Our Live Documented Journey to Compound Day Trading Crude Oil Futures for Gains That 99% Would Only Dream Possible…
And one of the best parts of our mad journey; we’re now beyond Concept and Theory…
and we’re proving it LIVE (well on our way to… Fact).
We are now Trading Crude Oil to Over 1% Per Day Returns, Live.
We have many other trades that are not live also because we are testing many models).
It’s been a bit of a petri dish. So far.
But as of late we’ve stopped the petri. It was unavoidable (the petri part).
Side thought – In all fairness, only we know what the petri part is (well not completely true because members do know the rules for the most part). The important point being… we’re done petri.
We are now trading crude oil in our process with consistency and ease, real-time live and we’re recording it, we are alerting the crude oil trades on a private Twitter member feed and sharing our work process (including all rules sets, thoughts, charts and more) in chat, and we’re even trading crude oil live in our oil trading room with screen share of our charts and voice broadcast from myself alerting the trades.
0.
The probabilities that our rule-set fails now after hundreds of trades, especially now that we are in minimal discovery and quickly moving to refinement and consolidation phases is… well, near 0.
Maybe.
Oh, and even more reason … our software runs trades near 24 hours a day now (non-alerted at this point), and nearly never loses. When it does, it’s for pennies. Soon we’ll unleash him/her (it) live.
Maybe.
For all intents and purpose, we don’t lose when manually executing trades either. Sure, we do lose sometimes, but very small if we do – very small. And even our manual executions are getting better all the time. And we (I) suck as traders.
Here’s an even better part; 3%, not 1% sees 10,000.00 to 2 Million Dollars in 180 days. And we’re going to do it.
Nobody knows the future! I know, I know.
1 – 3 Hours a Day.
A cool part… we do 1% or more with 1 – 3 hours a day of trade focus. Usually closer to an hour or so. We’re kind of busy with something I never thought I’d be doing…. code, machine learning, science, quantum thingys and other mind places.
Anybody Does Do It.
And better yet; anybody can do it. Why? Because we’re refining the process to its most simplest form. Quantum mind things to simple.
But there’s too many lines! I know, I know.
We have non traders (on staff) starting to use the rule-set and even starting to alert their trades. And the coolest part, they may be better at executing the trading rule-set than the experienced oil traders (initial indications are this could be very plausible).
We Like Tents… Almost as Much as We Love Beaches.
And the near best part (in my little world)… the money ain’t the motivator – I’d be equally happy living in a tent on a beach. Oh wait, I almost do. The shiny floors at the Hard Rock in Punta Cana were never my thing anyway.
And the best part; freedom is near (unless the world ends or something). Not only is freedom near for our staff (that have worked tirelessly day and night) but for our clients and members and their families and their families. Get the drift? This is why I’m so excited.
The Dream Realized. Next!
And we’re near done the first of many (instrument trading processes) we are developing. We’re in the final phases with our oil trading platform, soon it will simply be maintenance updates to the manual trading and machine trading parts of our oil trading services.
Yes, the other algorithm models and swing trading are next.
The Point?
Sharing our journey. I did promise when we started all this. That I would share.
Selling you on it. So you can join the movement to freedom. So you can help. So maybe you can be a part of it. Maybe you’ll take the next steps? Maybe anything is possible.
Maybe you will be our next donor when our software development needs a few million for the app.
Or maybe we’ll just boot strap that too.
Maybe I’ll inspire you. That would be novel.
Promises.
I also promised our sharing will end soon. It will be this year.
We’ll still be around to chat.
We’ll still have our enterprise.
We just won’t share.
It’s tiring. I just made a promise to share, to a point:)
How is it Done? … the trading up 1% gains or better in crude oil a day.
Members stay tuned for Part 2 of this post. Until then study the most recent report here:
Welcome to the Next Trading Boot Camp Cabarete Beach, Dominican Republic!
10 Student Maximum for in person attendance. 25 Student Maximum for online attendance.
Winter Sessions Sell Out Fast (it is warm here after-all) so act fast if you plan to be here with us!
New Student 30% Discount (2999.00 – 899.70 = 2099.30) for this session, use code “coach30” at check-out.
Returning Student Alumni 50% Discount (2999.00 – 1499.50 = 1499.50), use code “alumni” at check-out.
Event price 2999.00 (less discount), includes the training (online or in-person) plus;
Attendees receive All Access Membership (1499.00 value) incl for 30 days – click here for detail.
Attendees receive Video Recordings of Previous Trade Coaching Boot Camp (1499.00 value).
Attendees receive previously recorded 20 Hour Master Class Series video set (1499.00 value).
Take your trading to the next level with our lead trader at our next trade coaching boot camp at Cabarete Beach, Dominican Republic November 30 – December 2, 2018.
Risk Management: Time dimensions, scaling in and out of trades
Technical Analysis: Time/Price Cycles, Fibonacci, Elliot Wave, Charting, and others
Bringing it all together: simulated trading in equities, commodities and crypto.
Real-time trade planning for intra-day and swing traders
Technical Analysis: Combining multiple analytic tools, inverses, algorithmic and black box modeling, third-party scripting and widgets
Open Q/A. You trade your own account in a live environment
Availability of team trading pending on group sizes
Your Instructor.
A rare opportunity to receive trade coaching from a thirty year Wall Street trading veteran, you won’t regret this small investment for a future of freedom. Click here for our lead trader biography and trading disciplines.
Learn how to trade like the pros using technical set-ups only the largest funds have access too. The stock market’s liquidity is exponentially being traded more and more by algorithmic traders and machine trading.
Our trade coaching equips the every-day trader with a serious edge to compete in this new market generation.
The lead trader at Compound Trading is a technical market architect contracted by many funds in the stock market – he knows how to structure your trades to compete.
This opportunity won’t present itself for long as our lead trader is nearing retirement.
Pricing is 2999.00 for the 3 days (you pay travel, meals, hotel). We are running a 30% discount for this session, use code coach30 at checkout.
Travel Assistance.
Let us know if you need a hand with hotel recommendations and more! The boot camp is held right at Cabarete Beach (Lonely Planet – Cabarete Link) for coordinating your hotel. We can also refer you to gated communities nearby with packages. Many students come days prior or stay days after the boot camp to trade with our lead trader, other traders and enjoy some of the excursions available on the island!
Winning Most Swing Trades Not Just Possible – It’s Probable, Here’s How.
Part 8 of the Freedom Traders Series. This section will provide tutorials on how to use our platform services and charting to win the majority of your trades. This is part one in this new section. #freedomtraders
Preface:
I work a lot, and today I had this article on “how to win most swing trades using our platforms” all figured out in my mind. Now that it’s 1:00 AM and I’ve processed hundreds of charts on swing trading, emails, helped other traders and more… I am experiencing writer’s block.
So what I will do is explain here quick the technical indicators we use in our trading to keep this as concise as possible. At a later date I will either do another more detailed article or revise this one.
This post will assist anyone to swing trade with a super high success / win rate that subscribes to our swing trading newsletters, swing trading alerts or trades using our algorithmic modeled charting in any way.
BUT! You have to trade using the rules. You won’t win unless you follow the rules.
“Look, I’m just mechanic. You want an engine in that car that’ll win? I’ll build you the best on the track. But you gotta turn the key and drive – I can’t do that for you.”
