Anybody trading only 1 stock each day?

Discussion in 'Trading' started by sunggong, Jun 3, 2006.

  1. I just started daytrading full-time from home.

    One thing I noticed is that it's rather challenging to buy/sell multiple stocks throughout the day because of quick trades I make. (Do around 30 trades a day).

    I find that putting in tight stop doesn't work to well for me, so I use a mental stop and exit promptly once my max-loss-target is hit, and it's tough to keep on eye on multiple stocks and execute trades right away when you are holding 2-5 stocks.

    I have about 5 stocks that I know quite well from studying/observing extensively, but I can only really concentrate on one well. It helps me see the new, intraday bullish/bearish patterns developing if I just keep my eyes on the chart for that day rather checking it out once every xx minutes or so.

    Who else strictly "work" on one stock only for each trading day?
  2. It sounds to me like you would be a good futures trader.
  3. He is right. I trade ER2(Russell 2000 futures contract) at the CME. It might be in your best interest to take a look at the Index futures at the CME.
  4. I focus on only one stock right now, thats because I dont have the funds to buy more than one usually (I buy the most expensive stocks I can. I find the more expensive the stock, the more it moves). But because I prefer to swing trade, for me, holding more than one position would be easier.

    - nathan
  5. Thanks for the feedback. I'm still pretty new to the game and have only traded NASDAQ stocks mostly so far. I didn't realize my style may suit well for trading futures. I will definitely look into it more.

    Thanks again.
  6. trader3


    Because you are just starting out, it is probably a good idea for you to concentrate on one stock at a time until you have a good track record with it. After you master one, move on to another. Repeat this process until you have 5-15 stocks whose movement you understand and in which you are consistently profitable. Then you can begin to trade 2 at a time. Then 3. Then 4 or more if you are able and it suits your personality.

    Because you are just starting out, you are paying attention to many things that will eventually become second nature to you and will then not require as much of your attention. When a lot of the details that are now new to you become second nature, you will find it a lot easier to trade more than one stock at a time.
  7. Here is a better idea: Trade 500 of the stocks ALL AT ONCE. Right, the futures SP500 INDEX, ES for the electronic version. Seriously, as others suggest, this is the way to travel if so inclined.

    Myself, if i were not just trading the ES and ONLY the ES, i would trade stocks as swing trades or position trades. For day trading you need to focus, focus, focus on one maybe two instruments at a time especially as a beginner.

    Try the futures, the ES is a great instrument to learn from, once you get that baby down pat.....the rest is gravy. With experience and intuition you might find other items to trade .........BUT, i am willing to say you will find even ONE daytrading item is plenty.

    Good Luck, stick to it and be patient. Think of daytrading as either having a super girlfriend or a super wife, one is not only all you are allowed BUT, one is all any good man can handle at once...............:D
  8. Donkell


    Depends on your style of trading. For me Since I deal with the top 10 or 15 stocks either moving down or up I can't afford to take my attention off the particular stock I pick.

    I you are trading sector stuff and they start moving in a different direction if would probably be safe to short or go long on more than one.

    A lot of people are restricted to money available. Unless you are silly enough to do penny stocks most of the guys around here it seems would be restricted to buying power. Unless you have another account somewhere with money available to you a T-call will dictate what you do by the end of the day.

    What's the point of the question anyway?

  9. I trade only SPY, including several option positions on the ETF. It seems to work well.
  10. Cesko


    It's infinitely scalable too
    #10     Jun 4, 2006