⚡ Day Trading Strategy: Key Points
Goal: Profit from short-term price movements within the same day.
Timeframe: Trades typically last from minutes to a few hours — no positions held overnight.
Tools Used:
Technical analysis (candlestick patterns, RSI, MACD, moving averages)
Chart timeframes: 1min, 5min, 15min, 1hr
Volume and volatility indicators
Common Strategies:
Scalping: Quick, small gains from micro price moves
Breakout trading: Entering trades when price breaks key support/resistance
Trend following: Riding short-term price trends
Risk Management:
Set tight stop-losses and take-profit targets
Limit position size (e.g. 1-3% of capital per trade)
Stick to a daily loss limit to avoid overtrading
Best for: Traders with time to monitor charts closely and react quickly to price action