Trading Indicators – Price Action Goes Beyond

Over seven years from the launch of the website and thousands of traders helped, DayTradeToWin is still be the leading educational resource for aspiring and veteran traders. First, it was the ATO strategy (At the Open), a trading system that provides entries based on the initial morning breakout move in the E-mini S&P. To this day, this strategy is still taught (only now made exclusive to the Mentorship Program). From there, software was created to identify the ATO trades automatically. Programmed for NinjaTrader, the ATO indicator can pinpoint the exact price and direction for traders to follow. Unlike other vendors who focus on trading indicators, DayTradeToWin’s products focus on price action.

Price Action Scalping, a new strategy, was frequently paired with the ATO. Using 250-tick charts, the Price Action Scalping method is now also found exclusively in Mentorship. The goal is taking multiple, small trades to increase one’s profit throughout the day. This strategy is accompanied by the TickCounter, a sister of the BarTimer indicator. The TickCounter indicates how many ticks are left in the current plotting candle (and thus how many ticks until the next candle begins).

Next, the Atlas Line was created. The Atlas Line remains as one of the most popular trading systems in the market, providing hundreds of traders with signals on a daily basis. The proprietary method was developed by John Paul to assist institutional traders. It was later adapted to NinjaTrader indicator software for the common retail trader. The version seen today calls out long and short trades, pullback and strength trades, all while confirming the direction the market is expected to take. One of the reasons why DayTradeToWin continues to be successful is the emphasis on teaching. A live training tclass is included with all courses and software.

There’s More to It than Trading Indicators

The Trade Scalper came later, providing another way to scalp considering market trends. The Trade Scalper indicator is advanced in the way it plots horizontal and vertical lines, letting traders know upcoming opportunities where a scalp setup may occur. Again, the goal of scalping is to rack up multiple winning trades. With a profit target ranging from two to four ticks per trade, and a maximum stop loss of six ticks, this strategy is designed for accuracy. Of course, the rules are fully explained in the digital manual and the live training.

Last but most inclusive, we have the Mentorship Program. It’s offered in two packages: the Group Mentorship and Individual. Group puts you in a room with other traders who want to learn how to apply price action daily to trading charts in order to be consistently successful. Individual Mentorship offers the same content, only it’s more flexible – you pick the class times and you can speak directly with John Paul through Skype. It’s the best way to learn everything and receive all the content through eight weeks of live training. Forget about the traditional trading indicators – it’s time for price action!

Live Webinar – Jan. Effect, Real-Time Trade

Did you take a look at where price ended up at the close of January 2017? Price closed slightly higher than it opened in the month. According to the Jan. Effect, price is expected to close higher for the year. This can provide for additional trading opportunities as price drops and then climbs to new highs throughout the year. To take advantage of these trades, use a daily chart. Look for long opportunities when price begins to retrace beyond 50% of the previous drop. This 50% level, identified with the Fibonacci tool, is your entry point. These Jan. Effect retracement trades also work with markets other than the E-mini S&P.

In the video, John Paul shares signals from the Trade Scalper software for NinjaTrader. Some of the visual aids (lines) are not shown, as they are only provided in the full version of the Trade Scalper. However, the basic Long and Short entry signals are exactly the same. For this method, when the ATR is under two ticks, the market is too slow to trade. A 1-min chart is used, so think fast, in-and-out trading.

After Jan. Effect, Real-Time Trade

At Around 19:00, take a look at the settings for the Atlas Line software. Remember, this is a recording of the live webinar, so all the attendees were able to see the first signal of the day provided by the Atlas Line. When using the Atlas Line, you see the exact same signals as John Paul and all the other traders see. You’re also taught exact stop strategies, such as the catastrophic, time-based, and prove-it stop. The current market conditions say the catastrophic stop should be worth about 12 ticks. At around 21:00, John Paul places a real-time trade based on an Atlas Line entry signal. NinjaTrader’s ATM Strategy feature lets traders use predefined profit targets and stop losses to simplify/expedite trading.

Remember the old ATO (At the Open) strategy? It’s a morning range breakout strategy that was the first course offered by DayTradeToWin.com. At about 25:00, an ATO signal is displayed. It’s always good when two or more methods provide a signal in the same direction.

