Before you do anything look at completely naked candle stick charts and try to see if you find any patterns before you start adding any sort of indicators, chart settings, or anything else on top of them.
Last edited by Itchymoku; May 1st, 2014 at 09:45 AM.
Day trading is a specialized skill IMHO...a lot of short swing trade strategies do apply from a technical standpoint but longer trades of more than a three week hold do not hold.
For example: fundamentals of a company mean nothing...a rock solid company financially is not usually a good candidate for a day trade. You want to find a company with a lot of volatility (price swings) and very good liquidity (lots of shares traded)...
I am not sure about futures.io (formerly BMT)'s elite trading areas for information as I am have not to date become an elite trader yet and have no access to these areas but my gut feeling is that this would be an excellent place to go based on what I see in the discussions in this forum in general. The people here are very generous with their advice.
One place I would recommend for a beginner to read is Investopedia's discussion on Beginner daytrading. The basics of this type of trading are well laid out IMHO
this is just a general overview but it gives you an idea of what to do and areas to investigate further.
One thing you must have is a Level 2 charting service. Your broker may be able to provide this for you but a decent free one to try...especially if you are just paper trading to get the hang of things is provided by Level2StockQuotes.com
there is a Canadian version provided by them that is different but this US version is pretty good...there is even a European version....you need real time charting to make your decisions.
You do know the success statistics on first time day traders is not high at all...learn a system for finding potential candidates then learn how to play them properly....paper trading with real data...not historical...until you are consistently making good trades is the way to go....this way the tuition in learning is cheaper
BTW: I don't daytrade myself because of the stress of making snap decisions, the record keeping required for taxes and such....but I have been on many chat websites where daytrading was the main topic and I have seen the good, the bad and butt ugly approaches to doing this type of trading...treat hot tips on those sites with suspicion...they are 99% pumps/dumps...though in fairness some traders make their living on such...but it is not for beginners.