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 Wednesday, September 25th, 2013.
The market opened up this morning here at 1692.25. I don’t know if you can see that white dotted line there. I want you to see this is a higher time frame chart. We said here at around 9:45, we had an opening range of over 5 points. That means the tendency of the market is going to be sideways chop. So we know that. I also want you to notice the Shark bands, how tight they are here to the downside. You usually don’t see this. But as tight as these, we also knew that this was going to be a choppy area in between. So any type of trading today would certainly be, notice there was a little wider spread on the upper Shark bands. Expecting a choppy day. This is our higher timeframe chart. I want you to just see what happened once we broke this trendline, just sideways chop right on into the close.
Let’s go ahead and take a look at the lower timeframe chart. So starting out this morning, we generally don’t trade from 9:30 to 9:45. But I want you to see here, we do have what’s called a pro-range reversal. Had an opportunity to get long in through here. Did not get filled. Had an opportunity to get long in here, I entered a tick too early. It would have been a nice clean trade. So it’s only a scalp. Once we had that opening range established, we knew we were going to have sideways motion.
This happened way too fast. Notice the yellow arrow means that I did not get the trade. You can see the sideways motion. Take a step back. If you get too confused by the lower timeframe charts, take a step back and go to a higher timeframe chart.
Right here at about 10:10 we had news out at 10:00. It was a non-market moving event. Opportunity to get short. Got my first target off. Did not move my stop as I would ordinarily do. So I violated my rule, and I got stopped out for minus 8 ticks.
Then as we worked our way back above our moving average, I was not able to get into this trade. Shortly thereafter I had an opportunity to get long. Got a total of 6 ticks. And then trying to go long into opening price is another rule that I generally don’t do. I did. Got stopped out for minus 4 ticks.
Coming off of opening price I had an opportunity to get short, did not get into this trade. Being a choppy day, everything that you’re seeing right now, nothing was a surprise. So you know, what you want to see is you want to keep your profit targets tight, keep your stops tight in this type of environment.
And then going into just before the no trade zone, I had an opportunity to go long. Got the first target off, and then that’s the rule before you take into the no trade zone, you don’t want to establish any new trades. If You’re already in a trade and you’ve got your first target then it’s okay. Held on, got stopped out for minus 2 ticks.
From 11:30 to 1:15 Eastern Standard Time is the no trade zone. After the no trade zone we had a little bit of a selloff. Really didn’t have any opportunities to get in there. Little bit of a pullback. Opportunity to get short. Target 1, target 2 hit for a total of 6 ticks. Again, notice the profit targets are very tight. Why? From the higher timeframe chart you saw Shark bands, so you don’t really want to be trading when you’re in the middle of a Shark band.
And that was pretty much it for the day. Look at this sideways motion right into the close. So our indicators in the Shark Den kept us safe and on the sidelines. I hope you all at least stayed safe today.
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.