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You don't get a market return from day trading. The only way you can make money off of day trading is by providing liquidity and the amount of liquidity needed in a market is limited by volume. It's easy for commercial investors to push out retail traders because they can provide more liquidity.

Retail investors (aka people buying stocks as investment) are unaffected by that limit.




> You don't get a market return from day trading. The only way you can make money off of day trading is by providing liquidity and the amount of liquidity needed in a market is limited by volume.

This isn't true in the slightest. Market makes might favor liquidity providing strategies but the vast majority of day traders do not. Retail day traders are trading lower volumes and do not move markets. They are much more advantaged in this respect (although they typically lack the informational edge of pros).

> It's easy for commercial investors to push out retail traders because they can provide more liquidity.

This just also isn't true at all. Everything has a price, including liquidity and as a perfectly fungible good, it doesn't matter who the seller is. Exchanges operate on price-time priority so if you provide liquidity at a better price, or before someone else, then it doesn't matter how big you are or how much you provide (within the context of vanilla ETPs relevant to day trading).




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