Watch the full video here: How much MONEY do Day Traders make?

How much do day traders make? Well, it depends. There’s no single answer because it varies based on experience, strategy, risk management, and market conditions. As we discuss profitability in day trading, let me be the first to tell you that my results of turning $583 into more than $12.5 million, while audited and verified, are not typical. Make sure you approach trading with caution, and always practice in a simulator before putting real money on the line.

Some reports say traders make six figures yearly, while others say they barely break even. However, those numbers don’t tell the whole story. In this article, I’ll walk through real numbers, where profits come from, and what separates successful traders from those who struggle.

What Are Reported Day Trader Earnings?

Several websites report day trader salaries, but the numbers don’t always match up:

• Zipia: Zipla reports an average of $116,000 per year for day traders in the U.S.
• Glassdoor: Glassdoor lists an average of $178,000 annually, including proprietary firm traders and professionals at trading desks, which aren’t the same as independent traders.

The salary range chart here reflects what day traders can earn, with data sourced from Glassdoor. It shows a broad range from $134K to $244K annually, with the median salary around $178K.

• ZipRecruiter: Finally, ZipRecruiter says that self-employed day traders (like me) make around $94,000 annually.

None of these reports mention the failure rate of traders. In fact, the success rate of day traders is low. Most people don’t make it, but for those who do, the rewards can be massive. Day trading is not a guaranteed paycheck — it’s a performance-based career.

Where Do Day Trading Profits Come From?

A trader’s income isn’t random. Instead, it comes from consistency, discipline, and strategic decision-making.

Over the years, I’ve refined my approach and identified three key factors contributing to my profitability: time of day, day of the week, and risk management.

Time of Day: My Most Profitable Window

For me, trading between 8 a.m. and 10 a.m. is where the magic happens. That’s when I make 99% of my profits.

The first two hours after the market opens bring the highest volatility and volume, which means more opportunities for quick, high-profitability trades. The market is active, fresh, and full of momentum, allowing me to take advantage of sharp price movements.

Some traders prefer “power hour” (3 p.m. to 4 p.m.) or after-hours trading, but I’ve found that these sessions don’t have the same consistency. The morning rush is when stocks make their biggest moves.

Day of the Week: Best and Worst Trading Days

Not all trading days are the same. Midweek tends to be the most profitable, while Mondays and Fridays require more caution.

• Wednesdays and Thursdays: This is when I trade most aggressively. By midweek, market patterns are clearer, and I can confidently lean into strong setups.
• Monday: On Mondays, I start slow. I test the waters and only scale up if I see strong momentum.
• Friday: This is a day to protect my profits. I avoid unnecessary risk to ensure I don’t give back my weekly gains before the weekend.

I start the week slowly, build confidence by midweek, and protect my profits before Friday. 

The graph illustrates trading performance across different days of the week, highlighting variations in profitability from Monday through Friday.

Accuracy and Risk Management

I’m not always right — and I don’t need to be. My accuracy rate is 68.9%, meaning I lose trades about 30% of the time.

I had to learn this the hard way. Early in my career, I held onto losing trades for too long, thinking they would reverse. But I quickly realized that one stubborn mistake can erase days of hard-earned profits. Now, I follow the “breakout of bailout” rule — if a trade doesn’t work immediately, I cut it fast and move on.

What matters most is risk management. Quickly cutting losses can make the difference between a profitable trader and one who blows up their account.

You don’t always have to be right — you just need to know when to get out.

What Stocks Make the Most Money?

Choosing the right stocks is just as important as timing and strategy. Over the years, I’ve found that not all stocks offer the same potential for profits. Two key factors that determine if a stock is worth my time are price range and volume.

What Is the Best Price Range for Profits?

My sweet spot is stocks priced between $5 and $10 per share. They offer the best balance of affordability, liquidity, and volatility.

Stocks priced under $2 tend to move too slowly, making them better suited for swing trading.

This chart analyzes trading performance across various stock price ranges, showing different levels of gains associated with each price bracket.

While they might seem attractive due to their low price, they often lack the intraday momentum I need to make quick, profitable trades.

On the other hand, stocks above $20 introduce a different set of challenges. They require more capital per trade, and their high price swings can lead to outsized losses if the trade goes against me. I prefer to manage my risk and stay within my preferred price range. For me, stocks between $5 and $10 are both affordable and volatile.

Why Is Volume Important?

High volume = high liquidity = easier entries and exits.

I only trade stocks with at least 25 million shares traded daily. When a stock has enough volume, I can take larger positions without worrying about getting stuck in the trade. Low-volume stocks, however, are illiquid and unpredictable, making them hard to trade efficiently.

This chart shows the gains from my trades, categorized by the volume of instruments traded. Notably, the ’25M and over’ category highlights a significant gain of $8,361,214.16, illustrating the impact of trading large volumes on profitability.

If a stock doesn’t have enough volume, I stay away. It doesn’t matter how good the setup looks — without liquidity, it’s not worth the risk. Sticking to high-volume stocks in the right price range maximizes my chances of trading high-probability setups with minimal risk.

Why Momentum Trading Works for Me

My trading strategy is momentum trading, which means I:

• Ride trends instead of predicting reversals.
• Look for stocks with at least five times their normal relative volume.
• Focus on stocks that gap up on news or earring catalysts.

I don’t try to predict reversals — I ride the trend until it stops. I focus my trades on the first day of a breakout when the biggest moves happen.

What Is the Harsh Reality of Day Trading?

Here’s the truth: Most new traders lose money before they learn how to make it.

I’ve taken over 24,000 trades, generating over $12.5M in profit, but it didn’t happen overnight. Most traders don’t make money, and many blow up their accounts within months. The market doesn’t care how much you “want” to succeed — you’ll lose if you trade emotionally, overleverage, or ignore risk.

I’ve seen traders wipe out years of savings in a few bad trades because they didn’t have a plan. That’s why the traders who survive long-term are the ones who stay disciplined, track their trades, and follow strict rules.

I’ve lost plenty of money learning to trade, but I’ve also made it back by refining my strategy. The key to success is experience, discipline, and consistency.

Steps to Becoming a Day Trade

If you want to be a successful trader, here’s what you should focus on:

• Consistency over big wins. Small, repeatable profits add up.
• Start small and scale up as confidence grows.
• Track your metrics to see what works and what doesn’t.
• Risk management is everything. Cut losses fast.

Trading is like a sport — you don’t win by luck, you win by practice.

Final Thoughts

Day trading earrings are said to range from $94,000 to $178,000 annually, but success isn’t guaranteed. Profitable trading depends on skill, risk management, and discipline, not luck. Even the most ambitious traders can wipe out their accounts without a solid strategy,

The best traders track their progress, refine their approach, and stay consistent. Trading is a long-term game, not a quick win.

Want to trade like a pro? Check out Warrior Trading for expert strategies that can lead to lasting success.