in Atlas Line Trading, DayTradeToWin, Live Trading, Price action Trading |

Signals for Futures Traders: Price Action E-mini on NinjaTrader

Two important lessons we see traders miss time and time again:

  1. Stick to the rules you’re taught. If you’ve found a way to improve, by all means, do that, but try not to lose the foundational aspect of what’s been tried and true for years.
  2. Avoid a fixed approach to profit targets and stops. If you have “big money” in mind and only trade this way, you will expect too much when the market is too slow. Rather, it’s better to adapt based on what the market can reasonably provide at a given moment. For this, we use the ATR (Average True Range) with a Period value of 4 (last four bars).

Regarding #1 above, this video clearly demonstrates why one should avoid fear and remember training. If you closed the trade too early, that would have been a good-sized loss. If you waited and respected the rules, you would have seen success, as John Paul did here.

We should add a third main lesson, which is this:

3. If possible, use one or more trading methods to confirm the direction or types of trades you’re taking. Here, the Atlas Line shows price is below the line, so stick with short trades. When the Trade Scalper provides short signals beneath the Atlas Line (dashed line), we have confirmation that selling the market is better. The Atlas Line’s short Strength and Pullback trades, also short while under the line, were good to take as well.

To learn more about day trading and price action techniques, visit the DayTradeToWin.com website. There is a new Mentorship class that begins Nov. 2. Enroll early to download and install signal software like what you see above.

Big Buying/Long Opportunities Predicted for End of 2020

Day by day, we move closer to 2020’s conclusion. DayTradeToWin’s John Paul, for many years, has used a technique called the January Effect to determine whether or not the year will be an “up year.” Determining whether 2020 will be an up year is determined fairly easily.

In preparation, it’s best to switch to an ES (E-mini S&P 500) daily chart. After doing so, scroll back in time so January 2020 is in full view. Compare price at the beginning of the month with the end of the month. Did price close higher at the end of the month? If so, the January Effect says the year, meaning by the end of December 2020, price will be higher than in January. This was the case for 2020, so we can say the January Effect says that 2020 will be an up year.

The January Effect is a predictive technique. There are no guarantees of its accuracy. John Paul, for many years, has vouched for the January Effects accuracy, however. As with any trading method, strategy, technique, etc. use your own discretion and read disclaimers on this day trading site and any other.

Well, what’s the use of an “up hear?” Well, my friend, if you have a strong indication price will move up during the year, could you not look for buying (long) opportunities? Indeed and that’s what’s described in the video above. In fact, John Paul relays an exact method for identify these long opportunities. According to him, they occur after price has dropped and regained at least 50% of its prior high. Once the 50% value is surpassed with requisite closing bars/candles, that is the entry opportunity.

Wait a second, are you talking about holding a position through multiple days? Exactly – this is not intraday trading as you have commonly seen associated with DayTradeToWin’s other techniques. This free trading strategy focuses on much larger profits over longer periods of time. The common term is “swing trading.” Generally, brokers require a larger account size to allow overnight trading.

We hope you find this compelling, if not useful!

Free Trading System to Learn – Works With Many Platforms

Are the day trading markets your personal ATM? Far from it! Trading always involves risk, so make sure you have set aside the requisite risk capital. We now endeavor to share with you a trading method of intrigue for your testing and potential use…

See how it works? The instrument/market in use is the E-mini S&P 500. YDivide the day into three portions: A, B, and C. Part A begins at 9:30 a.m. US/Eastern and is 2.5 hours in duration, lasting until noon. No entry opportunities exist in part A. However, they exist in parts B and C. Each portion’sentry signal requires a breakout of either the high or low of the former. Thus, early in portion B, we would see an entry opportunity beyond the high or low range of portion A once two closing candles occur beyond A’s boundary in portion B. The same methodology applies to part C. Now, in Part C, be wary of fast moves towards the close of the market. We generally regard that period as unstable; not worth of trading.

By the way, this whole process of identify the opportunities is made easy with the ABC signal indicator. That indicator is included with purchase of either the ATO 2 course and software or the eight-week Mentorship Program. Both courses are listed and described on the DayTradeToWin.com website. Click each respective product for more information. Good trading to you!

Price Action Indicator Signals Demonstrated Live

When comparing trading systems, it’s easy to get mixed up and not know which one is best. Should you scalp and go for more trades with smaller profit targets? Or should you go for fewer but larger trades? Well, the DayTradeToWin.com Trade Scalper and Atlas Line day trading methods reflect both concepts. They can be used independently from one another or they can be used together to get the best of both worlds.