Trading is not an overnight system to make money. It requires practice, patient, testing, and knowledge. Take your time, understand the risks, learn as much as possible.

John Paul can personally help you on your journey to become a professional trader. The next Group Mentorship class begins Feb. 20, 2017. All courses and software are provided with lifetime licenses. Don’t wait for another week or month to go by wishing you had taken the course. Click here for details.

Trading Signals for NinjaTrader – Real-time Atlas Line

Here’s a real-time Atlas Line trade placed by John Paul. With automatic trading signals, there’s no guesswork. The profit target and stop loss values are always based on the ATR (Average True Range). This is why John Paul is going for over 1.5 points and the stop loss is about double the ATR. If the market was slower, the profit target and stop loss would be less because the market is less likely to move a greater distance. One good way of seeing if there may be increased volatility in the near future is to check for economic news events. The news indicator for NinjaTrader 8 and 7 offered by DayTradeToWin.com displays news events on the chart. Bloomberg’s Economic Calendar is also useful – check for events marked with a red star, as these cause the most volatility. Generally, it’s advisable to stay out of the market until news volatility subsides.

If the profit target is not hit, there are rules for getting out of the trade. For example, the time-based stop says to wait a maximum of four bars (20 min. on a 5-min chart), then exit. If there’s a closing price on the opposite side, If the target is not hit, John Paul exits the market within a certain amount of time. On a 5-min chart, this time-based stop is four candles or 20 minutes. If price happens to close on the opposite side of the Atlas Line, then you can get out immediately according to the prove-it stop. What if neither of these conditions happen and price suddenly and strongly goes against your trade? That’s what the catastrophic stop is for – a safety net to keep you in during regular fluctuations, yet get you out of something drastic happens. John Paul teaches multiple strategies to filter trades, which can help in eliminating those that are higher risk.

Other Trading Signals?

The additional strength, pullback, and bounce trades provide more opportunities. On trending days, the strength trades can give you more entries as the market climbs up or down. Bounce trades are ways to take advantage of price reversals that occur on the Atlas Line.

There are two ways to get an Atlas Line lifetime license: the eight-week, all-inclusive Mentorship Program or simply purchasing a lifetime license that’s standalone.

Day Trading Class Makes All the Difference

How was your first month trading in January, 2017? There was certainly enough activity and news events to keep traders guessing. If your performance was less than stellar, perhaps it’s time to change your approach and do something new for this new year. One way is to consider enrolling in the upcoming Group Mentorship Program. Mentorship is an eight week day trading class designed to teach traders from any skill level how to be consistently successful with futures markets.

8-Week Day Trading Class

What makes the Mentorship Program from Day Trade to Win different than any other day trading class? Well, the coach of the eight-week training is the founder himself, John Paul. You’re learning directly from the guy who wrote the courses and created the software. With the one-on-one program, you can speak directly with him. Mentorship allows you to see his charts as he explains each method. You can get instant clarification for any concept. Another major point – everything is based on price action and objective rules. If the specific pattern is not present, there’s no trade. If you can follow rules, then there’s a good chance you can be a successful trader.

What’s included? This day trading class includes all of the courses and software with lifetime licenses. If you were to purchase the 10 or so trading methods individually, you would be well over the price of the Mentorship Program. Mentorship is heavily discounted considering what’s offered. Also, many of the methods are not sold separately. The Roadmap, ATO, Price Action scalping, and several other strategies are exclusive to Mentorship.

Ready to take the leap? Head on over to DayTradeToWin to get your day trading coach.

Timing Trades Webinar for Better Performance

With thousands of hours spent trading and mentoring students, John Paul knows a thing or two about timing trades. He’s worked with traders who are too eager to jump into any opportunity. He’s also worked with those too hesitant and over-analyze each opportunity. If you’re not confident about the direction or timing of your trades, this is a webinar to watch. You’ll learn the best way to tackle different times of the day and how to adjust as time goes on.

In addition to focusing on those concepts,  John Paul explains his chart setup and why he configures his charts the way he does. The goal is to be able to read the market, remain objective, and trade based on realistic possibilities. Don’t miss it!

