Trading Indicators » Day Trading

best forex indicator?

admin — Thu, 27 Jan 2011 10:12:40 +0000

which is the best Forex indicator that can help to makes 100/pips a day?

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about forex indicators the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

This question was about forex indicators and there have been some pretty good answers that should help in your trading, and especially in relation to forex indicators, the answer has been posted in the categories listed below:

How much money could I make day trading stocks?

admin — Tue, 25 Jan 2011 17:14:10 +0000

How much money could I make day trading stocks?

I’m new to stocks and am just starting to learn the ins and outs…because I’m a beginner I just want to start off day trading maybe 100 bucks worth of a stock to get the hang of it…how much could I make by just selling high and buying low all throughout the day?

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

This question was about day trading and there have been some pretty good answers that should help in your trading, and especially in relation to day trading, the answer has been posted in the categories listed below:

STANDARD ERROR: Linear Regression Trendline?

admin — Fri, 14 Jan 2011 22:17:01 +0000

CAVEAT: I have a limited knowledge of statistics and and am not particularly adept with respect to formulas. Hence, kindly explain using prose if you would.

ISSUE: Using stock trading software by prophet.net, a 64-day Linear Regression Trendline ("LRT") is currently the best fit for a particular stock. The 64-day LRT has an R-squared of .933. Now, the trading software has an indicator called "Standard Error Bands" which allows you, for example, to enter (64,3), (64,2), (64,1) etc. In this example, of course, the indicator plots "standard error band" values ("SE") (3SE, 2SE, 1SE etc.) both above and below the 64-day LRT.

With all this in mind, I have researched how to calculate "standard error" but my results don’t seem to match the trading software. The trading software determines the 64-day LRT by using the CLOSING prices for the last 64-days. Can someone give me a step-by-step on how to calculate the 1SE of the 64-day LRT. ASSUME THAT I ALREADY HAVE THE LRT VALUE–I do.
It’s my understanding that the "Standard Error" is the "Standard Deviation" divided by the square root of the number of samples. I tried taking the Standard Deviation of the Closing Prices over the last 64 days and, alternatively, the Standard Deviation of the 64-day Linear Regression Trendline itself–both of which come out to 3.15 and 3.18 respectively, and then divided both of those numbers by 8, which gives me a value of .39 or so for 1 Standard Error. The software, however, has a value that is much greater–closer to .80.

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading indicators the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

This question was about day trading indicators and there have been some pretty good answers that should help in your trading, and especially in relation to day trading indicators, the answer has been posted in the categories listed below:

What is the most affordable way of doing day trading?

admin — Fri, 31 Dec 2010 17:16:38 +0000

Hello,

Can individuals do day trading in Nasdaq? What would be the best way to do it to minimize commission costs?

Thanks…

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

Stock trading method question?

admin — Thu, 09 Dec 2010 22:19:46 +0000

This question is for those familiar with technical charts. In a bull market when selecting a stock, does setting a buy stop price a little above resistance, selecting a stock that’s currently above 30-day moving average and the MA is trending up, and relative strength indicator is also trending up mean that there is a good if not strong possibility that the stock will break out to a new high? Conversely, does a stock that’s broken through support and trending below 30-day moving average usually mean that the stock is more likely than not to fall to new lows? Thanks!

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading indicators the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

How do I set up my day trading business as a corporation?

admin — Thu, 09 Dec 2010 05:12:26 +0000

I am going to start day trading as a business. Can I set the business up as a corporation?

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

How does one make a profit selling bonds by day trading?

admin — Sun, 14 Nov 2010 05:14:41 +0000

So how does it work? Why should you make any money by holding a bond for even a few seconds and then trading it? What is the process…im just confused how you own a bond, and why anyone would buy it from you through day trading and how/why you are making (or losing) money?

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

What does the "pre-market" stock quote mean when I look up a stock before the opening bell ?

admin — Sun, 31 Oct 2010 07:55:30 +0000

What establishes the "pre-market" price??? Is it usually any indicator for the regular trading day ??? I basically want to know if it’s relevant to anything.

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading indicators the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

Where is the best place to find out about different stock day-trading systems?

admin — Wed, 20 Oct 2010 05:11:15 +0000

I’m new to day trading, and trying to research the many different systems available. Where could I find impartial, independent research on how the different systems work, and how well they work?

