Steve is on Vacation

Hi Everybody,

Just to let you all know that I am away on vacation this week, so there will be no posts until next week (Nov 1). I hope the markets are good to you all while I am away !

Thanks

Steve

TS4 buy nails low on the YM !

There were no such questions on the 5min YM, where we had a lovely TS4 buy setup that nailed the low of the day for you !!

As you can see, the YM rallied nicely off the low. Although the market did not have time to reach the first target, there was a nice +2.2R Profit (ignoring slippage and commission) available on the close.

Thanks, Steve

When to use the 100% initial risk guideline

Hi Everybody,.

I am often asked when Traders should protect their trades with a “initial” stop loss adjustment. With Daily Charts we use the 100% initial risk guideline, but we normally give Intraday charts more “wiggle room”. However, when a trade is “uncertain” or “against” the larger degree trend (15min Charts), then this 100% initial risk guideline can help avoid a otherwise losing trade.

A good example was the TS1 buy on the 3min ES from yesterday. As you can see, this ES reached the 100% initial risk level before declining. So raising your protective stop to break-even would have meant a “break-even” (or flat) trade, so no loss, which is always good........

But why do it on this trade, and not others ? Well it is all about the larger degree (15min ) chart, so for this please take a look at the Advanced Blog.

Thanks, Steve

Amazing day Part 2

We have already seen a massive +9.7R Profit on the 5min YM, but just after this trade there was a TS2 sell on the 3min YM. Again, this was a completely standard setup as the STF was red.

With a +2.5R Profit at the first target (ignoring slippage and commission), this put the Profits for the day to over +12R – amazing !!

Notice how this profit target nailed the low of the day for you, so MTP has not only nailed the high of the day for you (5min TS3 sell), but also the low of the day – now that is amazing..................

But it does not stop there, if you look at the Advanced Blog, you will see why Advanced Traders could have also considered the DP buy off the low of the day....

But seriously, I think that very few Amateur traders who are reading this post fully appreciate how good days like this are and how amazing the routines in MTPredictor are to be able to nails trades like this for you.......

Thanks, Steve

Amazing day !!

Hi Everybody,

I am still absolutely amazed how well the routines in MTPredictor work sometimes, even though I designed them !! Here we can see a perfect TS3 sell on the 5min YM yesterday that nailed the very high of the day for you !

This was a completely standard setup, as the STF was red, then profits were taken at the first target as the STF was weak. The result was a massive +9.7R Profit (ignoring slippage and commission) !!

Trades like this still amaze me, and show that massive profits do unfold, you (as the trader) just has to have the patience and discipline to wait for them.

But the story does not stop there...........

Thanks, Steve

Then along comes a good trade

As I said in my last post, sometimes trading can be frustrating, but it is usually not long before a good trade comes around. For example yesterday on the 5min FT (Russell Index), this TS£ buy nailed the low, just before a nice rally.

Using the standard trade management guidelines, would have produce a nice +3R Profit (ignoring slippage and commission).

Amateur traders often get frustrated after a loss and as such miss the next (good) trade, and as such end up in a spiral of defeat. Professionals learn to trade without emotion and just follow their trading guidelines.

Thanks, Steve

The realities of Trading....

Hi Everybody,

Too many Gurus and software vendors just tell you “what you want to hear” to sell you their products. This is because they are not reek traders themselves. But we are different here at MTPredictor, we tell you the truth, including how hard and frustrating trading can be in the “real world” sometimes. For example, when we had a lovely TS3 buy setup yesterday that was stopped out buy just 1 tick before going onto the original profit target.

This is frustrating when this happens, but in the “real world” things like this do happen. The market is not out to “get you”, it just happens sometimes, and as professional traders, we must learn to not let it affect us. There will be a good trade to come very soon.

Again, we are one of the very few companies that tell you how trading is “in the real world”. I just wish there were more companies in this industry that have the same view....

Thanks, Steve

Cherry Picking............

It is amazing how many people who look at this Blog write in and complain that I “cherry pick” or only show the good trades. I guess these people have never seen this help video: http://www.mtpredictor.com/help/videos/65-history2/65-history2.html that shows how we have the “history triangles” on the chart so we show “all” the trades. So how can I “cherry pick” when the software shows all the trades ? People who complain like this are usually people who don’t do the required work to learn and understand what it means to be a successful trader, so don’t really understand what they are looking at.

Here is another good example – all trades shown and yes even with more losing trades than winners, a Profit is made overall. This is what successful Professional Trading is all about, and it was we focus on here at MTPredictor...... The tools successful Traders need. No pampering to what Amateurs “think” they need, there is a BIG difference, I guess that is why 97% of Amateurs fail in this Industry. So the choice is simple – do you want to be a losing Amateur or a successful Professional ?

Thanks, Steve

It is all about the losses...........

Hi Everybody,

While I was away, there were some very good examples of what it means to be a successful Professional trader. Successful Professional Traders know and understand that long term success is not about winning, it is actually about the losses and controlling them. Successful Professional Traders also know and understand that you can have more losses than winners, in fact it is easier to do this, BUT (and this is the part amateurs never understand) you can still come out on front “if” you keep the losses small and have BIG Profits this is what MTPredictor s designed to do.

Here is a great example on the 3min Russell Index from last Thursday, more losing trades, but a Profit overall.....

Amateurs never seem to understand that successful trading is actually about losing, in fact losing more than you win (number of trades), this is why I believe that most amateurs can never make it as Professional Traders, because they never can accept that successful trading is more about how you lose (keeping the losses small) than how you win.

Thanks, Steve

Away last week

Hi Everybody,

I apologise for not posting last week, I have just got married and I was away on honeymoon.........

Thanks, Steve

Lovely +4R Profit on the NQ

Hi Everybody,

Another good day on the US e-minis yesterday with a standard automatic TS buy setup on the 3min NQ, please see attached. As you can see, the NQ rallied nicely to reach the first projected profit target, where a nice +4R Profit was available. Note how the STF was weak (not past its strength band) indicating that the WPT targets should be used for the trade exit.

A completely standard trade managed using the standard management guidelines........

Thanks, Steve

TS4 sell nails the high !

Hi Everybody,

After a few quiet days it was nice to see this TS4 sell on the 5min YM nails the high of the day, right before a sharp fall. AS you can see, this short trade nailed this decline in the 5min YM perfectly.

As the YM got to the first projected Profit target, the STF was strong (beyond its strength band), so standard traders would have swapped to the ATRStop. This held the short trade for a very nice +5R Profit (ignoring slippage and commission).

But what amazed me was where the decline stopped, please see the Advanced Blog for this.

Thanks, Steve