Time frames in Day trading
When you want to trade in the stock market, you must know the markets will have bears and bulls. It would have sellers and buyers trying to take opportunity. It is vital to keep the timeframes in your mind and trade accordingly. The usual timeframes to watch out for would be 10 am to 11 am (After one hour of market open). From 11.30am to 12.30 pm, after you have made the first trade and after 1pm to 2.30 pm.
In day trading, I never hold the positions for more than 90 minutes. When the market opens high, it would be up for one hour or more and the bulls wanted to sell right? So the market would come down from 11 am to 12.30 and again bulls would love to purchase more, this would be stock pattern. Once you identify the stock pattern, then you can make a good trade.
Align your trade with the world markets, considering the prices of Gold and crude oil. When the crude oil drops, you can see the oil companies benefitting and when the USD drops, there is loss for the export companies. You have to make a mind map of the market ahead. To be ahead with the markets, you must find time to read more news daily. We may not succeed if we don’t know the real path ahead. In day trading, never open too much trades that you can’t handle, always open two to three trades and it’s more than enough.
Print the index chart and read the chart along with timeframes. I do it every day and that’s the way to read charts. It is formation that it makes daily, once you identify the stock patterns, you can be sure to succeed. You must read and trade daily to be a successful trader. Many don’t read the news in the market; it would take two hours of your time daily. Understand there is buzz about a stock.
Set your monthly target and yearly target that you want to make from the stock markets. Once you achieved your monthly targets, just sit back and relax. When you achieved your yearly target, then you can enjoy vacation with your family. Never over trade with your money and you could be at loss, soon or later.so you need to take one trade (10 am to 11 am) mostly bullish stocks, second trade during (11.30 am to 12.30 pm) and the final trade at (1.30 to 3pm). This is simple as steps 1, 2 and 3. One easy way to attain financial freedom would be making money systematically and learning daily.
You will not get rich overnight, until you are expert and have learnt many things about stock market. Slowly you can make money from trading by using buy and sell levels. This is a systematic approach to the market and you can’t get success without working hard. Many traders are greedy and want to get rich overnight, which may not be possible. So slow and enjoy every day , once you get the confidence then you can trade more quantities.