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Edition 950

 

September 23, 2022

 

trading education

 

 

50% OFF - TRADING ALL MARKETS RECORDED WEBINAR

Trading Educators offers 50% off Joe Ross' Trading All Markets Recorded Webinar

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Andy Jordan would like you to complete the following surveys

Hello Traders, Andy Jordan could use your input and take a few moments to complete the following surveys:

Traders Notebook Live Trading Room:  https://www.surveymonkey.com/ r/37D3FFJ

Traders Notebook:  https://www.surveymonkey.com/ r/GB53CRC

Thank you in advance for your time!

Andy Jordan's portrait

 

 

 

 

 

"In losing times like these, it helps to recall that there have always been times like these when you are a trader."  Master Trader Joe Ross

 

Let's Start Learning to Trade Joe Ross' Way!

 

 

Master Trader Joe Ross shares trading education

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

Chart Scan with Commentary:  Second Time Through

THE IMPORTANCE OF SECOND TIME THROUGH

Please note. The times shown on the charts are Uruguay time, which can vary from 1-2 hours from New York time, depending on daylight savings time. At the time this chart was made, my 10:30 bar is the same as the 09:30 bar in New York.

Joe Ross shares trading success with Traders Trick Entry and Ross Hook trading methods example trading education

I was looking for a day trade on the 10-minute bar in the E-Mini Russell 2000. However, as the 10-minute bar from 10:31 to 10:40 was closing, I had no clear-cut trading signal for the way I wanted to trade. It happens fairly often that I am ready to trade, but the market is not ready to accommodate me.

However, I had marked off a small cluster of prices in consolidation prior to the opening of the stock market.

I have rule that says if there is no obvious entry setup or signal, then I wait for prices to violate either the top or bottom of the cluster, and if prices break to the upside, I will trade short, as prices violate the downside. If prices violate the downside, I will trade long as prices violate the upside of the cluster.

As you can see, on the 10:31 to 10:40 bar, prices violated the upside of the cluster. I then bracketed a trade to go short if prices would violate the bottom of the cluster. The trade made 16 ticks from my entry to the low of the breakout bar. That’s all I needed for a profitable scalp trade.

Marking off the top and bottom of the cluster is a bit subjective. I look for place where prices bounced off of the top and bottom of the cluster. On the bar that closed at 10:50, prices turned to the downside and I was filled on my short position. I'm not going to tell you where my protective stop was, because I firmly believe that every trader must figure that out for him/herself. But I can tell you this: I determine where to place it through testing.

I go back through at least 50 times when a similar situation occurred, and I look to see how far prices would have gone against me. Is it 10 ticks, 15 ticks, 20 ticks...etc.? Once I have a statistically valid number, I then decide on my risk tolerance. I need to know how many ticks I can make versus how many ticks it will cost me to make them. It's really quite simple, and I avoid a lot of things that I have never really understood.

Not being mathematically inclined, I am not into win/loss ratios, profit factors, payout ratios, Z-scores, Maximum Intraday Drawdown, Return Percent, Kelly Ratios or Optimal f. All I want to know is how often I will have to eat a loss against how often I will win.

If the winning percent is greater than the losing percent, I have the first part of a winning way to trade. Then, if the total amount of money won is also greater than the total amount of money lost, I have the second part.

Perhaps one of those things I named above is what I do, but if it is, I am unaware that it is. If I can make 10 ticks, all I have to do is trade enough contracts to earn what I need to earn. This probably goes against the conventional wisdom, but in all my days I have not been a conventional trader. As I wrote in one issue of Chart Scan, I want to be free, not necessarily safe. Sometimes to have freedom you have to give up safety. Safety ties you to a set of rules, and to the extent you are tied, you are not free. There must be a balance between the two, and that is why I am willing to break rules that I have created.

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

 

50% OFF - TRADING ALL MARKETS RECORDED WEBINAR

Trading Educators offers 50% off Joe Ross' Trading All Markets Recorded Webinar

USE COUPON CODE DURING CHECKOUT:  tam50

Valid thru the month of September!

CLICK HERE!

DON'T MISS - ADD TO YOUR MENU TODAY

 

 

Master Trader Joe Ross shares trading education

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

Trading Article:  Relationships Part 1

Any pattern that remains accurate over long periods of time merits notice. If the current market conforms to that pattern, trading potential appears.

Is a seasonal strategy with unblemished performance due to fail?

Such a question subscribes to the random-walk theory of price movement. It certainly ignores the probability that a pattern might have a seasonal effect and be caused by a seasonal fundamental. Any trader who believes that price movement is...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.

 

 

Where are my links to Joe Ross' two free eBooks?  Not received - send an email for the links!

 

 

 

 

 

Philippe Gautier shares his Instant Income Guaranteed trading education

Philippe Guartier:  Administration and
New Developments of Instant Income Guaranteed

SQ (Square Inc.) Ratio Spread Trade

On 8th August 2022, we entered SQ Sep 16 2022 +65P/-2*62.5P for a credit of 1.05 per spread.

