Edition 675 - May 19, 2017

 

   

 

 

Ambush Traders are Celebrating!

by Professional Trader Marco Mayer
Educator for Forex and Futures, Systematic Trader, and
Creator of Ambush Trading Method, Ambush Signals, and AlgoStrats.com

Ambush just made new all time equity highs all over the place for the first time in 2017!

As you might know, there are three sample Portfolios I came up with a couple of years ago to show the power of diversified trading with Ambush. It simply doesn't make sense to trade just one market and to hope that one is going to be the big winner of the year. That's why trading multiple markets is so important and one of the key principles to successful trading in the long-term.

You can learn more about the details of these portfolios and see the updated long-term performance here.

Now all of the Futures portfolios just hit new all-time equity highs! As you can see all of them had a slow start in 2017, going more or less nowhere for two months. But then the fun started and during the last month they really took off!

Here's an overview of how Ambush performed in each of the Futures markets (trading one contract) so far in 2017. And as you can see the performance is widely spread across the markets. The only two markets that didn't come out ahead yet are GC (Gold) and FGBM (Euro Bobl).

Join the Ambush success story and become an Ambush Trader! 

The easiest way to follow Ambush is, of course, Ambush Signals. It does all the work for you, allows you to customize what markets you want to see and has a position sizing tool implemented to automatically adjust the positions to your risk preferences.

Each day around 18:30 NY Time (yes, it's ready much earlier now than before) the Signals are available for you on the Dashboard. You can then place your orders and literally walk away until the markets close! Remember that all Ambush trades are day trades, can you imagine a more comfortable way to day trade? 

I look forward to welcoming you as an Ambush Trader! Here's something for you to celebrate with us right from the beginning:

Sign up now and on the check-out (credit card payment only) use one of these: 

Coupon Code:

• Monthly Subscription: use "ambsigmonth20" to get $20 off the first month 
• 3 Month Subscription: use "ambsigthree50" to get $50 off the first 3 months 

 

If you’d prefer to generate the signals on your own and want to know the exact trading rules of Ambush, we also have a special offer for the Ambush eBook:

Coupon Code:

• Ambush eBook: use "ambush200" to get $200 off the Ambush eBook

 

This is the first Ambush Signals Promo ever and all Coupon codes are valid only until Sunday. Hurry up and don’t miss out on this rare opportunity!

If you should you have any questions, don't hesitate to send me an email, This email address is being protected from spambots. You need JavaScript enabled to view it..

Happy Trading!

Marco

© by Marco Mayer. Re-transmission or reproduction of any part of this material is strictly prohibited without the prior written consent of Trading Educators, Inc.

 

Blog Post - How do you go about making trading decisions?

by Professional Trader Andy Jordan
Educator for Spreads, Options, Swing/Day Trading, and
Editor of Traders Notebook Complete and Traders Notebook Outrights

In time, your trading decisions will become better and better.  Read more.

© by Andy Jordan. Re-transmission or reproduction of any part of this material is strictly prohibited without the prior written consent of Trading Educators, Inc.

 

Chart Scan with Commentary - Trade Selection

by Master Trader Joe Ross
Author, Trader, Trading Mentor, and Founder of Trading Educators, Inc.
Developer of Instant Income Guaranteed

I often receive the question: "Hey Joe! How do I choose a good trade?" Traders write, "How can I tell if the trade will be a good one?" My answer is that I don't know how you can tell, but there is a way I can tell, and I'll share it with you. 

I look for both probability and momentum. When dealing with futures, I look for a trend in any market and in one or more time frames that is producing sufficient movement for me to make some money. When dealing with stocks, it is much easier to find momentum. There are numerous sources of data telling you about stocks making new highs or stocks having the most movement.

It seem obvious that a stock moving to new highs, or one being among the most active, is experiencing something in its fundamentals to cause it to move. So my first filter, that of momentum, is already screened for me.

Next, I want to look at probability. What I want to know is: "What kind of a pattern follows the making of a new high?" Does the stock correct on profit taking and, if so, how much does it correct? Does it correct as far as the previous support area? If so, how often does it do that?

