Day trading alerts correctly used will boost your trading efficiency. By using simple technical signals to news and general trade alerts, you may keep ahead of the rest of the market. This page will look specifically at what are day trading alerts used for and in which markets, including stocks, currency and futures. We will then break down the best day-trading alerts and how to use them to raise your profits.
What Are Day Trading Alerts?
You are faced, as an intraday trader, with a range of hurdles to conquer. How do you pick between a thousand different stocks? How do you respond to news releases in front of the rest of the market?
This is where alerts from day trading come in. Simply put, they warn you when there is a particular event. This occurrence may be an evolution of the market, technical indicators or hitting a price target.
Equipped with this knowledge, you can act or respond quickly, increasing your intraday profit chances. You may want to pay more attention to a specific stock, or you may be told that you need to enter or exit a trade.
You can get clear and free trading signals coming with your trading platform, and you can get additional, complex notifications coming at a price. The nature of your updates depends on your trading style and your individual needs.
However, in general, trading warnings can be divided into groups.
Every second counts as you plan to take advantage of the minor changes in the intraday market. And if an app can make you aware as soon as possible of important news updates, you can optimize the profits. This best news updates will also come with feedback and review to improve your trade decisions.
They will be focused on consideration of the technological aspects. Trading alerts can be created based on most common indicators including:
- Moving averages
- Exponential moving averages
- Bollinger bands
- Standard deviation
- Share (CFDs)
Most of the providers allow you to easily position and build alerts through charts. By combining many different measures, you can establish different conditions, too. And, for example, you might have momentum trading alerts that operate alongside moving averages.
Those allow you to respond to price fluctuations as they occur. They generate buy and sell signals instantaneously through all markets. Alternatively, some providers will allow you to select between price level alerts and price change alerts, which will automatically reset once activated.
Such live alerts also come with risk management advice to ensure that risks are held to a minimum, should the plan not work out.
For instance, if you think that markets will respond to particular economic events, such as non-farm payrolls, you can set up an alerts. Several platforms allow you to scroll through an economic calendar customized to your needs and then tick the activities you’d like to set reminders to. Usually they will allow you to decide how you would like to be informed, and how much notice you want.
As technology has advanced, successful intraday trading signals are now available for virtually every market. Automated signals can be used now for the following markets:
- Futures (e.g. gold & wheat)
- Stocks (e.g. Amazon & Google)
- Forex (e.g. GBP/USD & EUR/USD)
- Commodity (e.g. oil & natural gas)
- Binary options (e.g. forex/interest rates)
- ETFs (Exchange-traded funds)
- CFDs (Contracts for difference)
So, whatever market you dive into, you’ll be able to easily set up live trading alerts from Bats, Nasdaq, Dax and, NYSE.
Methods Of Receiving Alerts
On-Chart Trading Alerts
There are a variety of easy ways you can get your alerts. For example, you can register for alerts that pop up while you are actually in your web-based trading platform, say TradingView. They will normally make a sound to warn you that there has been an event of interest.
This incident may be something of a trend line or predictor violation. This approach is suitable in comparison to static statistics, for those involved in price action. For instance, if you drew a downward trend line, the alarm will be triggered at a different value at 11:00 am vs. 15:00 pm, simply as a result of the line’s downside. This means that your alerts will tell you two different things – the price as well as time.
You can also access software dedicated exclusively to providing skilled trading alerts. Additionally you can get updates from smartphone SMS’. This helps you to respond to important developments in the market even when you are on the move.
Twitter alerts are also a choice. That’s correct, you can keep up to date with Donald Trump and gain important trading details at the same time. You can set up email alerts and ingest data that way, if the aforementioned optionn isn’t for your fancy.
Technology now allows you to receive your updates in whatever form best suits your needs. For instance, an intraday trader who is glued to the screen all day can most benefit from updates on their web-based platform. A trader who trades part of the day while juggling other commitments may prefer to receive alerts via text message.
It’s all about finding the framework that suits your trading style and helps you to absorb and act as quickly as possible on the details.
Why Use Alerts?
Alerts deliver a range of useful advantages for the experienced trader:
- Offline – If you’ve been watching a stock during the day, you don’t want to miss out on an opportunity just because you’ve got to quickly nip out. Alerts can be sent straight to your smartphone or laptop, if you are not at your office – thus, keeping you in the know.
- Time – Instead of spending the whole day checking stocks and carrying out complicated calculations, you can program in your requirements and then get a price alert when it’s time to hit. This gives you more time to concentrate on other important trading sectors, such as risk management.
- Automation – Human traders, particularly when the stakes are high, may make mistakes. Some alert systems are now fully automated, relying on highly accurate calculations and eliminating the margin of human error.
