Day Trading on TOS Orange County Traders Group 2 October 2010 by Russ Cleveland

Objective To share my day trading routine trading stocks on the thinkorswim (TOS) platform using the basics on TOS focus on grid/chart set-ups; not on trading strategies trading stocks only

Presentation Outline 4-Grid Trading Platform Pre-market Preparation The Trading Day TOS Continuing Education & Training

4-Grid Trading Platform Grid 1: Stock ABC, intra-day, 5-minute, Candle, Person Pivots, PPS, William%R, Volume Average Grid 2: Stock ABC, intra-day, 5-minute, Heikin Ashi Candle, Acceleration Bands, PPS, MACD, Stochastics Grid 3: Stock ABC, Daily, 3 or 6 months, Heikin Ashi Candle, 20, 50, 200 SMAs, PPS, MACD, Stochastics, Volume Average Grid 4: /ESxx, Intra-day, 5-minute, Heikin Ashi Candle, TOS Pivot Points, Acceleration Bands, PPS, William%R, Volume Average (Note: will change studies and time frames)

4-Grid Trading Platform

Pre-Market Preparation Determine possible market sentiment (Season Annual Trends and Flexible Grid Charts). Check the Futures (/ESxx) to find out where market is likely to open. Check stock extended hours activity. Prepare charts of stocks you are trading or may likely to trade – your watchlist. Review stocks being carried forward from the previous day and adjust exit plan if necessary (adjust stops and/or limits). Log-in to the Shadowtrader at 6:15 AM to hear his market outlook for the day and compare to your market sentiment.

Annual Seasonal Trends

Flexible Grid Charts No picture available on TOS Platform of Flexible Grid Set-up flexible grid charts at least 6-month daily charts: $DJI SPX /NQ RUT /Esxx Use Flexible Grid Charts to monitor market sentiment on a daily basis.

E-mini S&P 500 Futures /ESxx

Stock: Extended Hours Prior to the trade session opening, check stock to see what it has done during extended hours trading to determine if adjustments to sell limit or stops are needed. Go to the stock Intraday 5-minute chart, go to Style, check white box “ Show Extended Session”.

Stock Checklist Trend Support / Resistance Momentum (Indicators) Volume What about Price Patterns ??? (Personally TBD; may vary in ranking according to price pattern and individual trade.)

The Trading Day Selective trading: 6:30-8:30 AM; 10:30 AM-1:00PM Strong Stocks vs. Weak Stocks Strong Sectors (TOS: MarketWatch to TOS Index Watch pulldown to ShadowTrader Core Sectors) Under-the-Hood (for more info go to the shadowrader’s website and review in the education archive section: How to Interpret Market Internals – Part 1 & 2
How to Set Up Market Internals : http://www.shadowtrader.net/educationArchive.shtml 6 Grid Trades & Watchlists (Set-up several) Inverse Stocks

Strong Stocks vs. Weak Stocks (Click on Net Change)

Sector Activity (MarketWatch toTOS Index Watch to Shadowtrader Core Sectors)

Under-the-Hood ($UVOL-$DVOL, $ADVN-$DECN, $TICK, add XLF, UUP, $DJI, VIX, EDZ)

“The Breadth is King” ($UVOL-$DVOL)

Advance Decline ($ADVN-$DECN) No picture go to TOS Platform

Tick ($Tick) No picture go to TOS Platform

6-Grid Trades & Watchlist BIDU, CME, AAPL,ISRG, GOOG, NFLX

Inverse Watchlist (EDZ, DXD, FAZ, TLT)

TOS Continuing Education & Training The Shadow Trader: Daily 6:15 AM – 1:05 PM (TOS: Support/Chat to Chat Rooms to Shadow Trader + Watch) Wall Street Weekly Wrap-Up: 1:30 PM Friday (TOS: Support/Chat to Chat Rooms to Market Cast + Watch) TOS “Weekly Training” with Tom Sosnoff, TOS staff and guest experts: Wednesday 1:10 PM - learn trading TOS platform, studies, different expert methods, etc. (TOS: LIVE = Support/Chat to Chat Rooms to Trader Lounge; For archives = Support/Chat to Seminars) Local Workshops: Watch for workshops to the local area Checkout Chat Rooms: David Elliott, Prodigio…

Summary This summary will sound like a TOS commercial. Hopefully, you have found useful set-ups and ideas in this presentation for your trading. The TOS platform is a state-of-the-art, powerful trading platform. This presentation touched on only a small portion of its many, many features. TOS provides many FREE opportunities for further trading education and platform training. TOS continues to upgrade its platform. I am a very satisfied TOS trader!!!