Best Thread US day traders thread.

I have followed this thread since it started back in April and founded fascinating how traders from different backgrounds and levels interact. I am new to this and have found this site very interesting and very helpful.
I shall be trading the US mkts (DOW,NASDAQ,S&P) and just wanted to find out from Naz or anybody else out there......How do you normally go about including a stock in your watchlist outside earnings season?
Someone suggested looking at the gainers and losers from the previous session in order to get an idea but i'm sure there must be a more structured way to have these stocks under your radar.........
 
alexbarsa1,
I normally have 6-10 on my hot list immediately on market open and a much larger number of core trading stocks.
There is no reason why you cannot monitor 200 or more and let your software sort them for you - and if you use scanners, the entire market.
This is the way you find the types of moving stocks you need to make money day after day.
Richard

PS I use a constant filtering system which provides the best opportunities so I can see the best ones all the time.
 
Thanks Richard....So basically i can get these securities by simply watching TV channels like CNBC or Bloomberg or by reading the tabloids and just watch out for news flashes then include them in my list and somehow use my software to sort them presumably by percentage gainers or losers.
 
Alexbarsa1,
I never watch business TV.
I read the news releases and have methods of assessing the strength of the news. I trade according to patterns which might set up and then be triggered by the reaction to the news, NOT the news itself.
I also have other ways of finding movers before market open and also once it has opened.
Yes, some are sorted by %age movement, others not. I then zero in on the best ones and then look at what I call micro-analysis and is the way I read level 2, market participant behaviour, including specific participants, time and sales, buying and selling pressures.
It sounds difficult but is no more so than driving, 95% method, method, method, 5% discretion.
There is a thread on which Naz and myself have posted many trades. If you are really interested you could read it and glean a lot of information about how each/both of us trade. It is a very long thread and will take a while to read, but you could short cut that by just reading what Naz and myself have written and have a good look at all the charts.
Here it is:
http://www.trade2win.com/boards/showthread.php?t=7329
Hope that helps,
Richard
 
alex

Thanks Richard....So basically i can get these securities by simply watching TV channels like CNBC or Bloomberg or by reading the tabloids and just watch out for news flashes then include them in my list and somehow use my software to sort them presumably by percentage gainers or losers.

Well you got the usual sales pitch.

Here is the answer you should have got.
With trading platforms.........for example RealTick you will be provided with realtime scanners some are free, some you pay for.

So, you may feel bearish, you will bring up on your screen all stocks trading down, on various criteria..........it may be news, it may be a chart pattern, whatever.
The variety of filters are enormous. Volume, patterns, news, etc.

Eventually you will find filters that provide stocks that you feel confidence in trading, you then "time" your entry dependant on whatever methodology you use.

Watching the TV etc will not cut it my friend.
cheers d998
 
INTC and YHOO dropped a fair bit.
Didnt trade them, just watched :rolleyes:
 
boy,
Have a look at AMGN.
I don't usually trade post market but had charts of AMGN GILD JNPR NVLS YHOO up and boom!
AMGN took off like a bat out of hell and I got a nice bite out of it ;-)
Richard
 
The best move tonight has to be AMGN.Chart 1

YHOO was not a bad mover either. Chart 2
 

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Dont forget this is just the start.GOOG is out on Thurs night.
 
