Warrior Trading Blog

13 Minute Scalp in Emini SP +$1,712 | Steve’s Futures Pulse 181

Steve_7.25

Hey, what’s up, fellow traders, trader Steve here. Happy Thursday. Well, all done trading today, and found a nice 13 minute trade in the E mini S&P and scored 1712 and a little change. In today’s Futures Pulse, I give you the full recast so you can hear my commentary as I technically look at the market and find what I like to call a value area support bullish play. Enjoy today’s Futures Pulse. I hope you learn something, and I look forward to meeting you back right here on Friday morning. Trade well and be well. Bye-bye.

Market’s pulling back here 30-0-8 and a half, ‘quay, so now it starts to be where it starts to creep just a little bit lower here and now we get, we might get this pullback trade low risk. These trades I put in kind of a a different category at which is the risk is so small on these risks. We might be able to find $150 per contract risk trade, nothing to really lose sleep over.

If you’re trading the, the, the micro is even less and you can get the stop down below the technical low and one or two things are gonna happen. This master point of control and that perfect plywood are going to hold or it’s not. Okay. So this is about ready to be a super low risk trade, but it carries the most amount of, of… It carries the lowest probabilities of success with the highest reward characteristics.

You see all that… you see it’s not an oxymoron. I think about what I’m saying. It’s got the lowest probability of success because our bodyguards are just the master point in control and the demand, the demand zone down below there. But if it holds, it carries the greatest amount of upside potential because we could even make money without it even having a break outside that supply area. Okay? Isn’t that a beautiful thing? Heck yeah, it’s a beautiful thing. What do you mean? Yes.

Okay. So here we are just pulling back here. 30-0-7 and three quarters. We’re pulling back.

I liked the oh-six-half level. Oh-six-half. I like it. We’re trading at oh-eight right now.

I like it all the way up to oh-seven-half. I just came up a full point here. Oh-seven and a half, on the ebony a and pi.

30-0-7 and I’m gonna type this up right here. Unfilled so far, market’s at seven and three quarters.

There’s two places you can put a stop on this one. You can put it down. It’s a 30-oh-three and a half, which could have a four point risk. That’s where I’m going to start mine. That’s going to be a $200 risk, but if you don’t want to go down that low, you also can put it down a at 30-oh-five and a half, which is a two point risk. $100 risk. $100 per contract risk.

All right, I’m long. I’m blocked from 30-oh-seven and a half off to the races we go, guys. This carries the lowest probability of success, but very attractive risk profile. Again, depending on where you want to put the stop. My stops at oh three and a half on this one. We’re long. If you’re just tuning in, I’m at all three and a half, putting it down below that, a low, that recent low.

It’s got a hold and if it doesn’t, here we go. We’re going to test it right now. This is the key zone right here, that oh six and a quarter area and that master pointed controller right there. You also could put a stop right here at oh five and a half. Let me type this up here for you so you kind of know what your options are on this one. Okay?

I don’t mean to scare you by saying it has the lowest probabilities of success, but it’s the truth on of any entry. It’s when you’re doing this, this, the exchange that you’re willing to accept here is that you got a much lower risk trade than waiting for it to breakout back above that 10 and a half, which is what we initially were looking to do when I first started talking about this trade markets breaking to the upside. I’m off to the races, make it some money.

So let me finish typing this thing up before it starts getting too far away here.

This one gives you the option to take profits. Here we go. We’re coming, coming back to that oh nine and three quarters. There you go. You can start to even take your profits right here. I’m up $1200 right now.

That’s 10 and a half, so if you want to wait for this thing to not have to necessarily break above that 10 and a half zone, again, you’re at a place right now where you’re, you’re making money, okay?

A good question for it by the way, is if we do start to break above these technical highs, you absolutely can consider adding to the position as well on momentum. Again, you’re going to be making money. You’re the best. You’ve got the best of both worlds. We’re laser focused on this right here. Okay?

Follow this here. We’re starting to tip, tip the toes above that there. We’re off to the races. Just like that. I’m up $1900 a dude got 12 units on this trade.

Here we go. We’re at this place where this thing could slide right up here to 30-15 just like that. The thing’s having a tough time making the break here by now. That re that, that re-emergence back above that top of the box there. I would, I would’ve liked to see it already follow through.

Didn’t get it. That’s… So be it. It sees us navigate in that supply area. I just closed up 11 of 12 units. I’ve closed out 13-75 on the trade. We got still 125 running all the way down to my runner here, just like that.

So just one, a single, single lot left on this one and I’m moved my stop up to that five and a half level I talked about as well. Everybody with me, I know this one came to came to life pretty quick. This was us leveraging an inside the box low probability of success trade but super low risk, okay?

Not low, like so low that we don’t want to do the trade, but we, we leverage this. It’s called an inside the box trade and we leveraged a technique that we talk about.

