdd(currentNumber)) {
return accumulator + currentNumber;
}
return accumulator;
}, 0);
};Better function and argument names eliminate most comments. Remember that before commenting.
Sometimes you have to use comments to clarify the code. This is when your comments should answer WHY this code rather than WHAT it does.
Do not write a WHAT remark to clarify the code. Here are some unnecessary comments that clutter code:
// create a variable and initialize it to 0
let sum = 0;
// Loop over array
array.forEach(
// For each number in the array
(number) => {
// Add the current number to the sum variable
sum += number;
}
);Avoid that programmer. Reject that code. Remove such comments if necessary. Most importantly, teach programmers how awful these remarks are. Tell programmers who publish remarks like this that they may lose their jobs. That terrible.
12) Skipping tests
I'll simplify. If you develop code without tests because you think you're an excellent programmer, you're a rookie.
If you're not writing tests in code, you're probably testing manually. Every few lines of code in a web application will be refreshed and interacted with. Also. Manual code testing is fine. To learn how to automatically test your code, manually test it. After testing your application, return to your code editor and write code to automatically perform the same interaction the next time you add code.
Human. After each code update, you will forget to test all successful validations. Automate it!
Before writing code to fulfill validations, guess or design them. TDD is real. It improves your feature design thinking.
If you can use TDD, even partially, do so.
13) Making the assumption that if something is working, it must be right.
See this sumOddValues function. Is it flawed?
const sumOddValues = (array) => {
return array.reduce((accumulator, currentNumber) => {
if (currentNumber % 2 === 1) {
return accumulator + currentNumber;
}
return accumulator;
});
};
console.assert(
sumOddValues([1, 2, 3, 4, 5]) === 9
);Verified. Good life. Correct?
Code above is incomplete. It handles some scenarios correctly, including the assumption used, but it has many other issues. I'll list some:
#1: No empty input handling. What happens when the function is called without arguments? That results in an error revealing the function's implementation:
TypeError: Cannot read property 'reduce' of undefined.Two main factors indicate faulty code.
Your function's users shouldn't come across implementation-related information.
The user cannot benefit from the error. Simply said, they were unable to use your function. They would be aware that they misused the function if the error was more obvious about the usage issue. You might decide to make the function throw a custom exception, for instance:
TypeError: Cannot execute function for empty list.Instead of returning an error, your method should disregard empty input and return a sum of 0. This case requires action.
Problem #2: No input validation. What happens if the function is invoked with a text, integer, or object instead of an array?
The function now throws:
sumOddValues(42);
TypeError: array.reduce is not a functionUnfortunately, array. cut's a function!
The function labels anything you call it with (42 in the example above) as array because we named the argument array. The error says 42.reduce is not a function.
See how that error confuses? An mistake like:
TypeError: 42 is not an array, dude.Edge-cases are #1 and #2. These edge-cases are typical, but you should also consider less obvious ones. Negative numbers—what happens?
sumOddValues([1, 2, 3, 4, 5, -13]) // => still 9-13's unusual. Is this the desired function behavior? Error? Should it sum negative numbers? Should it keep ignoring negative numbers? You may notice the function should have been titled sumPositiveOddNumbers.
This decision is simple. The more essential point is that if you don't write a test case to document your decision, future function maintainers won't know if you ignored negative values intentionally or accidentally.
It’s not a bug. It’s a feature. — Someone who forgot a test case
#3: Valid cases are not tested. Forget edge-cases, this function mishandles a straightforward case:
sumOddValues([2, 1, 3, 4, 5]) // => 11The 2 above was wrongly included in sum.
The solution is simple: reduce accepts a second input to initialize the accumulator. Reduce will use the first value in the collection as the accumulator if that argument is not provided, like in the code above. The sum included the test case's first even value.
This test case should have been included in the tests along with many others, such as all-even numbers, a list with 0 in it, and an empty list.
Newbie code also has rudimentary tests that disregard edge-cases.
14) Adhering to Current Law
Unless you're a lone supercoder, you'll encounter stupid code. Beginners don't identify it and assume it's decent code because it works and has been in the codebase for a while.
Worse, if the terrible code uses bad practices, the newbie may be enticed to use them elsewhere in the codebase since they learnt them from good code.
A unique condition may have pushed the developer to write faulty code. This is a nice spot for a thorough note that informs newbies about that condition and why the code is written that way.
Beginners should presume that undocumented code they don't understand is bad. Ask. Enquire. Blame it!
If the code's author is dead or can't remember it, research and understand it. Only after understanding the code can you judge its quality. Before that, presume nothing.
15) Being fixated on best practices
Best practices damage. It suggests no further research. Best practice ever. No doubts!
No best practices. Today's programming language may have good practices.
Programming best practices are now considered bad practices.
Time will reveal better methods. Focus on your strengths, not best practices.
Do not do anything because you read a quote, saw someone else do it, or heard it is a recommended practice. This contains all my article advice! Ask questions, challenge theories, know your options, and make informed decisions.
16) Being preoccupied with performance
Premature optimization is the root of all evil (or at least most of it) in programming — Donald Knuth (1974)
I think Donald Knuth's advice is still relevant today, even though programming has changed.
Do not optimize code if you cannot measure the suspected performance problem.
Optimizing before code execution is likely premature. You may possibly be wasting time optimizing.
