How Do You Find The Best Stocks To Trade?
Finding stocks to trade can happen in many different ways. Maybe you want to listen to your Uncle Vito. Maybe you want to pour over Excel sheets of companies and their fundamentals. Or you can get onto a day trading chat room and get on board with the daily watch list.
First, let’s tackle the family angle. Don’t look for stock tips from your Uncle Vito. Or your Uncle Bobby. Or any of your relatives. The best way to make money these days is to learn as much as possible about trading and investing in a reputable day trading education program. Families are great, but don’t mix them with business. Finding stocks to trade is all about rational focus on the markets, without emotion. Families bring too much emotion.
Day trading is all about finding stocks to trade that will give you a quick opportunity to lock in winners in the 5 to 10% range. This is not about long-term investment in the stock market. You need to find the hot stocks and the best free trading tools available out there.
Every day in the Warrior Trading chat room, the moderators call out the daily watch list. To learn more about the watch list, go here: http://warriortrading.com/day-trading-watch-list-top-stocks-to-watch/.
They are looking for stocks to watch in the $2 to $10 range, not the typical penny stocks that you might expect. Most of the time, these stocks are already “gapping up” which is a term that means opening higher than it closed yesterday. That usually means the company is coming off an earnings report or some sort of news. But sometimes there is no earthly reason.
The point of the daily watch list is to identify hot stocks that that look like they are ready to move. There is not too many hard and fast rules for a daily watch list. Sometimes the moderators won’t even put anything on the daily watch list, because nothing looks like it is ready to pop.
For anyone looking to make a dent in day trading, utilizing a daily watch list is a necessity. Finding stocks to trade can happen in many different ways. When you are employing a trading strategy that is momentum-based or grounded in looking for gappers it is important to get on hot stocks as soon as possible. The movement is so quick and so volatile that it is imperative to jump in right away!
But the most important thing is to practice your moves in a trading simulator before risking your cold, hard-earned cash. You need to prove to yourself that you have these strategies down cold before your risk real money.
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