Hello Alexbarsa1
I normally lurk on this site and don't post. Your post reminds me of where I was a while back. I assume you already have a trading plan which includes the set-ups you want to use on which particular criteria of stocks etc etc. You have studied patterns, times and market tick etc. Notice also you want to play NYSE as well as NASDAQ stocks (be careful with NYSE specialists ;-) they burn the inexperienced and experienced alike!
Although I belong to a USA cyber trading room, I also select some stocks of my own that look like they may be beginning to get institutional interest and thereby could give decent potential. I use simple set-ups including breakouts. My own daily watchlist has around 15 stocks which can change daily if there isn't much follow-through (like recently). Typically I will trade stuff GOOG and SHLD as they make my profit most days. It works ok for me, nothing too complicated really.
I find stocks using the free screener in YAHOO finance. Run a scan at the end of each day using your own criteria and up pops the names. Analyse the charts for these, check news, upgrades etc. for reasons for the moves and put them into categories. Won't say more about that as I don't know what you are after. Personally I stick with the categorization described by Weinstein in his book (for investors really but we can go after the same stocks). You could equally use the categorization described by O'Neil. In essence I'm after stocks breaking out of a long-term base which could go to the moon but the money I'm taking daily is only pin money from the MM's and institutions point of view.
Eventually you will find which stocks are working best for you. Don't go after stuff that is too thin or stuff that daytraders are killing themselves over, at least initially until you get used to the whole thing.
The YAHOO screener has a realtime version, I think for around 10 bucks per month. Realistically though, to begin with, start the day with a small list and at least a couple of them should give you what you want. Don't know if you really need to be running scans in the beginning, chasing after stuff which may have already moved can be dangerous until you get used to the markets and the way US stocks move. You can scan for stuff which is reaching a particular point such as 52 week high/low etc.
Best advice I can give you however from my own experience and disappointments, buy and read a few good books about trading and investing, it'll give you the basic understanding of the market you will need. If you have already done that I personally went the education route given in the USA trading room I use to be the best value for money available (year subscription for less than the cost of some one day courses in the UK!!!). I have talked to other traders using other rooms who have also found them to be great value. I don't think I can name them here however surf the net and you will find what you are looking for. One word of caution, avoid the rooms that are calling the trades and use a room that is teaching you how to trade instead.
 
........and of course tonight's post market movers may well set up some nice pre-market trades tomorrow, plus some early partial gap closure/extension plays.
Looking forward to tomorrow's trading :)
Richard
 
Also those who like to think laterally and understand the relationships in the market might be interested in seeing what happened to Google when the YHOO news came out after normal market hours tonight.
I personally didn't get that move as I was busy with AMGN.
I've received a few emails asking about the profits I made on that move and I don't want to reveal the $ profits, but the return on capital employed was a total of 3.24% in under half an hour on a very readable move which can be seen on the chart Naz posted.
I personally think that all those people who trade purely on price might be able to further improve their profits by also trading on the "technical" reaction to fundamental news. "Technical" in this context is really about reading the effects of sentiment and its manifestation in price movement.
Without my interest in fundamentals I wouldn't have had those stocks on my post market radar to begin with so I wouldn't have been aware of the potential.
It is my personal opinion, but also my experience over almost six years of full time trading like this, that fundamental news combined with being able to read the reaction to it and trade accordingly is consistently
profitable.
In a sense what matters is the whole story the market is telling you, not just part of it.
Richard
 
Some more info.

A lot Nasdaq traders who trade for a living in the US use a level 2 direct access screen.This allows you to see exactly whats happening behind the chart movements and very often spot moves setting up before hand.This execution platform is especialy handy when strong moves abound as they do in post market trading after results,like the ones weve been looking at.

During these moves the chart can initialy spike in different directions as a chart only reflects the last order printed on the time and sales window.This can give confusing signals at the beginning of one of these strong post market moves.The Level 2 trader can not only see whats truly going on but trade on either side of the order book so that he/she can take advantage of the volatility and capture a spread rather than paying one.

Example.

INTC is a decent liquid stock that dosnt move as much as others but allows one to trade in very large size.

Chart 1 was my entry last night at the red arrow.The tail on the chart looks like it could be bouncing but all it reflects is the the orders trading in the range at the bottom of the candle.The level 2 screen showed that the momentum was still falling.

Chart 2.By watching the level 2 screen this observation kept me with the trade until i took my exit when a true bounce was initiated on the level 2 screen.

Chart 3 Shows the whole move.
 

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Here's a list of Nasdaq stocks reporting after the close tonight.

GNTX
ACMR
ACXM
CRUS
COHU
CBST
CYBS
EBAY
EFII
FFIV
FORM
HIFN
HUBG
ISSC
LRCX
MACR
MATR
MTSN
NMSS
NVEC
PDYN
PTEC
PLNR
PLCM
QLGC
QCOM
RARE
RBAK
SCHL
SWIR
SRDX
TSCO
VRSN
WSTC
WSTL
ZHNE
 
QCOM looked good but faded best so far is EBAY
 

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