You can use screeners in different ways to find stocks that fit your trade needs. For example, you can find stocks that much experience a lot of price volatility on high deal bulk ; ones that are likely to be fickle and highly traded on a particular day ; or ones that are showing volatility during a certain fourth dimension of day .
- High-volatility stocks are popular with day traders because they offer the opportunity to make money in a matter of hours, minutes, or seconds.
- You can find regularly volatile stocks by using a stock screener such as StockFetcher to help you search.
- You can also do some research in the middle of the trading session to find the stocks that are moving the most that day.
Searching for Regularly Volatile Stocks
To search for stocks that routinely display high volatility and heavy trade volumes, go to StockFetcher or another screener of your choice. If you ‘re on StockFetcher, click “ New Filter ” and imitate and spread the pursuit lines into the pale-yellow area :
Show stocks where the average day range (50) is above 5%
and price is between $10 and $100
and average volume (30) is greater than 4000000
add column average volume (30)
add column average day range (50)
once you have entered in each line, click “ fetch Stocks ! ” to get your results. You can see the first five stock certificate results for free. The results will besides be delayed by a day. To see more than five results and access data from the most holocene trade day, you must pay for a subscription .
Those criteria will generate a list of stocks that :
- Typically move more than 5% per day, based on a 50-day average; you can use any time frame you want, but a 50-day average or more will help you find stocks that have moved significantly, and with regularity, over an extended time frame.
- Are priced between $10 and $100; you can alter those amounts to suit your preferences.
- Had average daily trading volume of more than 4 million during the past 30 days
- Are individual stocks, not leveraged ETFs
The “ add column ” commands enable you to see at a glance which stocks had the biggest average trading ranges and volumes .
Run that search on a stock screener each weekend. Pick two or three stocks from the number, and trade them for the week. Repeat the summons, and note your successes and failures. You can customize many aspects of your search, so adjust any of the criteria as needed to get a list of stocks that are well suited to your day-trading strategy or specifications .
Analyzing Stocks Daily
Another approach is to monitor for stocks that are likely to move significantly each day. You can do this by using a stock screener or by paying attention to news events such as earnings reports .
Finding day by day Opportunities With a Stock Screener
Look for stocks that were explosive during the prior deal school term or had the biggest share gains or losses. Add a volume trickle to make certain the stocks are desirable for sidereal day trade ; day traders broadly look for stocks that have at least one million shares traded casual .
For example, you can set up that search easily on FINVIZ, another free banal screener. Click the “ Screener ” tab key. Select “ Most Volatile, ” “ top Gainers, ” or “ top Losers ” from the “ Signal ” drop-down menu. The filter options should automatically display, but if they do n’t, click the arrow next to “ Filters. ” then, you can set the “ average book ” filter to more than 1 million ( “ Over 1M ” ). If you want to exclude ETFs, you can specify this in the “ Industry ” filter ( “ Stocks lone ( ex-Funds ) ” ). If you get excessively many results ( and you credibly will ), increase the average volume level to reduce the number of stocks in your list of results .
Earnings Calendars Offer Day-Trading Opportunities
away from using store screeners, you might besides want to check each morning to see whether any well-known stocks have earnings releases due out. Announcements about a company ‘s quarterly profits or losses often cause big price moves. Be prepared to trade a soon as the news is announced ; that ‘s when the most volatility occurs, and day traders can potentially capitalize on that volatility. Yahoo Finance ‘s earnings calendar lists the companies scheduled to release their fiscal results on any given day .
Both of these approaches will produce a meaning number of stocks. You ‘ll have to narrow down the tilt to a handful of stocks you can manage to watch ( and potentially trade ) that day.
Monitoring Intraday Volatility
Another day-trading method is to do some research in the middle of the trade session to find the stocks that are moving the most that day. You can do this by using excitability and peak gainers/top losers filters on stock screeners such as FINVIZ or TradingView. Most brokers and deal platforms will besides provide this data in substantial clock time .
determine for changes in the list throughout the day. If a stock opens down 10 % and stays there, it does n’t provide much opportunity for day traders. however, if a stock opens down 10 % then moves in one commission or the other, it may be deserving trade .
You can besides use standard screeners to check for stocks that are breaking through resistance levels or sending another technical foul trade sign. With a paid subscription, you can follow these intraday signals in real time .
frequently Asked Questions ( FAQs )
What stocks should you invest in when the U.S. market is volatile?
Investors who want to protect themselves from fickle or down-trending markets should emphasize strong fundamental investments. When a company has a potent remainder sail, consistent earnings, and a relevant business model, then short-run volatility should n’t be deoxyadenosine monophosphate much of a business .
During which months are stocks most volatile?
October is typically the most explosive calendar month of the year for the livestock market.
What are good moving averages to use with highly volatile stocks?
The best be active median for explosive stocks depends on your deal strategy. If you ‘re a day trader hoping to capitalize on western fence lizard changes, then you ‘ll want a shorter moving average that ‘s more sensible to the most late price carry through. If you ‘re trying to cut through the volatility and find well long-run investments during volatile times, you might want to use a longer motivate average that smooths out short-run volatility .