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Swing and Day Trading: Evolution of a Trader

Book Description

Comprehensive coverage of the four major trading styles

Evolution of a Trader explores the four trading styles that people use when learning to trade or invest in the stock market. Often, beginners enter the stock market by:

  • Buying and holding onto a stock (value investing). That works well until the trend ends or a bear market begins. Then they try

  • Position trading. This is the same as buy-and-hold, except the technique sells positions before a significant trend change occurs.

  • Swing trading follows when traders increase their frequency of trading, trying to catch the short-term up and down swings. Finally, people try

  • Day trading by completing their trades in a single day.

This series provides comprehensive coverage of the four trading styles by offering numerous tips, sharing discoveries, and discussing specific trading setups to help you become a successful trader or investor as you journey through each style.

Trading Basics takes an in-depth look at money management, stops, support and resistance, and offers dozens of tips every trader should know.

Fundamental Analysis and Position Trading discusses when to sell a buy-and-hold position, uncovers which fundamentals work best, and uses them to find stocks that become 10-baggers—stocks that climb by 10 times their original value.

Swing and Day Trading reveals methods to time the market swings, including specific trading setups, but it covers the basics as well, such as setting up a home trading office and how much money you can make day trading.

Table of Contents

  1. Cover
  2. Series
  3. Title Page
  4. Copyright
  5. Preface
    1. EVOLUTION OF A TRADER
    2. CONTENT OVERVIEW
    3. INTENDED AUDIENCE
  6. Acknowledgments
  7. Chapter 1: Introduction to Swing Trading
    1. WHAT IS SWING TRADING?
    2. WHO SHOULD SWING TRADE?
    3. A SWINGING EXAMPLE
    4. LOOKING AHEAD
    5. CHAPTER CHECKLIST
  8. Chapter 2: Swinging Techniques
    1. QUICK REVIEW: SUPPORT AND RESISTANCE
    2. TRENDLINE TRADING
    3. TRADING USING CHANNELS
    4. THE THREE-BAR NET LINE SETUP
    5. FIRST THRUST PATTERN FOR SWING TRADING
    6. CHAPTER CHECKLIST
  9. Chapter 3: Swinging Chart Patterns
    1. WHICH CHART PATTERNS WORK BEST FOR SWINGERS?
    2. TRADING THE HIGH AND TIGHT FLAG
    3. HTF TRADE IN INSTEEL INDUSTRIES
    4. FISHING FOR INVERTED AND ASCENDING SCALLOPS
    5. SCALLOP TRADING TIPS
    6. TWICE IS NICE: EVE & EVE DOUBLE BOTTOMS
    7. TRADING EVE & EVE
    8. TOP SEVEN FREQUENTLY TRADED CHART PATTERNS
    9. MY FAVORITE CHART PATTERNS
    10. SWINGING THROWBACKS AND PULLBACKS
    11. TRADING EXAMPLE
    12. CNO THROWBACK ENTRY
    13. MEASURING SWINGS
    14. FTO TRADE
    15. CHAPTER CHECKLIST
  10. Chapter 4: Swing Selling
    1. SELLING IDEAS
    2. TOP 20 CHART PATTERN PERFORMERS
    3. DIAMOND TOPS AND BOTTOMS
    4. COMPLEX HEAD-AND-SHOULDERS TOP
    5. THE EIGHT BEST EXIT SIGNS
    6. TEN FAVORITE SELL SIGNALS
    7. TRADING EXAMPLE: THE TERADYNE EXIT
    8. TRADING EXAMPLE: EXITING FOREST
    9. TRADING EXAMPLE: SWINGING CNO
    10. CHAPTER CHECKLIST
  11. Chapter 5: Event Pattern Setups
    1. COMMON STOCK OFFERINGS SETUP
    2. SURVIVING A DEAD-CAT BOUNCE
    3. THE INVERTED DEAD-CAT BOUNCE SETUP
    4. TRADING DUTCH AUCTION TENDER OFFERS
    5. EARNINGS SURPRISE SETUP
    6. EARNINGS FLAG SETUP
    7. STOCK UPGRADES AND DOWNGRADES
    8. STOCK SPLITS
    9. SETUP: TRADING REVERSE SPLITS
    10. CHAPTER CHECKLIST
  12. Chapter 6: Swinging Tools and Setups
    1. THE CHART PATTERN INDICATOR
    2. THE SWING RULE
    3. PUMP UP THE VOLUME OR NOT
    4. SELECTING WINNERS USING INDEX RELATIVE STRENGTH
    5. THREE SWING TRADING SETUPS
    6. TRADING SETUP: SIMPLE MOVING AVERAGE TESTS
    7. THE SMILE AND FROWN SETUP
    8. TRADING SMILES AND FROWNS
    9. SMILE AND FROWN TRADING TIPS
    10. CHAPTER CHECKLIST
  13. Chapter 7: Introduction to Day Trading
    1. WHAT IS DAY TRADING?
    2. WHY DAY TRADE?
    3. IS DAY TRADING FOR YOU?
    4. WHAT ARE THE PROBLEMS OF DAY TRADING?
    5. CHAPTER CHECKLIST
  14. Chapter 8: Day Trading Basics
    1. MANAGING EXPECTATIONS: HOW MUCH CAN YOU REALLY MAKE?
    2. BUILDING THE HOME OFFICE
    3. OFFICE SETUP COST
    4. PATTERN DAY TRADING RULES
    5. WASH SALE RULE
    6. EIGHT TIPS FOR PICKING STOCKS TO DAY TRADE
    7. PRICE REVERSAL TIMES REVEALED!
    8. WHAT TIME SETS INTRADAY HIGH AND LOW?
    9. INSIDE LEVEL II QUOTES
    10. HEARTBEAT OF THE MARKET: TIME-AND-SALES TICKER
    11. PRE-MARKET CHECKLIST
    12. AFTER-MARKET ANALYSIS
    13. CHAPTER CHECKLIST
  15. Chapter 9: Opening Gap Setup
    1. OPENING GAP TEST DATA
    2. SETUP: FADING THE OPENING GAP
    3. SAMPLE TRADE
    4. CHAPTER CHECKLIST
  16. Chapter 10: Day Trading Chart Patterns
    1. DAY TRADING DOUBLE TOPS
    2. DAY TRADING TRIPLE TOPS
    3. DAY TRADING SYMMETRICAL TRIANGLES
    4. DAY TRADING HEAD-AND-SHOULDERS TOPS
    5. DAY TRADING DOUBLE BOTTOMS
    6. DAY TRADING HEAD-AND-SHOULDERS BOTTOMS
    7. DAY TRADING TRIPLE BOTTOMS
    8. OTHER TRADING TIPS
    9. CHAPTER CHECKLIST
  17. Chapter 11: Opening Range Breakout
    1. WHAT IS BEST RANGE TIME?
    2. THE ORB SETUP
    3. DOES THE ORB SETUP WORK?
    4. CHAPTER CHECKLIST
  18. Chapter 12: Ten Horror Stories
    1. THIS IS A WINNER, MOM. BUY IT!
    2. THREE NEWSLETTER DISASTERS
    3. THREE OPTION AND WARRANT DISASTERS
    4. TWO MISSED OPPORTUNITIES
    5. THE $1 MILLION SURPRISE
  19. Chapter 13: Closing Position
  20. Chapter 14: What We Learned
  21. Visual Appendix of Chart Patterns
  22. Bibliography
    1. OTHER SITES OF INTEREST
  23. About the Author
  24. Index