Planning ahead for the trading week is a very important, yet often overlooked trading task. Many traders guess if the conditions are suitable for trading instead of using objective rules. Professional traders of futures, forex, and stocks know better.
Here are several ways to prepare:
1. Know the upcoming news events for the day and the week. Look at our news calendar or Bloomberg’s site for high priority events. These events, usually marked with a red color, can cause significant volatility. Most of the time, it’s best to wait for the volatility to subside. Also look for Fed Chair or Janet Yellen listings. Even if marked medium or lower priority, the Fed Chair can move the market with her announcements.
Important times for news events:
Click here to access our news events page
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2. Markets move in cycles. Compare today’s price action to recent days. Is it similar? Often times, it is. That’s because cycles are usually three to six days in duration. If you’ve seen slowness, expect slowness. If there’s been volatility, expect volatility. The last four days provide a picture of what to expect. The ATR (Average True Trange) can help determine volatility. Also, switch to a daily chart. You may see groups of three to four candles stuck in a range.
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3. If there’s an upcoming Monday holiday and the market will be closed, expect Friday’s activity to be slow. Three day weekends can produce “stair step” price action, which is best avoided. Mornings are the best, but Friday afternoons before a Monday holiday are often slow. A few exceptions to this rule are Christmas, New Year’s, Thanksgiving, and Easter, where you can have decent volatility.
4. International news events push and pull the markets. Take a look at Brexit. Brokers increased margins to account for the volatility. War, economic calamities, terrorist acts, and natural disasters often trigger unpredictable movement. If there’s big news in the UK, expect a ripple effect in the U.S. markets. Such ripples can be felt for weeks, as we’ve experienced with Brexit.
5. When the market approaches or exceeds new highs or lows, expect volatility. That almost goes without saying because volatility is often what gets the market to these new extremes to begin with. However, once they are surpassed, you could be facing a reversal or consecutive retracements until the market “decides” where it wants to be. Pull up a daily chart and note the recent all-time highs and lows. Markets love to trade where they’ve been before. If things get too volatile, it’s best to stay out and wait for another setup to occur.
Click the image above to see the expanded chart.
Did you catch any of these trades?
Every day, there are many opportunities that traders miss, such as the Roadmap, Blueprint, and Atlas Line trades. If you’re interested in these trades, the Mentorship Program is right for you. For special discounts for the August 15, 2016 class, call us at 1-888-607-0008 or email us at [email protected] Now that we are approaching the end of summer, let’s add to your education! Classes will be Mondays and Wednesdays from 4 p.m. to 5 p.m. US/Eastern.
Click here to submit your deposit and reserve your seat.
Seating is first come, first-served
Included with Mentorship:
• 8 weeks of live training with John Paul
• Trade Scalper course & software
• Price Action Scalping course & software
• ATO course & software
• Power Price Action methods (Yo-Yo, Stair-Step, ABC, etc.)
• X-5 course
• Roadmap software
• Filtering trades
• Trading the News
• Chart setup
• All classes are recorded
• Free updates
• And more!
If you’re using the Atlas Line on the E-mini S&P 500, you probably saw today’s Long signal at 2160.75. The signal was displayed at about 9:55 a.m. US/Eastern. John Paul’s risk management is related to real-time market conditions. That’s why he’s trading with nine contracts and setting his profit target and stop at those specific values. In the included live training, you’re taught these rules. When you have a specific guideline to follow, you can relax a bit more while trading. As he points out in the video, time is not your friend. The longer you stay in a trade, the more risk you’re subject to. Instead, it’s better to make profit quickly and get out. For the Atlas Line, the maximum time you would stay in the market is about 20 minutes (four candles on a 5-min. chart). When the ATR (Average True Range) is less than 4 ticks (1 point), it’s best to stay out because the market is too slow. Conversely, an ATR above 20 ticks (five points) indicates the market is too fast to trade. About 15 minutes later, John Paul’s trade approaches the profit target. When trading with any strategy, be mindful of upcoming news events. News events can cause havoc in the markets – it’s best to stay out until the volatility subsides. Also, before trading for the day, double-check your charts and data to make sure everything is working properly. Also, when you’re in a trade, you can sometimes move your stop loss closer to the profit target to lock in a trade.
