Below is a chart of TNA, the 3X Russell 2000 Small Cap ETF. It and its sibling TZA are ideal for intraday trading, especially on a rule-based system like Blue Wave.
The chart above is the 5 minute TNA chart from today's (Thursday's) trading. Note the whipsaws in pre-market, which is why I don't usually trade until 30 minutes after the open. On the above chart, that first trade was the SELL at 7:00 am (PDT). There was one very nice trending trade today, between 11:00 am and 1:00 pm, capturing about a 5% move in TNA.
There were a few minor whipsaws along the way, but none big enough to make a dent in the days profits.
This is what I mean by a whipsaw:
Notice how prices broke down through the stop/reverse dash on the fifth bar above, but quickly recovered to close out the five minute bar still in BUY (BLUE) MODE. I have a few rules that effectively deal with these situations, but still I get caught and whipsawed every so often. The key is that the nice trend trades that last 2 hours, like the trade above, more then compensate for the whipsaws.
This kind of trading also works with less leveraged ETF's, but returns are commensurately lower. Options are just way too inefficient and expensive to trade in this manner, so I save those for longer-term positions.
One doesn't need BW to trade like this, but one does need some rule-based system. I'm experimenting right now with 5 minute 3-Line Break charts that are based simply on the mechanics of those charts. Renko charts are also suitable, using the rules of the charting format for one's rule-based system.
Leveraged ETF's like TNA/TZA/BGU/BGZ have really opened the door to intraday trading apart from traditional S&P Futures and Options. If your system is good enough to average just 1% a day in profits, times 20 trading days a month, times 12 months year (except leap year), well you get the idea.