Lecture on Swing Trading and Day Trading Strategies

Overview

• Biggest swing trade of the year with Nvidia totaling over $110,000.
• Comparison between swing trading and day trading:
  • Swing trades: Over $100,000 in profits.
  • Day trades: Five-figure profits.
• Focus of the presentation: Staying profitable through swing trading.

Background

• Presenter has been a day trader for almost 10 years.
  • Most trades entered and exited within morning hours.
• New pre-market trade planning routine developed for improved efficiency.
  • Focus on swing trading opportunities to capture bigger market moves.

New Pre-Market Trade Planning Routine

• Intentional focus on swing trading opportunities during pre-market and morning sessions.
• Four-step process to develop a morning pre-market trading routine.

Step 1: Scanning for Gappers

• Use of Stocks IIO with built-in strategy scanners.
  • Customization for both day trading and swing trading.
• Built-in Scans:
  1. Pre-market Large Cap Gappers
     • Targets large cap stocks gapping up over 3% with at least $1 million volume.
     • Used for Gap Up Reversal Long and Trend Joint Long strategies.
  2. Pre-market Small Cap Gappers
     • Scans small caps with at least 15% overnight gap.
     • Used for Bag Holder Daily Short and Short Trap Consolidation Long strategies.
     • Rule: No swing trading with small cap stocks due to high overnight risk.
  3. Gap Down Scans
     • Used less frequently, for Daily Support Dip Buy strategy.

Step 2: News Analysis

• Integrated news scanning within Stocks IIO.
• Important to understand the difference between news impact on small cap vs. large cap stocks.
  • Small Caps: News often secondary to short interest and volume.
  • Large Caps: News catalysts are more critical and reliable.

Step 3: Planning Out Technical Key Levels

• Importance of identifying bullish breakouts over key resistances.
• Analysis includes:
  • Long trades: Stocks breaking out above resistance or ranges.
  • Short trades: Stocks showing bearish trends.
  • Use of daily charts to identify key levels.

Step 4: Creating a Watch List or Trading Plan

• Finalizing the trade planning process:
  • Compile stocks from scanners with good catalysts and technical setups.
  • Example watch lists include strategy names, news catalysts, key levels, and trading plans.
• Encouragement to develop a personal routine and trading plan.

Conclusion

• Encouragement to check out Stocks IIO for efficient and cost-effective trade planning.
• Additional resources available for further learning.