March 7, 2011
Day Trading Futures with Fast Track Trading Method
Trade Fast Track
– Watch the adv course video and use the notes or watch the blog video if you are a guest.
o TRADE IT ON slower timeframe?
o Differences in ENTRY for the FT to ADV
§ Fast Track uses a resting buy/sell stop for entry
§ Adv method uses tape reading, speed, momentum, to confirm the entry location.
o Rising ATR = good for FT Trades
o Falling ATR = bad for FT Trades
o Using momentum
o Use this to confirm or disqualify your trading entries
o This will also reverse, giving us a heads up of when to take profit.
– Reset Instruments
o NT7 Control Center / tools/options/data/reset instruments
o May also be a corrupt workspace file, so watch the Quick Start guide for info on creating a back up copy.
– Using divergence on our charts
– Using the Big Money Trigger Lines (BMT)
o BMT is often the middle of a trading range
o BMT is my profit target, not my entry location.
o Don’t want to enter around the BMT b/c its always in the MIDDLE of the range.
o Enter at the highs/lows, take your profit at the BMT, which is near the middle, acts like a magnet.
– How can I add a stop or target after I take a trade?
o Register for the free webinars on the DOM and Chart Trader with NT7
– Reading momentum on the 4range chart
o Very noisy, very tough to use on its OWN
o I will use the 13 and 21range momentum as my guide
o If the 4r confirms, im a happy trader.
o If it does NOT confirm, ill use speed, size, and the slower timeframes as compensating factors.
– Which charts do I use for the dollar
o 34/21/13Range all the same
o The ONLY difference is that the dollar Is illiquid
o Different POT template
o Different Filter (smaller) for the Time and Sales window (possibly no filter at all)
– Why not use moving averages?
o I don’t trust calculations
o EMA’s
o VAH/VAL
o Fib Levels
o Linear Reg Channels
o Andrews Pitchforks
o I trust PROVEN price levels
– Why do we use Range charts?
o EVERY candle is the same size, makes planning your risk easier, learning the patterns easier, and recognizing the patterns when you need to most.
– Why is my first target filled at 5 ticks, but sometimes at 6 ticks? Slippage.
– What times do we trade? Pit? Globex?
o I use a 24/7 session template
o Watches every tick of the market
o I use the 24/7 template for the HOD/LOD, OPEN/CLOSE, PHOD/PLOD
– Reading Tape
– How much big money are we looking for?
o Big Money = trade > 5 contracts (GC/CL/TF)
o Big Money EURO = > 20 contracts
o ES / Bonds = trades < 50 contracts
o Im looking for 5+ blocks of big money
o ES = 5 x 50
o GC/CL/TF = 5 x 5
o Euro = 5 x 20
