Trading/Daytrading for a living

[tech/a]

I used to attempt to trade Stock the way you are.
Sure had some success but as you say you have to find them and early.

I switched to Index Futures.
Presto I can trade long and short
and can trade for a few hrs and be done.


https://www.aussiestockforums.com/forums/showthread.php?t=26509&page=218

This thread may have some interest for you.

 

[Greenscreen]

Thanks Tech/A I will take a look (know nothing about futures!)

I trade the secondary reaction with some VSA employed. Its very frustrating trying to identify the movers.

 

[tech/a]

Thanks Tech/A I will take a look (know nothing about futures!)

I trade the secondary reaction with some VSA employed. Its very frustrating trying to identify the movers.

This is what I did.
I limited stock selection to 10c to $5
I looked for setups rather than breakouts
I had a large watch list
I traded on a daily basis but took trading signals
From a 15 min chart.
I was ruthless with trade management.
Moving to B/E as soon as practical
I was day to a few days in timeframe.

I also had a great 7c to 10c entry method I used
Might run it here one day as an exercise.

You can get YAHOO best performers and highest volume lists 30 min after open.
Some good ones do pop up but don't forget liquidity.

 

[CanOz]

Hi.

I've been having some success day trading. My problem is that when I look back at the day I have missed x number of companies that took off without me noticing.

Can anybody suggest a way of identifying day trading opportunities that come out of the blue ie breakouts on volume.

Often I look at news releases, but even that is hit and miss ie. I'm looking at one company but another is moving.

Can anybody recommend any software to pick up the movers as close to breakout time as possible? - I've been trading 5 minute charts.

Thanks

SMB capital has a free podcast, tune in to see how the pros do equity trading intraday...

 

[FXtrader2]

I used to attempt to trade Stock the way you are.
Sure had some success but as you say you have to find them and early.

I switched to Index Futures.
Presto I can trade long and short
and can trade for a few hrs and be done.


https://www.aussiestockforums.com/forums/showthread.php?t=26509&page=218

This thread may have some interest for you.

Index funds... good trading choice, can't go wrong as will always go up if you hold on long enough. Direct shares? to hard to pick and no gurantee that a price will ever recover

 

[FXtrader2]

Hi.

I've been having some success day trading. My problem is that when I look back at the day I have missed x number of companies that took off without me noticing.

Can anybody suggest a way of identifying day trading opportunities that come out of the blue ie breakouts on volume.

Often I look at news releases, but even that is hit and miss ie. I'm looking at one company but another is moving.

Can anybody recommend any software to pick up the movers as close to breakout time as possible? - I've been trading 5 minute charts.

Thanks

There are a lot of indicators that can be incorporated on the chart itself, there are also pattern identifiers that can examine a chart and indication that a brake-out pattern is forming. But I can say this... if it was that predictable and easy we would all be very rich! IMO Indicators are just a self fulfilling prophesy i.e. sometimes they appear to work but not because they predicted something but because enough people are reacting to the signal and trading on it. There is no substitute to trading on the fundamentals and using news to catch movements. Study the instrument you want to trade and stick to a handful of instruments that you know i.e know their fundamentals and how they react to news. You'll do much better by trading known instruments and mixing a bit of old fashioned gut feeling into the mix. Some day traders wholly rely on signals and will trade anything, even something they know nothing about, these are the ones that have a 30% success rate and eventually give up. You need an 80% success rate to make a living out of trading and 90% to become rich from it. So, forget trading on signals, chose 10 to 12 instruments, study them then trade them on fundamentals and on the news.

 

[jiggy]

Interesting thread

I am looking at trading too fulltime and am going to get in touch with a number of Prop houses. I am looking to trade equities but have heard that Propex was the most expensive in terms of what they charge their equities traders in terms of brokerage. Can anyone confirm this? The others all have a set standard minimum rate so I'm going to talk to the other to get a better details

 

[lftrader]

So, forget trading on signals, chose 10 to 12 instruments, study them then trade them on fundamentals and on the news.

Interesting suggestion but how do you know that news is not discounted already.

 

[FXtrader2]

Interesting suggestion but how do you know that news is not discounted already.

If the instrument moves on the news then it's not discounted. The question to ask is whether the news is of a mature that temporarily moves the price or is it significant that the fundamental changes. If temporary then its probable that short term the price returns to its former trend so then you are probably on a winning trade.

 

[SilverRanger]

Interesting thread

I am looking at trading too fulltime and am going to get in touch with a number of Prop houses. I am looking to trade equities but have heard that Propex was the most expensive in terms of what they charge their equities traders in terms of brokerage. Can anyone confirm this? The others all have a set standard minimum rate so I'm going to talk to the other to get a better details

Just wondering, how did you go with the hunt? Are there many equity prop shops (other than propex) to begin with in Australia?