Day trade tips?

[Zimmy]

That's a lot of good info!

I'm generally buying Lottery stocks. Energy or green auto related under $5. I can't learn about all the industries. I haven't tried just crushing out the math like you have, Mike.

Oddly, the best stock I have right now makes flying cars.

[DigitalDeath]

I day trade... I love the market and do mostly options.

My last big kill was on Intel.

First rule: Most of the moves in a stock or the market are done in a very short period of time. The rest of the time you can sit your money in CD's. Basically earnings season. This is not as a true as it once was, since every week more bad news, or even better, some slightly positive economic news and wall street goes up in desperation.

Second Rule: Learn options. learn every possible technique and you will learn how to arbitrage risk to almost nothing.

Your best bet is to play ETF's on either the DJIA, or sector funds. Find the ones with options. I personally play DIA almost every day.

If you are going to do stocks, find a few that show good trading ranges, then become an expert on the stocks.

One word of caution.. I rarely keep a position open more than a day or two. Usually I get out the same day. Too much shit can happen anymore, and you can get wiped out over a weekend.

The sector funds are a good play for Financials and Energy. Those sectors move on news almost daily. I have been playing oil alot ( USO ). You can follow oil prices 24 hours a day on NyMex..

But start with learning options. Credit and Bull spreads are money makers.

[Ferret_LE426]

Όλα τα ελληνικά του σε με

[DigitalDeath]

Όλα τα ελληνικά του σε με

What ferret, did you get hit in the head by a perp?

[DigitalDeath]

Now that I have 100% money coming in.. tax free, I am throwing money all over the place.. though most of it is in bond funds and cd's. Actually the emerging markets mutual funds are the best place to throw money right now.. china, india, brazil and hong kong funds..

[Ops NCO]

That's a lot of good info!

I'm generally buying Lottery stocks. Energy or green auto related under $5. I can't learn about all the industries. I haven't tried just crushing out the math like you have, Mike.

Oddly, the best stock I have right now makes flying cars.

I was looking at them yesterday. They had quite a pop yesterday and lots of volume (about 3x their normal volume). Made me wonder if there was some news in the works.

[Zimmy]

I don't think that flying cars will ever be the rage. That little turbine engine is the diamond in that set. If they get that in a hybrid car that stock might make REAL money.

I bought them at .11

[Ironic-Mike]

I recently looked at the price United States Steel was selling at: over $40 per share. I had a chance to buy it around $30 or so. But because the dividend rate was so low I ignored it. Looking back I might have bought it then. The stock is up by about a third.

But that would have been against my SOP. I'm going after dividends. I have no problems working with spreadsheets; they can be fun after awhile.

[Ops NCO]

I don't think that flying cars will ever be the rage. That little turbine engine is the diamond in that set. If they get that in a hybrid car that stock might make REAL money.

I bought them at .11

I hope you sunk a bunch into them, then. You're sitting at 300%+ return right now.

[Zimmy]

Not enough, my friend. Not enough. 1/100th of the Camaro I want to help me suffer through empty nest syndrome.

[Ops NCO]

Not enough, my friend. Not enough. 1/100th of the Camaro I want to help me suffer through empty nest syndrome.

Don't blame me, man. I bought some last week and am going to average into some more. I'm doing my part to drive the price and volume up.

[Zimmy]

My Freddie Mac and AIG stock I have been berating myself for buying 3 weeks ago have took the fuck off!

I have let go of the flying car company (MLER) and bought ABAT and ABB. I'm not so sure about ABB.

[Ironic-Mike]

My latest Hot List. Which I'm about to update.

Reminder: I'm after dividends.

[rcook7440]

Probably also worth mentioning Futures if your looking to paper day-trade. Huge volumes, easy to get in and out which can be an issue sometimes with Options, for those who work during the day, the Futures market only closes for 15 minutes a day ... You can trade Yen etc all night long :)

I dont think many novice traders start with Futures due to the risk and potential downside and its easy to become a victim of the market-movers that play in that arena. I've hobby day-traded Stock and Options for many years and just started trading Futures - I am no expert so dont mistake any of this for advice .. just commenting on what I've tried.

The biggest differentiator between day trading vs. securities investment for me (stock, option or future) is that I dont need to track as much information. I'm not interested in the future or potential of a security or a company. I only trade turn to turn so I'm simply looking for indicators of a turn and the duration of that turn. I'm in and out in seconds or minutes and I dont get greedy. I'm happy to make $50 or $100 a trade as long as I can do that 5 or 10 times a day. I'm just as willing to walk away from $50 or $100 if the turn isnt going my way .. I dont ride it out to see if it will recover; I take my spanking and look for the next turn.

Final observation ... Day traders seem to be viewed as the trash of the trading community .. there is an undercurrent of expected failure, even by the SEC. If you are identified as a Pattern Day Trader by the SEC according to rules they define you must maintain $25k in your account or you will receive a margin call to meet that amount. Failure to comply will suspend your margin account and force you to trade in cash for 90 days (the SEC day trader penalty box). This means you can only trade every 3 or 4 days as you have to wait for trades/funds to settle. If your just starting out with $5k-10k you typically pick a few targets in your price range, watch, learn patters and trade that same stock repetitively which, after a few days, will put you in SEC jail. If your starting out with over $25k no worries.

[DigitalDeath]

I have been in FNM since the beginning of the year at .53. It is actually an easy play under 1.00.. Buy the stock and short the LEAPS. I am short the JAN 2010 2.50 call at .25 and will end up with at 50% return.