Gajjala: Day-Trading Watchlist

Buys from the daily watchlist that day trader Goverdhan Gajjala starts his session with: shares that closed between 0.50 and 100 dollars the previous day, traded at least one million shares that day, and stood at least 25 percent above the previous close at some point during the session. One thing to understand: Gajjala trades these shares inside the day and holds nothing overnight — a model portfolio cannot reproduce that, because it buys and sells at closing prices. This portfolio therefore answers a different question from our back-test, namely: what would have come of simply holding that daily selection? Only shares our own deep-dive analysis rates green are bought — yellow or no analysis at all is not enough. The check and any new purchase happen every trading day; a position is sold as soon as the price falls 15 percent below its highest level since purchase, the share drops off the list, or it is no longer rated green. If the list holds no green-rated share, the portfolio stays in cash — with a list of small stocks running hot on a single day, that is the normal case.

This portfolio buys shares.