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

Does anyone know a program or a site for newbie day traders?

admin — Sat, 25 Sep 2010 07:51:56 +0000

I’m an aspiring day trader and I still have a lot of questions about indicators. I also want a program or online service that will help me develop what I have learned about day trading.I’m so new at this and I don’t want to create any slip ups. Any site you can recommend? I’d appreciate it very much.

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading indicators the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

What is the best site to register for Day Trading?

admin — Wed, 22 Sep 2010 17:12:05 +0000

I really want to start Day Trading, but there are so many different sites that I am not sure which one to pick. I am starting with little money becuase i just want to get a feel for it first. I don’t want to pay a lot of extra fees. Also how does the capital gain taxes work for day trading and is it possible to make -60 a day doing this? Thanks

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

Why did the SEC put restrictions on day trading and buying with unsettled funds?

admin — Thu, 26 Aug 2010 05:16:35 +0000

I don’t get why the rules are necessary. Who gets hurt if I sell with a purchase made with unsettled funds. And why should day trading be restricted.

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

is there anyone out there who trades the market, and not necessarily specific companies.(daytrading/marketmove?

admin — Mon, 16 Aug 2010 17:31:11 +0000

i’ve been trying to trade the market, using indicators and not really looking at company fundamentals… so etfs like spy, vxx, gld…. and i’m wondering if anyone else does this, and what works for other day traders out there… i only like to hold stocks for on stochastics cycle… so usually about 5-10 min….

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading indicators the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

Could The Economic Meltdown Be The Result of Economic Terrorism?

admin — Sun, 11 Jul 2010 17:27:06 +0000

I heard something interesting related to the world economic meltdown. It was suggested this could be the result of economic terrorism. This week it was reported that the World Bank had been hacked several times over the past year or so. We know that there are many active, experienced hackers in Russia and China who have made it into some very sensitive computer systems in recent years.

There has been a lot of activity at the last minute on the stock exchanges that send indicators downward. This last minute activity happens so late in the trading day, that the markets don’t have time to respond.

Makes me think. Has the world been plunged into the pages of Tom Clancy techno thriller novel playing out on the reality side of the book?

Well thought out comments are welcome.
Oh yes! "Debt Of Honor"! I forgot about that Clancy classic! Rewritten the "bad guys" would be Russians and NGO terrorist types hacking away on their computers!
Marcus, true, but people are behind the computer programs that trip at the last minute. Who is behind the "snipes"?

It’s rather like "sniping" on eBay…..

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading indicators the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

What is the best day trading swing trading software?

admin — Mon, 14 Jun 2010 17:24:36 +0000

I bought the Day Trading Robot from http://hardcoresoftware.net and love it and can see why it is best for swing trading but what is the best software for free? I guess no one wants to trust their money to a free program but just for kicks or practice, what would the software be?

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

Linear Regression Indicator: Calculation in Microsoft Excel?

admin — Wed, 02 Jun 2010 03:08:27 +0000

The Linear Regression Indicator (LRI) is a stock market indicator. It’s value each day is the same as a Linear Regression Trendline (LRT). The LRI is calculated using the "least squares method." I would like to know the formula to calculate the LRI in Microsoft Excel if you could assist me.

I am uncertain how my stock charting package calculates this value, but here are some clues. For the SPY, which generally tracks the value of the S&P 500 stock index, the LRI values at the end of the trading day today were LRI(1 day)=0; LRI(2 day)=128.42; LRI(3day)=128.51. The value for LRI(2 day) is simply the closing price of the SPY for today, which was 128.42. I’m really interested in how they calculate LRI(3day), and am seeking an explanation as to why LRI(1) is 0 and LRI(2) is today’s closing price.

I’m not sure whether they use the Open, High, Low and Close for each day, or just the Close or some combo. Here are those values for the last few days: (See Additional Details)
8/3: Open=127.33; High=128.55; Low=127.15; Close=128.42. 8/2: Open=127.58; High=128.46; Low=127.55; Close=128.08. 8/1: Open=127.34; High=127.38; Low=126.63; Close=127.22. 7/31: Open=127.66; High=127.96; Low=127.46; Close=127.85.