There are obvious optimizations to consider when writing new code. You must not flood the event loop or block the call stack in Node.js. Remember this early optimization. Will this code block the call stack?
Avoid non-obvious code optimization without measurements. If done, your performance boost may cause new issues.
Stop optimizing unmeasured performance issues.
17) Missing the End-User Experience as a Goal
How can an app add a feature easily? Look at it from your perspective or in the existing User Interface. Right? Add it to the form if the feature captures user input. Add it to your nested menu of links if it adds a link to a page.
Avoid that developer. Be a professional who empathizes with customers. They imagine this feature's consumers' needs and behavior. They focus on making the feature easy to find and use, not just adding it to the software.
18) Choosing the incorrect tool for the task
Every programmer has their preferred tools. Most tools are good for one thing and bad for others.
The worst tool for screwing in a screw is a hammer. Do not use your favorite hammer on a screw. Don't use Amazon's most popular hammer on a screw.
A true beginner relies on tool popularity rather than problem fit.
You may not know the best tools for a project. You may know the best tool. However, it wouldn't rank high. You must learn your tools and be open to new ones.
Some coders shun new tools. They like their tools and don't want to learn new ones. I can relate, but it's wrong.
You can build a house slowly with basic tools or rapidly with superior tools. You must learn and use new tools.
19) Failing to recognize that data issues are caused by code issues
Programs commonly manage data. The software will add, delete, and change records.
Even the simplest programming errors can make data unpredictable. Especially if the same defective application validates all data.
Code-data relationships may be confusing for beginners. They may employ broken code in production since feature X is not critical. Buggy coding may cause hidden data integrity issues.
Worse, deploying code that corrected flaws without fixing minor data problems caused by these defects will only collect more data problems that take the situation into the unrecoverable-level category.
How do you avoid these issues? Simply employ numerous data integrity validation levels. Use several interfaces. Front-end, back-end, network, and database validations. If not, apply database constraints.
Use all database constraints when adding columns and tables:
If a column has a NOT NULL constraint, null values will be rejected for that column. If your application expects that field has a value, your database should designate its source as not null.
If a column has a UNIQUE constraint, the entire table cannot include duplicate values for that column. This is ideal for a username or email field on a Users table, for instance.
For the data to be accepted, a CHECK constraint, or custom expression, must evaluate to true. For instance, you can apply a check constraint to ensure that the values of a normal % column must fall within the range of 0 and 100.
With a PRIMARY KEY constraint, the values of the columns must be both distinct and not null. This one is presumably what you're utilizing. To distinguish the records in each table, the database needs have a primary key.
A FOREIGN KEY constraint requires that the values in one database column, typically a primary key, match those in another table column.
Transaction apathy is another data integrity issue for newbies. If numerous actions affect the same data source and depend on each other, they must be wrapped in a transaction that can be rolled back if one fails.
20) Reinventing the Wheel
Tricky. Some programming wheels need reinvention. Programming is undefined. New requirements and changes happen faster than any team can handle.
Instead of modifying the wheel we all adore, maybe we should rethink it if you need a wheel that spins at varied speeds depending on the time of day. If you don't require a non-standard wheel, don't reinvent it. Use the darn wheel.
Wheel brands can be hard to choose from. Research and test before buying! Most software wheels are free and transparent. Internal design quality lets you evaluate coding wheels. Try open-source wheels. Debug and fix open-source software simply. They're easily replaceable. In-house support is also easy.
If you need a wheel, don't buy a new automobile and put your maintained car on top. Do not include a library to use a few functions. Lodash in JavaScript is the finest example. Import shuffle to shuffle an array. Don't import lodash.
21) Adopting the incorrect perspective on code reviews
Beginners often see code reviews as criticism. Dislike them. Not appreciated. Even fear them.
Incorrect. If so, modify your mindset immediately. Learn from every code review. Salute them. Observe. Most crucial, thank reviewers who teach you.
Always learning code. Accept it. Most code reviews teach something new. Use these for learning.
You may need to correct the reviewer. If your code didn't make that evident, it may need to be changed. If you must teach your reviewer, remember that teaching is one of the most enjoyable things a programmer can do.
22) Not Using Source Control
Newbies often underestimate Git's capabilities.
Source control is more than sharing your modifications. It's much bigger. Clear history is source control. The history of coding will assist address complex problems. Commit messages matter. They are another way to communicate your implementations, and utilizing them with modest commits helps future maintainers understand how the code got where it is.
Commit early and often with present-tense verbs. Summarize your messages but be detailed. If you need more than a few lines, your commit is too long. Rebase!
Avoid needless commit messages. Commit summaries should not list new, changed, or deleted files. Git commands can display that list from the commit object. The summary message would be noise. I think a big commit has many summaries per file altered.
Source control involves discoverability. You can discover the commit that introduced a function and see its context if you doubt its need or design. Commits can even pinpoint which code caused a bug. Git has a binary search within commits (bisect) to find the bug-causing commit.
Source control can be used before commits to great effect. Staging changes, patching selectively, resetting, stashing, editing, applying, diffing, reversing, and others enrich your coding flow. Know, use, and enjoy them.
I consider a Git rookie someone who knows less functionalities.
23) Excessive Use of Shared State
Again, this is not about functional programming vs. other paradigms. That's another article.
