Trade Aptitude

Yesterday’s results: No trade triggered. 

Today’s Best S&P Futures Turning Points: Buy 5701.50 stop 5695.75. Short 5740.75 if price trades below and retraces back with a stop at 5745.75.

The World Index: (+100/-100) jumps from -17 to +42 with most major world markets Bullish. China closed for a holiday week. 

Catalysts: Non-Farm Payrolls, Unemployment Rate @ 8:30. Fed’s Williams @ 9:00. Middle East crisis. 

Quick Tip: Skepticism

Being skeptical is good. It provides the questions you need answered to decide. In trading you should have a plan with rules of entry and exit. But not all plans perform in all market conditions. Being a little skeptical, asking yourself “Is this the market I should trade with this strategy right now?” is helpful. 

This happened to me yesterday, but my skepticism was late. I took a couple of trades, a loser and a breakeven, before I questioned the market condition compatibility. Following up on subsequent trades that I did not take proved that it definitely wasn’t “my market” to trade. 

As a trading educator for the past 16 years, I’ve often run into skepticism at a higher level. “If this strategy works so well, why are you sharing it? Why not keep it to yourself?” Again, being skeptical gets you the answers you need to decide. 

I’ve always answered those questions with a quote I agree with from Linda Raschke in her interview for the Market Wizards book. "I truly feel that I could give away all my secrets and it wouldn’t make any difference. Most people can’t control their emotions or follow a system." In fact, Linda wasn’t the only Market Wizard who answered similarly. 

Regardless of the precision of your entry and exit rules, I’ve found that traders adjust somewhat to their beliefs about the market, risk tolerance, and experience. Great traders find themselves by experimenting with different approaches and then becoming disciplined in their own personal style. 

Our trading teams focus on multiple strategies for day trading futures and high-probability candidates for swing trading options. Maybe you'll fit right in. You can try either or both risk-free. 

Trade Fearlessly,

Mike Siewruk

P.S.  Feel free to pass this along to your trading buddies. Share in the wealth!