Whether you're a part-time Trader or trading full-time you need to be able to build your own stock trading watchless. and Game Plan So how exactly do you create a stock watch list? Find profitable stocks to trade? What scanners do you use and how do you use the tools to? Make It Rain Lamborghinis Because not having a stock watch list is like walking into a grocery store hungry without a shopping list and what happens, You panic and buy anything and everything you see in trading. That would be a recipe to blow up your account. Please don't tell my mom I Still go to Walmart and spend money on things I don't actually need like this lie detector over here.

Oh that hurts like I often talked about in my past videos. Most of the work done in trading happens outside of Market hours. That's where you should put into most of your work in preparation, charting, and journaling. So in this video, you're going to learn how you can find the best stocks to trade every day.

My step-by-step process of setting up stock scanners as for my beginner, Traders I got you! I'll show you how to use free tools to build a watch list without any fancy premium scanners or news platforms. and finally, I'll show you how to plan out your trades on your charts with the help of your watch list. This is a process that I've been using since more than seven years ago when I was a beginner day trader. So I'm going to break it down to a few simple steps.

Note: I said simple but not easy trading is never easy. You can increase your success rate drastically by having a plan and all it's costing you is a simple tap on the like button if that sounds good to you. And if you want to learn how to build a profitable watch list step by step, then make sure to keep on watching to start. I've already customized a few different scanner setups to help me make a watch list every single morning, but today I'm going to share with you my favorite overnight Gap up Scanner if you are new to my channel I Always recommend that the new Traders focus on trading a large cap or mid cap stocks as they are way less volatile than penny stocks and the micro craps Oops I meant micro caps, but the same difference.

The first step to building a watch list is to focus on the best stocks with the most volume, and often that is simply by scanning for stocks with the biggest percentage. Gap up overnight Quick Trading 101 for my new Traders we often call stocks with a market capitalization of more than 10 billion as large caps or big caps. For example, these will be be stocks like Apple, Tesla and Amazon And for this particular scanner criteria, we're focusing on specifically the large cap stocks. I Usually recommend Traders Focus on these higher price higher market cap names because they are not a cyclical or small cap stocks and they are way more predictable.

If you only focus on smoke cap socks, there will be months that you don't see any good gappers, but large cap socks are way more consistent. If you scan for overnight Gap UPS or Gap Dams, you almost always find something worthwhile to trade every single day. And what exactly does a gap up mean in trading a gap up means the stock opens above the previous day's closing price, resulting in air gap between the pre-market trading price and the previous day's closing price. Let me show you in this example, over here on Tesla stock.

The day we're looking at is this particular day and you can see the day before the stock closed around 191. So that's your prior day's closing price. So let me market line over here and the next morning, right? the white lines of the regular trading hours. The yellow lines are extended hours, so the next morning pre-market you can see the stock gapped up from 191 the day before to around 195 through the pre-market trading session.

So that means overnight the stock can increase four dollars per share and this is exactly what we call an overnight Gap up. And that's what we're trying to scan with our scanners. And why do I love trading these overnight gappers? Because most of the time these stocks only Gap up because of really positive. Catalyst With the Catalyst a big overnight percentage move, that's where you will get a lot of range and volume after the open.

Whether you are a part-time Trader or trading full-time Momentum and volume are key in your trading now. You Must Be Wondering Okay, Shay I Get it, we need to look for overnight Gap Ups but how do we do that? Well, that's where a very handy tool called the stock scanner comes in. I'll explain to you the key criteria for this overnight Gap up Scanner Remember earlier in our analogy, you want to go grocery shopping with a shopping list so you don't end up brandling buying the entire aisle. Same thing in trading, you need a specific criteria for scanning for stocks.

otherwise you'll end up with a bunch of turns in your portfolio. True story here. So now on screen over here. we're looking at my trade ideas Pro scanner and we're specifically looking at this mid cap and big cap gainers list over here.

Now let me show you my settings by go right, click, going to configure and in the settings window I have it set. you can go to Windows specific filters. so these are this is where I configure all my settings. The first one is the price of the stock, right? So we talked about earlier I Prefer to trade stocks that are, you know, at least a little bit higher price.

not like the actual penny stocks. So I have my price minimum set to five dollars I usually set it to a dollar. That's fine too. but I've have it set from five to four hundred dollars so that's a big range, right? And from for percentage close change from close.

this is the overnight Gap that we talked about from prior day's close. I have a set at two percent minimum and I don't set a cap for that because I wanna snow and see the biggest overnight Gap ups and the third column I have float. Remember we talked about earlier that I don't want to trade these low flows volatile turd stocks. uh, at least not for this specific scanner.

So I have it set at 10 million for minimum. Again, you can like. if that's too high, you can adjust it to 5 million with something like that for market cap. Remember same idea I don't want to trade the small cap stocks I have it set at 1 billion.