- Speed – Instead of manually tracking the news, you can relax and let a device, tailor-made to your business, do the job. This means you can get updates for future events, recalls an hour before an incident happens, plus you can instant feedback when some news breaks out. The moment they are published, you can get macroeconomic figures, too.
- Simple to use – When applications are constantly evolving, updates can be obtained quicker and easier than ever. You will get alerts on your smartphone, on the website, and by email. So, whatever technique you use, from swing trading to reversals, you’ll find signals that can be set up straightforward.
- Information – You are now getting more comprehensive and appropriate information about your needs. You can be alerted to assets that display encouraging signs of volume, range and volatility. In addition, you can add multiple filters to block additional noise, rendering trade decisions straightforward.
How To Use Trading Alerts
Although using notifications is partly a matter of personal choice, there are some simple ways you can capitalize on them as well.
One of the benefits of trading alerts software is that by reducing market noise, it can streamline the decision-taking processes. This is especially useful for beginners, who may feel overwhelmed by market scanners, news pages, forums, and any other outlets they’re tuned into.
Alerts allow you to simplify the market, as you can configure your notifications to track stocks only once an alert occurs. This will keep you focused on streamlining your plan, rather than tracking any and all business activities.
You will eventually get to a point (with a bit of practice) where you can set your trade alarms the night before and only look at the asset during the day if an alarm is actually activated.
Entering & Exiting Trades
Head the portal of your brokerage and you can set specific price goal alerts and you will be made aware, for example, when a stock breaks out. How long it takes does not make a difference, or if the stock breaks out higher or lower – you automatically get an alert when it’s time to make the trade.
This will again free your schedule from constant supervision, allowing you the chance to focus on planning future trades.
Many people think alerts are only useful to tell you when to enter a position, but they can also be used to detect failures, something that most people ignore. If you’re not learning from your mistakes you’ll find yourself deep on the losing side.
How do you flag up errors using alerts? You set a main level alert, which, if reached, will make you pause and think carefully. Many traders might well think this is essentially just a stop level. But make good use of them and you can program them to alert you when you reach a stop level. You then have the chance and the time to respond.
You should check to see if the stop level is actually still valid, or is it just a shakedown. If it’s a shakedown you can give a little more wriggle room to your stop to elude the trap.
Best Trading Alerts & Software
There are a lot of day-trading alert systems are out there. Although some of the best ones have been collated below, which one you select will depend partly on your trades.
Honest Forex Signals
If you are searching for updates to the FX (forex) trading signal then this is a wonderful option. While not safe, you get a huge amount of easy and complex signals to choose from, coming in at $177 for a monthly subscription. All are easy to set up and user-friendly.
They do have a reputation for second-to-none client service. They are readily available, and almost instantly address any customer queries. So, if you’re looking for an app to improve your trade efficiency with forex trading alerts, this is a sensible option.
Trade The News
If your approach is to use news alerts, then this option is worth considering. You receive breaking news, plus 24-hour instant analysis of the following issues straight to your ear:
- Fixed income
- Interest rates
- Central banker speak
- Energy news
- Natural disasters
- Geopolitical developments
Besides the audio broadcasts, the text platform of the NewsStation is where you can find clear and thorough analysis during breaking announcements. If you’re looking for a system that will make sure that you’re one of the first to learn new developments, then that’s a smart option.
Real-time Stocks Tracker
If searching for FTSE updates, this is one of the best possible choices. This detailed app provides you with real-time alerts about stock options, news, events, earnings, plus signal scans. If this is not enough, you can build numerous watch lists, stream quotes in real time, and gain interactive charts with more than fifty technical indicators.
The only downside is that they are actually only available for iOS devices in the App Store. However, an Android-based version can well-emerge as popularity and demand rise. Nonetheless, it remains one of the best methods to receive stock updates from day trading.
Although these are three of the most common options, the following are some other options worth considering:
- Insider trading
- Monster trading
- C squared
- FXCM trading station
Can You Profit From Trading Alert Services?
While alert service providers promise you huge profits, some downsides remain to remain aware of. First, note that while many advantages are provided by trading signals and alerts, they do not substitute expertise and without an effective strategy they do not work.
Second, you have to take the slippage into account. There’ll always be a lag between the warning and your ability to enter or exit a trade, and every second and tick counts while you’re intraday trading.
So, before you sign up for the ‘latest and greatest’ alerts program, there are some questions to ask: What’s the actual substance of the trade alert? Is it going to include information like entry price, stop loss and price target? Finally, how many other subscribers are signed up to the same pre-determined updates? If it’s too many, you can find yourself part, and not ahead, of a trend.