Different Types Of Day Trading Scanners
For certain trading techniques, pre-market trading is not an option. A trading setup that is ideal for trading during trading hours may be achieved by using the Momentum, Top Reversal, and Bottom Reversal Strategies. When scanning a pre-market watchlist, it's difficult to identify these companies.
Author:Gordon DickersonReviewer:James PierceMar 10, 202234K Shares567.5K Views
For certain trading techniques, pre-market trading is not an option. A trading setup that is ideal for trading during trading hours may be achieved by using the Momentum, Top Reversal, and Bottom Reversal Strategies. When scanning a pre-market watchlist, it's difficult to identify these companies. In the following part, we'll go into more depth about the day trading scannersthat we use for these tactics.
Real-Time Volume Radar
You never know what new Stocks in Play may pop up throughout the course of a business day. Some trading ideas software is configured to locate stocks in real-time.
The following are the prerequisites for a stock to be in play: In order to benefit from the volatility of the stock and generate a profit from it, you need an ATR of at least 50 cents. Trading a stock that moves an average of barely 5 cents a day is pointless.
- Gapped up or down by at least one dollar.
- ATR of at least 50 cents is required.
- At least have an average volume of 1.5 (the stock is trading at 1.5 times its normal volume)
- Have at least 500,000 shares traded on an average daily basis
Take a look at the stock market, too, as an additional option. Most likely, the stocks you own in a certain industry are not up for grabs. As a result of a large amount of institutional trading in their industry, they have a high relative volume. You should be aware that equities tend to move alongside their respective industries.
Almost all of the oil firms sell off their shares when oil prices fall, for example. As a result, it's critical to separate the herd from the rogue stocks. Keep in mind that even if you're one of the finest traders in the world, if you're trading in the incorrect stock, you'll still end up losing money.
Bull Flag Momentum Scanner
In the middle of the day, the scanner is looking for stocks with high relative volume, low float, and a high level of activity.
Real-Time Reversal Scanners
Other methods for which pre-market stocks are unavailable include top and bottom reversal tactics. An intraday real-time scanner is a need. The characteristics of these scanners may be altered to suit your needs. For now, these are the settings that work for me, but as you gain experience and develop a better understanding of your own trading style and other methods, you may opt to create different scanners for yourself.
Summary
A scanner may not be necessary for many inexperienced traders at the outset. You may view my scanner in real time if you join a day trading group like mine. At the beginning of your job transfer to day trading, you may wish to keep your expenditures down as much as possible with these scanners, which cost approximately $100 each month.
Gordon Dickerson
Author
Gordon Dickerson, a visionary in Crypto, NFT, and Web3, brings over 10 years of expertise in blockchain technology.
With a Bachelor's in Computer Science from MIT and a Master's from Stanford, Gordon's strategic leadership has been instrumental in shaping global blockchain adoption. His commitment to inclusivity fosters a diverse ecosystem.
In his spare time, Gordon enjoys gourmet cooking, cycling, stargazing as an amateur astronomer, and exploring non-fiction literature.
His blend of expertise, credibility, and genuine passion for innovation makes him a trusted authority in decentralized technologies, driving impactful change with a personal touch.
James Pierce
Reviewer
James Pierce, a Finance and Crypto expert, brings over 15 years of experience to his writing. With a Master's degree in Finance from Harvard University, James's insightful articles and research papers have earned him recognition in the industry.
His expertise spans financial markets and digital currencies, making him a trusted source for analysis and commentary. James seamlessly integrates his passion for travel into his work, providing readers with a unique perspective on global finance and the digital economy.
Outside of writing, James enjoys photography, hiking, and exploring local cuisines during his travels.
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