November 3, 2011
- in Uncategorized by schooloftrade
Day trading rules for dollar index correlation
This morning the first thing we did was review our day trading rules, the dollar index correlation, and our trading plan.
My day trading rules make it easy for me to trade with confidence because I have seen them work so many times before. Even though yesterday was a tough day with FOMC I knew that our trading rules would allow us to make the money back in just one day.
The dollar index correlation is very important, and we reviewed this at 730am EST this morning the very first thing. Our goal was simple. Look to sell when the dollar index is at support, and look to buy when the dollar index is at resistance.
When the dollar index failed to break through support, and started to rise, we knew we had the opportunity to sell the highs of the price channel on crude oil futures.
Our day trading rules made it easy to enter the ‘2-step’ short trade off the highs of the price channel and we then followed it up with a ‘wave’ pattern short into the ‘trigger-zone’ for another winning trade.
We finished the day with just under 100 ticks per contract on the Fast Track Method, and we used simple day trading rules, along with the dollar index correlation to trade with confidence.
