February 16, 2011
Big Money Trigger Line & Calculating Profits per Trade
– Big Money Trigger Line
o One of our proprietary indicators available to advanced members
o Slower version of our trigger line
o This is where the BIG MONEY is often entering and exiting their positions
o This is also OFTEN in the middle of the short term trading range
o The reason why BIG MONEY traders will use this is because on their daily charts, this is the same as the trigger line on our 13range charts.
o Avoid trading around the BMT if we’re in the middle of the range (most often)
o I’m watching this level on ALL different timeframes to make sure we don’t
o Its ok to use it just like the regular trigger line, for entries stops and targets
o But remember the BMT will not be the highest percentage location, we assume its in the middle.
– Calculate profits
– 4 contract trade
o 2 contracts (1/2) at first target and move stop to entry
o 1 contract (1/4) at 2nd target
o 1 contract (final ¼) off for the runner
– Example:
– 843 get long on crude with 4 contract
– 2 off at T1 (should be +5) but slippage got me filled +6, this = 12 ticks profit total for the first 2 contracts
– Move stop to entry, lock out the risk, let my trade run
– Take 1 off (1/4) at 10 ticks of profit for another 10 ticks
– Take the final 1 (1/4) off at the final target, which will be different for every trade, to complete the trade management.
– RANGE VS. MINUTE CHARTS
– 13range = 13 ticks of trading range for every bar
– 13minute = 13 minutes of time in every bar
– 1000Volume = 1000 contracts of volume for every bar
– Reasons include: easier to manage risk, easier to identify patterns, easier to learn
– Goal of this indicator is to confirm when MULTIPLE Timeframes confirm in the same direction on momentum
– o When we have 2 timeframes confirming momentum, this dramatically increases our % for success
– o When both momentum indicators are pointing DOWN we color it RED
– o Unless oversold
– o When both momentum indicators are pointing UP we color it GREEN
– o Unless overbought
– o When they do NOT agree we leave it BLACK/NO Color
– o Very easy to use, just download the indicator and load the proper template:
– o 21range = Fast21
– o 13Range = Fast13
– o You can ‘create’ for any market you wish to follow.
– o Just have the JJMomentum point towards another timeframes.
– o We’ll do detailed training on Wednesday for our me
– Auto Trader
– Auto trader does 100% of the work for you
– Comes with advanced membership
– Takes the trades, manages the trades, exits, everything
– Can run 24/7
– Operate on 1 or 1000 different markets
– Training on Wednesday with members
– Settings are posted in the adv course download section
Tick values for the different markets:
ES = 12.50/tick
CL = 10/tick
GC = 10/tick
TF = 10/tick
6E = 12.50/tick
· Our trading schedule for the holiday this weekend:
· Sales / Support is open the whole time
· Closed: Thursday and Friday
· Re-open on Wednesday the following week @ 745am
· Monday is the holiday, traveling back on Tuesday, back in the room on Wednesday morning.
· Closed for 4 days (includes the holiday)
· If you need another 4 days on your trial b/c we’re closed email us for more info.
This week we have a double whammy:
– OPEX week (most traders would rather be at the dentist)
– Long Weekend, Monday is holiday
Expect Thursday and Friday to be very challenging, and with Monday the holiday you can assume most professionals will leave after Wednesday.
3 options for trading over the holiday:
– Wait patiently for the SPEED to be there and use double confirmation to enter your trades
– Take a vacation, rest up for the rest of the quarter
– Use market replay to go back in time and trade a day when there was NOT a holiday.
