Choosing What to Trade

One lesson I learned from Charles Kirk is to always play (on the long side) the strongest instrument available and never settle for less.

I have been focusing on day trading rather than swing trading (which I usually do) and want to take advantage of the volatility in the indexes within the trading range we are stuck in since November.

I have been using the Advancers – Decliners along with the Tick to choose whether I play the Q’s, SPY or the Russel small caps IWM. Notice in the charts below the Zero line and where the indicators are. I also like to plot a 10 or a 20 MA to make it easier to visualize. Today the choice is the SPY as the strongest instrument to play to the upside.

About Stock Trade Journal

The information in this blog is not investment advice. Please consult a financial advisor before investing. I have been trading stock since the 1990's and survived the .com crash. I am developing software applications to help me trade better and now I am making them available to help other traders. This blog is also a way to share my experiences and observations in the market.
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