to come along. A stock that has a 10mil share float and trades 1mil share pre-market has already traded 10 of the float. Pre-Market volume above 150k shares, b Quality Characteristics, float between than 50-100mil shares. The big question new traders will ask is how do I find stocks that are good candidates for a Gap and Go? 10) If the gap does not fill by just before 16:15 EST (the close then exit the market for either a small gain or loss. Final Thoughts, the gap and go strategy is a great strategy to learn even if you are just starting your trading career.
Next time I will demonstrate more day trading strategies that work in the real world. Plus Ill reveal the best and worst days for trading the gap. Learning a Strategy for Day Trading the Gaps or Gappers is critical for success in the market! .
When we have the right catalyst, float, and retail trader interest, its the perfect storm for a big runner. 9:30 EST 8) Use a stop-loss of equal the size of the gap or, if you prefer, twice the gap size (the reason why a 1:1 or an inverse risk-reward is used here is because this is a high probability strategy and I want. There is a chance that the stock can drop quickly after you are filled; therefore its important for you to place your stop loss as quickly as possible to prevent the stock from dropping below your stop loss level how to prep for police exam before you have a chance. Dont forget to place your protective stop loss order after you get a confirmation of your entry fill price. The Videos Best Bits: If you cannot be bothered to watch the whole video (which I recommend you should then here are the main bits: 1) The Opening Bell and placing the trade: Scroll to 0:48 of video 2) Placing an alert to notify you. Im using another short example because I prefer to trade this method to the short side but it works equally well trading to the long side as it does trading to the short side. Not a hot stock or former runner. As long as the trend is not moving upwards the trade is valid and is worth taking. Day Trading Short Side, i want to demonstrate that the method works equally well to the short side as it does going long. Tip: What you can do is draw a horizontal line at yesterdays close and when todays market opens, just trade in the direction towards that horizontal line. When applying the Tail Gap Strategy to day trading I want to see a gap against the direction of the main trend. Always Place Your Buy Stop Before The Market Opens Next Trading Day.
Day trading strategy gap