Traded real well today. Over the past week or two I feel I have come up with some really solid systems. I will briefly outline the systems I have been using here, but will eventually incorporate them into my trading plan. All trades listed here are paper trades
Trade #1: short @ 1135.75, cover @ 1134.75 + 1 pt
7:01: This trade was taken off the system I have been working on the most as of late. The system is a range break of the first fifteen minutes. I originally stole the idea from Kevin Ho's 15 min range break out scalp. Basically when the range of the first fifteen minutes is broken by 2 ticks in either direction enter with a buy/sell stop, the trade is held for one minute. If the trade is not profitable within one minute, get out of the trade. A 1 pt stop loss is used, and the trade is taken off when a 1 pt profit presents itself. Pretty easy stuff on this one
Trade #2: short @ 1142.75, stop @ 1144.25, cover @ 1139.25 +3.5 pts
7:33: This trade was taken off one of the other methods I have been experimenting with. It basically is a variation of the turtle soup method that capitalizes on false breakouts. Basically I look for the following:
Entries: Draw two lines after the first hour (give or take a few minutes) of trading has formed
on a break of one of these two lines look to enter in the reverse direction of the break
The market must extend itself at least .75 of a point from the breakout line, two ticks below
the original break point.
Exit: stop should be set to 1 tick above the recent of the high of the failed breakout, the exit point is 2 times the value
of the stop
Anyways that sums it up to make it simple, here I followed the rules really well ended up in a good profit.
Trade #3 :Short @ 1141.25, stop @ 1143.25, cover @ 1137.25 + 4 pts
10:51: This trade was taken off a pattern I have noticed that occurs during the lunch hour. During this time a range will usually form, there is usually some sort of attempt to break that range. About half the time this range is broken it ends in a false breakout. Using similar rules as described in the above trading methodology I took at short.
Trade #4: Long @ 1134.75, cover @ 1137.75, +3 pts
11:45: Took this trade based on the false breakout method. Placed a stop at 1133.25, and a sell stop @ 1137.75, actually fell asleep during this trade and woke up to a nice surprise.
11.5 pts on the day (only trading 1 contract!!!)
11.5 pts gross
Well what a nice day for trading, obviously everyday is not going to be this good. But today was one of those days that was quite good and I was able to captalize on it. With my new rules, it is difficult to violate my discipline, because it is so plain and clear to me now when I am violating my discipline. Anyways Im going to continue to keep optimizing this methodology and will likely include some sort of trailing stop, to make sure I am able to get a lot of the big winners.
