Day Trading - Long
What Does going “Long” mean?
If you buy a stock you have gone “Long” in that stock. If stocks are rising on the day it is better to go Long rather than Long.
Long = Buying a stock.
Positive day - Dow Jones Industrial Average &
NASDAQ COMPOSIT are both Positive as are the futures.
How To Play Stocks Long
The candlesticks for the stock below show a upward trend for the time frame being viewed and played. Typically day traders wait until the trending stock pulls back to the moving averages and then shows signs that it will continue to go up (Confitmation). There is no play below until They Doji comes in and shows sellers have gone.
Trading Psychology Upward Trend
1. Never go Long if the stock is at the high of the day unless you are sure it is going to continue to rise.
Wait for a pull back and then jump in. This is a safer way of trading as a stock that is rising on a positive day is likely to continue to rise especially after a pullback. These are the type of plays you want.
2. Never go Long on the low of the day especially on a negative day.
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