Shared state is problematic and should be avoided if feasible. If not, use shared state as little as possible.
As a new programmer, I didn't know that all variables represent shared states. All variables in the same scope can change its data. Global scope reduces shared state span. Keep new states in limited scopes and avoid upward leakage.
When numerous resources modify common state in the same event loop tick, the situation becomes severe (in event-loop-based environments). Races happen.
This shared state race condition problem may encourage a rookie to utilize a timer, especially if they have a data lock issue. Red flag. No. Never accept it.
24) Adopting the Wrong Mentality Toward Errors
Errors are good. Progress. They indicate a simple way to improve.
Expert programmers enjoy errors. Newbies detest them.
If these lovely red error warnings irritate you, modify your mindset. Consider them helpers. Handle them. Use them to advance.
Some errors need exceptions. Plan for user-defined exceptions. Ignore some mistakes. Crash and exit the app.
25) Ignoring rest periods
Humans require mental breaks. Take breaks. In the zone, you'll forget breaks. Another symptom of beginners. No compromises. Make breaks mandatory in your process. Take frequent pauses. Take a little walk to plan your next move. Reread the code.
This has been a long post. You deserve a break.

Jari Roomer
4 years ago
After 240 articles and 2.5M views on Medium, 9 Raw Writing Tips
Late in 2018, I published my first Medium article, but I didn't start writing seriously until 2019. Since then, I've written more than 240 articles, earned over $50,000 through Medium's Partner Program, and had over 2.5 million page views.
Write A Lot
Most people don't have the patience and persistence for this simple writing secret:
Write + Write + Write = possible success
Writing more improves your skills.
The more articles you publish, the more likely one will go viral.
If you only publish once a month, you have no views. If you publish 10 or 20 articles a month, your success odds increase 10- or 20-fold.
Tim Denning, Ayodeji Awosika, Megan Holstein, and Zulie Rane. Medium is their jam. How are these authors alike? They're productive and consistent. They're prolific.
80% is publishable
Many writers battle perfectionism.
To succeed as a writer, you must publish often. You'll never publish if you aim for perfection.
Adopt the 80 percent-is-good-enough mindset to publish more. It sounds terrible, but it'll boost your writing success.
Your work won't be perfect. Always improve. Waiting for perfection before publishing will take a long time.
Second, readers are your true critics, not you. What you consider "not perfect" may be life-changing for the reader. Don't let perfectionism hinder the reader.
Don't let perfectionism hinder the reader. ou don't want to publish mediocre articles. When the article is 80% done, publish it. Don't spend hours editing. Realize it. Get feedback. Only this will work.
Make Your Headline Irresistible
We all judge books by their covers, despite the saying. And headlines. Readers, including yourself, judge articles by their titles. We use it to decide if an article is worth reading.
Make your headlines irresistible. Want more article views? Then, whether you like it or not, write an attractive article title.
Many high-quality articles are collecting dust because of dull, vague headlines. It didn't make the reader click.
As a writer, you must do more than produce quality content. You must also make people click on your article. This is a writer's job. How to create irresistible headlines:
Curiosity makes readers click. Here's a tempting example...
Example: What Women Actually Look For in a Guy, According to a Huge Study by Luba Sigaud
Use Numbers: Click-bait lists. I mean, which article would you click first? ‘Some ways to improve your productivity’ or ’17 ways to improve your productivity.’ Which would I click?
Example: 9 Uncomfortable Truths You Should Accept Early in Life by Sinem Günel
Most headlines are dull. If you want clicks, get 'sexy'. Buzzword-ify. Invoke emotion. Trendy words.
Example: 20 Realistic Micro-Habits To Live Better Every Day by Amardeep Parmar
Concise paragraphs
Our culture lacks focus. If your headline gets a click, keep paragraphs short to keep readers' attention.
Some writers use 6–8 lines per paragraph, but I prefer 3–4. Longer paragraphs lose readers' interest.
A writer should help the reader finish an article, in my opinion. I consider it a job requirement. You can't force readers to finish an article, but you can make it 'snackable'
Help readers finish an article with concise paragraphs, interesting subheadings, exciting images, clever formatting, or bold attention grabbers.
Work And Move On
I've learned over the years not to get too attached to my articles. Many writers report a strange phenomenon:
The articles you're most excited about usually bomb, while the ones you're not tend to do well.
This isn't always true, but I've noticed it in my own writing. My hopes for an article usually make it worse. The more objective I am, the better an article does.
Let go of a finished article. 40 or 40,000 views, whatever. Now let the article do its job. Onward. Next story. Start another project.
Disregard Haters
Online content creators will encounter haters, whether on YouTube, Instagram, or Medium. More views equal more haters. Fun, right?
As a web content creator, I learned:
Don't debate haters. Never.
It's a mistake I've made several times. It's tempting to prove haters wrong, but they'll always find a way to be 'right'. Your response is their fuel.
I smile and ignore hateful comments. I'm indifferent. I won't enter a negative environment. I have goals, money, and a life to build. "I'm not paid to argue," Drake once said.
Use Grammarly
Grammarly saves me as a non-native English speaker. You know Grammarly. It shows writing errors and makes article suggestions.
As a writer, you need Grammarly. I have a paid plan, but their free version works. It improved my writing greatly.