It’s all about timing trades:

• Free trading downloads to improve your trades
• What the Yo-Yo Setup is and how to trade it
• Why you should use 5-min charts
• The difference between normal market activity and trends
• Advantages of changing your profit target and stop loss dynamically
• Interpreting the DOM and orders
• Recent Trade Scalper signals
• Recent Atlas Line signals
• A look at the 6E Euro FX market
• Expected market moves as a result of the 2017 January Effect

There’s a new Group Mentorship class scheduled to start January 31. Classes will be Tuesdays and Thursdays at 6 p.m. US/Eastern. This is an eight-week class that includes all of the DayTradeToWin.com courses and software with lifetime licenses.

Availability is running out, so act now to attend. Click here for more information.

Trading Halt on Martin Luther King Jr. Day

CME Martin Luther King Jr.Plan on trading Monday, January 16? Better be careful – many of the CME markets will halt on Jan. 16 at 1:00 p.m. US/Eastern and resume at 6:00 p.m US/Eastern. January 16 is Martin Luther King Jr. Day, a federal holiday. Normal trading hours will occur on the surrounding days. The next trading-related holiday occurs in the middle of February – President’s Day.

Here’s a link to the official CME statement. Note that the CME has adopted a more complicated spreadsheet format. Hopefully, they will go back to using PDF announcements. Remember that you can post a comment if you have any questions about trading holidays or have general trading questions.

Day Trading Education & Atlas Line Importance

What happened with the first trade of the day on January 5, 2017? Watch the video to find out. It’s very easy to add the Atlas Line to your chart. After purchasing and installing the Atlas Line, go to the indicators panel, double-click the Atlas Line indicator, change any settings (you probably won’t need to), click OK. You should then see the Atlas Line begin to plot. Keep in mind that signals begin about 20 min. after the MarketOpen setting. Expect the first signals to appear on the E-mini around 10:00 a.m. EST. Free day trading education is included with purchase of the Atlas Line.

The first signal on the E-mini S&P was a short. The entry price indicated by the signal text was 2264. Market and limit orders work well. John Paul got in at 2264.25. That’s one tick better than the actual entry signal. Be careful not to limit yourself to a smaller profit target. The profit target should be based on current market conditions. If the market is more volatile (but not too volatile), then a larger profit target and stop loss may be more appropriate. Each time you place a trade, consider the risks. Trading is not for everyone. It’s important to spend time learning and asking many questions before trading with a live, funded account. The target of this trade is 2263. Never hold on to a trade for hours on end. The longer you hold on to a trade, the greater the risk.

Eight Weeks of Day Trading Education

On January 31, 2017, John Paul will begin a new Group Mentorship class. This is an all-inclusive eight-week coaching program. All courses and software are included with lifetime licenses. The objective is to teach you all of the trading techniques, so you have a trading plan to conquer the markets on any given day. Click here to find out more about the educational trading program.

Day Trading Systems – Atlas Line for E-mini S&P

Day trading systems can easily become overly complex. Advanced mathematical formulas, subjective analysis, and lagging indicators are best avoided. Trading can be made simple. The most popular indicators are those that provide exact entry signals. Knowing when to enter removes the guessing. Day trading platforms like NinjaTrader, MultiCharts, thinkorswim, and others all provides ways for software to produce text or visual cues to enter a trade. These platforms also allow systems to fully execute trades on one’ behalf. However, that involves a considerable level of trust.

Day Trade to Win takes a different approach with day trading systems. They make it easy. There are no complicated indicators. The Atlas Line tells you exactly when a trade is expected to occur. There are no guarantees of profit or success. Generally, trading outcomes cannot be guaranteed. Many trading companies say otherwise. When the Atlas Line gives a signal, it expects the market to reach profit territory within 20 minutes. That is why one of the stop loss rules says to get out within four bars on a five-minute chart.

Why is the Atlas Line Different Than Other Day Trading Systems?

Many traders prefer manually trading the Atlas Line software versus full automation. It would be quite difficult to program the three or four stop loss strategies and dynamically compute the profit target. Also, when starting out, some traders prefer to be more conservative. A fully automated system would not allow for individual preference. All of the profit-taking and stop loss rules are taught in the live training and in the included video. Every situation is accounted for, or could be answered by John Paul via email support if missing, to say the least. This makes the day trading system objective. There either is or is not a trade – black or white.

