Day Trading Strategies

Delivered online

1.5-3 hours

Course description

Day trading involves buying and selling securities throughout the day to profit from the volatility of the market. All positions or securities are closed before the end of trading for the day to avoid an overnight risk or negative pricing between one day’s closing price and the next day’s opening price. For day trading to be consistently profitable, you will need to have a trading strategy and this course will teach you the day trading basics along with the strategies and techniques to make your trades successful. In the opening section, you will be introduced to all that is included in this comprehensive free day trading course along with the advantages and disadvantages of day trading. The key factors that can influence your trading, the type of strategy to adopt, and how to know if a trade is profitable or not as well as the concept of backtesting, its types, advantages, and disadvantages will be covered in the next section. This is followed by the opening range trading strategy, procedures on how and when to initiate a buy or sell position during day trading and when to place a stop loss for a long or short position just below or above the opening range, and how to backtest the Opening Range Trading Strategy will be explained. Thereafter, you will be trained on how to modify an existing Opening Range Strategy to see if it works better and backtesting this modified strategy in terms of performance.

Next, you will be introduced to the Narrow Range Strategy and the candle system – the idea behind this strategy is to identify a candle of narrower range and compare it with the range of a specific number of candles preceding it in a 30 minutes chart. You will learn how to use the NR4/NR7 candles, when to initiate a buy or short position if the prices break after 30 minutes, and how to calculate the range of the candle for day trading. Some other important themes covered in this part of the course includes day trading entry and exit strategies using the NR4/NR7 candles, backtesting the Narrow Range Strategy, modifying the Narrow Range Strategy by adding a filter of exponential moving averages and when to buy, sell, or exit using this modified version. Live trading using various strategies as well as how to use the bracket order to fulfil trades concludes this section of the day trading course. The next strategy discussed in this course is the Extreme Directionless Candle (EDC) Strategy and the idea behind this strategy is to identify inter-day market situations which point to extreme directionlessness in the market. Included in this strategy discussion is how to capture a small inter-day directional move, the two indicators of the EDC strategy, how to set these indicators, and the rules governing the strategy. The final part of the course explores the Complex Strategy which is based on the NR4 Candle and the Inside Bar Pattern. The differences between the NR4 candle and the inside bar will be highlighted in this section which leads into The Complete Trading Strategy. You will learn how to initiate a buy or sell trade using this strategy, and some examples of the NR4 Inside Bar and live trading will also be considered. Monday management in day trading, setting your trading capital, and the considerations for risking capital concludes this in-depth day trading guide.

By the end of this course, you should have a good understanding of some valuable day trading strategies, how to manually backtest them, how to avoid some of the common pitfalls made by many modern-day traders, along with many other practical tips on the benefits of day trading. You should enrol if you have an interest in online trading and want to get the most out of your trades or are a finance student or professional wanting to explore the world of online trading with a specific emphasis on day trading.

By the end of this course, you will be able to:

  • Discuss money management in day trading
  • Differentiate between an NR4 Candle and the Inside Bar Pattern
  • List the types of day trading strategies in the market
  • Explain how to set your trading capital and how much to risk on each trade
  • Discuss how to perform live trading using both the Narrow
  • Range and Opening Range Strategies
  • Indicate when to buy or sell securities in an open day trading
  • Identify the indicators of the EDC Strategy