Does anyone have a successful strategy for intraday trading the 52 week high list. Any information is appreciated. regards
BUY and sell Higher Use the volume as your buy and sell points. Make sure High volume is on the up days and lower volumeon the down days. Buy on breakouts, sell on first sign of weakness Good Luck
Its kinda hard to explain but after a while you start to see the setup. If you look at MERX at a 6 month chart you will notice it breaks higher on HEAVY VOLUME. Well if you see heavier than normal volume in premarket or a surge in the middle of the day then the odds are that the stock is going to move higher. Before any trade I look at the market breadth, price/volume ect.. and make my own market forecast. If the market looks as though it will move higher then I will play long positions. This is a very simple explanation. But it is exacly what I do when I am lazy and want to play a momentum play.
C VERN Thanks for the reply. I'm working on a strategy to trade the 52 week high nasdaq list for the last two days. I've noticed that the few that I have looked at that opened well below the previous close and then moved up quickly to penetrate this line have had sufficient momentum to provide a good trading opportunity. Have you tried anything like this? regards
I know you want to play new 52 week highs and I will tell you what I do. I ply new highs for the intrady. I only play long positions and only buy what the nstock is hitting a new high for that day. I find then using the level II I can tell when the stocks are about to run. Volume will pick up and starte puthing the prices up. That a little bit on how I trade new highs. In order for this strategy to work you must be playing new highs I have tried this on stocks below the intraday high I and have found it unsecessfull.
Just my opinion, but you may be missing a lot of opportunities on the short side...that is stocks making new lows. Of course, I realize it's not "American" to short...hehe
I find that even on the biggest down day I can still trade long positions without any problem. But Ya I will be starting to short in the next couple of months.
VERM Thanks for the reply. My IB quotes stopped this morning on quote tracker about when price crossed the previous close line to the upside, which I am using for a trigger. Missed the trade. Later, I just couldn't short these stocks in an uptrend, when they crossed the previous close line to the down side,which was a big mistake today. Looking at both volume as you suggested and the twiggs money flow but gaining little insight from these two indicators right now. regards and thanks for the help.
Seems like a lot of people having problems with IB quotes the last few days. The last few days I've been getting periods when quotes seem to freeze for about 5 seconds, then I'll get this surge of 50 or so ticks. Oh well, I guess you get what you pay for...