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Strategies & Market Trends : Momentum Daytrading - Tricks of the Trade

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To: Ken Wolff who wrote (67)1/7/1998 3:00:00 AM
From: David E. Henry   of 2120
 
I recently made this a rule of mine. "Don't trade stocks with higher than normal spreads" after losing $1000 on a trade. These spreads also tend to occur in stocks that have less than average liquidity and volume and could move down(or up) pretty quickly!
This is probably less of a problem if you are trading with a trading outfit where you can get in between the bid and ask.
I am presently considering such an option.
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