Put The Reader First, Not Yourself
Many writers write for themselves. They focus on themselves rather than the reader.
Ask yourself:
This article teaches what? How can they be entertained or educated?
Personal examples and experiences improve writing quality. Don't focus on yourself.
It's not about you, the content creator. Reader-focused. Putting the reader first will change things.
Extreme ownership: Stop blaming others
I remember writing a lot on Medium but not getting many views. I blamed Medium first. Poor algorithm. Poor publishing. All sucked.
Instead of looking at what I could do better, I blamed others.
When you blame others, you lose power. Owning your results gives you power.
As a content creator, you must take full responsibility. Extreme ownership means 100% responsibility for work and results.
You don’t blame others. You don't blame the economy, president, platform, founders, or audience. Instead, you look for ways to improve. Few people can do this.
Blaming is useless. Zero. Taking ownership of your work and results will help you progress. It makes you smarter, better, and stronger.
Instead of blaming others, you'll learn writing, marketing, copywriting, content creation, productivity, and other skills. Game-changer.
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Dmitrii Eliuseev
3 years ago
Creating Images on Your Local PC Using Stable Diffusion AI
Deep learning-based generative art is being researched. As usual, self-learning is better. Some models, like OpenAI's DALL-E 2, require registration and can only be used online, but others can be used locally, which is usually more enjoyable for curious users. I'll demonstrate the Stable Diffusion model's operation on a standard PC.
Let’s get started.
What It Does
Stable Diffusion uses numerous components:
A generative model trained to produce images is called a diffusion model. The model is incrementally improving the starting data, which is only random noise. The model has an image, and while it is being trained, the reversed process is being used to add noise to the image. Being able to reverse this procedure and create images from noise is where the true magic is (more details and samples can be found in the paper).
An internal compressed representation of a latent diffusion model, which may be altered to produce the desired images, is used (more details can be found in the paper). The capacity to fine-tune the generation process is essential because producing pictures at random is not very attractive (as we can see, for instance, in Generative Adversarial Networks).
A neural network model called CLIP (Contrastive Language-Image Pre-training) is used to translate natural language prompts into vector representations. This model, which was trained on 400,000,000 image-text pairs, enables the transformation of a text prompt into a latent space for the diffusion model in the scenario of stable diffusion (more details in that paper).
This figure shows all data flow:
The weights file size for Stable Diffusion model v1 is 4 GB and v2 is 5 GB, making the model quite huge. The v1 model was trained on 256x256 and 512x512 LAION-5B pictures on a 4,000 GPU cluster using over 150.000 NVIDIA A100 GPU hours. The open-source pre-trained model is helpful for us. And we will.
Install
Before utilizing the Python sources for Stable Diffusion v1 on GitHub, we must install Miniconda (assuming Git and Python are already installed):
wget https://repo.anaconda.com/miniconda/Miniconda3-py39_4.12.0-Linux-x86_64.sh
chmod +x Miniconda3-py39_4.12.0-Linux-x86_64.sh
./Miniconda3-py39_4.12.0-Linux-x86_64.sh
conda update -n base -c defaults condaInstall the source and prepare the environment:
git clone https://github.com/CompVis/stable-diffusion
cd stable-diffusion
conda env create -f environment.yaml
conda activate ldm
pip3 install transformers --upgradeDownload the pre-trained model weights next. HiggingFace has the newest checkpoint sd-v14.ckpt (a download is free but registration is required). Put the file in the project folder and have fun:
python3 scripts/txt2img.py --prompt "hello world" --plms --ckpt sd-v1-4.ckpt --skip_grid --n_samples 1Almost. The installation is complete for happy users of current GPUs with 12 GB or more VRAM. RuntimeError: CUDA out of memory will occur otherwise. Two solutions exist.
Running the optimized version
Try optimizing first. After cloning the repository and enabling the environment (as previously), we can run the command:
python3 optimizedSD/optimized_txt2img.py --prompt "hello world" --ckpt sd-v1-4.ckpt --skip_grid --n_samples 1Stable Diffusion worked on my visual card with 8 GB RAM (alas, I did not behave well enough to get NVIDIA A100 for Christmas, so 8 GB GPU is the maximum I have;).
Running Stable Diffusion without GPU
If the GPU does not have enough RAM or is not CUDA-compatible, running the code on a CPU will be 20x slower but better than nothing. This unauthorized CPU-only branch from GitHub is easiest to obtain. We may easily edit the source code to use the latest version. It's strange that a pull request for that was made six months ago and still hasn't been approved, as the changes are simple. Readers can finish in 5 minutes:
Replace if attr.device!= torch.device(cuda) with if attr.device!= torch.device(cuda) and torch.cuda.is available at line 20 of ldm/models/diffusion/ddim.py ().
Replace if attr.device!= torch.device(cuda) with if attr.device!= torch.device(cuda) and torch.cuda.is available in line 20 of ldm/models/diffusion/plms.py ().
Replace device=cuda in lines 38, 55, 83, and 142 of ldm/modules/encoders/modules.py with device=cuda if torch.cuda.is available(), otherwise cpu.
Replace model.cuda() in scripts/txt2img.py line 28 and scripts/img2img.py line 43 with if torch.cuda.is available(): model.cuda ().
Run the script again.
