3min YM manual DP sell...

OK, now we have decided that the YM was in a clearer and more obvious position on the 15min Chart, lets move down to the 3min chart and see what we get.

Well, at 10:42EST the 3min YM was also at DP resistance and as such the Advanced Traders among you had a potential manual DP sell setup. As you can see, this was the high of the day off which the YM declined nicely.

Once the STF strength band was exceeded (after reaching the opposing DP) the ATRStop was used, this resulted in a nice +6.5R Profit (ignoring slippage and commission) .....

Thanks, Steve

The larger degree trend Part 2

In the 15min Russell Index chart (post below) the picture was very unclear, but now compare this to the 15min YM (chart to the right) and I hope you can all see how the picture was a lot clearer, with the 15min YM reversing off DP resistance mid morning.

So what would common sense tell you to do if you have a clear picture on the YM but not on the Russell ?

Exactly, pass on the Russell and focus on the YM for shorter term trades.... so let’s take a look at the 3min YM in the next post

Thanks, Steve

The larger degree trend

Hi Everybody,

Today I have some good examples that will help with many questions I get on a regular basis, and that is what to do when the larger degree trend is unclear ? As such I do suggest you read all of today’s entries to follow the examples though.

A good example was on Friday, so let’s start by looking at the 15min Russell Index chart ?

As you can see, the picture is not clear at all with no obvious DP support or resistance zones off which the markets is reacting.

Now compare this with the 15min YM chart in the next post (above)

Thanks, Steve

5min YM

Hi Everybody

After a tricky start we did get a nice manual DP sell towards the end of the day on the 5min YM. As this was a manual trade, it should, be consider more of an Advanced setup. As you can see from the chart this was also on a VSA high volume spike as well as on STF divergence (not shown).

Also, the reason I liked this setup is that it was “in line with” the 15min chart that was at 15min DP resistance.

As you can see, a +3.8R Profit (ignoring slippage and commission) was a nice end to what was otherwise a boring day....

Thanks

Steve

What to do when the pattern is unclear...

Hi Everybody

Most of yesterday was a hard day especially as the picture was not clear as the US e-minis dipped down though DP support and then drifted higher. So this does raise a good question – what do you do if the pattern is unclear ? Well, as I say in the Trading Course Part 1, the pattern on most markets will be unclear about 50% of the time, so this is something all professional traders will need to handle on a regular basis.

Common sense should step in here and tell you that when the pattern is unclear, you should do nothing. It is always best to only works with the clearest patterns. This is something I teach and mention regularly in my training webinars as well as outline in the Trading Course

Again, this is where we are different, here at MTPredictor, in that we deal with the realities of trading, and show you how to handle situations like this which will come up regularly.

Thanks

Steve

3min FTSE winner

Hi Everybody,

It was not all doom and gloom yesterday, there was a very nice +12R Profit on the 3min FTSE, please click on the chart to the right, that I had a good look at in my training webinar (MTP customers only) yesterday. Here we saw how it was a good idea to look to “run” this short into the Typical Wave 3 WPT target on the 3min Chart, because this “fell in line” with what the larger degree 15min Chart was saying.

This is where the additional training of the MTPredictor customer webinars comes in. As you can see, a purchase of MTPredictor is not just the software, it includes lots of additional training as well, as we wish all our customers to get the most from the software......

Thanks

Steve

Again, Losses are important to include

Hi Everybody,

Again, I must stress how important it is to realize that losses can and will unfold in any trading. Too many Gurus just do not mention losses, and that annoys me. Anyway. After a couple of good “Gap Opening” plays over the last few days it was no surprise that one yesterday did not work, please see the chart to the right on the 3min NQ. But, and this is the important part, this loss was kept small at just -1R, which is small when compared to the Russell Gap open play of +6R Profit yesterday. This is the secret to successful trading, keeping the losses small (not avoiding them) and the profits large.

Otherwise, yesterday was a hard day on the US minis, which should come as no surprise, especially after such a brilliant few days recently. I hope you all remember the cyclical nature of trading :-)

Thanks

Steve