Tactics used to take advantage of the uptrend can also be applied to trade the downtrend. Again, since it’s very difficult to predict exactly how long a bear rally, or “counter trend” may last, you should enter a bearish swing trade only after it seems that the stock has continued downwards. To do this, examine the bear rally very closely. If the stock heads lower than the counter trend’s previous day’s low, the swing trader could enter a bearish position.

But there is an added risk with the shorter time frame. A wide spread between the bid, the ask and commissions can eat too large a portion of your profits. Swing traders can struggle with this too, but the effect is amplified for the day trader. Day traders can find themselves doing all the work, and the market makers and brokers reap the benefits.
Futures are a contract that match up a buyer and seller at a specific price, with the buyer agreeing to pay that price for the asset when the contract expires in the future. The seller is agreeing to deliver the asset, like oil for example, to the buyer when the contract expires. Day traders are never required to deliver or pay for the actual asset, because all positions are opened and closed within the day (no open obligations). Profits are losses are based on the prices the contract is opened and closed at.
Intraday trading is riskier than investing in the regular stock market. It is important, especially for beginners, to understand the basics of such trading to avoid losses. Individuals are advised to invest only the amount they can afford to lose without facing financial difficulties. A few intraday trading tips will help you learn the art of trading. Know now more about intraday trading tips.
Scalping can appear easy because a scalper might make an entire day's profit within a few minutes. However, in reality, ​scalping can be quite challenging because there is very little room for error. If you do decide to try scalping, make sure that you do so by using a trading simulator, until you are consistently profitable and no longer make any beginning mistakes, such as not exiting your trades when they move against you.
Each type of trading has its advantages and disadvantages. The appeal of swing trading is that it provides plenty of opportunities to trade; the dollar risk per trade is lower than with trend trading because of closer stops; it provides greater profit opportunity per trade than day trading; and quick rewards provide emotional satisfaction. The downside of swing trading is that you must work hard all the time to manage trades; you are quite likely to miss major moves where huge profits can be made; and frequent trading results in higher commission costs.
The price movements of any stock are posted throughout the trading day and summarized at the end of the trading day. For example, April 2, 2019, shares of Apple Inc. (AAPL) opened at $191.09 and closed at $194.02. During the day, as indicated in the "day's range" listed to the right of the closing price, shares dropped as low as $191.05—the intraday low—and hit a peak of $194.46—the intraday high.

Thanks for stopping in! We've had many requests for the best scalping trading strategy over the years. We decided to get on board and give you an easy scalping technique. We think this is the best scalping system you can find. The strategy is called The Triples S or (Simple Scalping Strategy). The Triple S is easy to learn. With practice, it will become a great addition to your scalping strategy. It could even be the best scalping method you have. This strategy is included in our best trading strategy series. We created this series to help traders become successful.

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Some of the common mistakes that scalpers make are poor execution, poor strategy, not taking stop-losses, over-leveraging, late entries, late exits and overtrading. Scalping generates heavy commissions due to the high number of transactions. A per-share commission pricing structure is beneficial to scalpers, especially for those who tend to scale smaller pieces in and out of positions.
This part is all up to you. There is no "line crossing," "arrow appearing" or "a small voice telling you to buy now!" You have to understand a little bit about how the price action works before you decide on your entry. Using our example, the Volume indicator shot up drastically meaning that traders are getting in on the action and thus driving the price upwards!

Tactics used to take advantage of the uptrend can also be applied to trade the downtrend. Again, since it’s very difficult to predict exactly how long a bear rally, or “counter trend” may last, you should enter a bearish swing trade only after it seems that the stock has continued downwards. To do this, examine the bear rally very closely. If the stock heads lower than the counter trend’s previous day’s low, the swing trader could enter a bearish position.


Day trading is traditionally defined as buying and selling stock, options, or commodities during the same trading day and be have your positions closed by the end of the trading session. In the past, day trading had been reserved for financial companies and professional investors. A large percentage of day traders work for investment firms or are specialists in fund management. With the advance of technology, day trading has continue to grow among the casual trader working from home.
As with bullish swing trades, if the reward-to-risk ratio is acceptable, you could enter your trade using a sell-stop limit order. This would result in selling the stock short once it hits your entry point. Selling short is the process of borrowing shares from your online broker and selling them in the open market, with the intention of purchasing the shares back for less cost in the future. An alternative to short selling would be to buy an in-the-money put option. If you choose to use options, you would use a contingent order to buy the put after the stock hit the entry price.
Volatility is the name of the day-trading game. Day traders rely heavily on a stock’s or market’s fluctuations to earn their profits. They like stocks that bounce around a lot throughout the day, whatever the cause: a good or bad earnings report, positive or negative news, or just general market sentiment. They also like highly liquid stocks, ones that allow them to move in and out of a position without much affecting the stock’s price.
When it comes to intraday trading, daily charts are the most commonly used charts that represent the price movements on a one-day interval. These charts are a popular intraday trading technique and help illustrate the movement of the prices between the opening bell and closing of the daily trading session. There are several methods in which intraday charts can be used. Know about some of the most commonly used chart.
Day traders are attuned to events that cause short-term market moves. Trading the news is a popular technique. Scheduled announcements such as economic statistics, corporate earnings or interest rates are subject to market expectations and market psychology. Markets react when those expectations are not met or are exceeded, usually with sudden, significant moves, which can benefit day traders.
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