Sunday, April 9, 2017

30 Minute Chart - YNDX

Number one question I am asked is what is my favorite intra-day time frame to trade. For me its the 30 minute candles with Narrow range bars. Easy to scan for candidates, can easily multi task in between candles so you don't have to stare at a screen for 30 minutes, and the only time frame you could realistically trade from work by using a dual monitor as there are only 13 bars formed each day among this slow moving trading strategy. 
 
Here is a simple trade from Friday. YNDX strong gap down and the 7th bar forms an inside bar. Enter low of the bar - stop one tick above the high and shoot for a 1-1.5 or 1-2 risk reward ratio to exit. Can trail with the low or high of the last candle. Earliest I will take a trade on this time frame is candle 3 and if you can only trade late afternoon you will find good setups throughout the week.
 
Scan for gaping stocks or daily bars from the previous day coming off support or resistance. Rule of thumb to is to only enter a trade if the 5sma is above the 10sma to help you stick with the trend of the stock. This is also a good time frame to trade with a buddy as you have time to bounce ideas off in between candles.





* You don't have to trade everyday. If the conditions don't feel right or if you're unsure of the current days trading environment then PASS on the trade. Missed money is better than lost money.  Day trading and the stock market is not a "war" that you must win at all cost. Trading should be fun, wait for only the good setups. Follow your rules, stick to your stops, and know that everyday the market presents a new chess board.

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Disclaimer

I DO NOT MAKE RECOMMENDATIONS TO BUY OR SELL SECURITIES - I JUST POST TRADES I MAKE OR FIT THE RULES OF MY TRADING PLAN ON A DAILY BASIS. DO YOUR OWN DUE DILIGENCE - YOU ARE RESPONSIBLE FOR YOUR TRADES, INVESTMENTS, AND DECISIONS! ALL CHARTS COURTESY OF TRADESTATION, SCHWAb & TD AMERITRADE