#DAY TRADING FOR BEGINNERS SOFTWARE#

An ascending triangle pattern is a bullish price consolidation pattern that frequently appears at a key resistance level. One breakout day trading strategy commonly used generates a buy signal when price breaks above resistance, following a period of price consolidation. That resistance level may be an intraday high, a weekly or monthly high, a pivot point price level, or any other price level that has acted as resistance in previous price action. Breakout Tradingīreakout trading strategies are focused on buying a stock immediately after it overcomes a significant resistance level. Our Gap and Go strategy beginner guide explains the setups, best scanners and variations in detail. The key to success is looking out for higher highs and lows with continued high momentum during breakouts, and continuing high relative volume with tight bid ask spreads. The more the up-gapping stock continues to rise, the more short sellers get in trouble. They have to cover short positions to prevent further losses. Leading gappers often surprise investors at market open, and a big gap up can bring short sellers in real trouble. The Gap and Go Strategy is a momentum continuation setup. Above average trading volume, a high number of traded shares, pretty low bid ask spreads, high volatility and community awareness since they hit all stock scanners. Leading gappers have everything that day traders prefer.

The gap and go strategy is one of the most popular day trading strategies amongst day traders. Do not start trading with real money until you are certain that a strategy works for you.

#DAY TRADING FOR BEGINNERS SOFTWARE#

Keep in mind though, to test all strategies by using a trading simulator, paper trading account and optimize it with a backtest software of your choice for your favorite trading time frame. Our selections for the Best Day Trading Strategies are organized by category, complete with examples as part of our day trading for beginners guide. That translates to annual investment returns of over 200%.īecause, on most trading days, there is little fundamental news to drive a stock price substantially higher or lower, day traders commonly use trading strategies based on technical analysis. Day traders believe that by making multiple intraday trades based on Technical Analysis, they can generate monthly returns of 20% or more. The historical average annual gain of the S&P 500 Index is 8-10% per year. In this article, we’ll sift through them to show you five day trading strategies that offer high potential gains and relatively low risk. Well, okay, maybe not a million – but a lot. What are the best day trading strategies for stock traders? There are a million possible strategies for trading stocks.

Day trading for beginners