Stock Trading using Price Action, Volume, Relative Volume, Supply/Demand Zones

smmtrader9

Newbie
4 1
Scan for stocks with price between $ 1 and $ 20 (Could be any price range of your choice. I currently use the specified range)
Scan on a daily basis (EOD) which stocks have high relative volume and stocks with a current volume of at least 500K or more ( 1M or more is better)
Wait for a pull back to the previous demand zone
Look for strong price action near this zone and a reward to risk ratio of 2:1 or more. (This is extremely important)
Use M / W, Head and Shoulders / Inverted Head and Shoulders, Strong engulfing patterns, and TL breaks etc when doing PA analysis.
Using FRESH and STRONG Demand and Supply zones gives trades with higher probability of success.
Use a stop loss (some folks use a mental stop loss)
Do not enter trades without PA confirmation.
Do not submit trades that execute at market open ( Markets could gap up and you could get a worse entry price on the BUY)
Do not be afraid to exit the trade for a small loss - it is part of trading.
CUT YOUR LOSSES - Extremely Important. Do not expect to be right 100% of the time.
Do not chase the price. Never... Let the price come to you. Wait for pull backs to S/R levels Or S/D zones before entering a trade.
Trade what you see and NOT what you think will happen.
Use Limit Orders

Trading / PA confirmation timeframe can range from 5 minutes to 1 hour or more. PA confirmation on higher timeframes gives trades with higher probability of success.

Constructive and respectful feed back is welcome. Please stay focused on learning and stay positive.

Charting software used (free): tradingview
Other software used( free): Google spreadsheets to gather the data related to ticket symbols and corresponding attributes like: price, current volume, average volume, eps, pe, relative volume (calculated) etc.
Basic knowledge of Excel will help with analysis and calculations.

Disclaimer: This is for informational purpose only and is not an investment advice. If you decide to take these trades, please do so on a demo account and understand why and how the ticker symbols, entry, stop loss, take profit etc are determined and practice first. I am not responsible for your gains or losses.
 
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smmtrader9

Newbie
4 1
Trade direction: BUY

Exchange: NASDAQ

Watch list: ( Updated and Refined)

Ticker--Date Identified--- Comments
ZKIN---11/25/2020----Entry price: 2.12, SL: 1.95, Move SL to BE: 2.29, TP: 2.63---------HIGH PROBABILIY
 
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