"Look, I'm just mechanic. You want an engine in that car that'll win? I'll build you the best on the track. But you gotta turn the key and drive – I can't do that for you." — DM convo. Okay gotta go. peace
— Curtis Melonopoly (@curtmelonopoly) June 5, 2018
This is Paint By Numbers Swing Trading. Trust the Process and Know the Rules.
We provide you the chart structure, with the instructions on how specifically to trade the move (paint by numbers trading). But you have to follow the plan and you have to know the rules of the game.
When you get to know our process for charting you will come to know that this is the best charting methodology on the markets. How do we know that? Because the biggest and best firms contract us to provide them with our charting data. This is the charting that the best of the best use for their traders and coding programmers for algorithms at hedge funds.
When you learn how to trade with a trading structure – a structured chart model, you will never return to trading the way you knew. I will guarantee that. It is like having a GPS when you travel. It’s totally different. We chart in advance the map of trade. This is much different than conventional charting methods that chart the trade after it has occurred (what you see in every day charting).
When you learn how to trade with a trading structure – a structured chart model, you will never return to trading the way you knew. I will guarantee that.
Proper charting structure allows you to be in a trade with confidence knowing that even if it fails you can get out with a win because you know the structure of the trade. You know that when it fails the next place on the chart where it should consolidate, restructure trade and you can then size in (exploit the next move) and get out with a win.
Conventional charting will not do this for you.
The video below should make understanding the charting easy for you and then later in this post I will show you some static chart examples.
Video Explaining How to Use our Swing Trading Charts Properly.
“I get a lot of Q’s on How to Trade our models, this vid has 5 min explanation at 1:00 min – 6:00 min. https://www.youtube.com/watch?v=QrXbE7lojAg&t=3s … – Fib Trendlines, Trading structure/quads, Price targets, Main support resistance (buy sell triggers), Time cycles, Moving averages, Trading trims/adds.”
I get a lot of Q's on How to Trade our models, this vid has 5 min explanation at 1:00 min-6:00 min. https://t.co/oqezvVcn0y – Fib Trendlines, Trading structure/quads, Price targets, Main support resistance (buy sell triggers), Time cycles, Moving averages, Trading trims/adds.
Trade set up reviews covered on this May 7 video are;
How to Trade the Chart Models:
– Fibonacci Diagonal Trend-lines
– Fibonacci Horizontal Trend-lines
– Diamonds make up trading structure / quads
– Price targets
– Main support and resistance (buy sell triggers)
– Time cycle peaks (time cycle completions)
– Moving averages (20 MA, 50 MA, 100 MA, 200 MA)
– Trading support and resistance (trims and adds)
Swing Trading Chart Example:
Below is a Google (GOOGL) chart, we can use this as an example chart for how simple it is to swing trade this system.
The Google chart below has the following indicators for your trade;
Horizontal lines (Fibonacci related) are support and resistance on our charting. The ones marked with arrows are the key support and resistance areas for swing trading. The others not marked with arrows are intra-day support and resistance levels that you can use for adding to your position after you have entered long for example and trimming your position as trade nears your price target.
Ideally you will take your initial long or short position at the main support or resistance line (the ones marked with arrows) and exit or considerably trim your position as trade gets to the next primary support or resistance (marked with an arrow).
In this instance, using the chart below, you would enter long at 995.82 and trim that long at 1103.24 and continue to trim as you get closer to the next resistance at 1210.98. All figures are approximate.
The diagonal lines (in this example they are grey dotted) are Fibonacci related trend-lines that form what we call trading quadrants (diamond shape trading areas). Why are these important? Because you use them like any other support and resistance. Trim your long positions in to them and add above. You don’t have to, but some traders want to optimize their return. It depends on your trading plan, sizing and time frame. This is just one chart example with one time frame.
The red circles on our charts are price targets for not only the price but the actual exact time the target is most likely to get hit if trade hits it. Why do we provide these targets? Because if the machines are in the play that you are swing trading, you will find trade to be very predictable through the model and you will become very proficient at knowing which target will hit on the chart and exactly when.
Time cycle peaks are the area of the chart structure that allows for the widest width of trade. The apex or upper of the diamond and it correlates with the lower inverse apex (the bottom of the diamond). When coding technicians program for trade in the structured chart model this is where the profit is made. You will find in many of the chart models that trade volatility will increase in to the time cycle peak. They are noted also with a vertical dotted line on our charts. In the example below a green vertical dotted line. Here again, you want to view the chart in your trading plan and if trade has previously shown wide swings historically on the chart model at these intervals then you can take advantage of that.
Keep in mind that different trading instruments have different predictability in their chart models. This is directly influenced by liquidity in the market specific to the instrument and whether the machine liquidity is in the play. Some chart models for some instruments are incredibly predictable, and some are not. You will find our swing trading newsletters to explain this for various stocks we cover. The trading alerts feed does not cover this in great detail because it is an alert feed. The alert feeds do attempt to give clear entry and exit / trim points of reference for your trading plan however.
Here is an example of a predictable structured trading model in Silver for example;
Markets are so machine controlled now 14 of 19 of these symmetrical targets in time cycles in Silver model have hit perfect. Five that missed barely did, trade was easily a win for 19 in 19. $SLV $USLV $DSLV #Silver #Chart #Symmetry #Algorithms #MachineTrading #Commodities https://twitter.com/curtmelonopoly/status/1003893552961769473
Markets are so machine controlled now 15 of 19 of these symmetrical targets $SLV $USLV $DSLV #Silver #Chart #Symmetry
Also in our charting you will find conventional indicators like moving averages and other indicators that will vary from chart to chart.
I don’t like the idea of a trader just following an alert feed and not subscribing to the newsletter service because just the alerts can do a disservice to a trader because the whole story is not there. But if that’s all a trader can afford to get going then okay I understand. But ideally you want to be trained in private coaching for at least a few hours, get the newsletters so you have the perspective and structure of the trades, get in to the trading private server for members so you can ask questions and then once you are running confident then you can take trade alerts with no problem. But I get it and I’m flexible to the plight of new traders.
I highly encourage you to get at least a few hours of private trade coaching or attend a trading bootcamp to refine your skillset with sizing, cutting quickly and where if you are on the losing side of a trade, adding in to winners and trimming at the right locations in each trade. This is very important. So much so that I would venture to guess that knowing how the rules work and how to engage each trade will increase your win rate double, your losses to near zero and your return on each trade easily by 50%. It is critical.
Below is the Google chart I reference above.
$GOOGL right up against key resistance – trim in and add above to next. #swingtrading #daytrading
Example of What our Swing Trading Alert feed looks like:
Initial Swing Trading Alert on Twitter Feed to Members:
FITBIT (FIT) Chart. Over 5.87 targets 6.16 6.22 6.67 PT June 28. Closed 5.86 bullish on news. $FIT #chart #swingtrading #daytrading https://www.tradingview.com/chart/FIT/1NNdYQxO-FITBIT-FIT-Chart-Over-5-87-targets-6-16-6-22-6-67-PT-June-28/ … 8:20 PM – 4 Jun 2018
FITBIT (FIT) Chart. Over 5.87 targets 6.16 6.22 6.67 PT June 28. Closed 5.86 bullish on news. $FIT #chart #swingtrading #daytrading https://www.tradingview.com/chart/FIT/1NNdYQxO-FITBIT-FIT-Chart-Over-5-87-targets-6-16-6-22-6-67-PT-June-28/ …
The Follow-up Alert on this Specific Swing Trade the Next Day
Daytrading levels were added to the charting and alert because the trade was going the right direction. This updated charting allows for precise entry and exits for the swing traders and allows our daytraders to work in the trade chart structure as well.
