short term trading in stocks

8/10/2019 Short Term Trading in Stocks

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Jake Bernsteinhttp://www trade futures com800-678-5253 847-831-6900

Short Term Tradingin Stocks

Thursday 17 May 2007Webinar Series

2007 by Jake Bernstein [email protected]


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What is Short Term Trading?My definition: Intra-day to 15 daysDay Trade Short Term Scalping4 basic approaches

1) Swing Trading2) Volatility Breakout (Darvas Method)3) Gaps4) Level II Screen (Scalping)

2007 by Jake Bernstein http://www.trade-futures.com


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Method 1: Swing Trade

Channel surfing is the best method I know

Use the 10/8 MAC with confirmationConfirmation for short term is 28/28 Mom/MaBuy trigger: buy at MAC low exit at MAC highSell trigger: Sell at MAC high exit at MAC lowCan carry profitable trade for bigger moves

See illustrations



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Box Method Darvas-The Darvas Story Also known as Volatility Breakout

Can be used for short term or longer Developed for stocks can be used in futuresCan be used in any time frame

Rules of application1) MA of range of last X days2) Buy on % penetration above range-Exit FPO3) Sell on % penetration below range-Exit FPO4) Amount of penetration 65% above / below5) Exit Strategy FPO or trail stop

Short Term Stock Method 2


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Box Method: Example



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Buy setup and trigger example



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Sell Setup and Trigger Example



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1) Gap opening above previous daily high2) Gap opening below previous daily low3) Causes of gaps4) Gap lower open buy set up

5) Gap higher open sell set up6) Many major lows and highs are gap days7) Exit strategy either as day trade with target

or on first profitable opening8) Exit at end of day if trade is a loss

Method #3: The Gap Trade


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Concluding

Short term trading in stocks CAN be profitableThere are several methodsMy three favorite methods are: Swing Trade,Volatility and Gap TradeLevel II Screen only for scalpingMy # is 800-678-5253 or 847-831-6900Email me if you have questions:

[email protected]

Best of tradingJake ernstein


short term trading in stocks

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