loader image

How I Use ATR to Find the Best Stocks for Day and Swing Trading

by | Dec 21, 2023

Get my No. 1 stock for 2024 — and my reasons to own it — LIVE at 4 p.m. ET TODAY!

You can apply Average True Range to basically any trading platform, and I use ATR to help me find the best stocks to target for day and swing trading — my bread and butter! 

ATR measures the high to low range of a stock’s movement over the past 14 days, helping traders anticipate potential daily price movements.

Stocks with high ATR — high-fliers like Tesla, Nvidia, AMD, Netflix, Facebook, Google and Amazon — are attractive for day and swing trading options.

When ATR expands, there’s often a follow-through in stock price movement, creating trading opportunities.

A bigger move in ATR than expected can lead to increased implied volatility, causing market makers to adjust options prices, and traders can really make some good ROI.

Check out my video up top for the full rundown in just 5 minutes!

As for the top flow of the day, check out these two MASSIVE orders in CF Industries, totaling almost $8.5 MILLION in premium! 

But to be clear, this is most likely a spread trade. The dead giveaway is the trades came in at the same time and have the same expiration, but different strikes (the $85 and the $90).

Thursday’s Top Order Flow: 

  • CF May24 Strike: 90 Calls premium: $4,860,923 ASK BULLISH
    Trade Date: December 21, 2023 Trade Time: 10:33 am
  • CF May24 Strike: 85 Calls premium: $3,548,350 ABOVE ASK BULLISH
    Trade Date: December 21, 2023 Trade Time: 10:33 am
  • AFRM Apr24 Strike: 75 Calls premium: $433,455 ASK BULLISH
    Trade Date: December 21, 2023 Trade Time: 10:01 am
  • AAL Aug24 Strike: 14 Puts premium: $142,000 ASK BEARISH
    Trade Date: December 21, 2023 Trade Time: 12:43 pm

Note: If no date is listed after the month, it’s the monthly expiration (third Friday). 

Lance Ippolito Trading Team

Lance doesn’t want the CCP spying on him, so you’ll never find him on TikTok. Same goes for other social media sites, which are filled with impersonators, scammers and crypto bros. 

You can only find him on his personal YouTube Channel — smash that Subscribe button! https://www.youtube.com/@LanceIppolito 

And in his private Telegram channel: https://t.me/+-gVwEIwGJhplMTgx 

*This is for informational and educational purposes only. There is inherent risk in trading, so trade at your own risk. 

P.S. I’m About to Reveal My No. 1 Stock for 2024 Right NOW — Don’t Be Late!

Ready to be among the first group of people to see my No. 1 ticker for 2024?

Well, here’s your chance to get front-row access to my full research on this stock, LIVE at 4 p.m. ET TODAY, Dec. 21!

Along with the exact details on how I plan to trade it going into the new year.

I won’t be hosting a repeat of today’s session… it’s a one-time event!

And I would hate for you to miss it.

So Join Us Here NOW!

WRITTEN BY<br>Lance Ippolito

WRITTEN BY
Lance Ippolito

What to read next

Have any questions? Contact Our Customer Service Team

Share via
Copy link