Edition 768 - March 15, 2019
by Master Trader Joe Ross
Author, Trader, Trading Mentor, and Founder of Trading Educators, Inc.
Developer of Instant Income Guaranteed
Chart Scan with Commentary: Instant Income Trade
The safest and most consistently profitable way to trade has for me been through the development of the Instant Income Guaranteed strategy of trading.
The following is an example of an IIG trade using options.
On 17th May 2017, we gave our Instant Income Guaranteed subscribers a trade for VALE (Vale SA).
We entered a "complex position", entered for a net credit (still working with OPM, i.e. other people's money, as usual), but with unlimited upside potential.
- on 17th May 2017, we entered the trade for an average credit of 2.49 (or 7.47 = 747$ for 3 positions)
- on 7th September 2017, we sold to close one third of our long position
- on 5th January 2018, we bought to close all our short position
- on 2nd October 2018, we sold to close the second third of our long position
- on 10th December 2018, we sold to close the last third of our long position
Profit: 1321.50$
Margin: 330$
Average Short Strike: 16.47$
Return on Margin annualized: 256%
Return on Principle annualized: 51.2%
We stayed 272 days in the trade, and the annualized returns were on the high side. All we had to do was to maximize our profits along the way, by being patient, closing the last long position for a reduced profit (trade war, end of year weakness).
This was a low maintenance, low stress trade with lots of upside potential.
© 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.
by Master Trader Joe Ross
Author, Trader, Trading Mentor, and Founder of Trading Educators, Inc.
Developer of Instant Income Guaranteed
Trading Article: Mental Momentum
When you're under a great deal of pressure, it is easy to make mistakes. You feel the stress, and when you're on edge, it is difficult to make decisions or to look at your current trading predicament objectively. It's much nicer to feel you are ahead of the game, than struggling hard to come back from behind. When you have a drawdown, you can feel a little disappointed, a little stunned, as if you have fallen, and you are having trouble getting up. After you've made a series of successful trades, however, you can feel much more powerful, as if you can relax a little bit. And when you feel relaxed, you also feel creative, and can think of winning strategies. Everything seems to click and you start trading effortlessly and profitably. Feeling ahead of the game usually puts you in an optimal mental state. But it is hard to feel such empowerment when you are feeling behind, or stuck in a rut, not making any headway. At these times, it is important to remember that there are two types of momentum—profit momentum, and mental momentum.
We're all familiar with profit momentum. That's when you are way ahead in terms of profits. Mental momentum is also useful, though. We feel mental momentum when we believe we have made our best effort, when we feel that we have done everything we possibly could have done. At these times, it is useful to pat ourselves on the back for a job well done. While trading, we usually forget to give ourselves credit when we have put in a good effort. We are usually focused only on profits and those efforts that produce profits. In order words, we focus exclusively on performance goals, while completely forgetting about learning goals, which are equally important.
Instead of only focusing on a performance goal, such as striving for a 20% profit per month, for example, it is useful to think of other goals that are equally important: Goals that take effort, but may not always directly produce a profit. There are many modest goals that can be achieved more easily and deserve a reward upon completion. It is useful to break down the goal of making a huge profit from a few good trades into specific steps that are doable, and should be rewarded after each step. For example, studying for 30 hours a week or learning a new trading technique is important and worthy of reward, even if the reward is just a personal sense of accomplishment. The specific goal may not immediately lead to the larger goal of making a 20% profit per month, but it is easy to achieve, will lead to personal satisfaction upon completion, and in the long run, will contribute to the long term goal of becoming a seasoned, profitable trader. The more you complete these modest goals, the more mental momentum you will generate.
It is important to give yourself credit for all the effort you put into trading. It is tempting to feel good about your efforts only when they pay off, but you put in just as much effort putting on a losing trade as a winning trade. Regardless of whether you win or lose, you'll feel better if you reward yourself for all the work you do, regardless of the outcome. The more you reward yourself for all the work you do, the more mental momentum you will feel. This, in turn, will make you feel strong and empowered, allowing you to trade more effortlessly and profitably.
