Trading Liquid ETFs for Full-Time Profits
Tim: Hello everybody and welcome back to TraderInterviews.com. I'm Tim Bourquin and today, I'm going to be speaking with Chris and he is a short-term trader. We're going to talk to him about his analysis of the markets and how he finds good opportunities each day. So, Chris, thanks for joining me on Skype today.
Chris: Thanks for having me, Tim.
Tim: All right. So what kind trader are you, a day trader, a swing trader and then what markets do you like to trade?
Chris: Okay. My main focus is mostly swing trading. I like to catch plays that last anywhere from 3 to 30 days, but you will catch me doing a lot of swing trades throughout the week. If I see some type of setup on an intraday basis, that, is crème of the crop, I'll jump in there and take a quick play. But my main focus is mostly swing trading and trying to catch just momentum shifts in the market from either, an uptrend to a downtrend and oversold balance or overbought condition. I like to pull the trigger out during those extremes. So usually, I play ETFs and I just catch swings in the market. I don't really go too much for intraday kind of noise.
Tim: Okay. And what do those momentum shifts look like on a chart? What does overbought and oversold mean to you?
Chris: Yeah. I use a lot of different indicators that have kind of created over the time. And more or less, it's usually an extended run in either a stock, a commodity, or a currency and it's an over extended run depending on the timeframe you're looking on. So if you say look at the daily chart, if you kind of zoom out, a year or two, you can just see what a normal wave length is. Just by looking at the chart, you can say well, you know what, it's done that move many times before, and then you start zooming into the smaller timeframes and you actually see either...
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