Jump to content

Welcome to the new Traders Laboratory! Please bear with us as we finish the migration over the next few days. If you find any issues, want to leave feedback, get in touch with us, or offer suggestions please post to the Support forum here.

  • Welcome Guests

    Welcome. You are currently viewing the forum as a guest which does not give you access to all the great features at Traders Laboratory such as interacting with members, access to all forums, downloading attachments, and eligibility to win free giveaways. Registration is fast, simple and absolutely free. Create a FREE Traders Laboratory account here.

brownsfan019

What are the types of daytraders?

Recommended Posts

In this thread, http://www.traderslaboratory.com/forums/f34/smaller-profits-yields-better-results-1869.html - I talk about taking 1.25 pts or 5 ticks out of the ES with regularity.

 

My question here is - what are the types of daytraders? I've often referred to myself as a daytrader, but that can mean many different things.

 

I think there's 3 distinct types of daytraders (those that only trade during RTH and hold no positions overnight):

 

1)
Daytrader
- takes a handful of trades during the day.

 

2)
Scalper
- takes more trades during the day, looking for smaller moves and many of them. Trades are in the ballpark of 100 trades per day.

 

3)
Hyper-Scalper
- this is the black box or trader that is basically taking 1-2 ticks all day. Trades are in the hundreds per day.

 

I posted this in the futures forum b/c that's all I trade and all I'm interested in for purposes of this discussion.

 

So what do you think, are there other types of daytraders? Would you add/delete to my list?

 

The only purpose behind this for me at least is to figure out what kind of trader I was, am and will become. It's nothing more than just classifying yourself as a type of daytrader. I'm just wondering what I should say if another trader asks what kind of trader I am. :D

Share this post


Link to post
Share on other sites

I think those are good classifications. I'm definitely a day trader. I like 1-2 trades a day. Anything more and I really start to feel frazzled and overextended.

Share this post


Link to post
Share on other sites

Brown, your clasification is about how many trades the trader takes, It obviously discounts the target of each trade...

 

You can have diferent combinations there : 3-4 trades with small targets could be scalper but 3-4 trades with large targets.... could be daytrader...

 

So kind of dificult to put a name to it... I asociate scalper with low targets, not necesarily large amount of trades... cheers Walter.

Share this post


Link to post
Share on other sites
Guest cooter

1)
Daytrader
- takes a handful of trades during the day.

 

2)
Scalper
- takes more trades during the day, looking for smaller moves and many of them. Trades are in the ballpark of 100 trades per day.

 

3)
Hyper-Scalper
- this is the black box or trader that is basically taking 1-2 ticks all day. Trades are in the hundreds per day.

 

a. I agree with the Daytrader description. Could be one, or several trades taken during RTH.

 

b. Your ballpark of 100 trades per day is off for your "Scalper" label. Dozens might be more like it.

 

c. I'd agree with your 100+ trades in the HyperScalper genre. If you're taking 1-2 ticks all day long, then you'd definitely need as low a commission as possible here (especially for black box auto trading).

Share this post


Link to post
Share on other sites
a. I agree with the Daytrader description. Could be one, or several trades taken during RTH.

 

b. Your ballpark of 100 trades per day is off for your "Scalper" label. Dozens might be more like it.

 

c. I'd agree with your 100+ trades in the HyperScalper genre. If you're taking 1-2 ticks all day long, then you'd definitely need as low a commission as possible here (especially for black box auto trading).

 

Coot - so what do you call the guy that trades more than dozens but less than hundreds? There's a gap there that needs classification.

Share this post


Link to post
Share on other sites
Guest cooter

Dozens is plural. One to eight dozen is under a hundred. :)

Share this post


Link to post
Share on other sites
Dozens is plural. One to eight dozen is under a hundred. :)

 

Ok, gotcha. We agreed even though I did not clearly specify the levels.

 

Daytrader: 1-12 trades per day

Scalper: 13-100 trades per day

Hyper Scalper - 101+ trades per day

 

That's assuming you quantify the classification based on the amount of trades being done. I think that's fair criteria and sounds like walter does not. No one is right, I was just wondering what everyone thought.

Share this post


Link to post
Share on other sites
Ok, gotcha. We agreed even though I did not clearly specify the levels.

 

Daytrader: 1-12 trades per day

Scalper: 13-100 trades per day

Hyper Scalper - 101+ trades per day

 

That's assuming you quantify the classification based on the amount of trades being done. I think that's fair criteria and sounds like walter does not. No one is right, I was just wondering what everyone thought.

 

 

If I make 7 small trades... I already consider myself scalper... its my case... because the span of the trade its really small I dont think I am using "daytraders" techniques at all... I deserve to be called a scalper even thought I dont make that "much" amount of trades....

Share this post


Link to post
Share on other sites

I guess I'm trying to be daytrader by these definitions, but with scalper leanings. I'm only looking for 1-4 trades the morning (it's all I have time for - some of us still have to work jobs we hate for a living), and the targets are usually fairly small (5 points on YM for instance).