Okay, you can increase it if you want to, but for me, one building is a good start. Um, volume today shows you the volume. The stocks are trading pre-market now. I have it set at only 20 000 shares for pre-mica trading and the reason for that is because a lot of these overnight gappers on the large cap side.

you don't get big volume come in until after they open. So that's why I have a set relatively low for me to go in and select the stocks. So this is my setting form of the overnight gapper scanner. If you go, click OK or go to a summary you can name your window I have a mid cap big cap gainers that's the name of the window and this gives you a summary of all the filters and I have it set to change from the clothes with the biggest change percentage change on the top and okay so this is the list I get um from this morning specifically and you can see I have the column set from like I also color coded it so the ones with the biggest percentage change will be in deep green and then like it goes smaller and smaller from here.

But from this scandalous I can really quickly see the top stocks like these three. These couple like these the top five usually I'm interested in and I'll go in and look at all the other criteria like percentage, close volume today, average daily volume Health at institutions in the sector of the stock and really quickly just to show you if you right, click on this. You can custom color code for volume today as well. So I have all the all different coded for volume over here and if we go back to already a configure, you can get all your columns separately too.

So I have these columns over here. So these are the columns that you see on the top over here you these are the ones I've already selected. If I want to see that, say I want to see the the sub Industry Group I can move it over here to create another column for that. So if you're in the columns here, this is.

uh, you can see on the left hand side these are what I've already selected for my filters on the top. That's how I see a lot of information really quickly if you want. Let's say if you want to see The Exchange you can click this and move that column over there if you want to click. Ok, Ok, once again, you'll see the exchange here.

NASDAQ NYC Sometimes that's important for specific strategies I Didn't start out using these premium scanners right away when I first started and don't worry I'll have some free tools I recommend to you later on in the video. This tool really saved me so much time every single morning when preparing for my watch list. especially when I was trading part-time every single second count and once again, a tour like this will be a tax write-off for Traders I've been using and paying for the Trade Idea scanner for many, many years now I Highly recommend it. You can download my scanner settings down below and try them out.

I Also leave a discount code down below as well. Now for my beginner Traders Don't worry I got you! I Definitely recommend that you try to minimize your expenses as much as you! can when you're just getting started. So I'll show you how to use free tools to build the scanner without any premium scanners with news platforms because I was once just like you in my first year or so trading as a beginner. I I Didn't have the money to purchase these scanners, so here are my recommendations for free market scanners that you can use to find suitable gappers for the long strategies.

The first one is Weeble It has a free stock scanning feature on the desktop platform. Now all the details like float, average daily volume, or short interest are there, but it gets the job done in scanning for the highest percentage gappers each day. Pre-market Weibo is running a promotion right now where you can get up to 12 free stocks. You'll get two free stocks valued up to three hundred dollars after opening an account, and up to 10 more free stocks valued up to three thousand dollars after depositing any amount of money.

This is basically free money. so if you're looking for free live market data and free pre-market scanner, now is a perfect time to check out Weibo and get some free stocks down below. The next one is think or Swim They also have a built-in pre-market scanner. Again, it's not perfect, but they will be able to find most Gappers every single day.

The third one is everyone's all-time favorite Filmvis and let me show you how to do that right now. So on the Finvis website, there's two places where you can find the top percentage movers for free. The first place is on the home page over here, so you can see on the home page you see the ticker with the highest change over here. So this is a top Gainer On the day, you don't really get to customize it and filter it out, so it shows you anything from penny stocks from a dollar to you know, something that's over a hundred dollars.

So it shows you the top percentage change and the volume on the day. Okay, so that's on the left hand side and on the right hand side. Over here you see the top losers, the new lows, the oversold stocks, most volatile stocks and downgrades and all that stuff. But most of the time when I was using it for free, I was just looking at top gainers and the top losers.

so that's the first place. A second place you can scan for stocks for free is use the screener over here. So on the home page, click screener and once you're here, that's where you want to input some basic filters like we did with trade ideas. So Market Cap I Want to look for So Market Cap or look for something that's over 2 billion for large cap stocks exchange? That's fine.

I'll leave it. Um, let me see average volume I'll look for something on the daily chart. that's minimum. you know over one mil on.

The Daily Again, this will be like the scanning you do at the pre-market or in the evening. relative volume. you know I'll look for something that's over 1.5 shares. Outstanding.

That's fine. current volume sometimes. I Just leave it off because the thing within this is that it's delayed Market data by about 15 minutes. It's okay when you're brand new, but eventually I think it'll be a good idea to transition and either to pay for Fitness or something else floats.

You can actually make it over. what do we do before? over 10 million. So you can put over 10 million shares float so you don't get the small cap low float socks. And once you have the list, that's when you can go and click charts and see what the charts look like.

So the thing with that within this is show you the daily chart and that's a great way to start. However, it doesn't show you an intraday chart unless you have the premium option. So you here are usually your presets I use for fitness and something really useful is you can like toggle between and then you get these like annoying pop-ups because you're using it for free. You just close it.

but you can toggle between Ta on or off I Like to use that off and see the daily charts recently. Whether it's a breakout or breakdown, they'll help you when you're scanning for these stocks pre-market or in the evening, so a lot of people often ask me. Is Femvis enough for day trading? So I think it's great for swing trading Um, or if you trade midday and you just need to see a top percentage movers. But as far as pre-market trade planning, it's not all that useful.

