Trying a new process here for those who like to trade in larger cap stocks with price per share above $10. We all know that institutions and large hedge funds don't bother and are restricted from trading in stocks less than $10. They cannot most certainly touch stocks less than $5. For this reason, I am trying a new strategy and that is trading stocks with price per share larger than $10. Not only does this ensure large players are active, it also improves volatility and limits possible losses. Instead of focusing on percent profit, the idea here is to focus on profit expressed in cents. I plan to take small positions in the 50-200 shares. Let's say I trade 100 shares, with a profit target of $0.3 for example, that gives a total profit per trade of $30. Using this strategy will help me build a small account in limited risk increments until the account is large enough to start taking riskier trades. As I mentioned, I am planning on starting two challenges at the same time, one focusing on a small account of $1500 with a 6:1 leverage and another with a funded account having a buying power of $14,000.
With these two challenges, I plan to use this large cap (>$10 stocks) approach.
So for this coming week, here are the stocks that I will be watching.
$BUFF $LTRPA $TRIP $CRSP $NEFF $EPAY $CWH $VSTO $MYGN $ERI $CAG $GIS
I also have several short candidates, but will post those on StockTwits as they trigger. I hope you find this list useful.