Great posts and thanks.
One of the things the prop firm I'm considering teaches is how to use Level 2 data in making decisions. For that reason, I started looking on my own to see what I could find.
It seems it's a lost art due to the changes in how markets work today. Beyond telling if a stock is thin at the time of the scalp, I'm not sure how much can be trusted on the Level 2 screen. From my reading and research it seems the Time/Sales may be far more important to watch as it shows actual sales.
I've yet to find any book that really helps with Day Trading. In fact, the best books I've read on trading in general are William O'Neil's book(s) and Reminisces of a Stock Speculator neither of which were written for scalpers.
The lessons about stocks making new Highs tend to go higher and making new Lows tend to go lower is the grand lesson that I use when scalping and refining that principle has done me more good than watching the MAs, the Oscillators and all the rest of it combined. Well, that and minimizing losses of course.
I used to put so many indicators on my chart. Now, I feel more comfortable with just price action. I do look at Time/Sales, L2 but mainly to verify the stock isn't too thin. I have no way, at least not yet, to use it for anything beyond that. I do watch other things outside of the chart like market direction for example but nothing seems a better indicator for that beloved .20 move than price action itself.
The prop firm I'm considering has given me free access to some of their educational videos and it has really helped me refine my approach. Yet Level2, Time/Sales is still a mystery. Maybe it's not the holy grail I thought it was and wanted it to be.
Thanks for the input.
One of the things the prop firm I'm considering teaches is how to use Level 2 data in making decisions. For that reason, I started looking on my own to see what I could find.
It seems it's a lost art due to the changes in how markets work today. Beyond telling if a stock is thin at the time of the scalp, I'm not sure how much can be trusted on the Level 2 screen. From my reading and research it seems the Time/Sales may be far more important to watch as it shows actual sales.
I've yet to find any book that really helps with Day Trading. In fact, the best books I've read on trading in general are William O'Neil's book(s) and Reminisces of a Stock Speculator neither of which were written for scalpers.
The lessons about stocks making new Highs tend to go higher and making new Lows tend to go lower is the grand lesson that I use when scalping and refining that principle has done me more good than watching the MAs, the Oscillators and all the rest of it combined. Well, that and minimizing losses of course.
I used to put so many indicators on my chart. Now, I feel more comfortable with just price action. I do look at Time/Sales, L2 but mainly to verify the stock isn't too thin. I have no way, at least not yet, to use it for anything beyond that. I do watch other things outside of the chart like market direction for example but nothing seems a better indicator for that beloved .20 move than price action itself.
The prop firm I'm considering has given me free access to some of their educational videos and it has really helped me refine my approach. Yet Level2, Time/Sales is still a mystery. Maybe it's not the holy grail I thought it was and wanted it to be.
Thanks for the input.