Why would you want to trade futures in the afternoon when the morning is said to have the best opportunities? Because still more opportunities exist in the afternoon. Perhaps you were busy in the morning or sought to recover from a couple of trades that didn’t go so well. Revenge trading or any type of emotionally driven trading is discouraged. Rather, sticking to objective rules ensures that one can more easily measure the success of an approach over a given period.
The ABC Method was designed for afternoon trading. Multiple entry opportunities can be found in the afternoon before market close. However, some days there are simply no signals. Trending days tend to trigger ABC entry opportunities. That’s because the ABC is a breakout method. If price exceeds the prior period’s high and low via two closing candles, then expect a signal in the new period. That means only periods B and C yield entry opportunities. period A merely establishes the high and low for a possible entry in period B.
It’s important to remember the first two periods are 2.5 hours in duration. The A period begins at market open, 9:30 a.m. If this sounds like too much work, you may consider the ATO 2 method which includes the ABC Indicator. Another option is the 8-Week Mentorship Program. With the latter, all courses and software are included with Lifetime licenses.
If you want to see these signals live, sign up in one of the forms on the DayTradeToWin website. Every few weeks, an invitation is sent so that new people can compare their live charts with John Paul’s to see his methods are for real.
Finding a day trading course or indicator that can trade the E-mini S&P 500 ES, Euro, Nasdaq, Dow, and Micro E-mini S&P 500 is not so easy. Day trading websites are a dime a dozen and it seems that many of these websites are put to together in an amateur way. No disrespect intended – it is just that the way the pages are designed and the information is presented, sometimes it’s difficult to assess what you’re getting. The way DayTradeToWin approaches day trading is with simplicity in mind, and that includes the main DayTradeToWin.com website. There, you can get a sense that four trading methods are basically offered: Atlas Line, Trade Scalper, ATO 2, and 8-Week Mentorship.
The focus of the video above is of DayTradeToWin’s Atlas Line. As you can see, there are a few aspects to the indicator that are important: the dashed line, the main Long and Short signals, the bounce Long and Short signals, and long and short Pullback (P) and Strength (s) signals. How interesting it is to see how all of these signals work together to form one complete strategy! The approach is aided by the free ATR (Average True Range) which serves to provide the profit target and stop loss amounts.
Is it possible to consistently win in the markets? That’s the goal of every trader. It’s best to take trading one day at a time rather than overwhelm yourself with what-ifs. By all means, measure cumulative wins and losses over a good period of time: two weeks, one month, three months, six months, etc. and see how successful you’ve been. Sure, you could have an amazing month next month, but if the performance is not so good, do you want to keep trading? Does it make financial sense? Sure, past performance does not indicate future results, and the way that phrase is commonly worded, the meaning can go either way.
Clear, objective thinking and following the rules of the method will be the best way to assess the viability of that method. Does it work better than other systems you’ve used? Those that you’ve developed? Did you at least make back your money that you spent on the system? Did you learn one or more things? Even with losses, day trading can teach us a lot about ourselves – how well prepared we are, how we perform under pressure, what it’s like to potentially make money or have such potential in a relatively short period of time, to reach heights, to reach lows, and pull ourselves up with renewed insight.
Here’s the latest DayTradeToWin video in which many trading signals are reviewed. First, we start with the Atlas Line trading software. As demonstrated about 2:00 into the video, the signal did not work out. That’s just a part of trading. Sometimes, additional signals the same day will set you back on the path to profit. Other times, you’ll hope to make profit the next day or thereafter. The idea is to have consistent wins over a specific period of time, which could be 30 days or longer.
If you had the ATO 2 and the Atlas Line or the Trade Scalper and Atlas Line, you could say to yourself, “I am only going to take signals from either system (or both systems) when both signals agree on the anticipated direction and the signals occur around the same time.” If you do just that, as demonstrated in the video, there can be great results. However, such results cannot be guaranteed – “can” means “possibly,” which is not as definite as “will.” The market will do what the market wants to do. Again, it’s a matter of cumulative wins outsizing cumulative losses per period of observation.
Adding a third method to the chart to get a third opinion can also be helpful. That’s what happens here when the Trade Scalper is added. Notice how there are multiple Short signals for all three systems that “follow” the price movement down? That was a great area of opportunity for winners. The following Strength (S) and Pullback (P) signals represent additional opportunities from the Atlas Line, however, some of those signals did not work out. Do you notice any additional signals from the ATO 2 or Atlas Line around that time? No. Well, that’s exactly demonstrating why it’s important to use multiple systems!
So, like the thumbnail of the video says, how does one trade rule-based strategies? By following the rules. Are you going to be taught all the rules in this video for the trading system(s) shown? No, of course not. That’s because you have to purchase the trading system in order to learn the rules. This is merely a demonstration with emphasis that it’s important to follow rules rather than going off-course, using your imagination, guessing, or stretching recommendations.
