“Is this a good trade? Should I enter here? Should I exit here? Am I risking too much or too little?”
These are questions you shouldn’t be asking yourself after you’ve been trading for some time. It’s normal to have these questions when you’re starting out, trying to figure out if you’re using your trading software correctly and applying a technique properly.
But if you are just guessing your way through trading or “hunch trading” as some may call it, well, that can be a problem long-term. So, what’s the solution? Learn from someone who has been a successful trader for years. Hopefully, that person is willing and able to relay all techniques and understanding. Not everyone is a good teacher. Some very rich traders are poor teachers. And of course, some great teachers are poor traders! This is why there may be just a handful of people with the right knowledge and educational ability to teach you how to day trade.
John Paul from DayTradeToWin is such a teacher. He has been teaching people how to day trade for many years. In fact, he didn’t even consider becoming a teacher. He was selling one or two trading methods online, then one of his clients asked him basically, “Hey, do you have anything else you could teach me?” And unbeknownst to John Paul at the time, this became the start of what is now the 8-Week Mentorship Program. Interesting how things in life happen like that, huh?
If you’ve never heard of the Mentorship Program, the above video will run through a number of the methods that are taught. Remember, it’s eight weeks in duration. Class is twice a week. You get all courses and software with Lifetime licenses. Classes are recording so you can watch them later online. It’s the complete package; a treasure trove of trading knowledge being shared with you by a trading expert who can actually teach! Note that John Paul is currently only available for the Individual, on-on-one version of Mentorship. There is another very qualified instructor who teaches the Group class.
The big S&P 500 reached new heights. As you might expect, that translated into big gains for the E-mini S&P 500. As such, we have a Long Atlas Line signal stating off the day. The steep angle means that we are in for a big ride up or possible one or more intersections. If there was an intersection followed by a signficant drop (did not happen), then we would have gone with short trades and seen any long trades were less likely due to the distance of price vs. the Atlas Line. Get it? That’s what makes the Atlas Line such a great predictive tool!
The big news of the day was that the S&P 500 surpassed the 4,000 level. This was a new record. There were plenty of Atlas Line Strength and Pullback signals on the way up. If that wasn’t enough, you could have applied the Trade Scalper. That’s what John Paul does at 3:50 in this video. Look at all those signals! Some traders were blind to the fact that the day was anticipated to be a up-trending day. Can you imagine trading in the dark, constantly second-guessing whether the market was to suddenly drop? That’s not a good way to trade. Rather, we want to be positive, optimistic, and have real expectations about anticipated moves.
It was not necessary to take every signal. In fact, trading too much or too often subjects you to unnecessary risk. John Paul often advises to go with the best signals. With purchase of his methods, he explains the exact rules for such conditions and how to filter. You can use multiple methods as well, as demonstrated here.
Will we be seeing more big bullish days ahead? This year and last have been two of the most interesting to trade. Many signs point to 2021 exceeding new highs on a regular basis. Are you ready to take advantage of these projected opportunities?
Are you just using one trading system? Sure, that can work depending on how reliable the signals are. However, for some traders, when they have significant money on the line, they like to get a second “opinion” from another trading system. DayTradeToWin’s John Paul often advises this approach, as demonstrated in his latest video. He’s showing a Trade Scalper scalping signal “confirmed” by an ATO 2 short signal. Both system are confirming the same anticipated market direction around the same time. Sure enough, the market drops soon after. Nice!
The ATO-C is the “Chaser” trade. It’s an optional follow-up signal you can use to potentially find another win or help recover from an earlier loss. Of course, as with any trade or system, there is a potential for loss, so be careful and read all disclaimers.
Later on, there was a third method applied. That’s the Atlas Line and it, too, gave a short/sell signal. While price remains below the blue dashed line (the Atlas Line), the idea is to go only with short trades. Can you see why the Atlas Line is one of the best day trading methods offered by DayTradeToWin in terms of filtering, confirming, and generating signals? It looks at the projected “big picture” for the whole trading day; not just the next 20 minutes. The line itself stays in a constant direction. At a given moment, you can see how far away price is.
Those at DayTradeToWin believe it is less likely for the market to move 10 points in a moment than it is one point, so the same theory can be applied to risk management in terms of the profit target, stop loss, and general trading considering the distance of the Atlas Line compared to the real-time price value.
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.