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 Monday, November 5th, 2012.
The market opened up this morning here at 1407 represented by this upper white dashed line. I want you to notice this pre-market action pretty much established a channel between yesterday’s low or Friday’s low. And once we had a little bit of a break below, we don’t trade the first 15 of the day from 9:30 to 9:45.
Once we had a break below Friday’s low, we had an opportunity for a long position here. In this particular case we set this up as a Shark Attack trade. The details in that are described in the Shark Den. And we quickly took a lot of heat. We actually have a 4 point stop on a Shark Attack trade. And as this thing materialized we were emphasizing no short positions at this point as we just kind of hovered around this 1405 level.
Then we had a nice little break above the 1405 level for a pullback. Finding support again. And if you did not get in on the Shark Attack trade here, did not weather any heat, you had an opportunity to get in here at about 10:30 for a potential long position. Now, this was held on with 2 contracts. The first contract went off at 3 points at 12 ticks. Second contract went off at 17 ticks.
This trade here was actually a trendline wave trade. And as the market continued to push higher target 1 and target 2 were hit. Plenty of opportunities. Here’s an auto wave trade long. If you took that you would have gotten about 10 ticks. I did not take this, that’s why it’s colored in yellow.
Another opportunity to get long. Hit our first target. We changed targets at 4 ticks and then actually did not materialize. Thought it was going to continue to run. Got stopped out over here for minus 4. Plus 4 minus 4 equals 0. And in this particular case, coming off of the highs there was a break of the moving average. Pullback. Nice opportunity. Auto wave for a short into the no trade zone.
From 11:30 until 1:15 Eastern Standard Time we do not trade just because of a lower volume and a higher volatility. Notice the pullback all the way back down to this 1405 level. Another opportunity to get in quickly after the no trade zone. Target 1 and target 2 were hit for a total of 10 ticks. If you held on longer, if you saw the materialization of an extended trade with a trailing stop. Some traders would have taken as many as 20 ticks on this particular trade. If you did not, all of the market internals were pointing up. We had another potential wave trade. Another potential wave trade. All these additional opportunities to get into a long position.
And then right into the close, another opportunity to get long right there into the close. And then notice the selloff. So, you know, why did this market stop here at 1411 to 1410. This was a Shark band, okay. You can’t see it on this particular screen, but we had a Shark band in the room. That’s why we scaled out.
To learn more about these and more advanced trade setups or to get a copy of the Trader Shark trading manual, please visit TraderShark.com. Thank you. Have a great evening and I’ll see you in the Shark Den tomorrow voting day.
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.