In the beginning of the video, you’ll see many Atlas Line Long signals. Price drops big right after the first Short trading signal. That looks to be a big winning trade, had you taken it. Hang on to your hat as the two next signals, both Long (buy), look to be winners as well. A short (sell) signal follows; another winner.

Now, every day won’t be like this. It’s about looking at the big picture. Day trading as a source of income is possible, but the market is not like a typical boss. Normally, when you get paid from a traditional job, the next day, your boss doesn’t reach his hand in your pocket and says, “You owe me 1/8 of what I paid you.” This is why with trading, we must look at time frames such as 30+ and 90+ days to gauge success. Of course, it is crucially important to start with practice trading (sim account) regardless of your level of wealth. NinjaTrader has this ability to generate a report indicating win rate, loss rate, and other factors that will help you gauge your performance. That’s covered in a different video.

Later in this video around 3:30, we see the other trading system in use, the Trade Scalper. A signal and trade are demonstrated in real-time. This is much like how one would experience trading for oneself, having the proper software and configuration established. This is no problem, though, because I hear the DayTradeToWin crew gladly help set up clients with the proper config to get the most out of the markets.

Price Action Day Trading Systems for Review

Let’s look at two day trading systems and see how they compare. The NinjaTrader platform is in use. The chart type is a 1-Minute E-mini S&P 500 (ES in NinjaTrader). Both techniques use price action. Price action means trading based on how price moves across the chart; e.g. various patterns, levels, etc. are recognized and reached, thus causing the next set of decisions to be made by the trading software and/or day trader.

First, we look at the Atlas Line. In the beginning of the video, the Atlas Line is represented by the blue dashed line and Atlas Short signal. The short signal appeared because the Atlas Line recognized two candles closed below its dashed line. It notifies you this occurred via the short signal text. Likewise, if we had two candles close above, a long signal would appear. See, you’re getting the hang of it already!

At the 52 second mark, we see an explanation of the Trade Scalper signal. Why is the full method not explained? Because it’s a valuable trading method. You have to purchase it from the DayTradeToWin.com website. Rest assured, when you’re using the indicator, you’ll see the same signals as everyone else with the same basic chart configuration. The included live training video, live training, etc. help ensure a complete understanding.

With scalping more than the other methods, it’s important that you place an order (trade) soon after the signal appears. If you wait around too long, price can easily move beyond where your profit target would have been and you probably don’t want to chase a missed opportunity. Instead, it’s recommended that you pre-configure profit targets and stop losses via NinjaTrader’s ATM Strategy feature. After configuring the most common values, you will be able to quickly select the best profit target and stop loss for current market conditions.

Micro E-mini Futures Trading Basics Explained

If you’ve been worried about trading the E-mini S&P 500 (ES) due to the $12.50 tick size and what they may mean should you experience any losses, well, good news – have you heard of the Micro E-mini? Indeed, the Micro E-mini S&P 500, abbreviated as MES in NinjaTrader, is 1/10th the size of the regular E-mini. That means the tick size is $1.25. Though both the profit and loss are smaller, you may be able to win more than lose, thus giving way to some profit. And when you feel more comfortable, overcoming any psychological barriers, you may be more ready to trade the ES.

NinjaTrader Brokerage supports the MES with smaller funding requirements. Recently, they advertised that accounts could be funded with as little as $400. However, you may want to fund an account with more than that, as consecutive losses may reduce your funding “buffer.”

Worth noting is that there are multiple Micro E-minis to trade, which are described in the video. They include M2K (Russell), MNQ (Nasdaq), MYM (Dow). Essentially, you can take some of the most popular “regular” futures markets and add the letter M in front and that’s the “micro” equivalent. The video above also shows how to open NinjaTrader charts for these various micros.

The price movement and signals for the Atlas Line, Trade Scalper, etc. are the same for the regular and micro futures. If you like the signals in the video and want to apply them to your own charts, click here for the DayTradeToWin courses page to get started.

The Roadmap From DayTradeToWin Tells Us Exactly What We Need to Know

Rarely can you find a trading tool that is as robust as the Roadmap from DayTradeToWin. The theory behind this tool is that the market prefers balance. When the amount of buyers and sellers is no longer equal, an opportunity arises. These opportunities, or zones as identified by the indicator software, are boundary areas.

Without going to too much detail, the software plots entry signals for you to take, either Long or Short, it can tell you of anticipated market direction, whether a trend is expected to continue, whether a reversal is expected to occur, and so much more…

We can see why this method has been available exclusively in the eight-week coaching program!

