Indices to watch?

Discussion in 'Trading' started by mcl116, Jul 31, 2020.

  1. mcl116


    I'm starting to dip my toes into the idea of day trading a bit.

    I think a good place to start is by watching the sectors. Should give me a good idea of where to start looking for specific stocks.

    I go into ToS and there's way more sector indices to watch. I was hoping to use these to narrow down what I have to look at but there are a lot of these too!

    There are S&P, NASDAQ, DOW and NYSE sector indices.

    Are any of these not worth watching and using to narrow down my search for opportunities?

    Diving into this world, it's so vast it's very overwhelming. Trying to do what I can to shrink it down to something more digestible and tangible.

    Any other advice/suggestions in regards to this would really be appreciated!
  2. drunnels


    I'm going to weigh in here and it's not my intent to be unkindly. There's a really good reason you haven't gotten any responses; nobody knows where to begin.

    Learn one market really well by watching it everyday. Choose something with huge volume and volatility, maybe QQQ. Watch different timeframes, discover patterns in the charts, read books, get lots of different ideas, open a simulator account somewhere, maybe IB, test your ideas, papertrade, backtest, forward test, learn to read price action and volume, support and resistance, keep metrics on your "trades". Experiment with indicators for a few years until you realize none of them work very well.

    See? It's a lot of work and will take a long time to get good at it so you don't blow out your account. OR just buy some AAPL or TSLA and cross your fingers.

    Frankly, I have found over 30 years that my best performance has been off a weekly chart.
  3. vanzandt


    Always good to keep an eye on the Dow Transports, and also copper. In the past they have tended to lead things, but who knows now... it seems tech is the bellwether. I'd still incorporate them though.