Last week I was looking at a stock. Did I know anything about that company? No, I didn't, and I didn't care to know. The stock was making a new 52 week high. That's all I needed to know.

If you look at the chart below you can see that following the making of a new high, it never, as far as we can see on the chart, corrected below a previous support area (arrows). So the probabilities are in my favor if I buy that stock. Also, I know where to place my stop - below the last support!

Okay, so when should I consider buying this stock? Well, it usually corrects for 3-4 days, and I want to grab it when it begins to move toward the new high. So I will place a buy order just above each bar of the correction (Traders Trick). When filled, I will hold that stock until it reaches my objective, which, by the way, is never very great. I will definitely sell part of my position as soon as possible so that I am paid to trade and am no longer under pressure or stress. From there I will trail a stop until I'm stopped out. I let the market show me where to put my stop. It is always under the most recent support unless I see something that shows me clearly that the move is over.

Are there any other filters I use? Yes! I use volume as a filter. I want to see at least 500,000 shares trading every day. I also use price as a filter. I recommend that you stay with stocks that fit within your capitalization. You simply can't afford to over trade your capital. If you do, it's gambling, not trading. As your account grows, realize this: higher priced stocks move more than lower priced stocks. It is much easier to get a $1 move on a $60 stock than it is on a $20 stock.

 

© by Joe Ross. Re-transmission or reproduction of any part of this material is strictly prohibited without the prior written consent of Trading Educators, Inc.

 

Trading Article - Creativity in your Trading-the Spiritual Factor

by Master Trader Joe Ross
Author, Trader, Trading Mentor, and Founder of Trading Educators, Inc.
Developer of Instant Income Guaranteed

 

I was asked the following question: “Joe, is it important to be creative in your trading?”
I’m not sure I can describe it in terms of importance.  The creative process is somewhat of a mystery, even to scientists who study it, but that is only because scientists do not recognize the spiritual factors of our lives and consequently in our trading. 

The Bible says: “There is a spirit in man.”  Man is made up of body, soul, and spirit.  In a moment we will look at how the spirit in man affects the soul of man and ultimately the body, but first we must understand what constitutes the soul!

The soul consists of three components: 1. the mind; 2. the heart, and 3. the will. 

There are a few common characteristics that all creative persons possess, but for the most part, exactly how the creative mind makes earthshaking discoveries is through the impulse of the spirit. Those impulses come as “inspiration.”

A few prerequisites are necessary. The mind should be focused. New ideas need to flow freely through the mind, and there needs to be a wide range of ideas, so that they can be combined and re-combined in new ways.

New and creative trading ideas are important for a trader to be able to stay ahead of the crowd, so doing whatever you can to prepare your mind to consider new ideas will help to develop creative trading strategies that are essential to profitable trading.

Many great discoveries were made by what may appear to have been lucky observations. However, there is nothing having to do with luck about such discoveries.  Those great discoveries are inspired; inspired is what we call the impulse that comes from the spiritual component of man. The word inspired itself means in-breathed.  That breath derives from the spirit in man.  Without a trained eye the observation might have been missed, but because the mind of the discoverer was continuously mulling over ideas, he or she saw something new in what might be termed an ordinary event. The discovery derives from inspiration, and inspiration comes from the spirit.

Discovering new trading ideas is the end result of creativity. You must get your creative impulses flowing in order to see a new idea. To get your creative impulses flowing you prepare your thinking processes, getting your mind ready to make a creative observation.  But it is from your spirit that you get the impulse, i.e., the impetus that stirs your mind to creativity. 

The spirit in man is what gives man intellect.  It is the spirit in man that makes him vastly different from every other species on earth.  No other creature reasons as man does; no other creature philosophizes.  No other creature creates music, art, or literature.  Man is the only earthly creature who can truly invent, plan, and organize anything he can imagine to do. 

Animals operate on instinct.  All spiders of a kind weave the same web.  All bears of a kind hibernate.  All animals mate by instinct, but man reproduces willfully and with pleasure.  I could go on and on about the differences between man and the other creatures that inhabit this planet, but surely by now you can see that the difference is vast.

