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 futures, the Euro and crude. Today is Friday, February 14th, 2014. Happy Valentine’s Day to everyone.
I want to let you know the market opened up here this morning at 1823.25. And we have what’s called an opening range. Price action pretty much went sideways. Once we got out of this opening range we had a nice little pullback for a continuation higher. A nice quick 12 ticks with 2 contracts or more if you had 3 contracts and you held on long enough. I want you to notice the pullback did not go deep enough to stop you out. You would have worked your way up for the full T3.
A second, now this is more of a challenge, we talk about aggressive versus conservative trades. This is a longer timeframe chart. This target 1 and target 2 were hit relatively easily. T3 was way up here, and again, if you’re willing to hold on that long, this was a grind on lower volume and just pushed right up. I did not. I got out right there at 34.25. Depending on how many contracts you traded, this is more of an aggressive trader’s trade. This would not be a conservative trader’s trade. This would certainly be a conservative trader’s trade. We talk about that in the Shark Den. I also want you to see from a momentum perspective, momentum was in our favor also.
Why was this not a conservative trader’s trade? I want you to see this little pullback here. See that little pull back? It broke a previous significant level and with that, that would have been looking for a potential opportunity for a continuation lower. The aggressive traders have a little bit deeper bank account, they could have weathered a stop. You always got to be thinking about how much you could potentially lose. And if they did, that was a successful trade.
Okay, let’s go and look at a lower timeframe cart. From 9:30 to 9:45 we generally don’t trade. In this particular case the market took off. We had consumer sentiment report at 9:55, and that was within consensus range so it was really a non-market moving event. But with the lower volume, the continued grind higher, there was really no opportunities to trade in through here. This happened a little bit faster than expected, directly after that news report.
And then there was an opportunity here, a nice little pullback. This was really the only conservative trade I saw. First target hit, and then if you’re trying to go for a full 2 point target, there’s a Shark band right here. So you could have either taken plus 2 or plus 4, total of 6 ticks, which is not very much. Or if you held on for the full 8 you would have taken a reduced risk stop out all the way over here.
Did have an opportunity to get short. Notice we broke below the moving averages. Pullback, continuation lower. The first target was hit and then forced it out based on internals. Took a plus zero on that trade.
We have a lunchtime zone from 11:30 until 1:15 Eastern Standard Time. Again, you’ll notice I colored this yellow, I did not take this trade. There was really two strong Shark bands here at 33 to 34. I think the next one was 35 to 36. I don’t remember specifically. And if you held on to this, and we had some traders in there, I know there’s some a little bit more aggressive traders that would have held on longer. If you took it from a conservative perspective, I want you to notice momentum is in your favor. Could of gotten anywhere from 10 to 32 ticks. I did not get this trade. Hindsight’s always 20/20, right?
Let’s go ahead and continue on. And then going into the close, there’s two really nice clean setups here. Again, I don’t take much profit on countertrend trades. In this case it was two nice setups. You can see the momentum is in your favor to the downside, 6 ticks and 6 ticks. If you took only one of those trades or both of those trades. Either one of them was successful.
We have a free trial coming up this coming week in the S&P emini room we’re going to be trading on Tuesday and Wednesday. Make sure you sign up. You can go to TraderShark.com. The crude room is going to be for Thursday and Friday. Go to the home page. Click on Webinar Specials. You can actually see a webinar. I was going to present it on Monday which is President’s Day. You can register for the free trial, both crude and the Euro and take advantage of any special offers we have, and the offers will be available until midnight on Friday night. Thank you. I’ll see you on Monday morning.
Link to Video and Transcription