Don’t miss another Atlas Line trade like the one we had today! Click here to purchase the Atlas Line. After purchase, we will email you the download link and instructions. Our support team can also provide remote assistance to help with the installation.
This is the third of three videos from the recent live price action webinar. In this video, John Paul discusses the following:
- Using the ATR in live conditions
- How to minimize risk
- Catastrophic stops – knowing when you’re out of the trade
- Avoiding areas of market manipulation
- How to handle retracements with the Trade Scalper
- Interpreting multiple Trade Scalper signals
- The importance of our live training and practice
- Renko bars and a review of recent trading days
- NinjaTrader 8
- Identifying overbought conditions
- Bounce trades
The next Group Mentorship class starts July 26, 2016. Reserve your seat by clicking here. With your deposit, you’ll receive the first week’s materials ahead of time (ATO course and software). During the eight weeks, you will be provided with all of our courses and software.
This is the second of three videos from the recent live price action webinar. In this video, John Paul discusses the following:
- Overbought and oversold markets
- Understanding market continuation
- Knowing how to manage the trade in advance
- Importance of rule-based trading
- Counter-trend, breakouts, and channel-type trading
- Manipulation and how to understand it
- Why the E-mini S&P is unique
- Indicators vs. manipulation
- Working with large candles
- Filtering trades
- Market triggers
- Trade Scalper vs. Atlas Line
The next Group Mentorship class begins begins July 26, 2016. Click here to submit your deposit. All of our courses and software are included with full, non-expiring licenses. With your deposit, we will provide you with the first week’s course and software (ATO method). John Paul will teach you everything he knows about trading through the eight weeks of coaching.
This is the first of three videos from the recent live price action webinar. In this webinar series, John Paul discusses the following:
- Using the ATR
- The importance of having a trading plan
- Knowing when to stay out
- Slow and fast cycles
- Targets, stops, and relative conditions
- Expectations for future price action (similar trading days, back-to-back)
- How to handle immediate price movement towards the goal
- Time-based stops
- Money management and staying disciplined/conservative
- Determining the profit target and continuation of the move
- Handling overbought and oversold conditions, momentum, and expectations
- Atlas Line and an example of filtering a trade
You can learn much more in the eight week Group Mentorship class. A new session begins July 26, 2016. Click here to submit your deposit. We will then email you the first week’s materials (ATO Course and Software), so you can get started right away. Mentorship is the best way to get all of our trading methods and learn a comprehensive approach for trading the markets on a daily basis.
For the upcoming Good Friday holiday here in the U.S., the CME markets for equity, interest rate, fx, energy, metals and DME products will be closed on Monday, March 25, 2016. Trading resumes at the regular time on Sunday evening at 6:00 p.m. US/Eastern.
The next trading holiday will be Memorial Day near the end of May.
Here are all of the 2016 trading holidays…
*All times listed are in the US/Eastern (ET) time zone; the same as New York time. All listed closures apply to CME equity products (futures) such as the E-mini S&P.
|Dr. Martin Luther King, Jr.
||Mon., Jan. 18: Early close at 1:00 p.m. ET
||Mon., Feb. 15: Early close at 1:00 p.m. ET
||Fri., Mar. 25: Closed
||Mon., May 30: Early close at 1:00 p.m. ET
||Mon., Jul. 4: Early close at 1:00 p.m. ET
||Mon., Sep. 5: Early close at 1:00 p.m. ET
||Mon., Oct. 10: Normal hours
||Fri., Nov. 11: Normal hours
||Thu., Nov. 24: Early close at 1:00 p.m. ET
||Mon., Dec. 26: Closed (Christmas Day observed)
|New Year’s Day
||Mon., Jan. 2, 2017: Closed (New Year’s Day observed)
Click here for the official listing from the CME website.
Click here to compare the holidays in 2015.
