State securities regulators are warning unsophisticated investors to steer clear of day trading.

Day-trading firms let investors execute quick trades to make money on a stock's momentum. But "chances are much better than fifty-fifty that you'll lose your money," said a spokesman for the North American Securities Administrators Association, the umbrella group for state regulators.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.