You remember I talk about perfect plywood or super ply? It’s when that POC, which looks like there’s no POC in there right now, right? No, there is. It’s just perfectly underneath those two pieces of plywood in the garage. Remember what they do? They set, they strengthen the trade, so you get that nice, you get that nice, strong, strong support on that.

And again on this one, depending on where you put your initials risk on this one I… You could be risking $100 or $200. It’s just a super low risk trade, okay? Stops at oh-five and a half now.

Nice job. Tim, you grabbed four at four and a half points. Nice. Did anybody… who was with me on that trade here in the chat room? Tell me how you guys did.

Here we go. We’re going to get that break. Now watch what… Look at how the, the volume falls off right here. Watch this. From right here, we’re going to slide right up there to 30-15 here in just a moment.

Watch this. You remember? We can slip and slide through these bars, it really wants to. It’s just gotta break free of that congestion. You’ve got the congestion on the 30, you’ve got this congestion on the 10 right here.

My exit point, by the way on those 11 of 12 was at 30-10. So I grabbed two and a half points on 11 contracts. Okay? And I still got the one running right now. Okay, so we’re kind of off to the races here.

Up 175, almost four points here on that last one. I’m going to take a quick little peek, a little pit stop. Look at those levels that just appeared here on the 30. That’s what we were kind of waiting for and anticipating. We got them now and that’s good, right? It’s better that we have levels on the 30 than have it still kind of only have the reliance of the volume congestion for Martinez Market Map.

And look where that demand level comes in at oh-six, oh-six-60, oh-six point 35, so again that five and a half stop right here is looking good. I think we’ll get that little pop right here.

Here we go. Get ready guys. Get ready. Follow the yellow arrow. Follow the yellow arrow. Follow, follow, follow, follow. Follow the yellow arrow.

Break about 13 and a half zone to be nice. Here we go. 30-12. Remember, we’re still long from oh-seven and a half. This one we did with the limit order on a buy. Good patience, for those of you that…anybody still along on this? Cool. You grab a couple of points.

You’re a web five ball, almost five points here. Now on the tray, knocking on the door, five points, four points officially.

Nice job, Kevin. Kevin grabbed three of his four contracts. Good, nice deployment of the, the, the scale out and then you take it. You put this trade in real low risk, low risk, low stress situation, right?

By the time we get to a trade at this point like this, I mean it’s not like your job’s done, but you know you can kinda, you can really be patient with the trade now. Let it do its thing.

Here we go. 30-12 and a quarter, remember were long. The additional one was long back here, 30-oh-seven and a half. Oh-three and a half. On the stop was one zone. We suggested, oh five and a half here. So it was either two, basically a two point risk or a four point risk. Low, low, low risk profile on this.

I sold out 11 or 12 contracts at 30-10 as that market came back down, which means they gave it a chance. So when it re-broke above, if it would’ve went, that would’ve been, I would have hit the jackpot obviously, but the market came back in, and for risk mitigation, I wanted to scale out 1375, there you go. You can see it right there. You get the idea.

and we’re still letting this one run here. Okay, low. This bar comes in at 10 and a half year, okay? Move my stop all the way up to nine and a half. I’m going to lock in. Worst case scenario, $100 on this one now. Okay, so my stops coming from oh five and a half up to oh nine and a half.

Remember, I’m still on from oh seven and a half. Okay, so here’s what we did. I want you to really focus here now. Watch this. And make this chart real nice and big here. Let me see if I can make this big.

Okay? Real big, real big. Okay. Follow me here on this trade. Okay. I want you to understand this. This was a good learning opportunity for a little different style trade. It was not a breakout mode trade. We do… look, we love our breakout mode trades, but what we did as well on this pullback, on this bar right here, we worked a limit order as that mark was pulling down at 30 oh seven and a half, which is right, where it right, where I drew that yellow line, I suggested one or two places for a stop.

Oh three and a half year here, oh-five and a half, either in this case would’ve held just fine. Okay? They would have held very different. In either case it wouldn’t have mattered. Okay? ‘Cause we end up moving the stop after that market searched higher. When it came up on this bar, and it started to kind of dip its toe back down. I wanted to scale out at 30-10, ‘quay, on 11 to 12 units.

I still got that one in order and now, so my stock went from here to here to oh-nine and a half. So if this comes back inside the box, I’m still going to grab two more points. Another a hundred dollars. So my worst case scenario on this trade for me, now again, it’s gonna be different based upon your contract sizing and entries and exits depending on how you decided to manage this opportunity. But 1475 is as bad as it’s going to be for me. That’s not so bad. That’s if I get stopped out, right?

Here we go. 30-13. We’re pressing through that now. What we’re looking for, for this market to make a press here through the… to the upper end of this range here of this bar. We’re not there quite yet.

I said kind of, I’d feel thrilled if we got up to that 30-18. And I want to bring up the scanner again here so you can kind of see. I want to show you what I was looking at and why I was not spooked by taking this trade, keeping it in the context of a 10 minute trade. Okay? Because we still were a ways away on the a and pi here. Just gonna bring it up here.

