Day Trading Tips

welcome to this video on the latest date
trading tipd that I’m gonna share with you today so today’s day trading tips is
for beginners it helps with your psychology it’s for really intraday
trading indexes is where it works the best so as you can see here I’ve got the
e-mini S&P e-mini is on the bottom I’ve got a 2 minute chart you can vary this
depending what you want but I do use this for intraday trading now here’s the
key over here I have the advanced decline line and I use the same time
interval so the advanced decline line is a breath indicator and it’s basically a
Index it’s calculated by the number of advancing stocks last the number of
declining stocks and that’s pretty much it
okay so what how are we gonna use this so we’re gonna use it to get a little
bit of an edge once in a while so I will tell you right away this is not
something that’s going to help you on every single trade but it is something
that can give you a heads up sometimes before the market or trading
does and that’s what we’re looking for so I’m kind of an edge right okay so the
first one is that we kept up this day and notice that on the SPE minutes we
get a higher high here but on the advanced decline we get a lower high so
that is a heads up that’s a little bit of a leading indication now remember
this is not really an indicator technically because it’s not taking the
data of the SPE Mini’s and running it through some sort of mathematical
calculation it’s really just measuring the statistics so that’s the difference
between an indicator and a status and statistics it’s an index in and of
itself so the advanced vs. at decline issues meaning stocks not following
through here and so that would be a little heads-up that oh wait a minute
okay about 50 minutes into the trading day we’ve gapped up and maybe this puppy
is not maybe that’s it maybe that the end of the story because we see the
breath indication here not following through to the upside alright so there
would be one all right now a lot of times it’s gonna follow pretty similarly
but then other times we’re going to find other times when they are not following
through so here for example we see these highs coming up here in here match these
highs we got them there okay so for the e-mini is for the SP this is the market
we’re trading by the way so we’re not treating this market we’re treating this
one and we see that we basically have equal high equal high equal high equal
high but not so on the advanced decline line so here I by the way this is
important point to I make it into candlesticks you can actually turn it
into a line if you want to technically it’s usually called the advanced decline
line and they draw it as a well a line so there’s a little different thing that
I like to do I like to actually have it plotted as candlesticks so then I’m I’m
seeing apples to apples but however you want to plot it that’s up to you so we
see okay first of all hitting high hitting high but then even though the
S&P emini is still hitting equal highs here
no on the breath indicator mm-hmm we’re not making it up there anymore and so
that again is showing an early indication that oh maybe this strength
that’s showing on the market to the upside may not be sustainable might not
be sustainable because underlying that the when you measure all of the
individual stocks those that are reclining and those are advancing
looking at the difference between those they’re not holding up they’re not
holding up at the same level and so nice low tip there for ya it’s something that
I use I look at when I day trade the equity indexes so if you’re trading
Forex or for training individual stocks this is not going to be as helpful I’d
only I think there is anything like this for
Forex or at least not equivalent to it and so this isn’t really for Forex this
is for equity trades and again individual stocks is not going to work
as well with it’s great if you’re treating the ESPYs
you’re treating the Nasdaq they’re treating the russell big indexes like
this because that’s really what you’re looking at is the conglomeration of all
these different individual stocks put together and plotted is as when index
alright so nice tip for you there by the way if you found the video helpful feel
free to go to thumbs up and and share it share good things with good people
really appreciate your comments your encouragement they keep me going here to
create more free tutorials for you and oh I’ve got my rubber band trade still
available for you so if you want to get a complete trade strategy from me
complete with entries exits all that stuff then just go ahead and click that
green little box in the top right hand corner and that’ll send you to the page
where you can go ahead and get the rubber band trade strategy absolutely
free in fact I include five little videos they’re each about 15 minutes
long and it give you some distinctions there on how professionals trade
differently than amateurs and then also I give you the rubber band trade and I
want you to take it and start making some money right away you

9 thoughts on “Day Trading Tips

  1. That's pretty cool Barry. Where can I find the ADD? I use think or swim to chart and day trade spy almost daily. Would love to try these statistics out along with my indicators.

  2. Just tweeted this – pretty cool video, easy to follow, always worth a look at the AD (probably throw in VWAP as well) – great little trading idea and also not using indicators but actual data (i.e. what's really happening) – nice and quick to asess a market

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