Testing
Test the model. Text-to-image is the first choice. Test the command line example again:
python3 scripts/txt2img.py --prompt "hello world" --plms --ckpt sd-v1-4.ckpt --skip_grid --n_samples 1The slow generation takes 10 seconds on a GPU and 10 minutes on a CPU. Final image:
Hello world is dull and abstract. Try a brush-wielding hamster. Why? Because we can, and it's not as insane as Napoleon's cat. Another image:
Generating an image from a text prompt and another image is interesting. I made this picture in two minutes using the image editor (sorry, drawing wasn't my strong suit):
I can create an image from this drawing:
python3 scripts/img2img.py --prompt "A bird is sitting on a tree branch" --ckpt sd-v1-4.ckpt --init-img bird.png --strength 0.8It was far better than my initial drawing:
I hope readers understand and experiment.
Stable Diffusion UI
Developers love the command line, but regular users may struggle. Stable Diffusion UI projects simplify image generation and installation. Simple usage:
Unpack the ZIP after downloading it from https://github.com/cmdr2/stable-diffusion-ui/releases. Linux and Windows are compatible with Stable Diffusion UI (sorry for Mac users, but those machines are not well-suitable for heavy machine learning tasks anyway;).
Start the script.
Done. The web browser UI makes configuring various Stable Diffusion features (upscaling, filtering, etc.) easy:
V2.1 of Stable Diffusion
I noticed the notification about releasing version 2.1 while writing this essay, and it was intriguing to test it. First, compare version 2 to version 1:
alternative text encoding. The Contrastive LanguageImage Pre-training (CLIP) deep learning model, which was trained on a significant number of text-image pairs, is used in Stable Diffusion 1. The open-source CLIP implementation used in Stable Diffusion 2 is called OpenCLIP. It is difficult to determine whether there have been any technical advancements or if legal concerns were the main focus. However, because the training datasets for the two text encoders were different, the output results from V1 and V2 will differ for the identical text prompts.
a new depth model that may be used to the output of image-to-image generation.
a revolutionary upscaling technique that can quadruple the resolution of an image.
Generally higher resolution Stable Diffusion 2 has the ability to produce both 512x512 and 768x768 pictures.
The Hugging Face website offers a free online demo of Stable Diffusion 2.1 for code testing. The process is the same as for version 1.4. Download a fresh version and activate the environment:
conda deactivate
conda env remove -n ldm # Use this if version 1 was previously installed
git clone https://github.com/Stability-AI/stablediffusion
cd stablediffusion
conda env create -f environment.yaml
conda activate ldmHugging Face offers a new weights ckpt file.
The Out of memory error prevented me from running this version on my 8 GB GPU. Version 2.1 fails on CPUs with the slow conv2d cpu not implemented for Half error (according to this GitHub issue, the CPU support for this algorithm and data type will not be added). The model can be modified from half to full precision (float16 instead of float32), however it doesn't make sense since v1 runs up to 10 minutes on the CPU and v2.1 should be much slower. The online demo results are visible. The same hamster painting with a brush prompt yielded this result:
It looks different from v1, but it functions and has a higher resolution.
The superresolution.py script can run the 4x Stable Diffusion upscaler locally (the x4-upscaler-ema.ckpt weights file should be in the same folder):
python3 scripts/gradio/superresolution.py configs/stable-diffusion/x4-upscaling.yaml x4-upscaler-ema.ckptThis code allows the web browser UI to select the image to upscale:
The copy-paste strategy may explain why the upscaler needs a text prompt (and the Hugging Face code snippet does not have any text input as well). I got a GPU out of memory error again, although CUDA can be disabled like v1. However, processing an image for more than two hours is unlikely:
Stable Diffusion Limitations
When we use the model, it's fun to see what it can and can't do. Generative models produce abstract visuals but not photorealistic ones. This fundamentally limits The generative neural network was trained on text and image pairs, but humans have a lot of background knowledge about the world. The neural network model knows nothing. If someone asks me to draw a Chinese text, I can draw something that looks like Chinese but is actually gibberish because I never learnt it. Generative AI does too! Humans can learn new languages, but the Stable Diffusion AI model includes only language and image decoder brain components. For instance, the Stable Diffusion model will pull NO WAR banner-bearers like this:
V1:
V2.1:
The shot shows text, although the model never learned to read or write. The model's string tokenizer automatically converts letters to lowercase before generating the image, so typing NO WAR banner or no war banner is the same.
I can also ask the model to draw a gorgeous woman:
V1:
V2.1:
The first image is gorgeous but physically incorrect. A second one is better, although it has an Uncanny valley feel. BTW, v2 has a lifehack to add a negative prompt and define what we don't want on the image. Readers might try adding horrible anatomy to the gorgeous woman request.
If we ask for a cartoon attractive woman, the results are nice, but accuracy doesn't matter:
V1:
V2.1:
Another example: I ordered a model to sketch a mouse, which looks beautiful but has too many legs, ears, and fingers:
V1:
V2.1: improved but not perfect.
V1 produces a fun cartoon flying mouse if I want something more abstract:
I tried multiple times with V2.1 but only received this:
The image is OK, but the first version is closer to the request.
