
I am using trend following method to day trading SPY. firstly, early in the morning try to identify the trend day or range day senarios .
Trend day: smooth and directional up-down volume, in the direction of price, retracement or correction is less then 0.618, gap is not filled Range day: the rest of trend dayidentify a trend day by
1) $UVOL- $DVOL volume on NYSE is stronger and directional, and smooth.
2) gap up or down and not being filled3) $UVOL- $DVOL and SPY price goes to same direction
4) retracement around 0.375
if not trend day, then it is range day. please not try to guess how many trend day and range day in a month.
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