There are so many ways begin day trading. Just looking at the video recommendations when writing this present soptions regarding the mental game of trading as a whole, how to research trading, how to use relative volume to predict home run trades, and various steps to perform a specific strategy. Are any of these methods going to be valuable? Possibly, in terms of some self-understanding. However, the nature of such things is that sometimes a paid method is a paid method for a reason – it’s exclusive because it’s worthwhile. If someone can make money selling it and trading at the same time, why not? However, a lot of paid courses are junk. Many in the industry say this – rather than teaching exact rules, the course will show you demonstration after demonstration, providing little in the way of rules.
Rest assured, DayTradeToWin has all of the rules clearly defined. If you’re not successful, it’s just because the market isn’t aligning itself with the rules. This can be a good thing, as there is no need to blame the self. That’s the great thing about objective trading – no need to have emotions take charge. If you did everything correctly and it works or it doesn’t, you did everything correctly in either case.
The main purpose of the video above is to go over multiple Atlas Line signals. If you see a number of winning signals, that may provide a positive impression the method works consistently. It will be up to you to apply the rules that you learn. There are no guarantees in trading, only probabilities, and estimating on those probabilities is a most curious and risky endeavor! We wish you well. However, trading using a specific stop loss and profit target ruleset is one way to control risk.
If you, ahead of time, configure many stop losses and profit targets within NinjaTrader’s ATM Strategy area, then you can select the most appropriate given current circumstances. These stop losses and profit targets are not set in stone – you can modify them on the fly once your initial order has been filled. The easiest way to do this is by enabling NinjaTrader’s chart trader feature then dragging and dropping the profit target and stop loss to their desired values. Are there any caveats? Yes, doing so places you in the “back of the line,” so to speak. Your profit target or stop loss may not get hit when expected, so be careful.
With the DayTradeToWin trading methods, the ATR (Average True Range) is always used to determine the profit target and stop with the exception of some chart types where their use doesn’t make sense (i.e. range charts). The ATR is configured with a period value of four. Why four? Because that means the last four bars are used to determine the value. If greater than four, the calculation is based on older data. If the value is less than four, less data is used that may only give a picture of recent activity, which may be really dramatic or slow (thus limiting potentials).
For a long time, the DayTradeToWin website and YouTube has been populated with new trading videos showing various trading methods and performance. The Atlas Line, ATO 2, Trade Scalper, and Roadmap have appeared most often recently. There are only so many ways to demonstrate performance – many videos throughout the years is one such way.
In this new video, you’ll see the Atlas Line produce a short signal followed by a couple of Trade Scalper signals. Are both methods included together? No, they’re sold separately unless you participate in the eight-week Mentorship Program.
Most of the focus, here, is the Atlas Line. You’ll see more of it in the second half. Strength signals cause John Paul to place a trade. They can be recognized by the small “S” characters above or below the candles. The ATR (Average True Range) indicates the Long trade should have a profit target of about three points. Five contracts are used for this trade. This amounts to a trade worth $750 before any commissions or fees. Please consider all trading as simulated.
How was this dollar amount computed? For the E-mini, the smallest price can move is a tick. Each tick is worth $12.50. What’s a point? Four ticks. Therefore, a three-point profit target using a multiplier of five contracts equals $750. Keep in mind, not everyone has the money to trade with five contracts. DayTradeToWin encourages practice in simulated mode for some time. Then, you may want to consider graduating to the Micro E-mini (MES in NinjaTrader). After that, the E-mini can be traded with the $12.50 tick value as described previously.
Eliminating guesswork by relying on a trustworthy trading system is what DayTradeToWin aims to provide.
Want to trade two types of charts in one chart window? This video will teach you how. Doing so will quickly let you get a glimpse of different types of market activity. You can run a 1-Minute chart alongside a 5-Minute chart, for example. On each chart, you can have the appropriate indicator. In other words, you could scalp on the 1-Minute chart and using the Atlas Line on the 5-Minute.
It is also possible to add a panel for the ATR and place it in between the two charts. The video shows this. This is a good configuration because you can see when signals match up or confirm one another, or when one filters out another, in order to decide to take a trade or to skip. Because the ATR is used as a volatility, profit target, and stop loss indicator, it makes sense to have its position centralized within the chart.
In case you are wondering, the Trade Scalper is used in this video. A 1-Minute chart is on top and a 5-Minute chart below. One DayTradeToWin testimonial is written by someone who likes to confirm movement on both chart types. He does not indicate that he uses the Atlas Line or any other indicator. This may be an indication he’s only using the Trade Scalper, which is interesting, because it may appeal to you as all all-encompassing scalping trading method.
If you prefer not to have multiple chart types within one charting window, you may separate charts into tabs using the tab area on the bottom of the chart. This way, you can select among the tabs/charts as needed. If you happen to look at multiple charts on a regular basis, perhaps having multiple chart windows will be your best option. In that case, you may want special software to position these charts to maximization organization and screen space. The DayTradeToWin website discusses software that will help you do this.