FITBIT Class A (FIT). Intra over Fib TL, 6.17, 6.22 res targets 6.68 June 28, see daytrading levels added, trading 6.37 $FIT * See exclusive Member report. #chart #swingtrading #daytrading https://www.tradingview.com/chart/FIT/xrBqVqZF-FITBIT-Class-A-FIT-Intra-over-Fib-TL-6-17-6-22-res-
FITBIT Class A (FIT). Intra over Fib TL, 6.17, 6.22 res targets 6.68 June 28, see daytrading levels added, trading 6.37 $FIT #chart #swingtrading
Example of Feature Reports our Swing Trading Members Receive.
This special edition emailed to our members the night before the alerts gave our members in detail exactly what the plan was in the trade – PRIOR TO THE ALERT BEING ISSUED THE NEXT DAY.
The report provided our traders detailed information on FitBit the Company, Fundamentals, the News applicable to theTrade Set-up, Technical Trade Set-up, and Charting details including Simple Algorithmic Chart Structure (model) with Price targets, Fibonacci support and resistance, trading quadrants (diagonal Fibonacci trend-lines).
Everything our traders needed to know was in that report, before the alert the next day was issued and it was processed as an extra to the service – a value add not required under the swing trading service offerings.
Unlocked: FITBIT INC CLASS A (NYSE: FIT). How to Trade FitBit for 40% Gain (Member Exclusive) $FIT #swingtrading #daytrading #chart Link:
Example of Private Discord Server Side Alerts our Members Have Access To with a Bundled Plan.
Here is a screen shot of what our private Discord servers look like (they are specific to the service you are subscribed to and there is no reason for a member not being in the chat room at anytime). It is vital to your success and many of our trading subscribers do not take advantage of this vital tool.
Discord Member Private Alert Server screen shot examples.
Example of our Swing Trading Newsletters:
We have five swing trading reports in rotation that cover over one hundred equities on a regular basis for our members. We also send regular feature reports out such as the trading plan above for FITBIT.
Notice Not a Single Wall Street Trader Ever Argues. You know why? Because it’s true and they know it’s not arrogance, I’m stating a fact to scream through the noise. We’re dealing in data science, science is not sexy wall street casino. We’re fighting the casino mentality every day to help traders win.
When I call em’, I know I’m right (in advance) and I can even give you the road map of trade (instrument charting structure) winning high 90% since coding team arrived two months ago. Check the feeds for yourself. #boomtown
When I call em', I know I'm right (in advance) and I can even give you the road map of trade (instrument charting structure) winning high 90% since coding team arrived two months ago. Check the feeds for yourself. #boomtown
— Curtis Melonopoly (@curtmelonopoly) June 6, 2018
Hopefully that helps acquaint you with our swing trading services and how to use our swing trade charting to your advantage. Of course you can email me anytime or DM me on Twitter or on our Discord server. I’m here to help.
It takes time to learn what will prove to bring you to freedom for sure and to significant wealth if you become fluid in the mechanics of structured trading. There is no other better way to trade and I can prove that to you. But you have to invest some time in to it. When you become proficient at it you will see it as easy as paint by numbers. I guarantee you that.
Here’s how to get started with your new life at Compound Trading Group and Welcome Aboard!
Or click here to subscribe and get 30% off Real-Time Swing Trading AlertsReg 99.00 Sale Price 69.37use temporary Promo Code “Deal30” for 30% off.
I personally guarantee our swing trading service is one of the best in the business and it’s very reasonably priced considering the technical expertise invested in the platform.
After you have subscribed to specifically the swing trading alerts follow @SwingAlerts_CT on Twitter and then email info@compoundtrading with your telling us your Twitter handle so we can open the feed to you.
Follow this link for a follow-up swing trading article that provides a real-life technical trade set-up example:
Compound Trading Group Platform: Algorithm model charting for $SPY, $VIX, #OIL, #GOLD, #SILVER, #Crypto ($BTC Bitcoin, $ETH, $LTC, $XRP,) $DXY US Dollar and Swing Trading Newsletter. Live trading rooms for full-time daytraders. Private coaching and live alerts.
Article Topics; How to Swing Trade, Win Most Trades. Swing Trading, Alerts, Newsletters, Winning, Trades, Charting.
This update will cover my progress with the screening technique, as well as one week progress of the 12 equities covered in my last post and a couple of new charts I found this week.
It Really Works.
So, it’s been a week since I first used tradingview’s scanner to look for chart setups. The first part of this update is simple: It works. It really works. In fact, it has completely changed the way I study – and trade – in just a week. Instead of spending hours and hours looking for charts, I’ve been able to find new setups easily and spend more time studying them (marking natural resistance, setting up fibonacci retracements, setting strict entry points and targets). If anything I’ve had too many charts and not enough time!
Adjustments.
So far the only parameter I have adjusted is volume. Instead of looking for average volume > 200K, I’ve been looking for average volume > 500K. This has eliminated all the low liquidity stocks from my screens and further simplified the screening process for me. There are tons of other parameters I plan to play with, but for now I’m just keeping it simple.
Results.
After one week, 7 of the 12 equities covered in my first post are green. $WEAT (a.k.a. Curt’s Old Man Play) is leading the pack, up 15.89% since last Monday. $NNVC is the biggest loser at -7.80%, but it’s testing the 200 and I’d be surprised to see it down for much longer. Below are my notes on those 12 charts as well as a few new charts to watch. Note: The price under the company name is the price on the date of the most recent update, percentage is percent change since my first post.
$SMSI—Smith Micro Software Inc.
1.49 (-7.41%)
July 3—Trading 1.49. Retesting the 200 but has held it for 3 days now. 50 MA just breached the 100 and the 20 is curling up toward the 200. Stoch RSI trending down but starting to curl, MACD still up and SQZMOM still bright green. Pretty low volume the last few days but watching for volume to pick up as the 20 approaches the 200.
June 27—Decent chart, lots of history, respects its 200. Pretty low liquidity but volume up recently. Trading 1.62. Price just breached 200 MA on the daily, 20 MA came through the 100 MA providing lift. MACD trending up, stoch RSI near the top, SQZMOM bright green trending up. Trading between the MA’s on the weekly – price just got over the 20 MA and tested the 50 MA. 100 and 200 MA’s in order above. Stoch RSI near top but trending up, MACD crossed up with tons of room, SQZMOM dark red about to turn green. Past earnings.
$NG—Novagold Resources
4.41 (-8.30%)
July 3—Trading 4.41. Lost the 200 MA. Will probably pull back to the 20 MA then try for the 200 again. Note: Discontinuing blog coverage of $NG after this week because it trades off of gold more than its MA’s.
June 27—Decent chart, lots of history but doesn’t always respect its 200. High liquidity. Trading 4.81. Not the best setup but just got over the 200 on the daily and the 20 just crossed the 50. Stoch RSI near the top, MACD crossed up with plenty of room and SQZMOM just turned bright green. On the weekly, 50 and 100 MA’s acting as resistance but stoch RSI straight up, MACD just crossed up and SQZMOM just turned dark red, trending up. Watching to see if this one holds the 200 MA.
