Breakouts & Failure Patterns & Focusing on 1 Market

– Which market would you focus on and how

o Experienced trader = crude oil from 745-12pm EST

 Good combination of liquidity and volatile
 E-mini ES is high volume with low volatility

o New Trader = euro from 3am – 12pm EST

 Dollar correlation
 Good liquidity so broker charges lower margins
 Good volatility so we can take more trades with that
 Its European currency that trades on the US session, which gives people all over the world an opportunity to trade it

o New Trader = Gold from 745 – 12pm EST

 Breakout market and we are breakout traders
 Low cost per tick just like the Russell
 Not too much volume, so it moves well
 Very strong correlation to the dollar

o New Trader = Russell from 930-1230pm EST

 Member of the e-mini, so watch for the sideways narrow trading ranges
 Not breakout markets
 Range-bound markets so we look for reversal patterns rather than breakout patterns

– Failure patterns

o Breakouts use the Breaker and the Wave Pattern
o Failed breakouts use the 2-step pattern

– Trading the Aussie Contract

o Symbol = 6a

– Only 3 coupons left for 10% discounts for the month of September!
– Can we use the SOT indicators on other charts?

o Yes you can, we can convert indicators if we don’t have them already
o You own the indicators for NinjaTrader and they will work on any charting package.

– What account size do we need for our trading method

o $1,000 = 1 contract is all I need
o Fast track will help you DOUBLE that to 2 contracts, then to 4 contracts and the rest is history!
o JJ trades 4 contracts in the room each day
o Looking for a broker w/out the min account sizes email our sales team sales@schooloftrade.com