DTT Buzz
Exclusive Market Analysis, Alerts and Commentary from the DaytradeTeam trading staff
Thursday, April 12, 2007
Keys to Successful Day Trading
Understanding the key components to successfule day trades will help you develop a day trading strategy that can produce strong profits in any market environment. Here are a few day trading pointers:
#1: When day trading, always cut losers quickly. This lesson cannot be emphasized enough. Day trading is NOT about your % of winners. In fact, our Day Trading Systems barely stay above 50% winners. Keeping losers small means protecting your day trading capital.
#2: Day trading profits must be maximized. This means letting your winners ride. Again, if around 50% of your trades are winners, that means that your profitable trades MUST be bigger than your losing trades in order to come out ahead in the long run. When day trading, we suggest setting a stop at your entry price once the trade hits a 0.35% profit and use a trailing stop until the market forces you out of your trade.
#3: Follow the same stocks constantly. Day trading is about spotting price patterns, breakouts and other trading opportunities. By following the same stocks each day, you can actually get a feel for how they trade.
#1: When day trading, always cut losers quickly. This lesson cannot be emphasized enough. Day trading is NOT about your % of winners. In fact, our Day Trading Systems barely stay above 50% winners. Keeping losers small means protecting your day trading capital.
#2: Day trading profits must be maximized. This means letting your winners ride. Again, if around 50% of your trades are winners, that means that your profitable trades MUST be bigger than your losing trades in order to come out ahead in the long run. When day trading, we suggest setting a stop at your entry price once the trade hits a 0.35% profit and use a trailing stop until the market forces you out of your trade.
#3: Follow the same stocks constantly. Day trading is about spotting price patterns, breakouts and other trading opportunities. By following the same stocks each day, you can actually get a feel for how they trade.
DaytradeTeam's Day Trading Systems will help you become a more profitable day trader with access to our Live Trading Room--best of all, they are included in the DaytradeTeam all-inclusive Membership!
Happy Trading,
Nick Fenton
VP of Operations, DaytradeTeam
p.s. Don't forget to sign up for the FREE Buzzzzzzz Daily Newsletter to get all of these articles DELIVERED to your email daily!
Syndicate Site