But if you want to plan for their stocks the next morning, then that's totally fine. And for cons, obviously it's not real-time data for pre-market screening unless you pay for Elite. Next, we're gonna plan out the levels on the stocks that you found on your scanners. but before we do so, if you're enjoying the video so far, please remember to drop a like at the bottom of the video and feel free to ask me any questions that you may have in the comment section below.

I Really appreciate my viewers who comment with thoughtful questions specific to what I'm teaching in the videos. It's really motivating to me to make more videos like these in the future Now that we have the Gapper list from either your free scanner or premium scanner, I'll show you how to plan out your trades on your charts with the help of your watch list during pre-market or regular trading sessions. Okay, so this is the trade ideas pre-market Gapper that we see and usually I will take a look at the top gainers so Bbio was one I would look at because it also has really really high volume trading pre-market So I'll take a look at these first two over here 67 Market uh, percentage Gap up and a second one a z u l 21 Gap up. and if these two you know if I don't end up liking them for any of my strategies then I'll keep on going down like laser vir this one and crwd as well.

So let's start with Bbio. So Pbio since it's picked up 67 gapping up, let's take a look so you can see this is a huge gap up. The stock closed at 1080 prior days, closed to pre-market to like 22 dollars and then pre-market was trading around this range. So if we go to the daily chart I actually looked at the stock this morning, but I didn't end up trading it.

you can see it's gapping up to that daily level around like the 18. So you can see from the charts daily chart over here: 18 Mark So that's gonna be an important level. So once you draw that, you take a look at how it's reacting to the stock intraday. So pre-market you can see that the stock went to 23, sold out to 16 and I kind of keep on testing that 18 level.

so that's going to be your key level for the stock and you can see at the open the stock breaks about the 18 and just keeps on. like selling off sold off the key level and then try to retest that again around 10 o'clock and sold out to 16 17 and once again over here. So if a stock is unable to hold that key level from the daily chart then it's a short setup for me. So in this example, this top gapper I would not be buying the stock because it cannot hold that 18 key level.

So and this will actually be a good short to 18 key level. and look for downside to some support from pre-market and the 16 1680s and eventually below to 16. but no I Unfortunately did not trade this one today. The next one we can look at is a Z-u-l So this one, um, it's up with 1.5 uh, million volume traded pre-market This is a float decent.

um 93 million shares flow. So even though it's priced at five dollars, it's not a small cap volatile stock. So Azul Okay, this is the daily chart for Azul so kind of not gonna lie on a pretty nasty daily chart. Um, but nonetheless, let's take a look.

Huge percentage Gap Up right? we're talking about prior day is closed. This thing was trading at around 410 and next morning I gapped out to 5 15 and went to seven dollars. But pre-market again is the yellow section over here. So let's take a look on the daily charts so that's where we usually start.

The stock had good earnings beat and some decent news. So you can see on the daily charts you have some levels around like that 560s area 560 area. The lows from this day on the daily chart 5 30. So those two are going to be important levels and if a stock is able to break above these two key levels then yeah, upside to 670s.

It's all technicals 670s and above to like 720s. Okay so now that you have the daily levels, you want to look at your intraday. After you scan for the stock and you picked it up and look at the volume intraday you can see that 530s. That's also your after hours highs.

Your pre-market highs is that 510 area but above it. If you the stock is able to hold at 5 30 and especially breaking out of that 560s that we talked about on the daily chart then you have room to all the way to upside to like six dollars and above and this thing actually squeezed In this case the strategy will be the exact opposite of what we saw with Bbio, right? because you're able to hold and break about both of these key levels so above it. Then you have like you should go long on the stock and join the trend to see if you get 650 670s. but this will be one that's suitable for long strategies on your watch list now that you have the steps to look for stocks to trade and plan out a profitable watch list.

I Do have some warnings about mistakes that a lot of beginner Traders should avoid. First of all, I Have to be very clear, the scanner or the watch list should not be treated as buy or sell alerts. They are a guideline that's pre-planned out. If the stock doesn't do according to your plan, then just don't trade it.

Remember to plan out your key levels during pre-market sessions. Failing to plan is planning to fail. If you show up to the market open with no support and no resistance strung out, then how are you going to know where to enter, take profit or risk. That's no difference than chasing chat room alerts.

Third, do Not try to trade everything that's on your watch list. Pick one or two stocks to focus on at the time. Once again, do not go to the grocery store and try to buy everything and anything. Know your trading strategy, Be patient and wait for the setup to show you.

So now that you learned how to find the best stocks to trade and create a profitable watch list, but that's not enough. You still need highly profitable strategies and risk management plans that can level up your trading performance. If that sounds like you, then make sure to check out the Humble Trader Community down below if you're interested or check out more of my Trading strategies with step-by-step tutorials in the next video and I'll see you there.