80 Ticks Live Today. We’re up $4,000 this WEEK!

The Market Gives us clues today…

815am EST

– Dollar Index futures trading sideways after its upward movement this week

o Testing its HOD right now

o Pace of tape indicator &l 100

o Average true range is promising, it has been rising since earlier this morning

• The price range getting wider, so we can make more PROFIT!

– As the dollar tests new highs of the day, this is pushing the EURO Futures down like a rock

o Continue to tests the LOD

o Decent speed, lots of GREEN Pace of Tape

o Average true range is also improving, which means our opportunities are only getting better as the day progresses.

830am EST

– Gold Futures recently dropped out of its sideways range

o Sitting in an area that appears to be a very choppy area in previous trading days

o Pace of Tape < 100 (very slow)

o Average true range has been rising off the lowest point of the Week today

• This is the worst price action we’ve seen all week on the Gold
• Give it some time, check back in later for better price action

845am EST

– Watching a DX-pattern LONG on the EURO

o We noticed that the trading range today is 50% of the range from yesterday, only 100 ticks

o We also noticed that a trend line on the slower timeframe is standing in our way as overhead resistance.

o Slightly higher risk when you consider those two issues.

We use 2 different time & sales windows

– One is filtered for 10+ contracts

o That shows the BIG MONEY in the market

o We want to trade WITH the BIG MONEY

– 2nd is NOT Filtered, so ALL the trades show on this window

o Use this to see ALL activity

o Measure the speed of the tape

o Use Pace of Tape indicator in tandem with this window

 You could get away without the un-filtered tape, and just use the POT indicator, but we like the unfiltered version b/c it gives us the feel of the market

DX-Pattern

– Great way to make sure you ALWAYS have quality trades in any environment

– Sideways trading day, the DX pattern will be used more often

– Trending Day (like today) we may not see the highs or the lows hold, but that type of trading environment will give us more opportunities elsewhere.

1000AM

– Crude Oil futures keep bouncing up and down around the 79.00

o Average true range continues to rise, which means we still want to look for patterns

o Speed of the tape is GREEN (fastest) and YELLOW which means all signs point to YES!

o Good speed, good rising ATR, with the exception of the big round number we look great!

1030am

– Waiting for the natural gas inventories news to be released, so sitting on our hands

– Looking at Crude Oil futures we noticed the following

o ATR was dropping

o Speed was dropping (P.O.T)

 Tells us that as we move later in the morning, it will get more difficult to profit from the crude oil futures.

Questions:

– This will work on any liquid market, stocks, etf, forex, futures

– We will train you on all of these markets.

– Use it on a slow chart or a fast timeframe

o Scalper, day trader, position trader (swing)

When are the best times to day trade futures?

– 3am – 7am EST (Euro Session)

– 8am – 12pm EST (US Session, AM)(most active)

– 230pm – 330pm EST (US Session, PM)

– 7pm EST for Asian Markets (not as good)

Why watch the Euro, instead of other currency futures, DX Pattern

– Euro is the market I know best

– The most liquid

– 12.5/tick = more profit

o Pound = $6.25/tick

– CAD, SWissy, Pound, they aren’t as popular as the Euro, so they wont have such strong correlation.

DX-Pattern is relatively new pattern, but VERY promising.

Pace of Tape indicator

– Best use is to determine short term market sentiment

– Look for ‘divergence’ between the PRICE and the SPEED

– Example:

o If price is rising, and speed is falling

 Divergence

 Price should end up reversing to the downside

 Watch the speed pick up when the price moves to the downside to confirm the sentiment.

– Example:

o If price is rising, and speed is rising

• Increasing speed confirms the move
•  Increasing speed = more people trading
•  More people trading = more interest in this rising price
• As price increases and speed increases, that tells us the SENTIMENT of the market is to the LONG side.

– The INCREASING speed is what we look for

– DECREASING speed is the sign of a likely reversal

3 trades today, 3 Winners

+80 ticks, $900usd

Only 4 contracts needed to achieve this today!

See you tomorrow @ 745am EST for the live trade room session!