Stable Diffusion struggles to draw letters, fingers, etc. However, abstract images yield interesting outcomes. A rural landscape with a modern metropolis in the background turned out well:
V1:
V2.1:
Generative models help make paintings too (at least, abstract ones). I searched Google Image Search for modern art painting to see works by real artists, and this was the first image:
I typed "abstract oil painting of people dancing" and got this:
V1:
V2.1:
It's a different style, but I don't think the AI-generated graphics are worse than the human-drawn ones.
The AI model cannot think like humans. It thinks nothing. A stable diffusion model is a billion-parameter matrix trained on millions of text-image pairs. I input "robot is creating a picture with a pen" to create an image for this post. Humans understand requests immediately. I tried Stable Diffusion multiple times and got this:
This great artwork has a pen, robot, and sketch, however it was not asked. Maybe it was because the tokenizer deleted is and a words from a statement, but I tried other requests such robot painting picture with pen without success. It's harder to prompt a model than a person.
I hope Stable Diffusion's general effects are evident. Despite its limitations, it can produce beautiful photographs in some settings. Readers who want to use Stable Diffusion results should be warned. Source code examination demonstrates that Stable Diffusion images feature a concealed watermark (text StableDiffusionV1 and SDV2) encoded using the invisible-watermark Python package. It's not a secret, because the official Stable Diffusion repository's test watermark.py file contains a decoding snippet. The put watermark line in the txt2img.py source code can be removed if desired. I didn't discover this watermark on photographs made by the online Hugging Face demo. Maybe I did something incorrectly (but maybe they are just not using the txt2img script on their backend at all).
Conclusion
The Stable Diffusion model was fascinating. As I mentioned before, trying something yourself is always better than taking someone else's word, so I encourage readers to do the same (including this article as well;).
Is Generative AI a game-changer? My humble experience tells me:
I think that place has a lot of potential. For designers and artists, generative AI can be a truly useful and innovative tool. Unfortunately, it can also pose a threat to some of them since if users can enter a text field to obtain a picture or a website logo in a matter of clicks, why would they pay more to a different party? Is it possible right now? unquestionably not yet. Images still have a very poor quality and are erroneous in minute details. And after viewing the image of the stunning woman above, models and fashion photographers may also unwind because it is highly unlikely that AI will replace them in the upcoming years.
Today, generative AI is still in its infancy. Even 768x768 images are considered to be of a high resolution when using neural networks, which are computationally highly expensive. There isn't an AI model that can generate high-resolution photographs natively without upscaling or other methods, at least not as of the time this article was written, but it will happen eventually.
It is still a challenge to accurately represent knowledge in neural networks (information like how many legs a cat has or the year Napoleon was born). Consequently, AI models struggle to create photorealistic photos, at least where little details are important (on the other side, when I searched Google for modern art paintings, the results are often even worse;).
When compared to the carefully chosen images from official web pages or YouTube reviews, the average output quality of a Stable Diffusion generation process is actually less attractive because to its high degree of randomness. When using the same technique on their own, consumers will theoretically only view those images as 1% of the results.
Anyway, it's exciting to witness this area's advancement, especially because the project is open source. Google's Imagen and DALL-E 2 can also produce remarkable findings. It will be interesting to see how they progress.

Al Anany
3 years ago
Because of this covert investment that Bezos made, Amazon became what it is today.
He kept it under wraps for years until he legally couldn’t.
His shirt is incomplete. I can’t stop thinking about this…
Actually, ignore the article. Look at it. JUST LOOK at it… It’s quite disturbing, isn’t it?
Ughh…
Me: “Hey, what up?” Friend: “All good, watching lord of the rings on amazon prime video.” Me: “Oh, do you know how Amazon grew and became famous?” Friend: “Geek alert…Can I just watch in peace?” Me: “But… Bezos?” Friend: “Let it go, just let it go…”
I can question you, the reader, and start answering instantly without his consent. This far.
Reader, how did Amazon succeed? You'll say, Of course, it was an internet bookstore, then it sold everything.
Mistaken. They moved from zero to one because of this. How did they get from one to thousand? AWS-some. Understand? It's geeky and lame. If not, I'll explain my geekiness.
Over an extended period of time, Amazon was not profitable.
Business basics. You want customers if you own a bakery, right?
Well, 100 clients per day order $5 cheesecakes (because cheesecakes are awesome.)
$5 x 100 consumers x 30 days Equals $15,000 monthly revenue. You proudly work here.
Now you have to pay the barista (unless ChatGPT is doing it haha? Nope..)
The barista is requesting $5000 a month.
Each cheesecake costs the cheesecake maker $2.5 ($2.5 × 100 x 30 = $7500).
The monthly cost of running your bakery, including power, is about $5000.
Assume no extra charges. Your operating costs are $17,500.
Just $15,000? You have income but no profit. You might make money selling coffee with your cheesecake next month.
Is losing money bad? You're broke. Losing money. It's bad for financial statements.
It's almost a business ultimatum. Most startups fail. Amazon took nine years.
I'm reading Amazon Unbound: Jeff Bezos and the Creation of a Global Empire to comprehend how a company has a $1 trillion market cap.
Many things made Amazon big. The book claims that Bezos and Amazon kept a specific product secret for a long period.
Clouds above the bald head.
In 2006, Bezos started a cloud computing initiative. They believed many firms like Snapchat would pay for reliable servers.
In 2006, cloud computing was not what it is today. I'll simplify. 2006 had no iPhone.