$PFSW—PFS Web, Inc.
8.35 (+5.03%)
July 3—Trading 8.35. Low volume but 20 about to cross the 200 and stoch RSI has turned up. MACD up and SQMZOM bright green. Looking for some volume on this one.
June 27—Good chart with history. Decent liquidity. Respects its 200 MA. Trading 7.95, just over the 200 today. 20 and 50 MA both breached the 100 and are just below the 200. May ride the 20 MA up over the 200 once it crosses. Stoch RSI, MACD and SQZMOM all trending up. Watching for the 20 MA to cross the 200. Natural resistance and the 100/200 MA’s on the weekly at 10.16 area. Could see up to 16.00 area if it gets through that.
$DRRX—Durect Corp.
1.58 (+2.59%)
July 3—Trading 1.58. 50 crossed the 200 but not much movement with holiday low volume. Stoch RSI has turned up, SQZMOM still good but MACD looks like it could cross down. Just held the 200 on the weekly chart and the 20 is turning up toward the 50 as well. Huge upside in this chart with the daily and weekly setting up simultaneously. Ran fibs on it and it trades the model almost perfectly. Safe entry is over strong resistance at 1.70 with volume. Targets on the model at 2.00 and 3.26 both on August 17th, so we’ll see how it handles that decision.
June 27—Interesting chart. Not a ton of history but lots of symmetry and respects the 200. Good liquidity. Currently trading 1.54. Rode the 20 MA over the 200 and the 50 is approaching the 200. Stoch RSI at the top, MACD trending up but near the top and SQZMOM bright green. On the weekly it just broke through the 200 MA with the 100, 50 and 20 in line below. Indicators the same as daily but MACD has more room. Natural resistance at 1.88 area. Watching for 50 MA breach of 200 MA on the daily chart/over 1.88. Could see 3.00-3.50 range.
$PCO—Pendrell Corp.
7.47 (+3.61%)
July 3—Generally low volume but the setup is there. 20 came through the 200 today and price reacted well. Stoch RSI near top, MACD up and SQZMOM bright green. Looking for some volume before an entry.
June 27—Not the best chart. Decent liquidity and the tendency to gap (up and down) but respects the 200 and generally reacts well to price breaching the 200. Trading 7.21. This one got through the 200, came back and tested twice before losing the 200 and now regaining it. MA’s in line below the 200 with the 20 about to breach the 100. Stoch RSI near the top, MACD crossed up with plenty of room and SQZMOM bright green. Completed bowl could see it up around 15.00 if it plays out.
$WETF—Wisdomtree Investments, Inc.
10.31 (-0.002%)
July 3—Got some lift today from the 20 crossing up the 200. Stoch RSI turned down, MACD neutral but SQZMOM bright green. Looking for that MACD to come alive before I make an entry.
June 30—Came off a bit, trading 10.17. May come back to test the 200 before getting a pop but the 20 is coming through the 200 and could provide some lift. Stoch RSI trending up, MACD neutral and SQZMOM bright green but barely. Watching that 200 test closely.
June 27—Good chart with history, high liquidity. Trading 10.33. Just got over 200 MA on the daily, 50 just breached the 100 and the 20 is testing the 200. Has used the 20 MA as support on its way over the 200. Stoch RSI trending up, MACD neutral and SQZMOM just turned bright green. Resistance from the weekly 100 MA above at 12.28 and 200 MA at 13.85. Completed bowl would take it to the mid-20’s. Watching.
$THC—Tenet Healthcare Corp.
19.22 (+0.68%)
July 3—Trading 19.22. 20 through the 200 now but looks to be coming back to test the 200. Watching for the bounce after 200 test. Key resistance at 20.46, would look to enter over that with the 50 crossing the 100 and 200.
June 27—Decent chart with history, tons of liquidity and respects the 200. Trading 19.09 just over the 200 MA. 20 MA is crossing the 100 MA and the 200 is swooping down pretty steep from overhead. Stoch RSI trending up, MACD neutral and SQZMOM bright green. Resistance above at 19.55, 25.91 and 37.33 in the form of the weekly 50, 100 and 200 MA’s. I’d like to see the 20 MA breach the 200 on the daily with price above resistance at 19.55. Completed bowl could see anywhere from 30.00-60.00.
$WEAT—Teucrium Wheat Fund
8.24 (+15.89%)
July 3—Trading 8.24. Wishing I had gone long on this one the second I saw it. Perfect setup testing the 200 right as the 20 crossed then BOOM straight to the apex of the model. Stoch RSI and MACD almost completely vertical. Wow can’t believe I missed that one.
June 27—Not a ton of history here but generally respects the 200 MA and recently breached before coming back to test. 20 MA sitting just under the 100 and 200 MA’s. Stoch RSI trending down, MACD just crossed down and SQZMOM dark green. Watching for stoch RSI to turn up at the bottom, the 20 to breach the 100 and 200 and the MACD to cross up. Unsure about this one due to lack of history/volume. Good upside but a generally slow mover.
$NNVC—Nanoviricides Inc.
1.30 (-7.80%)
July 3—Trading 1.30. Looking like it will test the 200 MA. Stoch RSI coming down, MACD crossed down but SQZMOM still bright green. Hitting resistance on the down channel trend line – needs to push soon or it could end up in that 1.06 target on July 10. Upper target is around 2.20 on the same day. When this one goes, it goes. Watching closely.
June 27—Pretty good chart with history, but low liquidity. Respects its 200 MA and has gotten enormous lift when this setup has played out in the past. Trading 1.41, just above the 200 MA, riding the 20 MA for support. 50 MA is close to breaching the 200 MA. Stoch RSI is at the top, MACD is crossed up with room and SQZMOM just turned bright green. Jumped 130% last time this setup played out.
$RUN—Sunrun, Inc.
7.24 (+5.07%)
July 3—Trading 7.24. Still holding this one, it has failed between the fib resistances at 7.29 and 7.36 multiple times over the last few days. Looking for the 50 MA cross over the 200 to help push it through that level. Stoch RSI coming off the top but MACD still up and SQZMOM green. Critical level is that 7.36 fib, over that and it’ll see 8.00 imo.
July 1—Trading 7.12. I’m long on this one from 7.15 on Wednesday morning. Having a lot of trouble with the 0.236 fib level at 7.29 and came off to support at 7.12. Trading the model well though and 50 MA is crossing the 100 and should get the 200 soon. Stoch RSI coming off the top a little bit but MACD and SQZMOM still way up. Giving it some room. Will continue to move stop up along that diagonal trend line. Stop set at 6.78 for now. Target: 8.00.
June 27—Not much history but lots of liquidity and so far seems to respect it’s 200 MA. Trading 6.89 (+1.39 since breaching the 200 last week). 20 MA crossed up the 200 MA almost vertically and the 50 MA is starting to curl up toward the 100. Stoch RSI flat on top, MACD trending up fast and SQZMOM bright green but near the top. Trump solar wall play I believe. Really bullish chart, target at 8.00 by early August.
$RSO—Resource Capital
10.52 (+3.34%)
July 3—Trading 10.52. Got some lift from the 50 touching the 200, could be the start of a significant move. Stoch RSI turning up, MACD still neutral and SQZMOM starting to perk up bright green. Watching the MACD on this one for a possible entry point.
