How High ATR Stocks Help Maximize Your Stock Trading Profits

Enjoy this post? Share the love.

There are many technical indicators that help increase the odds of picking the right stock that will move higher after buying it.  Our disciplined, rule-based stock trading strategy incorporates the most effective, yet simple of these technical indicators.

However, one frequently overlooked element of profitable stock trading is knowing how to pick the stocks with the highest volatility, and therefore the best odds of a larger gain when the stock rallies.

In order to do so, it is necessary to understand and use a technical indicator known as ATR (Average True Range), which basically indicates the level of day-to-day volatility for a stock (click here for a detailed definition and explanation of ATR).

If two stocks both have similarly bullish chart patterns, but you don’t know which one to buy, comparing the ATR of each stock will help make your decision easier because simply choosing the stock with the higher ATR may increase your percentage gain when the stock breaks out.

So, if you’re ready to learn how to maximize your stock trading profits through finding and trading high ATR stocks, check out the 5-minute trader education video below.

Press the “play” button, then click the bottom right corner of the video player window to view in full screen mode for best clarity:

If you would like to profit from trading the best stock picks with high ATR, be sure to sign up today for your risk-free subscription to The Wagner Daily, our flagship swing trading newsletter since 2002.


Enjoy this post? Share the love.
Deron Wagner

Deron Wagner is a professional trader, author of several ETF trading books, and the Founder of Morpheus Trading Group. Since 2002, he has been sharing his proven swing trading strategy with thousands of traders around the world. He has appeared on CNBC, ABC, and Yahoo! Finance Vision television networks, and is a frequent guest speaker at various global investing conferences.

Recent Posts

Unlocking Explosive Gains: Mastering the 20-Day EMA Pullback After a Strong Thrust

Missed the initial breakout? Don't worry - there's still a chance to catch that rocket! Today, we're diving deep into…

3 weeks ago

Nasdaq Flashes 3 Powerful Buy Signals: Your Ticket to Serious Profits

Discover the three powerful buy signals flashing in the Nasdaq and learn how to profit from the surprising shift in…

1 month ago

Tesla Stock Analysis: 5 Bullish Signals for Swing Trading $TSLA [Sept 2024]

Could Tesla (TSLA) be gearing up for a major bullish run? Veteran analyst Rick Pedicelli breaks down five critical technical…

2 months ago

NASDAQ’s Bloodbath: Navigating the QQQ Plunge and Uncovering Hidden Opportunities

The tech sector has recently experienced a significant downturn, with the NASDAQ index plummeting, but for astute traders, such market…

2 months ago

Decoding Nvidia’s 35% Tumble: A Technical Analysis Masterclass

In the high-stakes world of AI stocks, even giants can stumble. Join us as we dissect Nvidia's recent 35% correction…

3 months ago