How Do You Find Which Stocks to Trade?

[b4gt 10]

How do you find which stock could be a nice candidate to trade? I am interested in swing trading. So far I only take long positions and my method is simple. I see everyday a list of stocks and pick these which advanced most from the day before. Then I review their charts and if they look as good entries I put the order.

 

So far this method hasn't rewarded much. Since I am still a noob there are more factors involved that just picking the wrong stock. Anyway still I feel that I just pick them by throwing darts and I believe there must be a better way.

 

So I would like to know how it should be done. Maybe some type of scanner in metastock. Or maybe one exclusive list of stocks which should be reviewed everyday. Something else?

Edited May 27, 2009 by b4gt

[Spydertrader 10]

How do you find which stock could be a nice candidate to trade?

 

See this post.

 

- Spydertrader

[b4gt 10]

Thank you. That post is a nice bookmark material.

[brownsfan019 17]

Check this post and find any posts by thales that you can find.

[Eiger 10]

How do you find which stock could be a nice candidate to trade?

 

The Investors Business Daily IBD 100 and IBD 200 lists are good momentum stocks that are excellent candidates for long swing trading. Read Bill O'Neil's book on trading stocks via the CANSLIM method. I forget the name of the book, but the method he uses to select stocks is a very sound one. This is the basis of the IBD lists.