Daytrading Stock Picking Advice

[FibbGann]

I don't beleive you will find anyone that is using that scan.

Fibbgann

[cpatte7372]

Fibbgann,

Thats cool. Just needed to know.

Cheers mate.

Carlton

[cpatte7372]

So,

The universal consensus is, high volume and high liquidity is what I should look when daytrading.

Can anyone put any numbers on it? For example, would over 10M shares traded in a stock per day be considered decent for a daytrader?

Thanks

Carlton

[AllenCook]

Originally posted by cpatte7372
So,

The universal consensus is, high volume and high liquidity is what I should look when daytrading.

Can anyone put any numbers on it? For example, would over 10M shares traded in a stock per day be considered decent for a daytrader?

Thanks

Carlton

I'll add a thought to this. Unfortunately, like alot of the questions, it depends on your style, etc. For example, a big factor in volume/liquidity in a stock would depend on how many shares do you trade on average and the frequency of transactions you make in a day. For example, I mostly trade futures but when I daytrade stocks I usually trade either 1000 or 2000 share blocks but not a large amount of transactions throughout the trading period. Thus, one of the filters for my watchlist is an average daily volume greater than 1M shares.

But every individual trader will fine tune their selections to their own trading style. If I am looking at a good pattern selection I may accept a fewer average volume if I expect to stay in the trade for a larger swing (thus, longer period of time).

[cpatte7372]

Allen,

Thanks a lot mate.

I would also welcome any other comments.

Cheers

Carlton