Good question @@Lambrae - there are a lot of things to watch for...

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mirren

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25/07/20

20:31

Post #: 46067166
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Originally posted by Lambrae: ↑

Question for y'all.
You hear a lot on here - comments on whether or not a share is a daytrade. Personally, I don't care if a share is a daytrade or not , as long as it is at the bottom . But I think the skill to pick a share that is about to rise in a parabolic manner is extremely valuable .
So what are your indicators that a share is about to become a "daytrade", meaning that the likely percentage increase will be enough to give you the opportunity to get in and out , on the one day with a significant percentage rise profit. The more of us that can spot that, the more trades we will be presented with .

For me it would be - after a pullback in a rising chart with volume , where accumulation is still present , finishing with a shakeout below the accumulation , that puts the chart in a position that can enable a sharp rise, because there is now an absence of sellers (due to the shakeout) , and an absence of buyers due to fear.

So what are your indicators that make a trade a "daytrade?" Crossing the SMA ? Break of trendline with volume ?.......... What's your go to?

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Good question @@Lambrae - there are a lot of things to watch for imo - there are certainly a lot of telltale things that all go in the mix for consideration -
I always mark out LT support and resistance zones - you have to be able to do this fast when a stock is running to get your targets and pullbacks in mind -
IMC was a recent example - it gapped up over the previous resistance on a big news announcement once it passed that 74 resistance it bolted right up to the target old resistance zone as there was not supply present on the day - and that is also one of the keys - IF it happens out of the blue your almost guarenteed of no old supply coming in till the next day - when the rest of the daily traders see what has happened -
these opps don't come up all that often but you gotta be able to see the potential -
Tell tale sign was that it had already broken out from a long base and deep lower low if that makes sense -

Things that break out and have nice low volume pullbacks to support are ones to watch and track also after initial breakouts - hope that helps -
Also - I do think it is pointless to argue over what is and isn't a daytrade - they don't knock on your door and explain in detail - but certainly looking through scans of stocks that are breaking out on volume and also price and volume scans often are ones that are making the right noises - @Patterns favours the 10% gainers which is also a good angle as these ones are not pumps on the day that have failed for whatever reason -
It is complicated -
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