Guerrilla trading is a short-term trading technique that aims to generate small, quick profits while taking on very little risk per trade.

Guerrilla trading is a short-term trading technique that aims to generate small, fast profits while also taking on very little risk per trade. Guerrilla trading is a short-term trading technique that aims to generate small, quick profits while taking on very little risk per trade
Guerrilla trades typically have a shorter duration than scalping or day trades and seldom last for a few minutes at the most. Because of its high trading volume and the expected small returns, guerrilla trading is most successful when there are low commissions and tight trading spreads. Guerrilla trading is a short-term trading technique that aims to generate small, fast profits while also taking on very little risk per trade. But these elevated levels of leverage–which may be as much as 50 times the trader’s capital–also represent a high-risk, high-reward scenario that can result in huge losses for an inexperienced guerrilla trader in just a few trading sessions.

Guerrilla Trading

In the financial world, the term intraday is shorthand used to describe securities that trade on the markets during regular business hours and their highs and lows throughout the day. Day traders closely watch these moves, hoping to score quick profits.

Intraday means "within the day." These strategies include:
Scalping, which attempts to make numerous small profits on small prices changes throughout the day
Range trading, which primarily uses support and resistance levels to determine their buy and sell decisions
News-based trading, which typically seizes trading opportunities from the heightened volatility around news events
High-frequency trading strategies that use sophisticated algorithms to exploit small or short-term market inefficiencies
The most significant benefit of intraday trading is that positions are not affected by the possibility of negative overnight news that has the potential to impact the price of securities materially. The intraday trader may hold their positions for a longer period but still operate under high risks.
Volume weighted average price (VWAP) orders are often used on an intraday basis to increase trade execution efficiency by giving an order exposure to a variety of prices throughout the trading day. Disadvantages of intraday trading include insufficient time for a position to see increases in profit, in some cases any profit at all, and increased commission costs due to trading more frequently which eats away at the profit margins a trader can expect. Intraday price movements are particularly significant to short-term or day traders looking to make multiple trades over the course of a single trading session.

Intraday

Level 2 is a trading service consisting of real-time access to the quotations of individual market makers registered in every NASDAQ listed security.

The additional information related to pricing action and market momentum gives traders and investors a leg up in implementing trading strategies.
Level 2 provides users with depth of price information, including all the available prices that market makers and electronic communication networks (ECN) post.
Level 1 offers enough information to satisfy the needs of most investors, providing the inside or best bid and ask prices.﻿﻿ However, active traders often prefer Level 2 because it displays the supply and demand of the price levels beyond or outside of the national best bid offer (NBBO) price. Once they have identified hidden orders from L2 quotes, traders can place similar orders because institutional investor action will help support and resistance levels for that stock's price. Hidden orders, which are an option where investors can hide large orders from the market on the ECN, function in a similar way but are invisible on Level 2. Many ECNs, which are the automated systems that match buy and sell orders for securities, offer the ability for traders to post reserve orders and hidden orders.

Level 2

A news trader is a trader or investor who makes decisions based on the content and timing of news announcements.

A news trader is a trader or investor who makes decisions based on news announcements. For this reason, news traders focus on trading in the time leading up to the news or immediately after, when the market is still reacting to the news. News traders try to profit by taking advantage of market sentiment leading up to the release of important news and/or trading on the market's response to the news after the fact. When the news is a surprise to everyone, as in a natural disaster or black swan event, news traders try to position themselves to profit. By becoming familiar with specific markets, news traders can make educated guesses as to whether a security will increase or decrease in price following a news report.

News Trader

A pattern day trader (PDT) is a regulatory designation for traders who execute four or more day trades over a five-day period in a margin account.

Day-Trading Margin Requirements: Know the Rules

These are customers who execute four or more “day trades” within five business days, provided that the number of day trades represents more than six percent of the customer’s total trades in a margin account for that same five business day period. In general, once your account has been flagged by your broker as a pattern day trader, they will continue to regard you as a pattern day trader even if you do not day trade for a while. A pattern day trader (PDT) is a regulatory designation for those traders or investors that execute four or more day trades over the span of five business days using a margin account. A pattern day trader (PDT) is a trader who executes four or more day trades within five business days using the same account.

Pattern Day Trader (PDT)

Scalping is a trading strategy that attempts to profit from multiple small price changes.

Scalping is a trading strategy geared towards profiting from minor price changes in a stock's price. Traders who implement this strategy place anywhere from 10 to a few hundred trades in a single day with the belief that small moves in stock price are easier to catch than large ones; traders who implement this strategy are known as scalpers. Scalping is a trading strategy geared towards profiting from minor price changes in a stock's price. The trader will buy and sell a massive tranche of ABC shares, say 50,000, and sell them during opportune price movements of small amounts. Scalping is a trading strategy in which traders profit off small price changes for a stock.

Scalping

Stag is a slang term for a short-term speculator who attempts to profit from short-term market movements by quickly moving in and out of positions.

Stag is a slang term for a short-term speculator—a day trader, for example— who attempts to profit from short-term market movements by quickly moving in and out of positions. A stag refers to a short-term speculator—such as a day trader—who attempts to profit from short-term price moves.
Stags can be contrasted with bulls or bears, both of which have a long-term view of the market. Stag is a slang term for a short-term speculator—a day trader, for example— who attempts to profit from short-term market movements by quickly moving in and out of positions. In order to profit from the small short-term price movements associated with day trading, traders will generally buy large blocks of stocks. Stags use several strategies and can change from bullish to bearish, or vice versa, in seconds as short-term trading conditions are often changing.
They may engage in IPO day trading on the first issue day in order to capitalize on volume and volatility.

Day Trading

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Terms in Day Trading