day trading stock criteria -- what to look for?

Discussion in 'Technical Analysis' started by Bickz, Oct 17, 2006.

  1. Bickz


    hi everyone

    can anyone give me an idea of what criteria to screen for to pinpoint stocks with the proper liquidity to day trade?

    i'm not necessarily looking to have all of my trades executed within seconds, but i would want my trades to be executed within 0 to 3 minutes. definitely within 5 minutes.

  2. Bickz


    no one?

  3. typically all trades are executed within' milliseconds, exception is on nyse where u may have to wait more than 10sec or at worst not get a fill. trades dont take minutes to get filled, ror. i assume u dont have an acct yet.
  4. BSAM


    At least average volume of 3 million shares per day. For NYSE, trade on Island.
  5. Bickz


    thanks guys...

    Bitstream, yes it's true, i do not have an account yet. i have heard a lot of conflicting information concerning the speed of trade execution and criteria, so i wanted to ask some individuals who were experienced.

    i have a follow-up question though... is there any particular rule of thumb concerning the amount of shares bought or sold in any one order in relation to the average daily volume?

    for instance, let's say we have an average daily volume of 4,000,000. would 100,000 shares be too many to purchase in one order? how about 10,000? 1,000?

  6. 100,000 shares sounds reasonable to buy for someone with zero experience :D

    I'm kidding btw, you should start trading 100 shares and then work from there.

  7. i wonder, often i see large orders goin' trough at resistance when there's huge supply at round numbers and the stock has terrible odds of goin' higher or viceversa at support....i thot it was mainly degenerate gamblers with milliions of dollars to spare but now i think maybe it's all these noobs trowin' good money after bad, innit. :D
  8. Bickz


    dang... and i wanted to get into hostile takeovers. oh well, i guess i'll put my billions somewhere else. :p

    seriously though, i know that 99.9% of traders don't even have to think about such issues. but just to be purely academic about it, is there any certain percentage of the average daily volume that an 'affluent person' :p would try to stay within with regard to how many shares they purchase or sell in an order? or is this the first time in history this has come up? :D
  9. tef8


    Head on over to the book section....many have been written

    Size will have to do with many things...might be your level of risk you want to accept, might be the stock you are trading (the volume happening today)...might have to do with if you are swing trading or scalping, etc

    Volumes have been written - do yourself a favor and read a few trading tomes
  10. Bickz


    thanks tef8
    #10     Oct 24, 2006