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 Brian with TraderShark.com, an educational website to learn how to trade the emini S&P futures. Today is Friday, November 1st, 2013.
The market opened this morning at around 1755.50. And as the market opened up this morning it appeared to have a type of breakout. Did not meet our criteria. I want you to see this long candle, directly after where a hook pattern sets up. So this candle did not allow us to have a true setup long. And it quickly reversed, worked its way down. And the news reports were both neutral, within consensus range. And we had an opportunity for another hook pattern to the downside again, this did not meet our criteria.
Until, the only really good trade we had today, you can almost see an inverted head and shoulders. See the shoulder here, head, shoulder, for a continuation higher. Where’s the target? The target is the difference between the tip of the head to the neck line to the breakout. Now I want you to notice, from the breakout point to the target, which was 1757, you’ll see it a little clearer when we go over to the lower timeframe chart.
This is our lower timeframe chart. I want you to notice the 1755.50 white dotted line, that’s the opening price. And we had what’s called a pro-range reversal. And only got 3 ticks with 1 contract. Not a big deal. That’s a very aggressive trade. And we discussed that in the Shark Den as to why that parameter.
The Globex range was barely 4.75 points this morning, so that being said, I took the smaller pro-range reversal. And then you can kind of see the sideways chop really didn’t give us an opportunity to take any trades. A little burst, we have what’s called an opening range. It was still within the opening range. And this is that initial hook pattern we had set up that did not meet our criteria. So I did not get a chance to get into that. It reversed after the news report. Pulled its way back into the opening range.
We generally don’t trade within 1 point of opening price. It tends to be choppy and this is an exact same reason why I try to get short right in through here. Had an opportunity to get my first target off and then I got stopped out, I’m out. So I got plus 4 and minus 4 for a total of 0 on that trade.
And then of course, one of the larger selloffs today. I didn’t have any indication except for what’s called a breakout trade. And it did set up. I did not take advantage of it, so I had to color it in yellow. But we talked about it in the Shark Den for those of you that did get a chance to take care of it. You can kind of see it worked its way all the way down to yesterday’s low and continued deeper to suck in our short sellers.
Sideways motion going into the lunchtime trade zone. And I want you to notice the sideways motion. Coming out of the lunchtime zone an opportunity to fire off long. Little bit of a pullback here at around 2:00. We generally don’t take long opportunities at the highs of the day. In this particular case got the first target off, got stopped out for minus 2 ticks.
Another opportunity to go long in here, this is around 3:00 in the afternoon. I don’t recommend trading from 11:30 in the morning until about 3:30 in the afternoon, it does tend to be choppy. I did not take this trade. But this pullback here, right at about 3:30 was nice. It also matched up with the inverted head and shoulders trade. And we talked about the potential target up there at around 11:57. And if you had a runner, it’s a great opportunity. These pullbacks are only 6 ticks. So going into the close, the final no trade zone.
We have a live webinar next Wednesday as well as a free trial in the Shark Den on Thursday and Friday. If you’d like to get more information about that please email me at info@tradershark.com. 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 weekend and I’ll see you in the Shark Den on Monday 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.