In some ways, your mind is like a water pump. You prime a pump to get the water flowing, and once it's started, it flows continuously. You must similarly prime your mind to get ideas flowing. It is your spirit that primes the pump of your mind. Various ideas in your mind are stored in a hierarchical structure. Information is stored together in various sectors of your mind, depending on its meaning. When you aren't thinking of a particular topic, it's hard to bring information about that topic into consciousness; it lies there dormant and hidden. However, when you make a definite effort to think carefully about a specific topic, or a closely related topic, and start running through the possibilities, new possibilities become apparent. Your mind scans various concepts and ideas, almost unconsciously. Suddenly this wealth of information combines and you see something new. For example, suppose you develop a trading idea about how you might make profitable trades by taking the breakout of reversal price bars. Once you get the basic idea in your mind, you unconsciously use your spirit to prime your mind to get your creativity flowing. For example, you begin looking at reversal bars in various markets and in different time frames to find support for your idea. As you look through the charts, the information you see will prime other related information. Other ideas will then come together, and you'll make an unplanned discovery that can serve as a basis for yet another trading strategy.

The main point is that you must set your thinking processes in motion to come up with a creative new idea. The more your mind is active, the more likely you'll make creative new discoveries. Knowing about the creative process and how your spirit sets it in motion gives you power. Some people feel dejected because they can't seem to think creatively. But with understanding of the spirit and with effort they can think creatively. They just need to know how to do it. Here are the steps:

• Be physically relaxed and get into a meditative mood.
• Be free of anxiety; allow your mind to wander, but do not empty your mind.
• Allow the thought processes to flow, that way you can allow your spirit to prime your mind in order to start the process. If you’re looking at a chart, ask yourself: “What do I really see here?  What is this chart telling me?”

It takes a bit of practice, but soon you will see that the spiritual component of who you are will begin to inspire ideas into your mind.  As your mind grasps the potential of the ideas, your emotions (your heart) will reflect those ideas.  You will become excited and your body will find the energy and your mind will find the will to pursue your new discovery.  You may even find yourself saying: “Why didn’t I see this before?”

© by Joe Ross. Re-transmission or reproduction of any part of this material is strictly prohibited without the prior written consent of Trading Educators, Inc.

 

Instant Income Guaranteed - HAS Trade

Philippe Gautier: Administration and New Developments
Developer: Joe Ross
 

On 24th April 2017, we gave our IIG subscribers the following trade on Hasbro Inc (HAS). We decided to sell price insurance as follows:

• On 25th April 2017, we sold to open HAS Jun 16 2017 90P @ $0.45, i.e. $45 per option sold, with 51 days to expiration, and our short strike below a major support zone and 12% below price action.
• On 10th May 2017, we bought to close HAS Jun 16 2017 90P @ $0.10, after 15 days in the trade, for quick premium compounding.

Profit: $35 per option

Margin: $1,800

Return on Margin Annualized: 47.31%

This trade was safe and had a decent return in a pretty low volatility environment ($VIX around 10).

We have also added new types of trades for our IIG daily guidance since 2016, "no loss" propositions with unlimited upside potential, still using other people's money to trade.

Philippe

 

Receive daily trade recommendations - we do the research for you!
Instant Income Guaranteed

♦  SIGN UP TODAY!  THIS IS WORTH THE INVESTMENT  ♦

© by Joe Ross and Philippe Gautier. Re-transmission or reproduction of any part of this material is strictly prohibited without the prior written consent of Trading Educators, Inc.

 

Check out our Blog!

To view previous published Chart Scan newsletters, please log in or click on "Join Us,"
shown above, to subscribe to our free "Members Only" section.

A WEALTH OF INFORMATION & EDUCATION:
Joe Ross-Trading Educators' popular free Chart Scan Newsletter has been published since 2004.

Note: Unless otherwise noted, all charts used in Chart Scan commentary were created
by using Genesis Financial Technologies' Trade Navigator (with permission).

Legal Notice and Copyright 2017 Disclaimer - Published by Trading Educators, Inc.
Chart Scan is a complimentary educational newsletter.

© by Trading Educators, Inc. Re-transmission or reproduction of any part of this material is strictly prohibited without prior written consent.