Day trading picks

Screening Filters

1. Price: 5–100 USD

   • Purpose: Focus on tradable, reasonably priced stocks suitable for active day trading.
   • Rationale:
     • Very low-priced stocks (under $5) are often “penny stocks,” which can be illiquid, heavily manipulated, and have wide spreads — harder to trade in and out efficiently.
     • Very high-priced stocks (above $100) can require more capital per share and may move less in percentage terms, making them less attractive for smaller day-trading accounts.
     • The $5–$100 range typically offers a good balance of volatility, liquidity, and affordability for intraday strategies.

2. Monthly Average Dollar Volume: ≥ $1,000,000

   • Purpose: Ensure there is enough liquidity (trading activity in dollar terms) to enter and exit positions quickly.
   • Rationale:
     • Dollar volume = price × volume — this captures both how many shares trade and at what price.
     • A minimum of $1M/month helps filter out thinly traded tickers where your orders might move the market or have poor fills.
     • Day traders rely on tight bid–ask spreads and consistent order flow; higher dollar volume supports that.

3. Relative Volume: ≥ 2

   • Purpose: Find stocks trading at least twice their normal volume today — i.e., unusually active names.
   • Rationale:
     • Relative volume compares current volume to an average baseline (often the recent days’ average).
     • A value ≥ 2 indicates heightened interest, often driven by news, earnings, or catalysts — prime conditions for day-trading opportunities.
     • Elevated relative volume tends to come with better liquidity and more pronounced intraday moves, which day traders seek.

4. 5-Minute Price Change %: 0.5% to 5% (min5_price_change_pct)

   • Purpose: Capture stocks that are currently moving enough to be interesting, but not so extreme that they’re already overextended or extremely erratic.
   • Rationale:
     • A move of at least 0.5% over 5 minutes suggests real intraday momentum rather than random noise.
     • Capping at 5% helps avoid names that have extremely sharp, potentially unsustainable spikes within minutes, which can reverse violently and be very risky to trade.
     • This range focuses on actively moving stocks with tradable intraday trends or breakouts.

5. List Exchange: XNYS, XNAS, XASE (NYSE, NASDAQ, NYSE American)

   • Purpose: Restrict results to major U.S. exchanges.
   • Rationale:
     • These exchanges have stricter listing standards, better transparency, and generally better liquidity than OTC or pink sheet markets.
     • Day traders benefit from reliable execution, real-time data, and standardized trading rules — all more robust on major exchanges.
     • This aligns with your request for US stocks and avoids obscure or lightly regulated venues.

Why Results Match Your “Day Trading Picks” Request

• The price range and major U.S. exchanges keep the list to mainstream, actively tradable U.S. stocks suitable for intraday strategies.
• Dollar volume and relative volume together emphasize liquidity + unusual activity, both core ingredients for day trading (tight spreads, lots of participants, and strong order flow).
• The 5-minute price change filter ensures you see stocks that are actually moving right now, not just liquid but stagnant names, which is essential for finding intraday opportunities.

In combination, these filters prioritize U.S. stocks that are liquid, actively traded today, and showing real intraday movement — all key characteristics for potential day-trading candidates.