Day Trading Strategies
Price action Technical indicators Candlesticks and chart patterns Another point to remember is that in the market right now, over 60% of the volume is algorithmic high frequency trading. That means you are trading against computers. The majority of changes in stocks that you are seeing simply the result of computers moving shares around. Trade Management and Position Sizing It is important to understand order entry, exit, position sizing and trade management. Two traders enter into a trade based on one strategy. The positions go their way and then pull back a bit. The first trader fears losing their gain and takes a quick, small profit. The second trader adds to the position on the pull back and books a large gain. Same idea, different outcomes, all as the result of two different mindsets and trade management styles. Managing trades is the key to success. Trade management is referring to what you do with the position after you've entered it and be...