In this video, there’s a long trade that was successful. A short trade occurred about an hour later. It, too, went into positive territory. The stop losses in place offered protection from increased chances of loss. You need to be present in front of the charge to adapt to real-time conditions. You may want to change your profit target or stop loss if the market changes volatility. Keep in mind, moving these values may put your orders in the “back of the line” or last to be executed, so act wisely. All traders who use the Atlas Line get the same signals, providing they are on the same data feed, there are no errors with the incoming data, and the chart is configured the same.

Live Trading System – Atlas Line & January Effect

Will E-mini S&P volatility increase before the end of the year? John Paul from DayTradeToWin.com thinks the Average True Range (ATR) will more consistently ride between regular levels. That means two to three points, on average. This is the ideal range for price action live trading. The ATR can be used with a daily chart. Daily charts are ideal for gauging monthly performance. In fact, this is what he uses to perform the year-long January Effect prediction.

No trading method is a crystal ball with 100% accuracy. The January Effect is a tool professional trades have used for years with relatively good historical accuracy. It’s been covered extensively on the Day Trade to Win Blog. That said, be cautious and know the risks of trading. Holding large positions over the course of days or weeks subjects your live trading account to great risk. Instead, look for smaller intraday opportunities. And of course, practice in simulation mode before going live.

Can the January Effect Be Used in Live Trading?

The first part of this webinar targets the January Effect. In case you haven’t heard, it’s a way to say the market is expected to trend up or down for the remainder of the year. It’s based on how price performed in the first month of the same year. For example, if the last trading day in January 2017 closes higher than the first trading day of January 2017, then the year-long bias is bullish. Bullish means the market is expected to go up. Is it possible the January Effect will be completely wrong? Yes, of course. Even if price rises consistently, will there be times when price will drastically fall? You bet – and that’s when you capitalize on the retracements.

Switch to a day chart and look at previous years. Take a look if January did in fact close higher. If it did, that’s a signal you can look for retracements and long (buy / bullish) opportunities. John Paul prefers seeing no fewer than four consecutive days of retracement. When price begins pulling back, you can add a Fibonacci Retracement tool (available on NinjaTrader). Make the tool’s display more appealing by changing the settings to only show lines at 0%, 50%, and 100%. Begin the bottom of the line at the low. Set the 100% for the previous high. When price approaches the 50% on a retracement, it’s showtime!

The goal is to hold it for a few points. Most traders do not have accounts that let them hold the trade for a full 30+ points. Also, doing so very risky. Better to make a smaller profit in live trading and look for safer options.

Trailing Stops – Why Every Trader Needs a Plan

Successful day trading requires more traders to be profitable than not AND for those trades to be worth more than the losses. Another requirement is to reduce risk wherever possible. What if there was a way to “lock in” the profit you’ve already made on a trade? Well, there is and the technique is called trailing stops. You may also hear “trailing a stop” or “chandelier stop” to refer to this strategy.

Finding a high-probability trade is the first step. Trailing stops work best when you find a trade early. John Paul from DayTradeToWin.com teaches several techniques that find trades before the big move is executed: the Roadmap (taught in Mentorship only), Atlas Line, and X-5 to name a few. Providing you got into a profitable trade early, on the ride up, you can deploy a parachute that tells the market “get me partially out at this price with this many contracts.” By partially exiting the position, you are trying to make profit with the gains earned thus far. You are hoping the rest of the right up will be profitable. If it’s not, well, at least you locked in something earlier and hopefully the trade will be break-even at most.

Ideas for Trailing Stops

To use trailing stops, you have to trade with more than one contract. As a general rule, John Paul recommends at least $4,000 in a funded live account to comfortably trade up to two contracts. Keep this ratio in mind as you scale up. Do so slowly and judiciously, as the market can trick you in the short term and bring long-term surprises.

Trailing stops are easiest to work with in multiples of two. That means two contracts per trade minimum. It’s up to you to decide how many contracts to close out. Half is what John Paul sometimes uses. Also, keep in mind that you can change your approach on what triggers the trailing stop. Do you want to base it on the ATR (Average True Range)? Perhaps you want to have it as a fixed percentage of your profit target (i.e. half)? What about a fixed dollar amount? Watch the video to see John Paul’s ideas.