There’s a common expression for those who trade GME stock: “to the moon!” Well, the ride to the moon can be a bumpy one. One of the causes for turbulence is manipulation.
Manipulation is when human traders or their software/systems intentionally interfere with market activity to gain an advantage. And if you’ve been following the GME drama over these recent months, there have been all sorts of back and forth accusations from the big guys and the regular folks.
If you do some digging on YouTube, you can readily find hedge fund-types admitting to manipulation and how they do it. In some cases they say they do it because there are no rules against it. Indeed, there are exploited loopholes. But what can you do as an individual trader or investor?
John Paul from DayTradeToWin advises learning how to recognize certain manipulation patterns and stay out of the market when they occur. You can also potentially capitalize on these opportunities if you have the right techniques, namely, the Roadmap software.
Throughout the new video, he shares his Roadmap software and explains how its zones and signals serve to keep a trader informed. When price approaches a zone, it’s time to pay attention. We can expect price to bounce off of go through it. In some cases, a Long or Short signal is produced. At that point, you can place a trade according to the rules. Where are the rules taught? How do you get the Roadmap? At this point in time, the only way is to enroll in the full eight week trading bootcamp known as Mentorship.
One of the reasons why manipulation is effective is because it lures in everyday traders with false indications. By pumping and dumping large sums, a big firm can control the market somewhat. If other systems are “in” on these schemes and can see the ripples generated by another firm, what’s to stop a trading algorithm from dumping millions of dollars more in the market, exacerbating the manipulation? This could happen in a very short period of time. How would regulation stop this? You could drive yourself crazy thinking about how to beat high frequency trading algorithms. However, you’re a human trader. These systems are trading at the micro or millisecond level right at the exchange. They have computation and physics at their disposal. They have the best and brightest from top universities molding neural networks to maximize profits.
When it comes to manipulation, it’s better to go with what works. And according to DayTradeToWin’s John Paul, that’s the Roadmap and the other methods taught in the eight-week trading school.
When day trading, how do you know if you’re looking at the beginning or end of a trend? You need to follow trend identification rules that tend to work more often than not. Of course, just because a method has worked well historically does not mean it will continue working well in the future. Please understand there are no guarantees of future performance.
In this video, John Paul from DayTradeToWin says to be cautious around large candles. They may indicate a trend is over, as the trend may be “exhausted.” Some traders make the mistake of thinking large candles are a sign that the market is about to move further in that direction. That’s not always the case, and from John Paul’s experience, it’s more likely the market will soon stall out or reverse, as demonstrated around 3:43 in the video.
Sideways or choppy markets are almost guaranteed problems for traders unless you’re scalping and have a really good technique that gets you in and out fast with accurate prediction. As mentioned, the market can go sideways after a trend. If that’s the case, you probably want to wait it out until you see some constant direction, up or down, again.
If your connection/data provider supports it, you can always take a look at the buying and selling action, also known as Level II data. In NinjaTrader, this information is displayed in the SuperDOM. The buying and selling numbers move rapidly. Typically, we focus more on price action (patterns) than DOM action.
It’s important to enter at the beginning of a move up or down, not at the end, once the trend is over. By the way, just because there’s a period of stagnant activity does not mean that you should see a trend. As shown here, it’s entirely possible a big candle will emerge out of nowhere. Then, it’s possible to again see stagnation or a period of large candles.
In the 8-Week Mentorship Program, you’ll learn how to identify trends with specific rules. Also, the signals that you’re provided are designed to get you in at the start of a move.
When there are historic highs in the market, you better hope that you’re using a trading system that accurately calls them out ahead of time! That’s what the Trade Scalper and Atlas Line successfully did multiple times throughout this historic trading day. We saw the E-mini S&P 500 climb well above the 4,000 level. If you were guessing or waiting for a short opportunity and took it, we hope you found success. If you held a position for any length of time, ouch.
Using two of DayTradeToWin’s price action systems together can give you a sense of improved clarity and ease. The Atlas Line can help qualify opportunities identified by the Trade Scalper as well as give a projected direction of where price may go throughout the day. If both systems line up, John Paul believes that’s double confirmation and all the better for trading.
How many times can a trading system be correct in a day? Many times. That’s what scalping is – many traders per day, in and out. You don’t have to take every trade. By all means, take only the best according to the ATR and any other systems you’re using. People get very excited about all the signals and potential of the Trade Scalper. It’s understandable. Once a signal appears, there’s an opportunity to place a trade right away. If you have an ATM Strategy set up that matches current market conditions, you can jump in easily.
John Paul of DayTradeToWin is expecting 2021 market conditions to climb even further. If he’s right, that means there are plenty more days like this in the future. The year isn’t even halfway over yet. By the way, if you need NinjaTrader 8, DayTradeToWin will set you up. They have a full video and written guide that may be some of the best unofficial documentation out there on the platform. The video focuses on getting up to speed quickly and skips out on features that you may not use.
“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.