Thursday, December 7, 2017

Three Leg Trading Strategy | Crude Oil, Emini, Nasdaq, Gold & Euro



"If you always put limits on everything you do, physical or anything else, it will spread into your work and into your life. There are no limits. There are only plateaus, and you must not stay there, you must go beyond them." 

Crude Oil is bullish and three legs higher, telling me to wait for seller-failures after a rather deep pullback tomorrow morning.

S&P is bullish ahead of tomorrow’ Non-Farm Payroll report, and a potential Spike & Range pattern tells me to stay patient for a ‘2-legged pullback’ tomorrow.

Nasdaq is bullish, but trading into major resistance, so I’m looking for bear-traps below the moving-average tomorrow morning.

Gold is bearish with a parabolic move lower, so my plan is to look for a selling-opportunities using buyer-failures above the moving-average tomorrow.

Euro is bearish, but we’re trading at major support, so I’m waiting to sell the bounce up in the ‘battle zone’ of follow the move lower on strength.

Wednesday, December 6, 2017

Wedge Day Trading Strategy | Crude Oil, Emini, Nasdaq, Gold & Euro



“Success is not final; failure is not fatal: it is the courage to continue that counts.”

Crude Oil is bearish with a wedge pattern (one of my favorites), which tells me direction, entry, and exit targets for tomorrow’s session.

S&P is bearish with a flag pattern, telling me to look for buyer-failures up above the channel high tomorrow morning.

Nasdaq is bullish and rotation back to the high of a range, and a Spike & Channel pattern is telling me exactly where to look for buying opportunities tomorrow.

Gold is bearish with a triangle pattern, telling me to focus on failures up above the high of the triangle tomorrow morning.

Euro is bearish with multiple channel to work with tomorrow, which means my plan is to sell a ‘2-legged correction’ up into the ‘battle zone’ waiting overhead.

Tuesday, December 5, 2017

3 Questions Before Every Trade | Crude Oil, Emini, Nasdaq, Gold & Euro



“If we did all the things we are capable of, we would astound ourselves.”
Crude Oil is bearish ahead of tomorrow’s inventory report, and I’m watching a prior support level to be used as a key level of resistance tomorrow morning.

S&P is bearish with another strong move lower to finish today’s session, and I’m watching a key reversal-line for reliable selling-opportunities tomorrow morning.

Nasdaq is bearish and rotating back down to the low of a Trading-Range, and my plan is to use a short-term channel to time the best entries tomorrow.

Gold is bearish with a Spike & Channel, telling me to wait for a retracement up into the ‘battle zone’ for the most reliable selling-opportunities tomorrow.

Euro is bearish and trading at the high of a channel, but a major support level is telling us to stay patient for a deeper pullback for more reliable selling-opportunities tomorrow morning.

Tonight, I want to talk about three (3) questions you should ask yourself before you take your next trade, you’re going to love tonight's newsletter!

Monday, December 4, 2017

Grind-Break Trading Strategy | Crude Oil, Emini, Nasdaq, Gold & Euro



"Defeat is a state of mind; No one is ever defeated until defeat has been accepted as a reality."

Crude Oil is bearish with a “grind-break” pattern, telling me to look for selling-opportunities up above the channel highs in the ‘battle zone’ tomorrow.

S&P is bearish with a parabolic move to finish today’s session, and a channel “overshoot” tells me to look for selling-opportunities back at the opposite side of the channel tomorrow morning.

Nasdaq is bearish and trying to finish a major channel rotation, but recent price-action tells me the sellers are growing weary of selling so low, so my plan is to wait for selling-opportunities after a ‘2-legged pullback’ tomorrow.

Gold is bearish with a flag pattern, telling me to look for selling-opportunities up above the high of the channel, hopefully around Friday’s closing price.

Euro is bearish with a Spike & Channel, so my plan for tomorrow is to look for selling-opportunities up above the base of the channel.

Friday, December 1, 2017

Before You Quit Day Trading | Trading Psychology



Today’s Trading Psychology lesson, I want to cover an important topic that most of us have already dealt-with, or will deal with at some point in our trading careers.

Before I get into today’s lesson, I want to remind you that in previous lessons we talked about the difference between stress and distress

I said that stress was performance-enhancing, whereas distress was the opposite.  Stress is the healthy reaction to having money at risk with an uncertain outcome, while distress occurs when our interpretation of that uncertainty becomes much more than just the money at risk on the trade.

With that said… one of the worst types of distress has to be despair, discouragement, desperation, dejection.

Imagine… you decide you’re going to be a professional trader, you work hard for a few years, riding-high on the excitement of conquering the business of day trading.  You read all the books, attend all the seminars, watch all the videos on YouTube, try all the software programs, but nothing seems to get you much past break-even in your account.

Wednesday, November 29, 2017

Stop Forcing Trades | Trading Psychology



Today’s trading psychology question of the day…

“I can’t seem to stay patient long enough to wait for the best trading opportunities.  I know my strategy works because when I use the rules I usually make money, but I just can’t seem to stay patient, and I wind up forcing the situation, which usually ends up in a loss.  Do you have any suggestions on how to stop trying to force the market each day?”

Great question, and certainly an obstacle that I had to overcome, and im sure most traders battle as well.

How do we stay patient for the best trades?  How do we stop forcing trades?

First of all, just so everyone’s on the same page, the word “forcing” trades can be associated with a few different scenarios…

·        Taking trades that don’t fit your rules
·        Taking too many trades (over-trading)
·        Taking trades with too big of a position size (trying to get rich on each trade, forcing too much) 

This is the opposite of what successful traders do.  Successful traders wait for the moment when the odds are in their favor and when they have a statistical edge over the opposite side of the market. 

In other words, the best traders wait for the market to come to them, rather than chasing the market.

Forcing trades is the exact opposite… you’re trying to make the market bend to your will.