Some newbie help here that has been perplexing me. In the morning, I have a watchlist of like 6 tickers (all looking for the buy). I have written down at what point the stock hits I would consider a breakout and buy. I want to wait until I see positive price action but I don't want to get in too late when its already like instantly up 15% and the morning spike makes no difference. This morning it was 15 minutes in, granted I should have been watching right when it opened. A couple questions....
How long after open do you make your decision to buy?
Do you place a market or a limit order? Seems like when I put in market orders to buy I feel like Im not getting the best price but if I put in a limit order I might miss action or buy too high. I know, what a connundrum.
Last thing, how often do you play morning spikes? They seem UBIQUITOUS!
Thanks so much in advance
Jesse, I started to print out my watchlist because I feel I can look at them and compare prices to the screen better. I am just paper trading for now but I have been placing buy stop orders around 9:45 because I too have 4 to 6 stocks on my watchlist at one time. I place them at this time just in case the stock spikes at open and goes down down. I might miss out on a few percantage points if the stock kept going but it has lowered my risk tremendously. After losing $9,000 I decided to try to
Well this is exactly the type of advice i was looking for. Do you place stop buy orders if you see the price action is going up? Is there a benefit to doing this other than just placing it as a market order to get in at that time? Thanks again
Catching stocks before they make big moves can be difficult but one method you can use is to buy on the pull back after a gap up. Using a one minute chart simply let the stock gap up and when it starts to pull back set a buy stop two cents above the highest candle so when it breaks you will be bought in automatically after it breaks resistance. Then to follow set a trailing stop specified with a certain trailing amount based on your risk and stock price action so that you can keep whatever profi
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