© 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.
by Philippe Guartier: Administration and
New Developments of Instant Income Guaranteed
Trading Idea: Instant Income Guaranteed
CF Trade
- On 4th March 2019, we sold to open CF Apr 12 2019 36.5P @ 0.35, with 38 days until expiration with our short strike about 14% below price action.
- On 13th March 2019, we bought to close CF Apr 12 2019 36.5P @ 0.15, after 9 days in the trade for quick premium compounding
Philippe
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© 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.
by Professional Trader Andy Jordan
Educator for Spreads, Options, Swing, Day Trading, and
Editor of Traders Notebook Complete
Trading Article: Confidence
A few years ago I had an interesting conversation with Joe about “what makes a trader a successful trader”. We discussed this over several days because we…read more.
Andy Jordan is the editor for Traders Notebook which shows you Futures Trading Strategies in Spreads, Options, and Swing Trades. Learn step-by-step how to trade successfully.
© 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.
by Professional Trader Marco Mayer
Educator for Forex, Futures and Systematic Trader
Creator of Ambush Trading Method, Ambush Signals, and Head of AlgoStrats.com
Ambush starts off with big profits into the year in the Australian Dollar!
The Ambush trading method is specialised in catching intraday market tops and bottoms in a variety of Futures markets. Including the Australian Dollar Future (6A) traded at the CME, where Ambush Traders are having an amazing time so far in 2019.
Ambush day trades on an end-of-day basis so there is no need to even check the markets during the day.
So let’s have a look at what happened in the Australian Dollar so far this year. Early January the market tried to break out to the downside and Ambush got in at a very low price level at around 0.6900, exiting above 0.7000. Since this false breakout as you can see not too much happened. The 6A just kept on moving in tight ranges and has been trading between about 0.71 and 0.73 for two months now.
Good news is that Ambush still was able to capture some nice profits, often getting in at the top/bottom of a day’s range!
Once you realize that this isn’t that uncommon but that it’s exactly what the markets do most of the time don’t you want a strategy that works well under such conditions?
Where is the Australian Dollar going next? For sure to either the top or the bottom of the trading range it’s in. As Ambush Traders we don’t mind, we’ll be there ready to sell to or buy from the novice traders who’ll then accelerate our profits as they got to get out of their next losing trade.
Here’s the result of all of these trades, trading one Australian Dollar Index (6A) contract, including $10 commissions/slippage per trade:
If you’ve been on the other sides of these trades trying to buy the breakouts, you really should consider switching sides!
TWO WAYS TO JOIN US
AND BECOME AN AMBUSH TRADER!
1) AMBUSH SIGNALS
OR
2) AMBUSH EBOOK
READ ON....
With Ambush Signals you can easily follow Ambush, a system specialized in catching intraday market tops and bottoms in the Futures markets!
The most popular and easiest way to follow Ambush is Ambush Signals. It does all the work for you, allows you to customise 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 6:30 pm NY Time the Signals are available for you on the Dashboard. You can then place your orders and literally walk away until the next market close! To find out more about the details of Ambush and how Ambush Signals works, have a look at the Ambush Signals Website.
Let’s be realistic. Following any System can be tough, especially in the beginning. It simply needs time to build the confidence needed to make it through inevitable drawdowns. So what if you are unlucky and don’t catch a good start right away?
I want you to succeed trading Ambush Signals, so here’s something for you that will strongly increase your odds of success and allow you to easily gain the confidence you’ll need to become a long-term profitable Ambush trader.
Find out more about Ambush eBook and Ambush Signals!
Did you come up with questions? Don't be shy, email Marco Mayer, he wants to hear from you! This email address is being protected from spambots. You need JavaScript enabled to view it.
Sign up for Ambush Signals Today!
LEARN ABOUT AMBUSH TRADING METHOD
© 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.
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