Has anyone figured out a way to profitably daytrade the index stocks? Anything wold be helpful. Technical analysis.. any software (such as Trade Station)... anything to help me trade them profitablly. Im not looking for big moves or big profits - I want to make just enough to cover my commission. Anyone?
You can daytrade Emini S&P 500 (ES) and Nasdaq 100 futures(NQ) instead. ES = 500 SPY ; NQ = 800 QQQ.
Benefits: Lower commissions, lower margin, more liquidity, less partial fills, tighter spreads, longer trading hours (almost 24/7), electronic execution, no middleman (Market makers etc.), unfragmented market - no routing issues, no minimum $25k daytrading requirement, no additional expenses when shorting etc...
For example: one can daytrade 1 NQ (= 800 QQQ) , with only $1500 daytrading margin and $2.40 commission or less. While daytrading the same, through 800 QQQ, one will need at least $6000 margin and will pay usually over $6.50 in commissions.
To sum up, it's more efficient to daytrade Emini futures NQ and ES then the corresponding QQQ and SPY.
Many daytrade NQ and ES for a living, hence they've found a way to trade them profitably.