The Most Volatile Stocks on the TSX

Most Volatile Stocks Tsx

On Thursday, CNBC’s Jim Cramer published a list of the most volatile stocks in Canada for investors to choose from. Rich first appeared on Motley Fool Canada: 3 Volatile stocks that could find their way into the top 10 of Canada’s top five volatility stocks. Sources: 0, 7, 11

Here’s how I find which stocks tend to move the most, using my high-volatility stock filter, also known as a screen screenener. I run the screen once a week, select a handful of stocks that meet the desired volume and volatility criteria, and then trade the stock every week. Day traders usually look for stocks that have traded at least 1 million shares a day, but I add a volume filter to ensure there is enough volume for short-term traders looking for volatility. If a stock has more than 1.5 million shares traded daily, it is suitable for day trading and has a good chance of being listed among the top 10 of Canada’s five most volatile stocks. Sources: 5, 9, 14

Check out the most volatile stocks on the TSX, with a look at the top 10 stocks with the highest volume and volatility for each trading day. Sources: 12

Penny shares are referred to as sub-penny shares, which are traded at one cent per share and are referred to as Tier 1, Tier 2 or Tier 3 penny shares. However, the majority of the trading community agrees that the Tier 3 cent share is a share traded at a much higher price-to-earnings ratio than the average share on the Toronto Stock Exchange (TSX). Sources: 4, 10

If you want to find a broker that will allow you to trade Canadian penny shares, you need to stick with one that deals with the OTC transition, such as Questrade. Remember that you are buying a penny of shares in an unregulated market, which adds further risk to the investor. If you want to specialize in volatile stocks [5], you must also consider a broker specializing in penny stocks [6]. For all these penny companies, and especially for the most volatile stocks [7], you may also need the help of an experienced broker, especially if you have found an undervalued stock with a high price-earnings ratio [8, 9, 10, 11, 12, 13]. Sources: 3, 6, 10, 13

If a company is not listed on a regular stock exchange (NYSE, NASDAQ or TSX), it may be traded over the counter. Most brokers will show you a table of active stocks and instead of calling them “Risers, Fallers and most traded shares,” they should point you to the most volatile stocks in the stock [7, 8, 9, 10, 11, 12, 13]. The stocks with the highest volatility that should be checked are those that move a lot during the day and also have a reasonable daily volume – trading. Sources: 3, 4, 9

This means that you can potentially apply the skills you develop in trading volatile penny shares to larger positions in the future. Volatile penny stocks can give you the option to grow your account, but you need to be smart with them. Sources: 8

To search for stocks that regularly exhibit high volatility and trading volumes, go to the StockFetcher Screener of your choice. Volatile stocks are risky and novices should stay away from them, as trading in volatile stocks requires skills and mental discipline that can only be acquired through extensive trading experience. If you are new to equity trading, trading trends with low volatility is safer while learning more about the stock market. But if you are not prepared to take the risk, you should not trade these shares at all. Sources: 12, 14

If you are looking for the most volatile stocks on the stock market, you should consider analyzing the information available with a variety of tools from MarketBeat. It is relatively easy to find the most volatile penny shares by learning how to do it with the penny share screen (of course you should also analyse the stock charts), although you have to remember that penny shares can be extremely risky. Sources: 1, 13

On the US market, the first page shows the share price as it is classified on the US stock exchange (which includes all US exchanges but not closed-end funds). In the United States, if you get a stock that is only listed on the NYSE, you have to classify it as a “US” stock (the stock exchange is NASDAQ and the use of that stock was the New York Stock Exchange, not the TSX). The quotes are limited to US markets, closed-end funds are not included. In a U, S Market, listing is limited only to shares with a market capitalization of at least $1.5 million. Sources: 2, 9

For example, the share price is on the upward trend, which qualifies as a list of traded stocks. Although this stock is still volatile compared to most stocks, I think the real opportunity for this stock is to wait for an outbreak above the levels mentioned. You could also start by looking at the TSX chart for the day it was traded. Sources: 4, 5, 12

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