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading indicators the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

I am interested in day trading will you tell me if my ideas are realistic?

admin — Mon, 31 May 2010 00:12:12 +0000

Thanks for looking. I am 25 in college for mechanical engineering and also working. I am interested in day trading one day. I hear that people will borrow for their trades leverage I believe, first thing……..I would never gamble loaned money. But I have used freestockcharts.com which provides a live feed of stocks and has many useful indicators. I have used it maybe 10 days where I just sat and paper traded. I profited all but 1. Averaging about 5-6% profit daily. I don’t konw if thats much…….I like technical analysis as my main tool.

I just feel like if I saved up 50,000, I could try and get started. If I were to continue to paper trade and continue to profit daily,

I could make 3 1% trades a with day 10000 for each. walk out with 300 and invest it the next day. If i continued I would be making profit off of profit in no time. It would be compounding interest at 3% daily. with a few bad days i am sure

It sounds to good to be true and I’m sure it is….I just don’t see how I wouldn’t be able to do that. Also what do you think of the site Im using…Is it even legit as far as the "live" charts

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about Technical Trading Indicators the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

This question was about Technical Trading Indicators and there have been some pretty good answers that should help in your trading, and especially in relation to Technical Trading Indicators, the answer has been posted in the categories listed below:

What school or person is good to learn Day Trading?

admin — Sun, 23 May 2010 05:13:20 +0000

I am looking to invest in day trading, but need to know from someone that can lead me to the right school or instructor.

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

Can you give me advice on daytrading?

admin — Fri, 30 Apr 2010 17:40:00 +0000

I’m 24, in college, and am interested in day trading. I am on my second book reading up on it. I am interested in technical analysis. I am very good at math so the concepts come easy to me and the charts do as well.

I used www.freestockcharts.com as a resource for practicing. It provides lots of features including indicators, portfolios, and tools to draw trend lines in.

I have paper traded 5 days so far. Here’s how I did.
1. +4%
2. +5%
3. +4.6%
4. -0.5%
5. +1.32%

With about 15 trades a day tops and a lot of starting capitol I think I could make good money. I know I’m very green so there’s lots to learn. I don’t even have money to invest with yet anyways.

How do you think I’m doing? Is my profit so far good or to early to tell? What can I do to progress faster at trading and get good at it?

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading indicators the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

What are good things I should read to help gain knowledge of day trading?

admin — Fri, 30 Apr 2010 17:11:33 +0000

I would like to get into day trading, what are some things that would help me gain knowledge to be a successful day trader?

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

What out of technical analysis or fundamental analysis is more important/efficient when day-trading markets?

admin — Wed, 28 Apr 2010 17:14:02 +0000

I am considering becoming a day-trader using spread betting as my vehicle.

I want to know what out of fundamental or technical analysis is of most benefit for day-trading the financial markets if you want to consistently make money as I know from my practice experience that trend trading the minutes, hours and the days range, whatever the direction is good to follow to take in lots of little profits.

Which out of technical or fundamental analysis is best to use for the purpose of day-trading – which is most efficient in consistently making money?

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

How can on predict when the market has topped?

admin — Wed, 28 Apr 2010 00:40:16 +0000

One of the indicators I have noticed indicating a peak in the market is heavy volume on down days and light volume on up days. Along with the above the CBOE put call ratio drops to less than 0.75 for a couple of trading sessions. Livermoore used a list of stocks which fell before the market peaked.

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading indicators the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

What constitutes a day-trade as it pertains to the SEC day-trading rule?

admin — Mon, 26 Apr 2010 22:01:27 +0000

Okay so if I buy a stock and I sell it in the same day, is that the only way it would be considered a day-trade? Are options subject to this rule as well.

Also, the five day period: is that Mon-Fri, or is that five consecutive trading days?

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

Who has a good system for determining entry points into a stock for long and short trades 1-5 days?

admin — Sun, 25 Apr 2010 00:41:12 +0000

I need a great system complete with strong indicators. Which strategy works well for you?

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading indicators the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.

How many computer monitors do I need for day trading?

admin — Sat, 24 Apr 2010 22:00:20 +0000

As a newbie trader who day trades (not scalping or high freq trading), what is the recommended minimum number of computer screens that I would need to monitor the markets effectively? I do not want to overspend on the infrastructure and prefers to scale up gradually when necessary.

Trading indicators are best used along with money management and good risk control, using trading indicators alone will not enable you to be a successful trader, even if you learn everything about day trading the market is just too random and unless risk is controlled, over time your account will slowly get wiped out, regardless how good a “trader” you think you are.