June 27—Pretty decent chart, respects its 200 MA, decent liquidity. Same play, trading 10.18 just over the 200 MA. 20 MA just breached with the 50 just below. Gap-fill potential as well. Stoch RSI trending up, MACD neutral and SQZMOM just turned bright green. Resistance above at 10.33, 11.18 and 16.12 from the weekly 50, 100 and 200 MA’s. Have to watch the weekly chart as you play this one. Side note: was trading over $70 pre-2008 and just announced pricing of $377 million mortgage backed CLO’s…Watching this one.
$IQI—Invesco Quality Municipal Income Trust
12.74 (-0.70%)
July 1—Trading 12.74. Removing $IQI from this list because I am unfamiliar with the way trusts trade.
June 27—Healthy looking chart, hugs its MA’s but no idea on liquidity. Looks to be traded mostly by computers. Trading 12.83, rode its 20 MA up through the 200 as it comes down on a pretty steep slope. The 50 should cross soon and the 100 after that. Stoch RSI and MACD neutral, SQZMOM dark green. Over the 200 on the weekly chart as well but hitting resistance at the 100. Stoch RSI at the top, MACD trending up and SQZMOM bright green on the weekly. Slow mover, not a ton of upside in this one.
A Few New Charts to Watch.
$SCHN—Schnitzer Steel
$ARNA—Arena Pharmaceuticals Inc.
$HIVE—Aerohive Networks Inc.
Conclusion.
The A+++ charts are out there. You just have to find a method of $STUDY that works best for you. With the help of Curt’s lessons and this screener, I’m finally starting to turn a corner with my trading and get on the road to freedom!
Thanks again to Curt for allowing me to share and to everyone for reading! Feel free to contact me on twitter @reedshermanator if you have any questions/comments concerns.
Happy Independence Day to those of you in the U.S. and happy Canada Day to our friends up north!
Hey! I am Chris from Europe. One of the nice things for me is that i can have a full-time job and still trade because of time-zones.
I work from 7a.m. – 3p.m. At 3.30p.m. NYSE opens which allows me to do both things: working and trading.
I am trading for about 5 years and i specialized in A+++ dividend stocks giving me a yearly profit of roughly 10% after taxes. Two years ago i wanted more and started daytrading.
With dividends i had a strict plan on what to buy based on a lot of factors (feel free to ask me about it anytime) and in retrospect i should never have stopped doing that cause with daytrading everything changed….
Summary for Day-Trading Beginners.
A) Never trade emotionally!
B) Set stop losses!
C) Do not start with small Biotech stocks
Status Quo.
I had to learn the hard way that there is something worse than trading without a plan and that is trading emotionally.
Influenced by a stroke of fate in my family I invested in companies researching cure for a specific illness.
That ended in 1 company going chapter11, and 3 others being -90% on my investment after failing phases of their drug development program.
That is when i started to develop a plan for my trading. I found my niche in reverse merger plays. The problem was the same as with trading dividends: Those investments are swing-trades and it sometimes takes up to 6 month until you see some profits so i started to look for something different. That is when i found Curt’s Trades on Twitter.
I purchased a 3-month membership because i did not want to follow a guru but more learn how to day-trade with a plan. That is basically what i do from Day1 since i joined Curt.
For me it is my last chance of being a profitable trader and the journey is hard and still at the beginning. My whole lifetime I set goals in my life, so I have them too with daytrading:
Short-Term Goals.
A) Within my 3 months membership my overall trades (including all costs and taxes) should be positive.
B) My membership costs should be covered by winnings End of August 2017
C) My membership-renewal should be covered by winnings End of August 2017
D) A membership on www.tradingviews should be covered by winnings by End of August 2017
E) Reviewing all Videos of Curt and studying, studying, studying….
Mid/Long-Term Goal.
A) Getting back my initial investment and turning that into a profit
Status: Goals.
Symbol
In
Out
Profit
DCTH
00.12
0.185
+ $ 485.66
PLUG
02.17
02.24
+ $ 30.14
ETRM
06.25
05.50
– $ 119.32
PBYI
73.00
68.00
– $ 83.03
SNAP
21.74
21.30
– $ 39.55
VIPS
13.02
12.80
– $ 39.02
SRNE
02.20
02.05
– $ 205.81
SPWR
09.11
08.92
– $ 63.44
MARA
00.48
00.38
– $ 366.72
OVERALL
– $401.09
(Start: 24.05.2017) (Note: All trades above reflect my research and do not mirror any trades by Curt)
Hello everyone! My name is Reed Sherman, I’m an economics/finance student at the University of Texas and have been trading with Curt and the team for about a month now. Curt was nice enough to let me share some things I’ve learned, so here we go! This post will cover creative ways to use Tradingview to find more high probability chart setups and develop a better watch list.
There has to be an easier way, right?
I, like many of you, am working to build a small account (mine is probably smaller than most). Which means I must be very selective, even picky, about the trades I take. “A+++ trades only” in Curt’s words because you just can not afford to lose in a small account – it can be game over in the blink of an eye. So, the last few weeks I’ve spent hours and hours looking for A+++ chart setups with little luck. I have seen some A+++ charts during mid-day review (if you’re new to the group, my advice is don’t ever miss a mid day review. Important lessons learned in there every day) but a lot of them had played out already. So yesterday I was thinking – “there has to be an easier way to do this, right?” Sure enough, there is.
The Easier Way:
Click on the “screener” tab in the bottom left corner of Tradingview. This allows you to search through all charts that match whatever criteria you are looking for. To look for our basic setup (MA cross with price above) I used these settings:
Simple Moving Average (200) below or equal to price.
Simple Moving Average (100) below or equal to Simple Moving Average (200)
Simple Moving Average (50) below or equal to Simple Moving Average (200)
Average Volume > 200k per day
This gave me a pretty long list of stocks to look at and all of them were our setup. So I went through one by one, taking a quick look at the history of the chart (Liquidity, how they trade around the MA’s, etc.) and how the setup looked to me. I ended up with notes on 12 charts to watch (in no particular order):
$SMSI—Decent chart, lots of history, respects its 200. Pretty low liquidity but volume up recently. Trading 1.62. Price just breached 200 MA on the daily, 20 MA came through the 100 MA providing lift. MACD trending up, stoch RSI near the top, SQZMOM bright green trending up. Trading between the MA’s on the weekly – price just got over the 20 MA and tested the 50 MA. 100 and 200 MA’s in order above. Stoch RSI near top but trending up, MACD crossed up with tons of room, SQZMOM dark red about to turn green. Past earnings.
$NG—Decent chart, lots of history but doesn’t always respect its 200. High liquidity. Not the best setup but just got over the 200 on the daily and the 20 just crossed the 50. Stoch RSI near the top, MACD crossed up with plenty of room and SQZMOM just turned bright green. On the weekly, 50 and 100 MA’s acting as resistance but stoch RSI straight up, MACD just crossed up and SQZMOM just turned dark red, trending up. Watching to see if this one holds the 200 MA.