» Click here to enroll in the upcoming Mentorship Program «
Marcus participated in the Mentorship Program over a year ago. He soon became a professional day trader. He was skeptical at first, but went through our eight-week coaching program, put in the time studying, and eventually left his full-time job to become a pro trader. He says he has been profitable because of the Mentorship Program and says the training is definitely worth it. He commends John Paul for his help along the way.
There has been some confusion regarding NinjaTrader’s mandatory update announcement. To simplify the explanation, all NinjaTrader 7 users will need to update to the latest version of NinjaTrader 7 by February 27, 2016. Click here for update instructions. Your existing indicators and customized settings will not be affected by reinstalling, as these files are saved outside of the NinjaTrader program folder.
Also, at this time, you are not required to update to NinjaTrader 8. In fact, NinjaTrader 8 is still in Beta (a non-final stage), and will likely continue to be under development in the months ahead.
The reason why NinjaTrader is forcing users to update is because NinjaTrader 7 versions prior to 7.0.1000.31 do not contain the latest NinjaTrader SSL certificate. Therefore, NinjaTrader will not be able to effectively communicate with its servers, thus breaking functionality. NinjaTrader version 7.0.1000.31 and those released after will contain the latest SSL certificate.
NinjaTrader has stated support for NinjaTrader 7 will continue after NinjaTrader 8 is released.
If you’re still using the really old Windows XP or Windows Server 2003 operating system, you will need to add a certificate on your system manually as described by NinjaTrader here.
Regarding our indicators, after the final NinjaTrader 8 is released, updated indicators for NinjaTrader 8 will be available.
» Sign Up for Next Group Mentorship «
John Paul shares two E-mini S&P charts – on the left, the Atlas Line is being used with a 5-min chart. On the right, the Trade Scalper uses a 1-min chart. By seeing these two charts traded in real-time, you can get a sense of how both can really improve your trading.
In this instance, the Atlas Line provides the signal first at 1957.5. He has enough time to increase the order quantity before placing the short trade. Often times, John Paul will increase the number of contracts he trades under slower conditions to make up for a smaller profit target. A few different stop loss strategies are used – if the market turns around and goes against the trade, a prove-it stop will cancel out the trade. Likewise, the catastrophic stop will put an end to a much larger move. As always, the profit target is determined by the ATR. All of the profit target and stop loss strategies are covered in the included live training. For this Atlas Line trade, volatility is high and right at the edge where any higher, you should probably stay out. The doorbell sound is the Trade Scalper shooting off signals. It’s important to avoid trading at the same time in the same account with both the Atlas Line and Trade Scalper – do one or the other, or combine the methods where the Atlas Line can tell you the direction for the scalp trades. The profit target is around four points – don’t go beyond the ATR.
John Paul configures his 1-min Trade Scalper chart so you can get a better idea of how the Atlas Line can be used to obtain a price direction. A short scalping trade at a loss would not put John Paul in the negative for the day because of the previous Atlas Line win. No more than six ticks will be risked. Again, you have to adapt to real-time conditions when it comes to the market. Scalping is based on looking for fast and small market movements. If the Atlas Line says to look for short trades by producing a short signal, you can look for short Trade Scalper trades, either using the Trade Scalper signals or by your full understanding of the method. During the live training, John Paul explains the Trade Scalper method completely as well as how to use the included indicator software for NinjaTrader. Like the Atlas Line, You can use the Trade Scalper with many different markets. John Paul wins three ticks of profit with scalping in just a couple of minutes.
At the end of the video, he shows his total profit for both of the trades. He also reviews previous Trade Scalper trades earlier in the morning.
As a reminder, the next eight week Group Mentorship Program begins Jan. 11 2015. An full Atlas Line license is included as well as the Trade Scalper. Classes are twice a week: Mondays and Wednesdays from 3 p.m. to 4 p.m. EST (New York Time). You will be coached live by John Paul on all of our trading action trading methods (about 10 total). All courses and software are included with full licenses. Space is limited, so register early and get the first week’s ATO course and software ahead of time. Click here for information.