Keystone Trading Group

Keystone Trading
Keystone Trading


Importance of Higher Timeframes

Posted on 03/17/10 at 9:15am
Being day traders we are always focused on what is happening right now.  The mistake some traders make is focusing too much on level 2 and the 5 minute chart.  These traders who are focused on the shorter timeframes end up basically chasing momentum.  The bigger money in this market has been buying pullbacks in strong stocks.  Personally I have been working on this concept. 
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Consolidation Play

Posted on 03/15/10 at 5:38pm
As traders we are always looking for situations with great risk/reward setups.  When these setups present themselves it is your responsibility as a trader to “hammer” these setups and trade them with some size to take the most advantage of them.  Setups like the one in Las Vegas Sands(LVS) today should be stored in your memory bank so that the next time they present themselves in a stock you ma
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Being Persistent

Posted on 03/10/10 at 7:12pm
As I have discussed in previous posts the current market environment has not been offering many consistent opportunities.  Sometimes there is easy money to be made for about an hour or two each day.  Another characteristic of this market has been the increase in program trading, also known as algorithms.  These “algos” seem to take traders out of the best risk/reward setups.
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My favorite day trading set up

Posted on 03/05/10 at 2:16pm
One of our favorite plays is a weak stock closing strong. Tomorrow’s play is to sell short a failed test of the previous days high. This is a trade with terrific risk/reward. The existing order flow is selling pressure and the play is for it to resume.
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Being Prepared for the Open

Posted on 03/03/10 at 7:24pm
As anyone who has been trading this market recently can tell you there has been a lot of chop and very limited opportunities.  Most days the market goes into a range and the volume falls off.  But even with this lack off opportunities there is still periods of the day where there is money to be made.  As traders we need to be prepared for these money-making opportunities no matter when they bec
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What to do when markets are in a range??

Posted on 02/28/10 at 9:31pm
One of the benefits of working on a trading floor is being able to gauge the type of environment we are in on a day-to-day basis just by opening up my ears.  You can almost feel the energy when the market or even just a stock is giving away money.  And on the flip side you can feel the boredom and frustration when the market is providing nothing.  More and more lately I have been feeling this f
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Making Money When its Available

Posted on 02/23/10 at 7:02pm
As traders we are always looking for our edge.  Whether its 5 hours or 5 minutes we need to constantly be prepared.  This preparation starts in the morning with formulating a plan for the day.  What stocks on your list were weak/strong into the close?  What were the important levels from the previous day?  Where do you want to be involved?  All of these questions need to be answered before the
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