As you can see from the video, there are A, B, C, and D horizontal lines for each zone. The colored up and down arrows are entry signals. Traders love to use the Roadmap in conjunction with other methods. In fact, the Roadmap is considered the first tool to use for identifying trades, even before the Atlas Line! Yes, that means you can use the Roadmap and Atlas Line together to filter trades from other methods, including the Trade Scalper. These three tools together, plus all the other techniques taught in the eight-week Mentorship Program may be the difference between you becoming a pro trader or not.

How do you get the Roadmap? For now, it seems like the only way to get the Roadmap is to enroll in the eight-week Mentorship Program. Click the link to get details on the next class date and time.

A Pro Day Trading Setup Anyone Can Configure

Do you trade with multiple charts? If you don’t, you probably will do so eventually. And when you do, check out the linking feature that’s built into NinjaTrader 8. By selecting matching “link colors” for either the instrument, interval, or both, you can create a responsive and adaptable trading environment. This video explains it all.

Take a look at the configuration being used by the trader in this video. He has six charts total. Two of them, those on top, are for the 5-Minute time frame. The four toward the bottom-left corner are 1-Minute charts. To the right, there are two SuperDOMs. Imagine if you had the same setup. Without chart linking, if you wanted to switch the interval (type of chart) or market (instrument), you would have to spend time switching each chart over. Instead, it’s more efficient to set up matching link colors to create relationships between trading windows/tools.

NinjaTrader 8 provides far more colors than you probably need. You can see how one high-resolution display (well, larger than a common 1920×1080 or 1366×768 computer monitor) can be an effective solution rather than the common multi-monitor setup.

The Divvy window management tool is used here to set up a 9×6 grid. Note that you may want to use different grid or column sizes depending on your resolution. Tip: first, start with seeing what column size works for the width of the SuperDOM window and go from there.

Flip-flop or Trend? This Price Action Indicator Helps

In this video, the Atlas Line gives two winning signals. The first signal is a Short winner. The second is a Long winner. The market is the E-mini S&P 500. The Atlas Line is installed as an indicator into the NinjaTrader 8 platform. Once applied to the chart, it will automatically provide signals based on how price moves around and through the plotted line (dashed pink line in the video). When two candles close above, that causes a Long signal. When two candles close below, that causes a Short signal. Since you know the basis of the signals, you can prepare yourself for placing a trade ahead of time. This is made easier with a 5-Minute chart, as the market moves slow enough for most people to prepare a trade.

Do you focus on previous highs and lows or guess when trends start and stop? That’s a mistake. As demonstrated, if you thought the market was going to continue down, you could have been stopped out by the reversal. This is where the Atlas Line is useful: the line itself maintains its direction all day. In effect, you can gauge the overall “bias” of the market: whether you should be prioritizing long (buy) or short (sell) trades. The automated signals are icing on the cake.

Whether you purchase the 6-Month or Lifetime Atlas Line, the signals will be the same. Remember that your 6-Month won’t count towards your Lifetime, so keep in mind that purchase a Lifetime license may be a better value unless you decide to roll into the eight-week Mentorship Program. In that case, your purchase may count towards Mentorship.

We should mention the Atlas Line can be used across many market types: the YM, CL, NQ, etc. The requirement is that the market needs to trade overnight and be reasonably volatile. Therefore, stocks won’t work. However, you can trade currencies (aka forex) just fine. NinjaTrader is free to use with futures and forex data available. You only have to purchase or lease the platform when you’re ready to trade with real money. Click here so we can help you get set up with NinjaTrader.

Are Short Trades Better Than Long Trades?

When it comes to price action trading, long trades vs. short trades is too simplified a discussion. It’s really about what your reliable trading systems are telling you. If you have more than one system telling you “go short” or “go long,” then that’s probably the best information you have. If anyone is telling you “short trades are better X amount of time,” that could be 100% correct historical information. That has no bearing on future results.

Regarding historical information, many trading systems have been in a self-destruct mode ever since COVID-19 caused turbulence. We saw, and still see, more volatility than average. We saw huge volatility months ago – fluctuations and halting that was unprecedented. Though the virus is still raging in parts of the world, mainstream information implies European countries mostly have new cases under control. At present, the same cannot be said about the U.S. Have you looked at big companies and industries in states that are projected to be hit longer-term by the virus? What about job loss and stability of these companies? Is it a time to go short? If Florida continues to be hit hard through fall and winter, what about those tourism dollars? Are traders going to short Carnival or Tropicana? You may be tempted to say short trades are better, but once recovery occurs (yes, be positive!), long trades may tempt you.

Part of being a successful intraday futures trader is being mindful and not getting carried away by news events and tempting patterns. Stay as objective as possible. If there’s negative news, there’s not always a negative reaction. And if negative news is coming out, you can bet the big players and analysts are already aware and ready to manipulate the markets in their favor.