Learn to Day-Trade the Emini S&P and Euro Futures – live with a full-time trader.
This video is designed for educational purposes only and to show some of our trade plan setups to reinforce our daily trade plan review.
To successful trading,
Good evening traders, this is Brian with TraderShark.com, an educational website to learn how to trade the emini S&P futures. Today is Thursday, September 26th, 2013.
The market opened up this morning at here 1689 represented by the white dotted line. We generally don’t trade from 9:30 to 9:45. After 9:45 market ran a little bit sideways and then had a nice little pullback for an opportunity to get long. Got the first target off, second target missed by 2 ticks, and the third target did not get hit, depending on the number of contracts you were trading. Came right back out. Indicator came right back, stopped us out at our entry. Nice little pullback for continuation, total of 6 ticks to the downside. Another pullback 8 ticks to the downside. Third pullback, the best one, I missed. It was working its way back towards the opening range and I know that in the open range it does tend to be choppy, so did not have an opportunity to get in on this.
Pullback all the way back down to the open. And then you know what happens with the open, a lot of people fade it trying to go long here. I did not get into any trades going on at this point. I don’t like to trade around opening price. And then we actually broke through opening price, down through the weekly level, the weekly low from last week, and on into lunchtime no trade zone from 11:30 to 1:15 Eastern Standard Time.
Now I want you to notice here, I am not going to count this trade. Generally, I don’t trade from 11:30 to 1:15 Eastern Standard Time, but you have to remember that trades still do setup and we’re just coming off that 11:30 timeframe. A little bit of a pullback. It was really quite a nice Fib trade here right up into, its profit target’s a total of 10 ticks. And then again, no new trades once you get into the no trade zone.
Coming out of the no trade zone we had already had a substantial push higher. Again this pullback that worked its way back in towards our opening range. Pullback to our moving average that I did not get ahold of. Price action continued to work its way back down to the weekly low until we did have an opportunity for, they continued to retest this opening price. Final pullback and then I quickly shifted over to the daily chart. You can see after five down days we really were due for a burst higher, and with that we saw our moving average tested.
Actually got into a trade here called a Shark attack trade and the pullback was not deep enough to take us out. It was very systematic. We waited for the launch higher. Target 1 and target 2 were hit. I actually exited, by the time we get into our final no trade zone, I exited a little bit early. I only got 12 ticks on this particular trade. But if you had held on into this trade with a trail stop this certainly could have taken you us as high as 48 ticks or more. Squeeze right on up into 4:15. We had targets here of 1689.75 and 1691.75 at the end of the day where was the high? At 1693.25.
Okay, so let’s look at Friday, September 27th, 2013. I’ve got it on chart because otherwise you could fall asleep looking at the lower timeframe chart. I want you to look, it ended up Friday was just a mess. Probably shouldn’t have gotten into any trades, but the pre-market I want you to look here, this selloff here gave us what’s called a tidal wave setup. And with the tidal wave setup I was looking for short opportunities. So I had an opportunity to get in short here. Got off my first target. Came back out and again, this is one of those you hold for a good portion of the day. So go our first target off, so safely only lost 3 ticks. And then a second opportunity to get in, safe loss only 2 ticks. So all in all, you know the risk reward here, we ended up getting stopped out, but they were really good trades. The challenge is we came right back up across this trendline. This trendline was all the way since Monday. And so I did expect for us, once we got below this trendline for us to continue lower. Did not happen.
Consumer sentiment was within consensus range and then absolutely nothing for the rest of the day. I want you to notice horizontal line here at 8375. This was the opening price and as price wraps around opening price that’s an area of chop. You stay within your opening range. That’s an area of chop. I just want you to see, even though these Shark bands were tight, they did exactly what they were supposed to do. They’re telling us ahead of time of the consolidation areas and found resistance, found support, found resistance, found support, resistance, support, resistance, support, resistance, support, resistance and finished the day with minus 7 ticks.
I hope everybody has an awesome weekend. Stay safe. And I’ll see you in the Shark Den on Monday morning. Thank you.
Link to Video and Transcription
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time. Past performance is not an indication of future results.