The Day Trader’s Guide to Technical Analysis

The Day Trader’s Guide to Technical Analysis by Chris Lewis is a practical, step-by-step manual designed to give traders the tools to profit in today’s fast-paced electronic markets. Unlike generic trading texts, this book dives into the real mechanics of day trading, combining technical analysis, Level II screens, and time-of-sales data to help traders make confident, profitable decisions.

Lewis begins with the fundamentals of day trading, including why NASDAQ securities are particularly suited for short-term trading, the differences between exchanges, and the importance of market discipline. He introduces the three phases of the trading day—open, mid-session, and close—each with unique patterns and opportunities.

The book then details technical analysis principles that have stood the test of time, from Dow Theory to support and resistance, trend identification, and key chart patterns. Lewis carefully explains how to recognize reversal and continuation formations, and why certain breakout setups offer high-probability trades.

A distinguishing feature of this guide is its in-depth coverage of the NASDAQ Level II screen, showing traders how to interpret order flow, ECNs, and market maker activity to anticipate short-term moves before they appear on traditional charts. Real-world trade examples illustrate how Lewis integrates these tools with chart setups and time-of-sales data.

The final sections explore trading psychology, execution strategies, risk management, and keeping effective records. With daily premarket preparation sheets, trade reports, and sample trading weeks, Lewis demonstrates how consistent planning and discipline can turn trading into a structured business.

This book blends classic technical analysis with modern electronic tools, making it an essential resource for serious day traders.

✅ What You’ll Learn:

• Why NASDAQ securities are favored for intraday trading opportunities.
• The three phases of the trading day and how to adapt strategies to each.
• Core principles of Dow Theory, trends, support/resistance, and breakout setups.
• How to identify reversal and continuation patterns with high accuracy.
• The mechanics and interpretation of the NASDAQ Level II screen.
• How to combine Level II, time-of-sales, and chart analysis for precise entries and exits.
• Common pitfalls such as overtrading, derivatives misuse, and misapplied analysis—and how to avoid them.
• Strategies for executions, shorting, and choosing the best order routes.
• The psychological traits of successful traders: discipline, focus, and risk control.
• Practical tools: premarket task sheets, screen layouts, and trade evaluation methods.

💡 Key Benefits:

• Gain insider knowledge on how to use Level II and order flow like professionals.
• Learn tested charting principles that remain valid in today’s markets.
• Build confidence by mastering planning, execution, and record-keeping.
• Avoid costly mistakes that drain most day trading accounts.
• Develop a consistent day trading plan tailored to your strengths.
• Perfect for those who want to transform trading from guesswork into a business.

👤 Who This Book Is For:

• Beginner traders seeking a practical introduction to day trading.
• Intermediate traders wanting to refine chart reading and Level II interpretation.
• Active day traders looking for systematic strategies and daily structure.
• Investors who want to transition from long-term holding to short-term trading.
• Anyone serious about building a disciplined and profitable trading approach.

📚 Table of Contents:

Part I: Preparing the Plan

• 1.Why Day Trade NASDAQ Securities?
• 2.Trading Concepts That Have Stood the Test of Time
• 3.Activities to Avoid
• 4.The NASDAQ Level II Screen

Part II: Putting the Plan into Action

• 5. Executions and Order Routing
• 6. A Trading Week (premarket prep, market open patterns, post-open trading)
• 7. Trading Psychology (Stops, Process, Rules, Discipline)
• 8. Keeping Track (Premarket Task Sheets, Screen Layouts, Daily/Weekly Tracking)