Bezos invested in Amazon Web Services (AWS) without disclosing its revenue. That's permitted till a certain degree.
Google and Microsoft would realize Amazon is heavily investing in this market and worry.
Bezos anticipated high demand for this product. Microsoft built its cloud in 2010, and Google in 2008.
If you managed Google or Microsoft, you wouldn't know how much Amazon makes from their cloud computing service. It's enough. Yet, Amazon is an internet store, so they'll focus on that.
All but Bezos were wrong.
Time to come clean now.
They revealed AWS revenue in 2015. Two things were apparent:
Bezos made the proper decision to bet on the cloud and keep it a secret.
In this race, Amazon is in the lead.
They continued. Let me list some AWS users today.
Netflix
Airbnb
Twitch
More. Amazon was unprofitable for nine years, remember? This article's main graph.
AWS accounted for 74% of Amazon's profit in 2021. This 74% might not exist if they hadn't invested in AWS.
Bring this with you home.
Amazon predated AWS. Yet, it helped the giant reach $1 trillion. Bezos' secrecy? Perhaps, until a time machine is invented (they might host the time machine software on AWS, though.)
Without AWS, Amazon would have been profitable but unimpressive. They may have invested in anything else that would have returned more (like crypto? No? Ok.)
Bezos has business flaws. His success. His failures include:
introducing the Fire Phone and suffering a $170 million loss.
Amazon's failure in China In 2011, Amazon had a about 15% market share in China. 2019 saw a decrease of about 1%.
not offering a higher price to persuade the creator of Netflix to sell the company to him. He offered a rather reasonable $15 million in his proposal. But what if he had offered $30 million instead (Amazon had over $100 million in revenue at the time)? He might have owned Netflix, which has a $156 billion market valuation (and saved billions rather than invest in Amazon Prime Video).
Some he could control. Some were uncontrollable. Nonetheless, every action he made in the foregoing circumstances led him to invest in AWS.

Justin Kuepper
4 years ago
Day Trading Introduction
Historically, only large financial institutions, brokerages, and trading houses could actively trade in the stock market. With instant global news dissemination and low commissions, developments such as discount brokerages and online trading have leveled the playing—or should we say trading—field. It's never been easier for retail investors to trade like pros thanks to trading platforms like Robinhood and zero commissions.
Day trading is a lucrative career (as long as you do it properly). But it can be difficult for newbies, especially if they aren't fully prepared with a strategy. Even the most experienced day traders can lose money.
So, how does day trading work?
Day Trading Basics
Day trading is the practice of buying and selling a security on the same trading day. It occurs in all markets, but is most common in forex and stock markets. Day traders are typically well educated and well funded. For small price movements in highly liquid stocks or currencies, they use leverage and short-term trading strategies.
Day traders are tuned into short-term market events. News trading is a popular strategy. Scheduled announcements like economic data, corporate earnings, or interest rates are influenced by market psychology. Markets react when expectations are not met or exceeded, usually with large moves, which can help day traders.
Intraday trading strategies abound. Among these are:
- Scalping: This strategy seeks to profit from minor price changes throughout the day.
- Range trading: To determine buy and sell levels, range traders use support and resistance levels.
- News-based trading exploits the increased volatility around news events.
- High-frequency trading (HFT): The use of sophisticated algorithms to exploit small or short-term market inefficiencies.
A Disputed Practice
Day trading's profit potential is often debated on Wall Street. Scammers have enticed novices by promising huge returns in a short time. Sadly, the notion that trading is a get-rich-quick scheme persists. Some daytrade without knowledge. But some day traders succeed despite—or perhaps because of—the risks.
Day trading is frowned upon by many professional money managers. They claim that the reward rarely outweighs the risk. Those who day trade, however, claim there are profits to be made. Profitable day trading is possible, but it is risky and requires considerable skill. Moreover, economists and financial professionals agree that active trading strategies tend to underperform passive index strategies over time, especially when fees and taxes are factored in.
Day trading is not for everyone and is risky. It also requires a thorough understanding of how markets work and various short-term profit strategies. Though day traders' success stories often get a lot of media attention, keep in mind that most day traders are not wealthy: Many will fail, while others will barely survive. Also, while skill is important, bad luck can sink even the most experienced day trader.
Characteristics of a Day Trader
Experts in the field are typically well-established professional day traders.
They usually have extensive market knowledge. Here are some prerequisites for successful day trading.
Market knowledge and experience
Those who try to day-trade without understanding market fundamentals frequently lose. Day traders should be able to perform technical analysis and read charts. Charts can be misleading if not fully understood. Do your homework and know the ins and outs of the products you trade.
Enough capital
Day traders only use risk capital they can lose. This not only saves them money but also helps them trade without emotion. To profit from intraday price movements, a lot of capital is often required. Most day traders use high levels of leverage in margin accounts, and volatile market swings can trigger large margin calls on short notice.
Strategy
A trader needs a competitive advantage. Swing trading, arbitrage, and trading news are all common day trading strategies. They tweak these strategies until they consistently profit and limit losses.
Strategy Breakdown:
Type | Risk | Reward
Swing Trading | High | High
Arbitrage | Low | Medium
Trading News | Medium | Medium
Mergers/Acquisitions | Medium | High
Discipline
A profitable strategy is useless without discipline. Many day traders lose money because they don't meet their own criteria. “Plan the trade and trade the plan,” they say. Success requires discipline.
