All Of our Trades On The British Pound

Well another great day in the markets for the School of Trade! Today was a great testament to how you can apply the James Wave patterns to any market at any time, as long as it had volume. All of our trades today came from the British Pound futures, (Symbol 6B) and for any people who don’t know the contract specifications, it required a $500 margin/contract, and so to trade with 4 contracts like we do in the room, you would need at least a $2000 account (3 Key Components To A Day Trading System Video). Needless to say, our short break from trading the pound, didn’t hurt us, we were able to take all four of our trades today on it, going 4 for 4 with a total profit of +$675.00! So, if you traded with a $4,000 account like we suggest, many of our members had a nice 15% return on their accounts today!

Early on in electronic trading, price action was continuing its uptrend from yesterday on the Pound futures. The trend was further more extended after a wave of European news early this morning, sending it even higher into the U.S equities market open at 9:30am EST. Once price began retracing off its highs, we began seeing evidence of a trend change, based off our technical analysis as well as our proprietary indicators (Identify Market Sentiment For Day Trading Futures). We looked to take a trend reversal trade, with our 2-step pattern, to the short side. At 9:42am EST we entered the Pound futures short with a basis of 1.6241. Our stochastics were already starting to curl over, and we were fortunate enough to catch quite a runner to the sell side, as we were able to take profits at +4 ticks (4 contracts), +8 ticks (2 contracts) and +4 ticks on our final 2 contacts for a total of +40 ticks on our first trade of the morning!

Our second trade of the morning came shortly after the Philly Fed Manufacturing Index figure was released in the U.S at 10:00am EST. The Pound was retracing off its recently made lows, and we were ready to take it to the short side once again. As price began to make a double top, we looked for an entry short, and quickly were able to identify a 2-Step pattern setting up (Price Patterns Technical Analysis Futures Video). We enter short on the Pound futures at 10:12am EST, with a basis of 1.6229 we actually exited the trade early because of buying pressure coming across the ticker tape, and were able to close our trade with profits of +8 ticks!

The third trade of the morning came shortly after the Natural Gas Storage figures were released at 10:30am EST. As the Pound has been pulling back from its highs of the day, it looked to us that it was going to make another rally towards the highs. As we watched our Pace of the Tape indicator, which actually quantifies the speed of the ticker tape, and noticed more and more buy orders entering the market. As the market began to change its trend to the long side, we were patient to wait for a perfect set-up, such as the Breaker (Scalping Futures Day Trading Video). At 10:52am EST our patience finally paid off, as we entered the Pound futures long with a Breaker pattern. After having our order executed at 1.6248 price action rallied even more as buyers quickly entered the market, we were able to take profits at +4 ticks (4 contracts), +8 ticks (2 contracts) and +2 ticks for our final 2 contracts for a total of +36 ticks.

Our final trade came only minutes after our third trade; as we looked to take advantage of the uptrend. As price continued its rally higher, we noticed price had begun to pullback, and we quickly began to qualify a possible James Wave entry to the long side (Swing-High Swing-Low Technical Analysis Day Trading Futures Video). As price action pulled back to our trigger line, we were able to enter in the direction of the trend, the long side, at 10:54am EST. Our basis on the Pound futures was at 1.6250 and it wasn’t long before our first profit target was hit for +4 ticks (4 contracts) and we ended up taking profits once more for an additional +2 ticks (4 contracts) = +24TICKS