This brand new video begins with John Paul explaining his approach to an Atlas Line Long signal. This is a Long/buy signal on the E-mini S&P 500. The signal price of 4406.75 is the desired entry price where you want your order to be filled, approximately. Within a tick or two of that price is acceptable. Beyond that, it may not be worth it. This is why it’s important to be ready to place a trade soon after a signal appears. The stop loss and profit target are determined by the ATR (Average True Range).
In this case, a profit target of 2.25 points (9 ticks) is sought. Five contracts are used. Therefore, the potential profit value of this trade is $562.50 (before any fees). The match is 9 ticks * $12.50 per E-mini tick * 5 contracts = $562.50. That’s a good amount for a trade that was about 1.5 minutes in duration!
If you’re trading with just one or two contracts, John Paul advises the use of a trailing stop. A trailing stop, if correctly applied and conditions provide, enables one to “lock” in a certain amount of profit before the profit target has been hit.
Well, what about scalping? We have a new video showing those signals, too. You’ll notice the chart is zoomed out to show about five signals. That’s because many signals can appear within a relatively short period of time.
Each opportunity’s goal is within three and five ticks. When scalping, it’s critically important to not chase the trade. If you miss the opportunity, if too much time has transpired, then let it go. Wait and be prepared for the next signal. It’s no fun to see a reversal or a series of chop that oppose the profit target. Such examples occurred with the latter two long signals. See how important it was to act swiftly? Be sure to configure multiple ATM Strategies within NinjaTrader to accommodate the most common conditions and profit/stop scenarios.
If you want to get both of these methods and much more, consider enrolling in our 8-Week Mentorship Program. The new class begins Aug. 12, 2021. All courses and software include Lifetime license. Click here for all the details.