Share this post


Link to post
Share on other sites
I guess I'm trying to be daytrader by these definitions, but with scalper leanings. I'm only looking for 1-4 trades the morning (it's all I have time for - some of us still have to work jobs we hate for a living), and the targets are usually fairly small (5 points on YM for instance).

 

Steph - Assuming you can work the 9:30am - Noon EST shift and going for +5 on the YM, you can crank out some major trades with the right methodology. I personally hate the YM, but I understand the attraction.

 

I would not rule out making some good trades and cash before you head to work. This morning yielded 29 trades for myself. That's not good or bad for you, I'm just suggesting that you don't limit your thinking and profit potential by simply saying that you only have 3 or so hours to work.

Share this post


Link to post
Share on other sites
Steph - Assuming you can work the 9:30am - Noon EST shift and going for +5 on the YM, you can crank out some major trades with the right methodology. I personally hate the YM, but I understand the attraction.

 

I would not rule out making some good trades and cash before you head to work. This morning yielded 29 trades for myself. That's not good or bad for you, I'm just suggesting that you don't limit your thinking and profit potential by simply saying that you only have 3 or so hours to work.

 

I've been having trouble with the YM and it's been really hit and miss for me (unfortunately more miss). Anything out there that doesn’t have wild swings?

I’d like to crank out a few major trades, but that all elusive “right methodology†is the key I haven’t been able to find yet.

 

I only have about an hour to find trades in the morning (starting 6:30 when cash markets open) before going to work. Although, I do have a lot of sick time accumulated…maybe I’ll call in and trade all day. :eek:

Share this post


Link to post
Share on other sites
I've been having trouble with the YM and it's been really hit and miss for me (unfortunately more miss). Anything out there that doesn’t have wild swings?

I’d like to crank out a few major trades, but that all elusive “right methodology†is the key I haven’t been able to find yet.

 

I only have about an hour to find trades in the morning (starting 6:30 when cash markets open) before going to work. Although, I do have a lot of sick time accumulated…maybe I’ll call in and trade all day. :eek:

 

steph : should you consider trading forex when you are relaxed at home ?

 

thanks to Don I am finding that forex works like a charm on "flips"... thats my 2 cents for you... cheers Walter.

Share this post


Link to post
Share on other sites
I've been having trouble with the YM and it's been really hit and miss for me (unfortunately more miss). Anything out there that doesn’t have wild swings?

I’d like to crank out a few major trades, but that all elusive “right methodology†is the key I haven’t been able to find yet.

 

I only have about an hour to find trades in the morning (starting 6:30 when cash markets open) before going to work. Although, I do have a lot of sick time accumulated…maybe I’ll call in and trade all day. :eek:

 

Steph - here's my opinion on the US e-mini indexes:

 

YM/ER2 - low volume, can see more 'spikey' type moves. I think there is a correlation between wild spikes and low volume.

 

NQ - Nice market to trade, decent volume, can get 'spikey' at times as well.

 

ES - The most liquid by far. I personally think that you don't see wild swings here b/c of the volume, which of course implies that the major players are here as well. That in turn leads to more 'smoother' looking charts in my opinion. I think you'll see certain levels respected much more on the ES than the other markets, if that's your cup of tea.

 

I should note that I use VOLUME BASED CHARTS and that has helped me tremendously. Sometimes the strategy you are trading might just work a tad better if the chart was presented differently. I like VBC's to help smooth things out a bit and it's a visual representation of volume being traded. Just an idea.

Share this post


Link to post
Share on other sites

Well, steph has limits and commitments so he has to work around that. I think if he puts on more pressure on himself by slacking off his obligations, his trading will show sooner or later. I learned that the hard way. Make your trading as comfortable as possible, slow as possible. Right mindset is the only way to trade profitably. If you have 3 hours, then use that time to trade (but don't rush it and trade because you have 3 hours to kill). Use the 3 hours wisely each day, even watching the market without trading is already useful toward your future trades.

 

Video recording is definitely the way to go in learning. This technology is extremely helpful, wish it's been around earlier. Not sure if anyone saw the erratic jump in the ER2 early in the morning when it was dropping to the new of the day 836 and jumped right back to 840 in matters of a few seconds. I haven't seen that time and sales movement like that in a long time. I was in a trade and recorded it. I had get out quick with a small profit but man, that was scary. I'm going to replay it this weekend to see what happened.

Share this post


Link to post
Share on other sites
Guest cooter
Make your trading as comfortable as possible, slow as possible. Right mindset is the only way to trade profitably.

 

Exactly.

 

If you don't have the stamina or wherewithal to sustain a steady pace for the entire RTH, then make an effort to take the best of the best when you are ready.

 

No need to unnecessarily push yourself to make trades just because.

 

Now before others contend that you should always take a trade when it appears before you, then I would say that you should do so only when you are mentally ready to do so.

