Warrior Trading Blog

Green from the Golf Course +$525 | Steve’s Futures Pulse 174

Steve_7.12

Hey, what’s up, fellow traders? Trader Steve here. I’m out at the golf course and wanted to give you a little recap of the trading activity today. When I was back at my primary trading station, got down 675 in the E-mini S&P, but found a nice little opportunity to get long in the copper and boom! When I was sitting over here on my laptop at the golf course, scored $1200 in the copper, putting us up 5 and a quarter. Meanwhile, on the go, on the laptop, at the golf course. I got to hit my tee time. Enjoy today’s Futures Pulse, and look forward to meeting you back at the markets on Monday. Enjoy your weekend!

Hey, what’s up, fellow traders? Let’s get into that trade recap, as promised. First and foremost, I got my big orange roast beef shirt on. You know you’re a real man if you’re not afraid to wear a big bright orange roast beef shirt with a cow in a bikini, by the way, is what’s on my shirt, if you’re wondering.

So let’s talk about that E-mini S&P. That was our first trade of the day in the futures trade chat room this morning. This one, as you’ll soon see, was … We put this one in the loss column, but I want you to understand why I took the trade, why I aggressively trimmed the risk, so we mitigated what that, the impact of that loss, and then we went on to find a nice trade in copper. So let’s take a look here.

So over here is when we started to see the market go into breakdown mode, okay? This is 30-07 and a half. We call that a demand zone, that green horizontal line right there, and we also saw it going into breakdown mode over here, as well. Notice how the market was starting to kind of peekaboo down below. That’s oftentimes, many times, most of the time, going to be a nice place to think about a short-side opportunity. So we did. We got short at 30-07, okay? I’ll write that up here. 30-07. That’s right there. Right about where you see that, those red colored bars start to kick in.

Now, we put our initial risk on this one at 30-11 and a quarter. So just four and a quarter risk, which is on kind of a lower side of our risk. It comes in a little over $200 on the risk. And I didn’t like the trade relatively early on in it, because we started coming right back. We swung a U-turn, as you can see here in both cases on the 10-minute chart on the left, as well as the 30. The market swung a U-turn, and we moved back into balance very quickly. So we took that 11 and a quarter stop. We moved it to 10 and a quarter, and then ultimately, at 9 and a quarter, that’s where we ended up getting stopped out. You can see how the market started to penetrate higher up here, and that’s where it took us out at 2 and a quarters points, and I had a six-unit trade on that one, so I was down 675.

Now, okay, so Friday is kind of a common day for me to hit the links. Love to play golf. It’s a place where … Well, it’s nature for those of us that live in suburban Chicago, and it’s a place where I like to clear my mind and all that stuff. So I had a tee-time book. Okay? But before I left the futures trading chat room, we moved into the copper market, and I saw a nice little opportunity, and I’m going to bring up that copper chart right now. September copper. And we saw the market starting to, not only put a stake in the ground in the bull camp here, above this level that comes in at 268.09, but it started to come back up here a second time. So when the market came back up here the second time we entered a long position, now this is again, before I head off to the golf course. And we entered at 268, pardon my chicken scratches … 268.30, and this one, we put the stock down below here, 267.15.

And then we trimmed the risk on this one early on, as well. We wanted to move the risk to just under that demand zone, so we ended up putting the stop there, 267.50, which actually is this figure right here, just below the demand zone at the time. And you could see, it is actually just down below that demand zone, as well, on the 30-minute timeframe. So I’m always trying to put my stops on the other side of these value-area lines. That’s the TAS boxes indicator, those three lines. Those are seven indicators in the suite, as you probably know, or have gathered by now if you’ve watched my videos. TAS market profile.

So what we saw happen, okay, now this thing started kind of creeping back up to about break-even. We weathered the downside right here. It bounced back up, and right about the time it was at break-even at that 268.30 level, I said, “All right, guys. You know, I’ve got a tee time.” But thanks to what’s called OCO orders, order cancels order, what you can do is you can put in your target and your stop, and you link them together through an OCO, order cancels order, so when one fills, one side or the other’s filled, it’ll cancel the other order so you don’t get filled on both sides.

Anyways, I put that in at 269.10, which is right there. That’s the target, I’ll write target. I’ll just write target. There we go. Boomp, boomp. Ever tried to draw with a mouse? It’s a little difficult. And then our stop again remained down here at 267.50. So basically, we’re moving for an 80 point profit in exchange for an 80 point risk on the trade, 200 in both direction, in this instance. Again, now this was me, on the go, watching things on mobile. I ended up setting up at the golf course my laptop to watch the trade kind of come to life. I had a little bit of time before I had to hit the links, and guess what? You could see what happened. The market kind of came up, up, up, and away. Boom! 269.10, and folks in the chat room obviously are a big thumbs up. High fives, the whole thing.

It was a nice example, I think, of how, you know, when you trade futures markets, they’re very liquid. They’re nearly 24 hours a day. And you don’t need to sit in front of your computer all day to do it. If you’ve got a laptop, if you’ve got a mobile device, most of the platforms have mobile trading applications, you can take your trade on the go. So it’s nice, as I like to say, we end up netting five and a quarter here today with that $1200 winner. I did have six units, times $200 each. That’s $1200.

But wiped away our 675 loss to start the day in the E-mini S&P. We end up five and a quarter, making some green on the green. How about that? Nice strong finish here this week. Looking forward to getting back next week for a full week of trading. I look forward to meeting you there. Enjoy the weekend in the meantime, and until then, trade well and be well. Bye-bye.

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