Hey, what’s up, traders? Trader Steve here, Futures Warrior. Up in the upper right of your screen here, we just wrapped up the morning part of our chatroom session, and two for two today, nice green day. I like to call it a G-Day. It was green and $1000 in profits. We did it over the course of two trades, and that’s what I’m going to show you here as you look at the charts here on my screen.
First chart, the big chart that I have in play here is the July Contract, soybeans. This is where we initiated a long position at 827-3/4 down in this area. We did it explicitly because we started to break above that congestion zone, that area we look for markets to break above and use that as support down below. We put our stop in down here initially at 19-3/4, so we risk eight cents initially on this one, with intent and expectation we were going to be able to alleviate the risk very quickly in the trade, and we were able to do just that. As the markets started to rally up higher, up, up, up and away, we did on two separate occasions liquidate our positions at 830-3/4 grabbing three cents on the trade. Meanwhile, we moved our stop up multiple times till we eventually got stopped out of our very last runner at that very same 830-3/4. So we end up grabbing $700 on the trade in the soybean market over relatively short period of time this morning while managing risk prudently.
Now, if you draw your attention to that chart right underneath me here, that’s going to be the Canadian dollar, June contract, 10-minute chart. This one also we looked at the long side of the trade. Our initiation of the trade, as you might suspect as you look at the chart, 7434, which is right where I’m circling right here, and for the very same reason because we were breaking above that congestion zone up above. This one we wanted to put our stop down below, gave it a nice wide stop initially, again, with the same reason that if we placed a stop across the highway, we’d survive any post-entry volatility.
We didn’t have that volatility. The market kind of grinded higher. As you could see, it stayed above that key supply area. We’re able to ride that up higher as you see, boom-boom, boom-boom, and we did end up scaling out of that position over the course of three cover points at 7439. So for the six units, we end up grabbing another $300 for an even $1,000 across two trades. Okay. It was all about risk management. It was all about patience, and again, that theme we’ve seen so often, taking what the market is willing to give.
All right. I’ve got to get back to the chatroom here now, and if you’re thinking about joining us, come on over to Warrior Trading and join the Futures Trading Chatroom. You can join me, my friends, Mike, Ross in their rooms as well. You can learn an awful lot about trading. We’re here waiting for you. So long.
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