The Putts – Day Trade Plays

The Putt Play is some form of a Day Trade. I look for stocks that are having a Breakaway Gap, up on Strong Volume, or hanging around Support or Resistance. I also tend to look for set up’s in the stocks that I’m currently Swing Trading and positive in.

The set ups are fairly standard. I use a 30 minute chart and look for Narrow Range candles or Hammers (Shooting Stars) and play them in the direction of the trend.

I could elaborate on the whole issues but there are people how have already done a great job:

Ugly

Maoxian – and make sure to look at his Trading for Dummies

Estocastica

These guys have a ton of great information on the different styles out there.  I’m more concerned with the groups of stock you put your style to.

The Three Wood Shoot – A Smaller Term Break Out Play

This is a play where you find low volatility on the daily chart and have a clear direction already chosen on the weekly chart. This type of play could form in a number of ways such as aSmall Base or some form of a Triangle. Here is an example:

I still like to play this against my main lists – Tau Longs, Tau Shorts, Near All Time Highs, Near All Time Lows, and best and worst performing groups.

The downside to this play the bad ability for the market to head fake in the opposite direction first before making the true breakout.

AMD Short

Here is a Second Chance One Iron Play, or just a Trend Transition play. You can see that the play here is that the recent uptrend is going to transition into a downtrend.

This came from the weak industry group scan.

Another stock falling into the same type of play is SNDK.