Edition 796 - October 4, 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: Possible Spread Trade
For every 10 issues of Chart Scan that I write, I like to include at least one historical spread trade.
If you’re not trading spreads, you are missing out on some really good trades. If you want to be a master trader, I believe that you need to learn how to trade everything—spreads, options on both stocks and futures, short-term, and long-term trades, and seasonal trades in stocks and futures, and learn to trade Forex as well, although for the major currencies, I prefer the futures markets.
You can create your own library of seasonal spreads as well as spreads in the outrights (stocks, futures, Forex) by looking back at what has happened in the past, especially looking for seasonality.For every 10 issues of Chart Scan that I write, I like to include at least one historical spread trade.
If you’re not trading spreads, you are missing out on some really good trades. If you want to be a master trader, I believe that you need to learn how to trade everything—spreads, options on both stocks and futures, short-term, and long-term trades, and seasonal trades in stocks and futures, and learn to trade Forex as well, although for the major currencies, I prefer the futures markets.
You can create your own library of seasonal spreads as well as spreads in the outrights (stocks, futures, Forex) by looking back at what has happened in the past, especially looking for seasonality.
The chart above shows a spread long live cattle and short lean hogs. Looking back from the current date April 3, we see that sometime around mid-November, the spread moved up during the previous year. The spread rose overall in favor of long cattle, until about the 3rd week in February, at which time the spread changed direction in favor of long hogs.
By reversing the spread to be long lean hogs and short live cattle, money was made from the last week of February, until at least the last week of March.
The next step would be to look back to see if this happens in most years. Seasonal spreads in the meats have a lot to do with the birth cycle of cattle and hogs, so it’s quite possible that this spread is consistent during most years. If you find the spread works at least 80% of the time, then by all means make a note of it, and look for it again next year. By doing this, you will end up with a library of high (80%) percentage spreads that you can enter into year after year.
© 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: Your Own Worst Enemy
Do you ever wonder if you secretly want to fail? It's hard to believe, but some people do want to fail. They may not want to do better than their parents, and secretly, they set themselves up for failure. Others fear success. They associate...read more.
© 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
MOMO Trade
- On 29th August 2019, we sold to open MOMO Oct 18 2019 24.4P @ 0.375 (average price), with 49 days until expiration and our short strike about 30% below price action, making the trade very safe.
- On 19th September 2019, we bought to close MOMO Oct 18 2019 24.4P @ 0.15, after 21 days in the trade.
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.
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by Professional Trader Andy Jordan
Educator for Spreads, Options, Swing, Day Trading, and
Editor of Traders Notebook Complete
Trading Article: Spreading Against a Related Contract
In this instance, you spread by taking an opposite position in a related contract. You might spread corn against wheat. You might spread heating oil against unleaded gasoline. Quite often, operators who trade large size and are market makers hedge the S&P 500 by taking an opposite position in the Nasdaq or the Dow.
Soybean traders often hedge by....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.
Traders Notebook Complete
Learn how to manage this trade by getting daily detailed trading instructions, click here!
© 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
The Russell 2000 is simply too easy to trade right now!
The Ambush trading method is specialised in catching intraday market tops and bottoms in a variety of Futures markets. Including the Russell 2000 Mini Future (RTY/M2K) traded at the CME, where Ambush Traders keep on cashing in big time again over the last couple of months!
Ambush day trades on an end-of-day basis so there’s no need to even check the markets during the day.
The Russell 2000 a very popular market out there among traders. It has two of the most important things private traders are looking for liquidity and volatility. I won’t even include a daily chart here as it does look quite boring. To keep it brief, the Russell is trading in a wide range for a long time now. Perfect conditions for Ambush and so this has paid out big time, here are all the recent trades:
Yes, that’s over $6000 within just three month and not even 20 trades! Which means Ambush traders made over $300 on average per trade doing nothing more than placing one entry order per day. I guess most active day traders made a lot less…but their brokers rich!
Now those are huge amounts if you have a small account and you might not want to make or lose hundreds or dollars per trade. Thanks to the new Micro Russell 2000 Mini Contracts (M2K) this is not an issue anymore. You can trade these with a small account now. Here are the results trading one M2K contract:
If that is not enough bang for the buck simply size it up and trade two contracts or three. It’s so great now you can position size as you like exactly matching your risk preferences!
In either case you have to ask yourself if you really can afford to miss out on these trades!
So whether you’re trading a $10k account or a $100k account, Ambush has the right markets for you to start following the signals.
Again, ask yourself if you really can afford to miss out on these trades or at least be aware of the signals? Now if you’ve been on the other sides of these trades trying to buy the breakouts you maybe should think about switching sides?
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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.
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© 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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