Trend days don’t come often.
The stats say they only occur 35-40% of the month. Sounds right to me.
So how do you game plan for a trend days? How do you get ready to hook the whale?
Day trading is a small window. We have pressure to make money in 6.5 hours, but our trading plan says to be patient for specific scenarios.
Patience is frustrating, when we need to pay the bills.
Trend Days any Day Trader Can Capture
When we are alternating buying and selling days. This is exhausting for most traders. It’s been slim pickings for good opportunities.
Or has it been?
Many intra day charts show a clean, easy to spot trend day after the open price action. Could you have been ready to capitalize before the day?
The answer is yes. This trend day occurred IN THE MIDST OF A LONG-TERM BULLISH TAPE. Good trading says you are only looking for “longs.”
If the stock opened lower, you are still only looking for a long. When you get a buy signal, you should be ready to pounce.
Day traders are bored by consolidation days but they set up the best opportunity. Your trading journal from one day to the next must document potential trades.
You must have a tracking journal to be fully prepares.
If a stock is setting up, but not ready, make note of it. Set alarms. Experienced traders set buy-stops for 100 shares to be alerted.
Great day traders always have a bias.
This means a clear idea if the right play of the day is to be long or short. When trend days unfold, they are ready. Great traders understand these are the days that pay the bills.
Struggling traders want an even distribution. They expect to make money like a paycheck. That’s not reality and one of the reasons they struggle.
How to Capture Trends Days
The first step to consistency is declaring a strategy. A definite method or criteria that is your edge. An edge means you believe something will happen.
Never shift from long, to short. It sounds good in your head to capture every swing up and down. Not only it is impossible, but it’s not necessary to make money.