dani face dani quote

What’s In My Toolbelt?

Hey 5-Star Trader, 

Adjusting to market conditions is a crucial part of every trader’s journey. While there are no “shortcuts” to make trading easier, there are certain steps you can take to leave yourself in a better position. One of those things is having a toolbelt you can trust. And because I am a self-taught trader, I know the importance of practical indicators, which is why I built a list of tools… most of which are free.

Below is a list of my tools in the order in which I would use them:

1) TrendStrength Candles

The first indicator I consult would be my TrendStrength Candles. I start here because indicative of its name, this tool alerts me of a shift in trend. It does this by consulting Fibonacci number series and moving averages. The color coated signals are easy to read and allows me to act quickly when a setup arrives.

2) The Squeeze

The next indicator I consult before solidifying a setup is the Squeeze. I am a fan of this tool for a variety of different reasons. First off, I like to recommend this tool because its free and readily available to everyone. Additionally, as a directional trader, I need to know if a ticker has a decent shot of moving, in one direction or another. Being able to identify a squeeze on a ticker is absolutely crucial for a momentum based trader like myself, so I never trade without the Squeeze.

3) The VZO

Not only do I need to know about trend shifts and squeeze, but I also need to see which direction it could potentially move. That’s why I combine the Trendstrength Candles and Squeeze with the volume zone oscillator (VZO). Volume is a great indicator as far as how funds and investors are piling into stocks. The VZO can measure how volume moves, and if it’s either oversold and bouncing or experiencing continual adds, this demonstrates positive momentum. Plus, this is another 100% free tool for anyone to use!

Once I’ve run a ticker through all three of my tools and they agree my duediligence is complete and I’m ready to get into my trade!

Interested in a more in-depth explanation of my toolbelt? Check out the replay of my webinar, where I walk through how these tools could be helpful for you.

Up Next...

Growth Stocks On The Move, How To Capitalize

Hey traders!  This week, I wanted to highlight analysis from my friend and well-respected colleague, Mary Ellen McGonagle! She primarily focuses on stocks with a 2-week to 9-month horizon depending on market conditions. She has some great tips on how to capitalize on the current uptrend taking place! Check out her guest newsletter below to … Read more

Read More

How to Day Trade the SPX Using Butterflies

For today’s Five Star episode, I wanted to highlight what my colleague and fantastic trader, Allison Ostrander has been up to. She has been crushing it in our Simpler Options trading room, and her own Mastery service, using day trading butterflies on the SPX. I’ve loved watching what she’s doing, especially because, as you know, … Read more

Read More

AMD: Earnings in Focus

FAANG Earnings is Through: Is the FAANGover Next? We made it through FAANG Earnings Week, and saw volatile, market moving reports from the likes of Amazon (AMZN), Apple (AAPL), and Microsoft (MSFT). However, these moves, while significant, need to demonstrate follow-through for more continuation to the upside. Whether or not we will actually get that, … Read more

Read More

Subscribe Today!

Want to walk the path to trading success together? Join Danielle’s “Five Star Trader” E-Letter for market insights, tips, tricks, and special bonuses.

Sign Up Now
all-as-seen-on-logos