 

A trader making trade when he or she is not in the right frame of mind is a recipe for failure and a sure way to a blown account. Sort of like trading when you're in the zone.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.


  • Topics

  • Posts

    • How's about other crypto exchanges? Are all they banned in your country or only Binance?
    • Be careful who you blame.   I can tell you one thing for sure.   Effective traders don’t blame others when things start to go wrong.   You can hang onto your tendency to play the victim, or the martyr… but if you want to achieve in trading, you have to be prepared to take responsibility.   People assign reasons to outcomes, whether based on internal or external factors.   When traders face losses, it's common for them to blame bad luck, poor advice, or other external factors, rather than reflecting on their own personal attributes like arrogance, fear, or greed.   This is a challenging lesson to grasp in your trading journey, but one that holds immense value.   This is called attribution theory. Taking responsibility for your actions is the key to improving your trading skills. Pause and ask yourself - What role did I play in my financial decisions?   After all, you were the one who listened to that source, and decided to act on that trade based on the rumour. Attributing results solely to external circumstances is what is known as having an ‘external locus of control’.   It's a concept coined by psychologist Julian Rotter in 1954. A trader with an external locus of control might say, "I made a profit because the markets are currently favourable."   Instead, strive to develop an "internal locus of control" and take ownership of your actions.   Assume that all trading results are within your realm of responsibility and actively seek ways to improve your own behaviour.   This is the fastest route to enhancing your trading abilities. A trader with an internal locus of control might proudly state, "My equity curve is rising because I am a disciplined trader who faithfully follows my trading plan." Author: Louise Bedford Source: https://www.tradinggame.com.au/
    • SELF IMPROVEMENT.   The whole self-help industry began when Dale Carnegie published How to Win Friends and Influence People in 1936. Then came other classics like Think And Grow Rich by Napoleon Hill, Awaken the Giant Within by Tony Robbins toward the end of the century.   Today, teaching people how to improve themselves is a business. A pure ruthless business where some people sell utter bullshit.   There are broke Instagrammers and YouTubers with literally no solid background teaching men how to be attractive to women, how to begin a start-up, how to become successful — most of these guys speaking nothing more than hollow motivational words and cliche stuff. They waste your time. Some of these people who present themselves as hugely successful also give talks and write books.   There are so many books on financial advice, self-improvement, love, etc and some people actually try to read them. They are a waste of time, mostly.   When you start reading a dozen books on finance you realize that they all say the same stuff.   You are not going to live forever in the learning phase. Don't procrastinate by reading bull-shit or the same good knowledge in 10 books. What we ought to do is choose wisely.   Yes. A good book can change your life, given you do what it asks you to do.   All the books I have named up to now are worthy of reading. Tim Ferriss, Simon Sinek, Robert Greene — these guys are worthy of reading. These guys teach what others don't. Their books are unique and actually, come from relevant and successful people.   When Richard Branson writes a book about entrepreneurship, go read it. Every line in that book is said by one of the greatest entrepreneurs of our time.   When a Chinese millionaire( he claims to be) Youtuber who releases a video titled “Why reading books keeps you broke” and a year later another one “My recommendation of books for grand success” you should be wise to tell him to jump from Victoria Falls.   These self-improvement gurus sell you delusions.   They say they have those little tricks that only they know that if you use, everything in your life will be perfect. Those little tricks. We are just “making of a to-do-list before sleeping” away from becoming the next Bill Gates.   There are no little tricks.   There is no success-mantra.   Self-improvement is a trap for 99% of the people. You can't do that unless you are very, very strong.   If you are looking for easy ways, you will only keep wasting your time forgetting that your time on this planet is limited, as alive humans that is.   Also, I feel that people who claim to read like a book a day or promote it are idiots. You retain nothing. When you do read a good book, you read slow, sometimes a whole paragraph, again and again, dwelling on it, trying to internalize its knowledge. You try to understand. You think. It takes time.   It's better to read a good book 10 times than 1000 stupid ones.   So be choosy. Read from the guys who actually know something, not some wannabe ‘influencers’.   Edit: Think And Grow Rich was written as a result of a project assigned to Napoleon Hill by Andrew Carnegie(the 2nd richest man in recent history). He was asked to study the most successful people on the planet and document which characteristics made them great. He did extensive work in studying hundreds of the most successful people of that time. The result was that little book.   Nowadays some people just study Instagram algorithms and think of themselves as a Dale Carnegie or Anthony Robbins. By Nupur Nishant, Quora Profits from free accurate cryptos signals: https://www.predictmag.com/    
    • there is no avoiding loses to be honest, its just how the market is. you win some and hopefully more, but u do lose some. 
    • $CSCO Cisco Systems stock, nice top of range breakout, from Stocks to Watch at https://stockconsultant.com/?CSCOSEPN Septerna stock watch for a bottom breakout, good upside price gap
×
×
  • Create New...

Important Information

By using this site, you agree to our Terms of Use.