The sequential trading single day cycle method of trading is based on the idea that certain patterns within stock movements appear and can be applied to a model on a single day trading cycle. The idea suggests that if you record enough statistical data on the movement of stocks that an orderly pattern may appear and more importantly – a repeatable pattern should emerge.
One company that looks at this is detail is Amtrade Group (http://www.datafeeds.com.au/whatamt.html), and their site gives a detailed insight into the Sequential Trading Single Day Cycle method and analysis. They use sequential data recorded over the previous five days of trading to allow a more accurate analysis of how the stock would be expected to move over the next trading day.
This data could be crucial to professional day traders to allow them to better predict the movements of stock they are targeting or to help them pick stocks that could be profitable for their days trading.
Sequential data is used in many scientific platforms and is not limited to stock market trading. It allows an observer to use sequential data already recorded to predict the future data of a system or program. In theory, the person armed with the past data should be better able to determine the output of future data than someone without this knowledge. This would of course seem to be a logical notion. It involves a systematic approach to trading and allows the user to form a plan before actually setting up a trade.
As with any stock market system, and particularly with day trading, there is no guarantee to profits and inexperienced individuals could find themselves out of pocket by a vast amount. However, for those already involved with trading stocks then the sequential trading single day cycle model will probably be well worth a look and potentially an extra tool in the arsenal of the professional day trader.