$PFSW—Good chart with history. Decent liquidity. Respects its 200 MA. Price just barely over the 200 today. 20 and 50 MA both breached the 100 and are just below the 200. May ride the 20 MA up over the 200 once it crosses. Stoch RSI, MACD and SQZMOM all trending up. Watching for the 20 MA to cross the 200. Natural resistance and the 100/200 MA’s on the weekly at 10.16 area. Could see up to 16.00 area if it gets through that.
$DRRX—Interesting chart. Not a ton of history but lots of symmetry and respects the 200. Good liquidity. Currently trading 1.54. Rode the 20 MA over the 200 and the 50 is approaching the 200. Stoch RSI at the top, MACD trending up but near the top and SQZMOM bright green. On the weekly it just broke through the 200 MA with the 100, 50 and 20 in line below. Indicators the same as daily but MACD has more room. Natural resistance at 1.88 area. Watching for 50 MA breach of 200 MA on the daily chart/over 1.88. Could see 3.00-3.50 range.
$PCO—Not the best chart. Decent liquidity and the tendency to gap (up and down) but respects the 200 and generally reacts well to price breaching the 200. This one got through the 200, came back and tested twice before losing the 200 and now regaining it. MA’s in line below the 200 with the 20 about to breach the 100. Stoch RSI near the top, MACD crossed up with plenty of room and SQZMOM bright green. Completed bowl could see it up around 15.00 if it plays out.
$WETF—Good chart with history, high liquidity. Just got over 200 MA on the daily, 50 just breached the 100 and the 20 is testing the 200. Has used the 20 MA as support on its way over the 200. Stoch RSI trending up, MACD neutral and SQZMOM just turned bright green. Resistance from the weekly 100 MA above at 12.28 and 200 MA at 13.85. Completed bowl would take it to the mid-20’s. Watching.
$THC—Decent chart with history, tons of liquidity and respects the 200. Trading 19.09 just over the 200 MA. 20 MA is crossing the 100 MA and the 200 is swooping down pretty steep from overhead. Stoch RSI trending up, MACD neutral and SQZMOM bright green. Resistance above at 19.55, 25.91 and 37.33 in the form of the weekly 50, 100 and 200 MA’s. I’d like to see the 20 MA breach the 200 on the daily with price above resistance at 19.55. Completed bowl could see anywhere from 30.00-60.00.
$WEAT—Not a ton of history here but generally respects the 200 MA and recently breached before coming back to test. 20 MA sitting just under the 100 and 200 MA’s. Stoch RSI trending down, MACD just crossed down and SQZMOM dark green. Watching for stoch RSI to turn up at the bottom, the 20 to breach the 100 and 200 and the MACD to cross up. Unsure about this one due to lack of history/volume. Not much upside though, very slow mover.
$NNVC—Pretty good chart with history, but low liquidity. Respects its 200 MA and has gotten enormous lift when this setup has played out in the past. Trading 1.41, just above the 200 MA, riding the 20 MA for support. 50 MA is close to breaching the 200 MA. Stoch RSI is at the top, MACD is crossed up with room and SQZMOM just turned bright green. Jumped 130% last time this setup played out.
$RUN—Not much history but lots of liquidity and so far seems to respect it’s 200 MA. Trading 6.89 (+1.39 since breaching the 200 last week). 20 MA crossed up the 200 MA almost vertically and the 50 MA is starting to curl up toward the 100. Stoch RSI flat on top, MACD trending up fast and SQZMOM bright green but near the top. Trump solar wall play I believe. Really bullish chart, target at 8.00 by early August.
$RSO—Pretty decent chart, respects its 200 MA, decent liquidity. Same play, trading 10.18 just over the 200 MA. 20 MA just breached with the 50 just below. Gap-fill potential as well. Stoch RSI trending up, MACD neutral and SQZMOM just turned bright green. Resistance above at 10.33, 11.18 and 16.12 from the weekly 50, 100 and 200 MA’s. Have to watch the weekly chart as you play this one. Side note: was trading over $70 pre-2008 and just announced pricing of $377 million mortgage backed CLO’s…Watching this one.
$IQI—Healthy looking chart, hugs its MA’s but no idea on liquidity. Looks to be traded mostly by computers. Trading 12.83, rode its 20 MA up through the 200 as it comes down on a pretty steep slope. The 50 should cross soon and the 100 after that. Stoch RSI and MACD neutral, SQZMOM dark green. Over the 200 on the weekly chart as well but hitting resistance at the 100. Stoch RSI at the top, MACD trending up and SQZMOM bright green on the weekly. Slow mover, not a ton of upside in this one.
Close.
I know those aren’t all great stocks, but I was able to find and take notes on 12 stocks to watch in just a couple of hours. Instead of scrolling through endless charts or seeing what the gurus are talking about on twitter, I was able to spend a few hours breaking down charts that all have a chance to be what I’m looking for…. what we’re all looking for! Those A+++ charts that turn into A+++ trades.
Thank you all for reading and thanks to Curt for letting me share with everyone!
Part Seven a) of the “Freedom Traders” Series: Trading Plans. How I Build my Personal Trading Plan and Watch List for Swing Trading and Day Trading.
Introduction.
Below is a quick post about how to develop your own trading plan watch list for both day trading and swing trading. I’ve also done a quick 23 minute video for you on the topic. I keep my method simple so its quick and efficient. Once I’ve found a stock that meets my set-up criteria then the real work begins (refer to part 6 for trading set-ups or our daily mid day review videos to understand more of my methods).
The Purpose.
The purpose of a trading plan is to provide you (the trader) with a focused target list for the day (for day traders) or a watch list for swing trading. It is a short list, or I like to look at it as my journal. From there you can build out your specific chart set up criteria for each possible trade.
How to Build a Trading Plan Watch List: Video Number One.
Topics in How I Build a Trading Plan Watch List Video 1:
The primary focus in building your plan in my opinion is to keep it easy.
I use my hot list on Trading View charting software. My hot list are momentum stocks on each day that have liquidity.
I look at each momentum stock to see if each is setting up in accordance to the trade set-ups that I am looking for (refer to our mid day review chart trade set ups videos on You Tube to understand my set ups).
When I find a stock that it developing as a great set up I then chart the set up and set the alarms for Swing Trading first and the for Day Trading on tighter time frames.
And that is as simple as it gets and then I don’t have to listen to the noise on CNBC, on social media etc.
It works time and time again. Simple and effective. Check my results:)
Message me anytime with your story or questions. And if you follow me on Twitter and I don’t follow back so you can DM then send us an email to [email protected] with your Twitter handle.
Part Six b) of the “Freedom Traders” Series: Trading Set-ups. Video Explains Predictable Winning Process.
This post is the video / blog companion to “Trading Set-ups. How-To Develop a Systematic – Predictable Process. Part 6 a) “Freedom Traders” Series”. It is a $STUDY for Traders Endeavoring to Trade With a High Degree of Probability.
Introduction.
The video below will provide overview explanations of the various trade set-ups I use with different types of trading I do (Swing Trading, Day Trading and Algorithmic Model Trading).
I endeavor in this series of posts to first provide an overview of my trading systems and through subsequent posts I will break-out the details of each trade set-up I use.
Check back to the posts in this section (section 6 of the Freedom Traders series) because 6 a. and 6 b. will be updated regularly with new set-ups added to the overview lists and the subsequent posts in section 6 will have more and more specific trade set-up videos and blog posts included in the series.
The Purpose.
