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, June 6th, 2013.
The market opened up this morning at 1606.25 represented by this white dotted line. The trades in yellow are trades that I did not take. From 9:30 to 9:45 is called no trade zone. I generally don’t trade during this timeframe unless we have one specific setup. And this here is what’s called a pro-range reversal. It’s only good for 4 ticks, which is a quick scalp.
Continuing on into the day there was a nice little burst higher. Again, opening 15 minute range. There was a nice little breakout trade that occurred. We talked about it in the room. Again, I did not take this. After the breakout we saw a nice little pullback. Had an opportunity to get long. In this particular case our first target got taken out. Then I got stopped out for minus 4 ticks.
As the market continued we were still in the middle of our opening range and I chose not to do anything. And I want to show you all morning, even though we had our auto waves firing off, I’m going to go ahead and pull up one of the indicators we use. It’s called a directional indicator. And I want you to notice the time. I drew this blue box around it. And as the directional indicator is below our threshold, notice how it turns yellow, the blue box indicated a choppy timeframe. And just we chose not to take any trades. If you go back and look at any indicators during this time frame, we stayed safe. We stayed safe, right.
And the only time that we start to see any type of potential movement was in the no trade zone, right, because our no trade zones starts at 11:30. Right here, just before 12 noon, we started to see a bearish move. But again, it was also during a no trade zone. So let’s move this out of the way.
The market began to sell off. Some of our auto waves began to fire off. Again, I don’t take trades during the no trade zone. So this would have gotten stopped on an auto wave. This auto wave would have been great. This auto wave would have worked out nice. These auto waves worked out nice. These auto waves worked out nice. But again, it’s during a no trade zone. So that’s a little part of the discipline.
Coming out of the no trade zone, right here at about 1:15 Eastern Standard Time, watching the market a little closer. And then here is where patience is a virtue. I want you to notice, we had an auto wave. We had a Fib retracement. We had a Shark Attack. We had all three factors, so generating anywhere between 14, 15 or 16 ticks.
Now with that being said, right here at 2:00, I prefer not to take any long positions. So we did look for a setup. Nice little auto wave. Got the first target off easily. And actually got stopped out for minus 2 ticks on this particular trade. So it was a countertrend trade. Countertrend trades have a lower percentage of profitability.
Continuing on into the day, there was another nice auto wave fired off right here at about 2:16. Right, from 2:00 to 2:16, nice opportunity at target 1 and target 2, for a total of 10 ticks. The market continued to move higher. Here at about 3:20 we had another auto wave firing off with the rest of our indicators for 16 ticks on this particular trade.
I’m going to go ahead and bring my directional indicator up into the scenario. I want you to see that as we get, our directional indicator is bullish on top and our auto waves are firing off. Got a nice clean combination for a continuation higher.
And then as this market continued higher, another auto wave fired off. We have momentum in our favor with directional. It was an awesome combination for a successful trade. So patience is a virtue. The longer you sit and wait for the proper setup to come to you, the higher probability you have of a successful trade.
To learn more about these and more advanced trade setups or to get a copy of the Trader Shark 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.