We could close this trade in 2 steps:

- on 9th September 2022 for 0.05 per spread (or a profit of 100$ per spread)

- on 14th September 2022 for a debit of 0.10 per spread (or a profit of 115$ per spread, slightly higher than our initial credit)

Our annualized return on margin for the trade was 90.99%.

This type of spread works quite well during moderately bearish periods, provided we chose our strikes carefully.

Philippe

Joe Ross and Philippe Gautier share trading success with Instant Income Guaranteed options selling example trading education

© 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.

 

 

Andy Jordan would like you to complete the following surveys

Hello Traders, Andy Jordan could use your input and take a few moments to complete the following surveys.  Thank you in advance for your time! 

Traders Notebook Live Trading Room:  https://www.surveymonkey.com/ r/37D3FFJ

Traders Notebook:  https://www.surveymonkey.com/ r/GB53CRC

 

 

Andy Jordan Educator for Futures Trading Strategies on Spreads, Options, Swing/Day Trading, and Editor of Traders Notebook

Professional Trader Andy Jordan
Educator for Spreads, Options, Swing, and Day Trading, and Editor for 20+ years with Traders Notebook, daily advisory newsletter.

Trading Article:  Being Flexible

By being flexible I mean that over time, your trading philosophy will undergo changes. These changes are brought about because of external events (economic considerations, natural disasters, political events, etc.), and because of internal events, usually my own mistakes.

My views change as economic, political, and technological changes occur both on and now off our planet. My views change as I see the market change. It is imperative that I be willing to change my thoughts and actions to meet new conditions. So, I am always looking to adapt my...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.

 

 

Marco Mayer shares trading success with Ambush Trading Method example trading education

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

Ambush Traders Again in a Gold-Rush: Catching Reversals in the Gold Market

One of the top markets over the last couple of months for Ambush Traders has been the gold market. Whether it's the Gold Future, Micro-Future, or XAU/USD forex pair, Ambush Traders are in a crazy gold rush!

Here's a daily chart of the Gold Future (GC, traded at CME), showing the last couple of months of trading. As you can see this market did what markets do 90% of the time, either consolidate or trend slowly. Notice how many major reversal points Ambush was able to catch during this time (marked on the chart). Add to that the small profits in between and you get lots of happy Ambush Traders!

 

Marco Mayer shares trading success with Ambush Signals example trading education

 

Here are the results of these trades, trading only one Gold Future (GC) contract:

 

Marco Mayer shares trading success with Ambush Signals example trading education

Yup, that's almost $20k profits with almost no drawdowns in between within just a couple of months! Looking at the statistics you can see that we got a profit factor of over 3 and the maximum drawdown was just about 20% of the profit!

Marco Mayer shares trading success with Ambush Signals example trading education

Now the Gold Future is a large contract and not suitable for small accounts. But you can do these trades also in the E-Micro Gold which is just 1/10 the size or the XAU/USD forex pair.

That's what makes Ambush Signals so great, it works with any account size offering three subscription models depending on your goals.

Notice that all of these are actually day trades, even though they're based on end-of-day trading decisions. Ambush is exactly that, an easy way to day trade not for a few tiny ticks with a lot of stress but placing your trades once a day, walk away, and go for the big intraday moves!

Don't miss the next Gold trade and join Ambush Signals today!

Happy Trading!

Marco

The Ambush Trading System was created in 2007 by Marco Mayer.  Since then it proved itself in the markets for over a decade and did so with exceptional results. It's the only trading system we're aware of that is still going strong after so many years.  While Ambush is a day trading system, meaning you will always enter and exit on the same trading day - you don't have to sit in front of your trading screen. You simply place your entry orders when the trading session starts and come back at the close!

LEARN MORE - AMBUSH SIGNALS

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.

 

 

 

 

About Joe Ross

Even though Master Trader Joe Ross passed away September 7, 2021, his trading knowledge of over 60 years will carry a trading legacy and will live on.  As you learn about Joe Ross and understand what he was trying to teach his students, you will find that within his writings, he had a very special gift. Most importantly, it was his students that kept him striving to provide comprehendable trading material to actually teach traders and become independent, to rely on anyone, but themselves.

Joe Ross has been trading and investing since his first trade at the age of 14, and is a well known Master Trader and Investor. He was able to survive all the up and downs of the markets because of his adaptable trading style, using a low-risk approach that produces consistent profits.

Master Trader Joe Ross shares trading education

Joe Ross is the creator of the Ross hook™, and has set new standards for low-risk trading with his concepts of "The Law of Charts™" and the "Traders Trick Entry™." Joe was a private trader and investor for much of his life, but a serious health situation in the late 80's caused him to shift his focus, and that is when he decided to share his knowledge. After his recovery, he founded Trading Educators in 1988, to teach aspiring traders how to make profits using his trading approach.

