I know that day trading involves more than just simplifying buying and selling stocks.

I'm very new to stock trading, but I was wondering if there is real time software that could do the following on the NYSE and TSE.

Say there is a sudden surge in purchase volume for a stock, and the value increases by a small margin e.g. 1/4 percent page. I would then set a trigger to purchase the stock, and once it increases by another 1/4 % then I would sell the stock. If it was to fall more than 1/2 % then I would sell also to cut my loss.

Also, what websites will show you the current biggest daily gainers? (real time)

  • 4
    So you would risk 0.5% to make 0.25%? In other words you are taking double the risk of your targeted profit target. That means you would need to be right at least 67% of the time just to break even (and that is without taking brokerage commissions into account). To make money in trading your wins should be larger than your losses. Look up Expectancy and read some of Van Tharps work. – Victor May 27 '15 at 14:10
  • 2
    @Victor great point, I was kind of just giving an example but the fact that my example was risky it shows I need to learn allot. I'll read up thanks. – cool breeze May 27 '15 at 14:34
  • What stock markets do you want to trade on? – Alex B May 27 '15 at 15:21
  • @AlexB NYSE and TSE. – cool breeze May 27 '15 at 15:43
  • 1
    @coolbreeze - a better method would be to go long on a break out above a resistance level on say a 5 minute chart, place your stop loss just below the low of that bar. If the next 5 minute bar moves up you move your stop loss to just below the low of that bar. You continue this until you eventually get stopped out when the price goes below the low of the previous bar. You may get some small losses and some small gains if the market is going sideways, but if it has a move up you'll make a good larger gain. The key is to get your position sizing right so as not to risk too much on any one trade. – Victor May 28 '15 at 7:32

I'm answering in a perspective of an End-User within the United Kingdom.

Most stockbrokers won't provide Real-time information without 'Level 2' access, however this comes free for most who trade over a certain threshold. If you're like me, who trade within their ISA Holding each year, you need to look elsewhere.

I personally use IG.com. They've recently began a stockbroking service, whereas this comes with realtime information etc with a paid account without any 'threshold'. Additionally, you may want to look into CFDs/Spreadbets as these, won't include the heavy 'fees' and tax liabilities that trading with stocks may bring.

  • also margin accounts usually give you live market data for free – MD-Tech May 27 '15 at 14:44

Note that the pros pay for extremely fast access and are literally fighting over nanoseconds to get every possible advantage. Your system won't come close to that by several orders of magnitude. Consider the implications for the kinds of automated trading you want to perform.

(Pico was overstating it. Nano, at the processor level and in terms of which transaction is first into the buffers, is certainly true. A millisecond is a Long Time in this domain.)

  • Wow, are you being sarcastic or it is really at the picosecond level? For a "hobby" trader, what options are there and what price point ranges are we talking about? – cool breeze May 27 '15 at 16:30
  • Light travels only 0.3 mm in one picosecond. They are certainly fighting over milliseconds, possibly (a large number of) nanoseconds. Not picoseconds, though. – ChrisInEdmonton May 27 '15 at 17:23
  • @coolbreeze, check out Flash Boys. The cost for access to MIDAS high speed system (not sure if that's what appeared in Flash Boys) was $2.5 million up front, plus recurring fees: blog.themistrading.com/2014/04/… – ChrisInEdmonton May 27 '15 at 17:26
  • 1
    @keshlam - mind the language, but that is a whole lot of crap, this has very little to do with how successful one will be with trading. If that was the case every time I placed a stop buy order or stop loss order I would be gapped up or down, but instead my orders get executed right on my stops 95% of the time with the 5% gaps occurring mostly at the market open. This is just an excuse used by people who don't trade and don't understand trading of why you can't succeed in it. People fail in trading because they don't plan and don't use position sizing and risk management properly. – Victor May 28 '15 at 21:26
  • 1
    @keshlam - he is asking for software with real time data and that show biggest daily gainers, and he is also very inexperienced. I don't think he is asking anything of what you are talking about. Many broker trading platforms will have what he is asking about, you just have to be a regular trader or pay a monthly fee for it. – Victor May 28 '15 at 21:48

Not the answer you're looking for? Browse other questions tagged or ask your own question.