As explained in the introduction to this series (in Part 6 a), the purpose of this part of the series is to assist traders in developing their own predictable trading systems.
A large part of a successful trading plan is having a predictable trading system that you can rely on – a “rules-based trading process”.
Finding at least one trading system that will work the majority of the time, that is easy to use, fits your personality, is predictable and easily reproducible is key.
Trading Set-Ups Overview: Overview Video Number One.
This video touches on a number of chart set-ups / indicators / disciplines specific to day trading and swing trading and not so much algorithmic chart modeling. It is approximately 30 minutes in length and it provides a working foundation (overview) of the type of trading I execute.
You won’t find high flying ideas, hot new stocks of the week or some other high flying idea here.
You will however find systematic trading principles that will return 80% + win rates. Very predictable set-ups that can be duplicated with a high degree of success. Below the video are some itemized notes reflecting the content of the video.
Topics in Trade Set-ups Video 1:
Description of types of trading I do.
Day Trading, Swing Trading, Algorithmic Model Trading.
Explanation of Mid Day Chart Reviews and Trade Set Ups in Trading Room.
Provides repetition for our traders in executing trade set-ups.
Provides new chart and trade set-up ideas daily to members.
Provides opportunity for members to ask questions about their own chart and trade set-ups.
Trading Set-Up # 1 – Price Breach of 200 MA on Daily Chart.
The predictable trade is at the breach of the 200 MA.
The 20 MA breaches the 50 MA, the 20 MA breaches the 100 MA, the 20 MA breaches the 200 MA.
Entering long based on the daily chart and taking sell triggers on lower chart time-frames (opposite action of moving averages with price below instead of price above).
Trading the bowl and break-out above the 200 MA.
Confirming the bottom play with the early indicator of MACD.
I rely heavily on MACD for swing trading platform.
Stoch RSI started to rise at same time MACD started to signal bottom.
Stoch RSI helps time trade.
Increasing volume is critical.
SQZMOM confirmed bottom with trend up.
Trading Set-up # 2 – Bottom Play Prior to Breach of 200 MA on Daily Chart.
Test of price to 20 MA and indicators cross back up then test of 50 MA etc.
Trading and testing through the moving averages until trade gets above 200 MA and then you’re in to trading set-up #1.
Chart Time-Frames and MA Action are Critical for Trading the Stock (Timing entries and exits).
Confirming your trade bias through looking at the different time frames including weekly, daily, hourly, 30 minute, 15 minute, 5 minute, 3 minute and 1 minute charts depending on your time-frame.
Fibonacci should confirm the moving averages as support and resistance points on the chart.
Moving averages are a modern representation of the tape.
Timing entries and exits based on indicators.
Price above MA’s is critical in bullish bias trade and opposite is true for bearish outlook on various time frames and exits can be timed in trade.
Example Long Set-Up at 52.05 on chart culminating in sell signal at 70.35 – a 40% increase before you get sell signal on chart.
Trading through the MA’s before the 200 MA breach is possible (bottom play – trade set-up #2).
Chart Resistance and Support Levels.
Fibonacci, Natural Horizontal Chart Resistance and Moving Averages.
Trading Earnings.
I rarely hold through earnings. I sell in to and re-enter after earnings.
Low risk trading is my goal.
Algorithmic Modeling and Fibonacci.
Basic algorithm quadrants and diagonal resistance.
$FSLR Chart Examined for a Day-Trade.
Moving through the time-frames and various places to enter your trade – what quantifies bullish and bearish and timing your trade.
A day trade hopefully becomes a swing or trend trade. 14% ROI on monthly trade example.
Enter on tight time-frame (after confirming your wide time-frames set-up).
Confirming your entry with “power”. Avoiding getting cut up with fast exits. Timing trades with power.
Price, Trigger, Power, Trade, Risk, Reward. PTPTRR. Being ready for the power trade with the moving average set-ups.
Legging in 20% at a time. Five leg principle in a move.
Knowing where your most likely resistance is in the move and exiting the trade.
Closing.
That concludes the video / blog portion of the trade set ups overview that accompanies “Trading Set-ups. How-To Develop a Systematic – Predictable Process. Part 6 a) “Freedom Traders” Series. Hopefully this series will assist you in building a rules based trading process.
As I mentioned at the outset, I will next post a series of articles to explain the fine details of each trade set-up I use. The videos will also detail many other indicators I use. I will also be explaining more in future about how our algorithmic model trading indicators are used.
Remember to check back to this specific post and part a because the list of indicators and the overview of each will grow with time.
Message me anytime with your story or questions. And if you follow me on Twitter and I don’t follow back so you can DM then send us an email to [email protected] with your Twitter handle.
Also in closing, I will mention again that I have had a number of people message me to get involved in our various launch initiatives – with moderating, coding and various other levels of interest. I will be writing back to those inquiries early June (in advance of our 24 Hour Oil Trading Room Launch).
After a Trader Learns to Limit Losses (with radical discipline), Obtaining a Systematic Trading Process is Critical to Long Term Success. Below I Begin Explaining My Personal Trading Process.
Part Six a. of the “Freedom Traders” Series: Trade Set-ups. How-To Develop a Systematic – Predictable Process.
Provided at the bottom of this article are Parts 1 – 5 of this series. Part 1 : My Personal Stock Trading Story. How I Blew up Two Accounts and Then Learned How to Trade, Part 2 : Trading Checklist – Rules I Follow Before Triggering, Part 3: Now I’m Inspired!.A Struggling Trader That Inspired Change, Part 4: We Want (Need) You! Apply to Nearest Recruiting Station, Part 5: New Trading Challenge 10k to 1M, Part 6 b: Trading Set-ups. Video Explains Predictable Winning Process (companion to part 6 a).
Introduction:
This article is an overview list of the various trade set-ups I use with different types of trading I am involved in.
I will endeavor in this series of posts to first explain my trading system and then through subsequent posts I will break-out the details of each trade set-up I use.
Please note, this is part 6 of the Freedom Trader’s series and because this topic will be extensive I am going to number them 6 a, b, c and so on and other sub topics in the series will continue onward with part 7. I suspect that I will be updating part 6 and its sub posts for many years to come.
The purpose of this part of the series is to assist trader’s in developing their own predictable trading systems (a rules based trading process).
A large part of a successful trading plan is having a predictable trading system that you can rely on. Finding at least one trading system that will work the majority of the time, that is easy to use, fits your personality, is predictable and easily reproducible is key.
Perfect a trading system that works the majority of time, is easy to use, fits your personality, is predictable & easily reproducible.
My Personal Objectives.
I believe the bar to my success is directly tied to what percentage of the traders in our trading group are successful on a regular and consistent basis. Not whether I can dazzle with home-run trades like some genie that comes out of the bottle daily.
But rather how well the traders in our group can reproduce methods / components of my trading systems for their own predictable gains and how well I can assist our traders in their trading success no matter where the system is found and then duplicated.
The bar (test) of my success is directly attached to what percentage of the traders in our group are successful on a regular and consistent basis.
How Good Can a Trading System Be?
Before I explain how good a trading system can be, I will tell you there are developments in the trading industry (specifically toward algorithmic trading) that very few in retail trading and even at the professional level understand. I won’t get in to detail here, but I can tell you frankly that if you peel back the layers of the onion you will find scientific evidence of trading models that are winning near 100%.
