I ended the month of July with some decent profits. Since there are still a lot of earnings coming out I am able to find some stocks to trade every day. My pnl has also been consistently green. In the past 18 days I had 1 losing day. I have been seeing good setups almost daily but instead of taking some larger share size, I am still hesitant.
I have switched back to trading off the 5 minute chart. I still don't have the patience to go with the 15. I try to focus on 1 stock at a time and get a feel for the tape before I enter a position. I also have been drawing trendlines and using a little chart patterns. These little things seem to be helping me gain some conviction in my trades.
When the earnings reports die down I will have to work harder to find my stocks. I think I am making money now because I have a good list of earnings stocks to trade. The key to making money each day is to trade the right stocks.
- I have been trading for 5 years. It took close to a year before I became profitable. I find that I am improving gradually each year. My method of choice is scalping. My edge lies in tape reading NYSE stocks and staying on the side of the specialist. That is the method I learned when I started. As I build up my capital I will try new styles and trade new markets. In late 2006 my trading hit a rough patch after the introduction of the NYSE Hybrid system. For most of 2007, I have been on a search for new strategies that would help me adapt to the market.