See the levels. Oops. Hold on a second. I messed up my control panel here, hold on.

There we go. Sorry. We’re looking at this here and the areas. I was okay with this still trade. Remember, we’re above the supply area red line on the weekly, which means bullish, and I said, hey, we’re in balance on the daily, but look where this level is. 30-23 and a half and I said we’re going to be out of this thing at 30-18, okay? 30-18, so we’re already bullish on the four hour. Great. And then even before we hit our head on that 60 at 30-20 again, 30-18 we’d be out of that train before then.

Ben, 12 units on this one.

So I bought 12 sold, out 11 at 30-10 for that two and a half points. That’s what closed out. I got 1375 and realized profit. And then this last one is making over 300, three and a quarter now all by itself, okay?

If you’re trading two units, here we go. This thing’s making a run towards the top of that range here, right now. I do have a resting order, by the way, sitting up at 30-18.

Here we go. We’re off to the races. When I say runner, it means the runner is typically in reference to leaving one last unit of my total position to kind of like swing for the fence. You see how this thing continues to break higher? So we’re letting it run, like “run Forrest, run.”

And by the time we have a runner, typically we’ve already locked in a worst case scenario, green trade. So, we were kind of in a position to let it navigate higher like this, okay?

Ouch. Oops. Hold on a second. I’m gonna change this chart over here to the bottom right to the 30, okay? Oops.

There we go. All right.

You can see that market on the 30 is kind of navigating through that, remember call this an alligator jaws when it does this, ‘quay? High volume aggregations on above, at the bottom, and fill it up through.

Now when we entered this trade, as you, as you heard, we didn’t yet even have these boxes yet, but we had that strong bottom jaw line of the alligator, right? Market broke up through it, and we’re filling through that zone right now.

We still could get to that 30-18 there’s no doubt, there’s no doubt about that. We could still get up to that 30-18.

I’m heading for the exit here at 14 and a quarter. I’m out 14 and a quarter. You can see here’s our… traded up there, 14 and a half, so I’m out my final unit, and that’s a function on my life. Stop kicking in. Remember what that means?

Means life. I’ve got things in life to do other than sit from the screens all day, every day. I’ve made my money in total. Let’s take a look at where we ended up finishing today, about been about 17 12 50 when it was all said and done. You can see that right there.

12 by 12, here’s my 12 by 12. 17 12 50, not bad. We’ll take it.

I liked that you guys were able to learn that lesson today. Learn that lesson about the inside the box, inside the value area trade. Okay? It’s a popular technique. It’s not just break up mode only. Okay? That’s one element of it. In fact, this one went into breakout mode, but the entry was on pullback.

When we put this, you know when you, when you were able to review this or review the recast like this here, when we first started talking about it, I was talking about point of contact, considering it as a breakout mode trade.

Now guess what? We would have been just fine on this as well. As you could see our stock would’ve held, cause my stop still would’ve been down here, but the risk on the trade would have been much more, right? Because we had to put it all the way across the highway, across all three levels below that bottom green line.

And with an entry point above that 30 10 50 again, the risk is higher. Okay? And that’s why when that thing pulled back, we saw it as a nice little opportunity to get a lower risk trade, lower risk entry into the trade. Again, at the expense of having fewer support zones down below. But those… that’s what you’re navigating as a trader.

Hey, this thing’s got low risk. I know it’s got lower probabilities, or some of the lowest probabilities of success out of all the entries you might do because we only got this key area to hold, this level had to hold. Otherwise we were down to just the technical low hold in the trade and we’ll, we’ll never know. We don’t need to know cause we’re out of the tray with some green.

How’d you guys figure on this one here? How’d you guys fare on on that, ebony SAP there trade today? Type it in the chat box.

So, are you doing the micros as well while you’re learning? That’s a great way to learn, with one tenth size contracts.

Nice, Chip grabbed $500 on a single contract, which is great. Isn’t that awesome? And going, going out and grabbing 500 bucks on a single unit. That’s a great trade in the a and pi. Nice, nice job, Chip.

Ben. Ben grabbed $250, awesome. Matt, with the Micros, same trade.

Grab… Bret grabbed two and a half points. Michael grabbed 487. Mark, doing the micros, he did 10 units of the micro ebony a and pi’s, made a hundred, made 100 bucks. Good.

Jerome, $250. Mary 250, a hundred on the micros is awesome by the way. Remember all relative. Remember micros margin requirement is just 50 bucks.

Nice job. Greg doing a pi wise, which again, in here you could take the perspective that we have here, you can apply it to a pi wise, right?

I earned a big steak today. Okay.

$210 on the micros. Again, these are for, for anybody that’s I’m saying, well you know, 200 bucks, big deal. That’s, that’s great. Relative to the amount of capital and margin required on Micros, that is really fantastic.

Well, as you can see, there’s valuable lessons inside these videos, and that’s why now’s the time to subscribe, like, and share this video, so you can keep getting alerts every time I post a new video, as well as the other warrior trading mentors. Until the next video. Happy learning.