Joe Ross has written twelve major books and countless articles and essays about trading. All his books have become classics, and have been translated into many different languages. His students from around the world number in the thousands. His file of letters containing thanks and appreciation from students on every continent is huge: As one student, a successful trader, wrote: "Your mastery of teaching is even greater than my mastery of trading".

Joe Ross holds a Bachelor of Science degree in Business Administration from the University of California at Los Angeles. He did his Masters work in Computer Sciences at the George Washington University extension in Norfolk, Virginia. He is listed in "Who's Who in America." After 5 decades of trading and investing, Joe Ross still tutors, teaches, writes, and trades regularly. Joe is an active and integral part of Trading Educators. He is the founder and contributor of the company's newsletter Chart Scan™.


Joe's philosophy for helping traders is:

"Teach our students the truth in trading - teach them how to trade."

"Give them a way to earn while they learn - realizing that it takes time to develop a successful trader."


Joe sets forth the mission of Trading Educators as follows:

To show aspiring futures traders the truth in trading by teaching them how to read a chart so that they can successfully trade what they see, and by revealing to them all of the insider knowledge they need in order to understand the markets.

To enable them to trade profitably by training them to properly manage their trades as well as their mindset and self-control.

To accomplish our mission for our students we educate them so that they know and understand:

Benefits for our Clients:

  • Where prices are likely to move next.
  • Independence from complicated trading methods, magic indicators, and black-box systems.
  • Independence from opinion, anyone's opinion, including their own.
  • Independence achieved through knowing how to read a chart.
  • Independence through having knowledge of insider actions.
  • Independence achieved by taking holistic and eclectic approaches.
  • Independence coming from knowing how to manage both the trades and themselves.
  • Independence because they understand and trade what they see.
  • Independence because they have learned how and why prices move as they do, through studying the truth in trading and the truth about markets.

Students learn only proven methods and techniques, which helps them to preserve capital and create more consistent profits; they are offered simple methods that will assist them to earn while they learn.

  • They learn to work smarter and more effectively.
  • They learn to treat trading as a business; we offer no Holy Grail or magic systems.
  • They learn to adapt to changing market conditions.
  • They learn a systematic approach to trading rather than a mechanical system for trading.
  • Why prices will move there.
  • Who and what cause prices to move.
  • How far prices are likely to move when they do move.
  • Their own role in the movement of prices..
  • How to take advantage of the knowledge they receive.
  • How to properly manage and exit a trade which they have entered.
  • How to manage themselves and acquire the discipline needed to become successful traders.

Read some personal testimonials which Joe has received.

 

WE APPRECIATE YOUR TRUST IN US AND THANK YOU FOR YOUR BUSINESS!

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To view previous published Chart Scan newsletters, please click on the "newsletter" button located at the top of our website.

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 2022 Disclaimer - Published by Trading Educators, Inc.


Chart Scan is a complimentary educational newsletter.

 

Dear Traders,

Master Trader Joe Ross passed away September 2021, and prior years he was continously sending me folders filled with Chart Scan and Trading Articles. The emails would be titled "More to follow" and I would reply, "Keep'em coming". I am calling these lessons "hidden vault" material because if Joe were still alive, this is exactly what would be shown in your inbox every Friday morning. This is not regurgitated material; this is new stuff written by Joe or as he would refer to it with such passion, "This is good stuff".

As we continue to receive newsletter sign ups, new students from every continent will start to learn trading Joe's way especially in this challenging market. This is where he would reinforce to his students, yes, that includes you, that learning to trade is possible even in this environment, "A chart, is a chart, is a chart". His writings will stand the test of time to provide teaching lessons and guidance.

The proceeds of Trading Educators will continue to support Joe's wife, Loretta, of 62 years of marriage, which she is our number one priority. We thank everyone with continued support and prayers for her well-being in late stages of dementia.

As expressed in the past editions, the trading world has lost a unique and passionate trader and his material will continue to be relevant. Let's start learning to trade Joe Ross' way with our future Chart Scan publications. I am here to help, so feel free to email me with any comments, questions or concerns.

This newsletter and future publications are created to keep Master Trader Joe Ross' lessons readily available to traders that want to learn and improve their skills.  My father passed away on September 7, 2021 and will be greatly missed, but his writings will stand the test of time for generations to come.  Take it to heart and learn from the best through Master Trader Joe Ross' trading examples and articles which have impacted thousands of traders on every continent for over 60 years.

Happy trading,

Joe Ross' daughter Martha Ross-Edmunds

Martha Ross-Edmunds

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

 

Derivative transactions, including futures, are complex and carry a high degree of risk. They are intended for sophisticated investors and are not suitable for everyone. There are numerous other factors related to the markets in general or to the implementation of any specific trading program which cannot be fully accounted for in the preparation of hypothetical performance results, and all of which can adversely affect actual trading results. For more information, see the Risk Disclosure Statement for Futures and Options.