Learning to Day Trade, page-7

  1. 14,067 Posts.
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    Hi kirra
    I can say what I do but not that it is the correct way for you to go, it is just my opinion

    If you intend to day trade and not blow all your money forget the large% moves

    Lots of little trades can be very rewarding,

    Many stocks have a regular up and down movement without any external changes in the company, it is just a wave flow, so you buy low sell high but you do it often and can only do it if you can be glued to the screen

    Read stories on scalping
    Investopedia
    • Lessened exposure limits risk - A brief exposure to the market diminishes the probability of running into an adverse event.
    • Smaller moves are easier to obtain - A bigger imbalance of supply and demand is needed to warrant bigger price changes. It is easier for a stock to make a 10 cents move than it is to make a $1 move.
    • Smaller moves are more frequent than larger ones - Even during relatively quiet markets there are many small movements that a scalper can exploit.
 
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