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,
TraderShark
Good evening traders, this is Brian with TraderShark.com, an educational website to learn how to trade the emini S&P futures and the Euro futures.
This is a higher timeframe chart. I want you to notice right here this opening range, opening price today was at 1843. Today is January 21, 2014. A lot of the indicators were all pointing up, ready to go bullish and sure enough we broke our opening range to the downside. Nice hook pattern established itself. Whether some of the traders got this or did not, I colored it in yellow because I did not get ahold of this trade.
However, as the market continued down we had a little bit of a break out. Nice pullback for a continuation of a hook pattern. In this particular case I had a full room today and I was running two different computers. I wanted to let you know. I only pulled 16 ticks on this particular trade here. But the actual range if you had 3 contracts would have run anywhere from 16 to 32 ticks all the way to the downside.
Another hook pattern set up here to the downside. I want you to notice the yellow arrow did not get ahold of that one. And we had another opportunity right here, right behind it. For a continuation almost a duplicate scenario 16 to 32 ticks.
Once we reached down to the Shark band, this first Shark band was cut through like butter. The next one tested a resistance, and I want you to see, we’ll go to a lower timeframe, but on our five minute chart we had a nice clean bullish divergence. And all that is simply saying is we got a lower low on price action and a little bit higher low on momentum.
Once we saw that kind of setup, it’s called a Black Fin. And there we had an auto wave on the anchor chart push higher. And I’ll show you where we monopolize on that later on. And then once we work back our way up to the Shark band I want you to notice this black area is called Open Water, you’ll find a lot of sideways chop.
Let’s go ahead and go to a lower timeframe chart. This is our lower timeframe chart. I want you to notice coming out of our no trade zone from 9:30 to 9:45. We had a lot of sideways motion, sitting on our hands the first part of the morning. I know it gets kind of frustrating, but if you can maintain that type of discipline and patience, it really will help you develop into a much better trader.
We had our little breakout to the opening range to the downside. I want you to notice the 1843 opening price. Nice pullback another opportunity for a total of 10 ticks. This is more of a conservative trader’s trade. So these are both going on in conjunction with that prior hook pattern.
Then we have a trending time pattern from 10:30 to 11:15, I want you to notice we were looking for shorting opportunities in through here. This was that second shorting opportunity. A little bit smaller timeframe that you saw on the anchor chart. As we worked our way into the lunchtime trading zone I want you to notice how there was a nice setup for a potential long opportunity, whether I colored it in yellow, I did not get that one. And then I don’t trade after 11:30 in the morning.
From 11:30 to 1:15 Eastern Standard Time is called a lunchtime trading zone. Coming out of that do you remember when we had bullish divergence on the anchor chart? Bullish divergence, in for a little bit of a pullback right here. Anchor chart launched off higher pushing us on up into our next Shark band.
Continue on into the close for no further trades. I did try to get into a long position here and I forced myself out for no profit.
I wanted to thank you for watching. To learn more about these and more advanced trade setups or to get a copy of the TraderShark trading manuals please visit TraderShark.com. Thank you. Have a great evening and I’ll see you in the Shark Den in the morning.
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.