Archive for ‘futures trading’

ES Emini Day Trading: Should You Pay to Learn to Trade

By trader7757, 26 November, 2009, No Comment

On the other hand, most novice internet traders don’t have the option of learning in an institutional setting, so they must learn from a number of sources. Yes, it is going to cost some money, but it doesn’t have to be a whole lot of cash.

ES Emini Day Trading: Detailed ES Chart-with Trades

By trader7757, 16 November, 2009, No Comment

Chart courtesy of AMP Trading, get a free demo account and paper trade.

ES Emini Daytrading for Monday, November 16, 2009

Click on chart a couple of times for enlarged chart.

I had a fine day on the ES Emini, as the day trading was exceptional. I would have a big smile on my face if I hadn’t taken one trade, though I only lost a point, but showed a lack of discipline in taking the trade. These mistakes, on a particularly volatile day, would spell disaster. I don’t like depending on luck to profit.

Today was also a day where pivots, support and resistance were the name of the game. Notice at the end of the day how the price action fell to right on R2, which had taken up a support and turned on a dime.

ES Emini Day Trading: More on Decision Bar Trading

By trader7757, 14 November, 2009, No Comment

I field several requests for information on DecisionBar every week. For ES Emini day trading, it seems people are looking for that magic bullet that puts them over the top. Trade setups are evaluated through a filtering process, which is to say that a numbers of indicators are used to select a profitable trade.

When I see a trade setup in the offing, I consciously try to find reasons not to take the ES Emini trade. That sounds a little counter-intuitive, doesn’t it?

Not really.

One of the biggest mistakes a trader can subject himself/herself to is chasing the price action. We have all done it, usually with disastrous results, and I consciously try to fashion a trading image of myself as a cautious trader. Not scared, but cautious. This may be a blow to the ego of some traders, but futures trading is no place for an ego.

Decision Bar makes a fine filtering device, and has kept me out of some ruinous trades. It is also a great indicator for breakouts and breakdowns. Of course, it is not hard to spot a breakdown or breakout, but when you combine the DecisionBar oscillator with the DecisionBar indicator, you find yourself will a lot of information at your fingertips. Filter, filter, filter.

So I use DecisionBar as one of my primary filtering devices when trading. I have found the price exhaustion signals on DecisionBar to be unreliable. This, of course, my be a function of my reluctance to enter counter trend trades, especially when the price action is significantly above or below the 89 period SMA. I should point out that less than four or five points on the ES Emini does not necessarily exclude a trade, but it does cause a red flag. I want to trade with the trend and not try to make a living discerning when the market is going to change direction.

The DecisionBar manual even points out some great filtering devices to use when trading the ES Emini and use the Decision Bar program as your primary indicator. Judging from the reviews by traders on chat boards, it is obvious that most have not taken the time to completely familiarize themselves with the manual provided. Additionally, there is an easily accessed page on the Decision Bar site called Decision Bar hints, and this resource should be read, too. There is a wealth of information available on Decision Bar, and once a trader learns the program, there is no reason to complain about using the program profitably.

Finally, there is some concern about the quality of customer service Decision Bar provides. This is not my experience. If you call customer service with a trading problem, there is a good chance you will be asked to read the manual. However, if you have some technical issues, there is no doubt in my mind that you will find the service just fine.

ES Emini Day Trading: A Detailed Trading Chart.

By trader7757, 13 November, 2009, No Comment

Chart courtesy of AMP Trading, get a free demo account and paper trade.

ESZ9 November 13, 2009, Friday the 13th.

Day Trading on this date, including the actual trades I took

I got an email today that asked why I don’t show the actual chart I traded today, as oppose to this chart which is a markup of todays day trading. I trade directly off the chart so my account numbers and account balances are right in the corner of the chart. I like you guys, but who knows what someone could do with my account numbers. Hope that helps.

After a nice move to the upside I became convinced that market was going to drop, which was a mistake you should note: I broke my own rules in taking the 2 trades to the short side since the price was significantly above the 89 Period SMA, and I was trading against the trend. I flopped on those 2 short trades, too. I am a stubborn one, and my short trade finally came. Such is the life of a scalper, we can be delusional and still be profitable. I was just sure the market was going down, and we all know there is no way to know what the market is going to do….

I finally got my short trade, followed by a quick, half-hearted long then called it a day. I was profitable in my delusional thinking, but the thinking is the path to zero balances in my account. Oh well….

ES Emini: Pivot and Fed Announcements, Commentary.

By trader7757, 8 November, 2009, No Comment

ESZ9
For 11/09/2009

How To Use

Symbol		R1	R2	Pivot	S1	S2
ESZ9		1072.67	1079.08	1063.08	1056.67	1047.08

Fed and Agency Announcements

4-Week Bill Announcement

11:00 AM ET

3-Month Bill Auction

11:30 AM ET

6-Month Bill Auction

11:30 AM ET

3-Yr Note Auction

1:00 PM ET

Monday’s Pivot info is above.

Not a whole lot relevant of day trading info on Monday, with the exception of some bill and note auctions. All sorts of chatter on the ES Emini day trading chat boards, the doom and gloom crowd is out in force, and with good reason, though there is an infinite realm of political and economic possibilities. I can’t say I fully understand the market of late, and I am thankful I am a scalper so I don’t have to try to pick the market direction. I have not the slightest idea which way we are headed.

If you haven’t watched these FREE Videos, you are missing great info

What Does it Take to Become a Profitable Day Trader

By trader7757, 30 October, 2009, No Comment

I was reading an ezine article this morning and it went through a laundry list of things required to be a day trader. I suppose the author’s system might very well work, but it certainly seemed awfully labor intensive to be truly successful. It also was very capital intensive and relied upon the trader’s ability to forecast directional market moves. Yikes!

Step 1.

Decide what you want to trade. I try to trade the most highly leveraged investments I can find because it maximizes my return. For me, that would be index futures contracts. They are liquid, accessible and trade very much like equities. They are also highly leveraged, which gives the trader great potential for profit, and conversely, great potential for loss.

Step 2

Start with the YM contract, I believe it is easier to trade than the ES contract. Don’t start trading with real money, use a demo account and paper trade. You will need to learn a system to trade, and I have made some videos that hint at my trading technique but plan a launch of my entire system in the near future.

Step 3

Once you can trade on paper for consistent profits, it’s time to trade with real money. It is different with real money, and I can’t explain why, it just is. The hallmarks of a good trader are excellent technique and unfaltering discipline. Never take a trade on a hunch. You have a system, use it.

Check this amazing FREE trend anlysis report on any issue you trade, especially the eminis:

Step 4

Money Management is of prime importance in trading. Never risk more than 5-10% of your capital on a given trade. You should open an account with a minimum of $5000 and only trade 1 contract until you have raised your account balance substantially. Remember, 1 contract.

I have all sorts of recommendations for brokers, margins…etc, but that will come in time. For now, realize that leverage is a disciplined day traders friend.

A Short Video Explanation of My ES Scalping Style

By trader7757, 28 October, 2009, No Comment

ES Emini Detailed Trading Chart

By trader7757, 27 October, 2009, No Comment

The market did not display a huge range today but bounced around between about 15 points, staggering about like a drunken sailor. It made for some very nice trades and I was fooled on one trade badly, even though the setup was fairly decent. Needless to say it was a fun day to trade and I came on pretty well in the black.

The Fractal Futures Trader