A good day on the e-minis, part 3

As profit was being taken on the 3min NQ short, a TS3 buy was coming in on the 5min Chart. The first one of these buys ended up as a -1R loss, but the second nailed the low perfectly. The NQ then rallied strongly for the rest of the day. The result was a nice +4.1R Profit (ignoring slippage and commission). So even after the -1R loss earlier, this mean +3R Profit overall. Yet again, a brilliant example of how small losses and big profits can make you money overall.

So overall it was a very good day on the US e-minis and is yet another example of how the good days will follow some harder days that unfolded midweek. This is just the natural cyclical nature of the markets and something all professional traders know and understand.

Thanks, Steve

A good day on the e-minis, part 2

As the ES was on the way down to its minor DP support zone, the 3min NQ gave a nice TS3 sell. Notice that the NQ made a “double top” a few bars later so this was not a -1R loss as the first short was never stopped out.

As you can see, the NQ then declined to reach the first project profit target, were profit was taken as the STF was weak, for a very nice +3.2R Profit (ignoring slippage and commission.

This was a completely standard setups and standard trade management.

Thanks, Steve

A good day on the e-minis

Hi Everybody,

Friday was a good day on the US e-minis with a number of good trades. Top start with let’s look at the ES.

The day started with the DP nailing the low of the day !! Although this would have been an Advanced Trade, it does show how powerful the tools are in the software. Then we had a TS3 sell. The ES only managed to decline into the DP from the prior Wave b low. But I have shown this support zone in prior posts. A nice +3.6R (ignoring slippage and commission) Profit was available at this level.

But, why would you want to take profits at this DP, after all it is only a “minor” support zone ? Well, as we will see, there was a lovely Automatic TS3 buy on the 5min NQ at this time which would have give extra “weight” to a low coming in. This is why I always say that it is a good idea to keep an eye on all 4 of the US e-minis

Thanks, Steve

A few small losses

Hi Everybody,

Well we are defiantly in the hard part of the cycle at the moment. As you all know, the markets go round between the good times (profitable trades) and quieter times when a few losses unfold. I call this the Cyclical Nature of Trading. As after a few very good days earlier in the week, we are now having a few losses come though. But (and this is the trick) these losses are kept small at just -1R. If you remember, earlier in the week we had a +10R day, so these losses are small when compared to the profits. This is just the natural way profits and losses unfold when trading....

But it was not all hard work yesterday, please take a look at the Advanced Blog, for a look at a lovely “Gap Opening” play on the ES that made a nice +6R Profit (ignoring slippage and commission).

Thanks, Steve

A quiet day

Hi Everybody,

It was a quiet day on the US e-minis yesterday, for example, there were no automatic trades on the 3min ES. But they we should all be familiar with the Cyclical Nature of Trading buy now, so quiet days are just a natural part of trading..........

But does this mean that nothing happened yesterday ? Well No, just take a look at the Advanced Blog for a lovely setup on the 3min YM. How the market unfold sometimes still amazes me – once you know what to look for !

Thanks, Steve

Tricky trade management

Hi Everybody,

After a couple of easier days, where we had some massive profits come in, it was no surprise that yesterday was a little trickier. This is just the natural Cyclical Nature of Trading at work...........

In particular, I would like to look at the TS4 long on the 3min YM. In past post I have suggested that when a trade reaches the DP from the prior wave b that stops should be raised to “at least” break-even. Well, that is what happened yesterday on the 3min YM.

After that, it was a frustrating wit until the close, as the markets just chopped sideways for the rest of the day. But the upside is that on the close there was a small +1.8R Profit (ignoring slippage and commission). So even though it was a hard and frustrating day, there was a profit at the end of it.....

The Russell Index was more interesting, so I will look at this in the Advanced Blog.

Thanks, Steve

Watch the STF colour

Hi Everybody,

Just a reminder that “Standard Traders” should only trade “in the direction of” the STF colour, so that is blue/black for a buy and red/black for a sell. Only “Advanced traders” should consider going against this, when they use the larger degree 15min charts. But to keep it simple for the newer traders among you please just trade with the STF colour. Once you become more experienced you can look to use the 15min charts and then you will be taking trades against the STF.

So this mean ignoring the two sells early in the day on the 3min NQ. But then taking the TS3 buy at 14:33, but this resulted in a -1R loss. Losses are OK, because straight after we got another TS3 buy, this one nailed the low.

The NQ then rallied nicely to reach the first projected profit target, where a profit of +3.7R (ignoring slippage and commission) was made. But do you see the important part here ? The Profit was much much larger than the loss. This is what makes money over time – big Profits and small losses. And that is what MTPredictor helps you achieve.

Thanks, Steve