TRADINGSIM DAY TRADING BLOG

Welcome to the Tradingsim Blog.  Please browse the various trading categories which cover everything from trading psychology to chart patterns.  Another great resource we offer is our trading simulator which allows you to practice placing trades against real historical tick data.

5 Examples of Keltner Channels versus Bollinger Bands

Keltner Channel Inputs

I am a self-proclaimed ATR fanatic, yet I have not explored Keltner Channels.  The Keltner Channel is a lagging on-chart indicator that uses a combination of exponential moving averages and the Average True Range (ATR) as inputs.  Unlike Bollinger Bands, which uses standard deviations to calculate the width of the channel, Keltner Channels uses the Read the full article →

5 Things Required to Swing Trade for a Living

Facebook Daily Chart

For those fans of the Tradingsim blog, you know that we focus heavily on day trading.  However, I want to take some time to start discussing swing trading, as some of our readers are unable to day trade due to the fact they are working during the day and other life constraints. To this point, Read the full article →

Best Day Trading Chart Patterns

Morning Consolidation

Don’t you just love the word “best” as it applies to anything in life?  Well, wait until we walk through the best chart patterns for day trading and you will see sometimes that the use of this adjective is applicable. As a trader, you are literally bombarded with hundreds, if not thousands of trade opportunities on Read the full article →

Top 4 Awesome Oscillator Day Trading Strategies

Awesome Oscillator

I don’t know about you, but what was Bill Williams thinking when he came up with the name awesome oscillator? With names floating around as complex and diverse as moving average convergence divergence and slow stochastics, I guess Bill was attempting to separate himself from the fray.  To learn more about the awesome oscillator from Read the full article →

5 Reasons I Use Stop Limit Orders to Enter Trades

Stop Limit Order

I exclusively use stop limit orders to enter day trades.  This is because I trade breakout strategies and I like to wait for the price to exceed the most recent high or low. In this article, I will cover the 5 Reasons stop limit orders have helped improve my trading.  Before we get into the Read the full article →

3 Strategies for How to Trade the Cup and Handle Pattern

Cup and Handle Chart

The cup and handle pattern is one of the oldest chart patterns you will find in technical analysis.  In my experience, it’s also one of the more reliable chart patterns, as it takes quite some time for the formation to setup.  In this article, I will cover 3 strategies for how to trade cup and Read the full article →

4 Strategies for How to Use the Volume Oscillator

Volume Oscillator and Choppy Markets

Fans of the Tradingsim blog know that I am big on volume.  Volume is probably one of the oldest off chart technical indicators you will find in technical analysis.  So, as I’m looking through the technical indicators I have been intrigued by the possible uses of the volume oscillator indicator. The volume oscillator displays the Read the full article →

Top 50 Day Trading Myths – Get the Facts

Top 50

In this article, we are going to cover the top 50 day trading myths that are floating around in the trading community.  This list will cover what I have learned during my 15+ years of trading experience.  Feel free to share with others, as I would have loved to come across a list like this Read the full article →

6 Reasons Not to Trade During the First 30 Minutes

Emotions

The first 30 minutes is the most volatile time in the equities market. As a new or even seasoned trader, you will gravitate to the first 30 minute slot like a moth to a flame. It really comes down to the level of action present in the market early in the day, which keeps us all Read the full article →

How to Measure Your Trading Performance

Trading Performance Graph

Trading performance is something that I have personally been studying for over 15 years.  It’s one of those topics that many traders either avoid or spend little time researching.  Most traders, simply think of performance in terms of dollars made and loss. The bottom-line in terms of dollars is always the ultimate score; however, along Read the full article →

5 Benefits of Day Trading without Margin

Options

As I say day trading without margin aloud, it is almost as if I am taking all the fun and excitement out of trading.  I would compare it to riding a super charged Harley with a helmet. The trading business tends to reward and revere those of us that have an ability to take on Read the full article →

5 Simple Steps for How to Day Trade Penny Stocks

List of Penny Stocks

Story Highlights Day trading penny stocks requires a methodical approach for locating and trading the best opportunities in the market Penny stocks are not like other securities in that their price movements can be quite volatile The use of Fibonacci extensions is a key tool for unlocking hidden support and resistance levels on the chart Read the full article →

8 Things to Consider when using Most Active Stocks Lists

Most Active Stock List

Most-Active-Lists Story Highlights Focus on high volume stocks trading on one index Avoid the urge to trade every high flying penny stock Have a plan for how you are going to trade the most active stocks in the market or the market will have a plan for you The key to placing winning day trades Read the full article →

How to Use the Average True Range Indicator

Average True Range

Average True Range Trading StrategiesHey, day traders this is Al Hill from Tradingsim.com. Let me just say off the bat that I’m a little under the weather but please do not let that give the indication that I am not excited about the video that I am going to talk through today. So, we are Read the full article →

6 Ways to Effectively Manage an All-in Trade

All-in Trade

In this article, I will be covering 6 steps for managing and preventing traders from taking all-in trades. Before I dig into the details of each step, let us first come to an understanding of what is an “all-in” trade. What is an all-in trade? The way I am framing “all-in” for this article, is Read the full article →

Day Trade, Swing Trade or Invest in Leveraged ETFs?

Pro Shares Ultra S&P500

In the true spirit of the Tradingsim blog, we will quickly cover the definition of leveraged ETFs, so we can dive into the details of whether you should day trade, swing trade or invest in leveraged ETFs. Background on Leveraged ETFs What are Leveraged ETFs? Leveraged ETFs are an investment vehicle that provide additional exposure Read the full article →

6 Reasons Day Trading While at Work is a Bad Idea

I totally get your motivation of day trading while at work. Odds are you are a logical person and fully understand the risk you are taking by even considering trading as a means of income. Naturally you say to yourself, “I have a job and are able to pay my bills, so why place my Read the full article →

5 Ways to Identify Blow Off Tops

IWM Breaking Down

In this article I will cover 5 ways to identify that a stock has had a blow off top. Because blow off tops are so violent, it’s best to allow the 5 events I will describe in this article to play out before jumping into the stock. At the end of this article you will Read the full article →

How to use the NYSE Summation Index as a Trading Guidepost

NYSE Summation Index

Why Care about the NYSE Summation Index Let me first start off by saying that this article will not cover the nuances of how the Summation Index was created, all the detailed math behind the equation or even exactly how it works. The purpose of this article is to dive into how to use the Read the full article →

5 Reasons Why Not to Overreact to the Death Cross

Death Cross

The death cross sounds so dramatic.  The death cross is when a short-term moving average crosses to the downside through a long-term moving average.  The most commonly used moving averages when assessing a death cross are the 50-day moving average and the 200-day moving average. After reading the above paragraph, that’s pretty much all you will find Read the full article →