Day traders profit from market volatility. For a day trader, a stock's daily movement is appealing. This could be due to an earnings report, investor sentiment, or even general economic or company news.
Day traders also prefer highly liquid stocks because they can change positions without affecting the stock's price. Traders may buy a stock if the price rises. If the price falls, a trader may decide to sell short to profit.
A day trader wants to trade a stock that moves (a lot).
Day Trading for a Living
Professional day traders can be self-employed or employed by a larger institution.
Most day traders work for large firms like hedge funds and banks' proprietary trading desks. These traders benefit from direct counterparty lines, a trading desk, large capital and leverage, and expensive analytical software (among other advantages). By taking advantage of arbitrage and news events, these traders can profit from less risky day trades before individual traders react.
Individual traders often manage other people’s money or simply trade with their own. They rarely have access to a trading desk, but they frequently have strong ties to a brokerage (due to high commissions) and other resources. However, their limited scope prevents them from directly competing with institutional day traders. Not to mention more risks. Individuals typically day trade highly liquid stocks using technical analysis and swing trades, with some leverage.
Day trading necessitates access to some of the most complex financial products and services. Day traders usually need:
Access to a trading desk
Traders who work for large institutions or manage large sums of money usually use this. The trading or dealing desk provides these traders with immediate order execution, which is critical during volatile market conditions. For example, when an acquisition is announced, day traders interested in merger arbitrage can place orders before the rest of the market.
News sources
The majority of day trading opportunities come from news, so being the first to know when something significant happens is critical. It has access to multiple leading newswires, constant news coverage, and software that continuously analyzes news sources for important stories.
Analytical tools
Most day traders rely on expensive trading software. Technical traders and swing traders rely on software more than news. This software's features include:
-
Automatic pattern recognition: It can identify technical indicators like flags and channels, or more complex indicators like Elliott Wave patterns.
-
Genetic and neural applications: These programs use neural networks and genetic algorithms to improve trading systems and make more accurate price predictions.
-
Broker integration: Some of these apps even connect directly to the brokerage, allowing for instant and even automatic trade execution. This reduces trading emotion and improves execution times.
-
Backtesting: This allows traders to look at past performance of a strategy to predict future performance. Remember that past results do not always predict future results.
Together, these tools give traders a competitive advantage. It's easy to see why inexperienced traders lose money without them. A day trader's earnings potential is also affected by the market in which they trade, their capital, and their time commitment.
Day Trading Risks
Day trading can be intimidating for the average investor due to the numerous risks involved. The SEC highlights the following risks of day trading:
Because day traders typically lose money in their first months of trading and many never make profits, they should only risk money they can afford to lose.
Trading is a full-time job that is stressful and costly: Observing dozens of ticker quotes and price fluctuations to spot market trends requires intense concentration. Day traders also spend a lot on commissions, training, and computers.
Day traders heavily rely on borrowing: Day-trading strategies rely on borrowed funds to make profits, which is why many day traders lose everything and end up in debt.
Avoid easy profit promises: Avoid “hot tips” and “expert advice” from day trading newsletters and websites, and be wary of day trading educational seminars and classes.
Should You Day Trade?
As stated previously, day trading as a career can be difficult and demanding.
- First, you must be familiar with the trading world and know your risk tolerance, capital, and goals.
- Day trading also takes a lot of time. You'll need to put in a lot of time if you want to perfect your strategies and make money. Part-time or whenever isn't going to cut it. You must be fully committed.
- If you decide trading is for you, remember to start small. Concentrate on a few stocks rather than jumping into the market blindly. Enlarging your trading strategy can result in big losses.
- Finally, keep your cool and avoid trading emotionally. The more you can do that, the better. Keeping a level head allows you to stay focused and on track.
If you follow these simple rules, you may be on your way to a successful day trading career.
Is Day Trading Illegal?
Day trading is not illegal or unethical, but it is risky. Because most day-trading strategies use margin accounts, day traders risk losing more than they invest and becoming heavily in debt.
How Can Arbitrage Be Used in Day Trading?
Arbitrage is the simultaneous purchase and sale of a security in multiple markets to profit from small price differences. Because arbitrage ensures that any deviation in an asset's price from its fair value is quickly corrected, arbitrage opportunities are rare.
Why Don’t Day Traders Hold Positions Overnight?
Day traders rarely hold overnight positions for several reasons: Overnight trades require more capital because most brokers require higher margin; stocks can gap up or down on overnight news, causing big trading losses; and holding a losing position overnight in the hope of recovering some or all of the losses may be against the trader's core day-trading philosophy.
What Are Day Trader Margin Requirements?
Regulation D requires that a pattern day trader client of a broker-dealer maintain at all times $25,000 in equity in their account.
How Much Buying Power Does Day Trading Have?
Buying power is the total amount of funds an investor has available to trade securities. FINRA rules allow a pattern day trader to trade up to four times their maintenance margin excess as of the previous day's close.
The Verdict
Although controversial, day trading can be a profitable strategy. Day traders, both institutional and retail, keep the markets efficient and liquid. Though day trading is still popular among novice traders, it should be left to those with the necessary skills and resources.
