A period of range contraction in established trend is followed by range expansion. The range expansion often is followed by 3 to 5 days of follow through in the direction of range expansion.
To find these range expansion you can run any basic range expansion scan and you will have many candidates to swing trade on daily basis. Another way to do that is to identify range contraction zones in established trend. Then anticipate a range expansion and enter in anticipation or just as it is having a breakout.
I use a combination of both approach to find swing trades.
Let us look at RAIL which is showing up in swing trading scans today. It had a range and volume expansion today.
As you can see it ended up 5% today and prior to today had orderly 10 days consolidation. These are the kind of setups I look for both anticipation and breakout buy.
If you look at RAIL as of yesterday it was setting up for a range expansion. To find these kind of anticipation setups you can use the process I detailed some days ago. RAIL is thinly traded stock and has low float. That kind of stocks tend to make explosive moves.
Like RAIL you will find around 20setups today showing up in scans.
KANG
MKTX
TSRO
AMPH
ISIS
KERX
RAIL
OFIX
TNXP
ACAD
RGP
NDAQ
SCLN
CSTE
OSUR
RTIX
TCPC
WRES
AXAS
CPRX
HRG
TXN (short setup )
These kind of setups are bread and butter strategy for swing traders like me and many others. They offer steady stream of opportunities on regular basis to capture 3 to 5 days move.
To trade these kind of moves you need to be well set to find and exploit them. If you are serious about making money trading these kind of moves setting daily process for finding these kind of moves is first step.
To find these range expansion you can run any basic range expansion scan and you will have many candidates to swing trade on daily basis. Another way to do that is to identify range contraction zones in established trend. Then anticipate a range expansion and enter in anticipation or just as it is having a breakout.
I use a combination of both approach to find swing trades.
Let us look at RAIL which is showing up in swing trading scans today. It had a range and volume expansion today.
As you can see it ended up 5% today and prior to today had orderly 10 days consolidation. These are the kind of setups I look for both anticipation and breakout buy.
If you look at RAIL as of yesterday it was setting up for a range expansion. To find these kind of anticipation setups you can use the process I detailed some days ago. RAIL is thinly traded stock and has low float. That kind of stocks tend to make explosive moves.
Like RAIL you will find around 20setups today showing up in scans.
KANG
MKTX
TSRO
AMPH
ISIS
KERX
RAIL
OFIX
TNXP
ACAD
RGP
NDAQ
SCLN
CSTE
OSUR
RTIX
TCPC
WRES
AXAS
CPRX
HRG
TXN (short setup )
These kind of setups are bread and butter strategy for swing traders like me and many others. They offer steady stream of opportunities on regular basis to capture 3 to 5 days move.
To trade these kind of moves you need to be well set to find and exploit them. If you are serious about making money trading these kind of moves setting daily process for finding these kind of moves is first step.
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