With that considered, I discuss a system of trading in this series that provides trade set-ups with 80% to near 100% win rate (scientifically, mathematically back-tested and proven).
BUT, a near 100% win rate requires perfect trade execution in accordance with trade set-up rules AND I do not execute trades perfectly, so my win rate floats between 65% – 90%.
I would be best described as a trader that is “base hitting to wealth”. I use my base hitting skills and add the compounding affect to my portfolio (more on compound trading discipline here) and this is my way of building my portfolio.
I do not execute trades perfectly, so my win rate floats between 65% – 90%.
Once you have a winning system, then your success rate is completely determined by emotional intelligence and discipline.
Three Categories of Trading I Can Offer Set-ups For.
I utilize three categories of trading; day trading, swing trading and algorithmic model trading – each has its own disciplines (set-ups). I was for years also an investor – I do not invest anymore because the other methods of trade listed provide me higher returns.
I utilize three categories of trading; day trading, swing trading and algorithmic model trading – each has its own disciplines.
I swing trade and day trade simply because day trading or swing trading can experience periods of lull (where returns can be limited). And if I require at minimum 100% ROI per year, I cannot have periods of lull. I do not invest anymore because the best returns I was able to garner (on average) was 10% – 14% per year (all holdings considered).
I am now also involved intensely in algorithmic model trading. What is that? I am not trading with “bots” to be clear. I am trading algorthmic chart set-ups that are human executed (with the goal of concluding our development with a digital dashboard for traders – or a sophisticated “intelligent assistant” for traders).
Algorithmic charts (in our instance) are charts that use historical data to provide the highest probability of trade success for the trader.
A List of Trade Set-Ups (Systematic Processes) I Use for Day Trading, Swing Trading and Algorithmic Chart Trading.
Day Trading Set-Ups I Use:
Day trading is by far the most difficult of the three categories of trading. It requires a skill-set and emotional discipline and intelligence that goes far beyond swing trading and even more so with algorithmic chart trading.
I use a number of day trading set-ups, here are a few:
Intra-day Halts. By far the most profitable set-up for my style are intra-day halts. Intra-day halts provide my style exceptional opportunity for return.
Extended Hours News. Pre-market and after-market news are second most profitable, but because I don’t have a lot of extra time (specifically to trade pre-market or post market) my returns lately in these methods are limited. But when I am trading full-time and not running a number of businesses these are highly profitable for me.
Market Open Momentum Trades. Gap and go style trades along with others at market open provide significant opportunity for profit. I will caution new trades to stay away from these for a significant amount of time when they first start trading. Too many GURU’s in my opinion sell this wayyyy to much to new traders.
Technical Chart Set-Ups. Chart set-ups are my favorite, least stressful, highest probability of success way to day-trade. Not my highest ROI category but definitely my favorite. I bring over swing trade set-ups from my swing trading discipline (that are based on weekly and daily charts) to my day trading discipline – I just trade them on tighter time frames (hourly, 30 min, 15 min, 5 min, 3 min).
And of course there are many others I day trade such as break-outs on the daily or 52 week chart, bottom plays, wash-outs with snap-backs and many other types.
Swing Trading Set-Ups I Use:
Swing trading (or power swing trading in my instances) is less stressful than day trading and it has a more predictable return on investment than day trading. All things equal, if you execute both with skill swing trading cannot match the return on investment of day trading – but day trading with consistency and not blowing up your account is radically difficult to master.
Swing trading comes down to technical and/ or fundamental set-ups. I am a technical trader so I lean on technical set-ups (on the weekly or daily charts) and use fundamental research to support my trade set up bias only.
Below are a few technical and fundamental indicators I use for swing trading:
MACD – I rely on the MACD heavily as one of my primary indicators in swing trading entries and exits.
Moving averages – Second to MACD I utilize moving average disciplines for my trade entries and exits.
Fibonacci – I rely heavily on Fibonacci to confirm my bias (I do however use Fibs in a way most are unfamiliar with because of our algorthm chart modeling component).
Squeeze Momentum Indicator – This is a custom indicator available on Trading View. I use it to confirm my trades.
Trade Volume – Volume is an important indicator in my trade considerations.
Stochastic RSI – I use the Stoch RSI to try and refine any given entry or exit.
Earnings Dates – I rarely hold a trade through earnings. I recently held Google and Amazon and a few others with success, but that is rare for me.
Insider Buying and Selling – I almost always have an eye to insider trades before taking a trade.
Short Positions – Short positioning is important.
Fundamental Research – Instead of doing my own research I have specific experts I defer to prior to trading (it saves time and they are the experts. They consider me a technical expert so they bounce their trade considerations off me first also – it works back and forth well).
Algorithmic Chart Model Trading Set-Ups I Use:
Algorithmic chart model trading is by far the most predictable, least stressful trading method I use – and if the models are good it can be the most profitable (in our case the models have been exceptional).
We have six models we use (Oil, Gold, Silver, SPY, VIX and the USD) – our Oil algorithmic charting is the first and farthest along in development.
Our oil algorithm is returning well over 300% consistently and has indications of being able to achieve 1200% (the profit and loss statements will be released to the world within 30 days). That far outperforms the 40% – 120% my swing trading profit/loss provides and the 80% – 240% my day trading profit/loss provides.per annum. And even better, there is zero fundamental research required and the chart set-ups are provided to the trader.
The question then is why don’t you simply trade algorithm charts? Well… we have a vision for democratizing the algorithmic trading discipline. Not the easiest path I could have chosen (democratizing our models).
If you research the topic (under the everyday thin later of research), you will find that our models are competing with the world’s best – and the world’s best are not available to the retail public. I have yet to find a high performance algorithm platform that is available to the retail public.
If the public decided or decides they don’t want our models, I will simply go dark and contract our models to dark pools – that option is presented daily. But that is not our mission. Heck I could just trade them in my own dark pool.
Below are a few of the chart set-ups I use in algorithmic chart trading:
Primary Trading Range Support and Resistance. Our algorithm charting provides clear support and resistance for the wide / broad trading range (wide quadrant range) prior to trade even getting to the date. In other words, it is future forward charting (unlike conventional charting which is charting what has already occurred).
Channel Support and Resistance. As with all other algorithmic chart models, our algorithms provide trading channels to our traders in advance of trade creating a channel. I trade support and resistance.
Time Price Cycle. Time price cycles are critical in our models and trading. Huge opportunities exist as time / price cycle come to conclusion.
Algorithm Targets. Our algorithms have specific targets for time and price future forward. This is something I consider but don’t trade heavily against.
Conventional support and resistance in channels and more. I refer to conventional charting simply to be aware of when conventional charting is in agreement with our algorithm models – it increases my bias toward a trade.
And of course in our work their are many other set-ups at work.
Closing.
That concludes my overview with reference to the various trade set-ups I use with the various types of trading I am involved in.
As I mentioned at the outset, I will next post a series of articles to explain the fine details of each trade set-up I use and noted above.
Message me anytime with your story or questions. And if you follow me on Twitter and I don’t follow back so you can DM then send us an email to [email protected] with your Twitter handle.
Also in closing, I have had a number of people message me to get involved in our various launch initiatives – with moderating, coding and various other levels of interest. I will be writing back to those inquiries early June (in advance of our 24 Hour Oil Trading Room Launch).
