Trade Aptitude

Results of Monday’s Best S&P Futures Turning Points: Neither trade suggestion triggered on a narrow range short-session day. 

Today’s Best S&P Futures Turning Points (consider wider stops and less size in fast moving markets): 

Buy 4431.25 stop 4427.25. Short 4504.50 stop 4509.25.

The World Sentiment Index: (+100/-100) PLUMMETS from +50 to -57 with all major world markets Bearish. 

Catalysts: OPEC meetings (lowering production). FOMC Minutes @ 14:00.  

Quick Tip: Time Stops

Having a dollar stop loss on trades is common and advisable. What about a time stop? 

Entering a trade ties up your capital. The ideal result would be an instantaneous win but that rarely happens. The worst result, other than a loss, would be a trade that doesn’t move much at all and is open for a long period of time. You could be using that capital for better opportunities. 

Determining your time stop will depend on your style of trading: day, swing, or position. Fine-tuning the number will come from experience. To get a good idea where to start, look at your documented results. If you don’t keep time in/time out stats it’s likely you can download this data from your trading platform/broker. Measure the time between entry and exit for all trades, then sort the data and examine the results. You might be surprised. 

Trade Fearlessly,

Mike Siewruk

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