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S&P 500 Emini Futures

 

Our projections written Thursday night for the S&P action on Friday called for support at 1317/1318 and resistance at 1333/1334. Here's how it played out -

 

es-emini-futures-062212.jpg?__SQUARESPACE_CACHEVERSION=1340661839659

 

(ES) Emini Futures 06/22/12

Also worth noting, on the hourly chart above you can see that the market closed Friday with a Bearish Engulfing Pattern in proper context. In simple terms, this calls for lower prices ahead.

 

Emini Podcast for Friday 06/22/12

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Emini Breakout Kings

 

Breakout trading is one of the most basic trading strategies. The term Breakout tends to make us think of an up move but a down move or a Breakdown, also falls under the definition of Breakout Trading Strategies.

 

 

 

The most basic definition of a Breakout is that after a period of consolidation price moves either above or below a well defined support or resistance level. Traditional TA (technical analysis) says that the break must be accompanied by high volume for validation. On the chart above we showed the market moving 20 points on very light volume in a thin market on big news. So while the Breakout Trade is simple in concept, there are some complexities that should be understood.

 

 

#1) Price may expend a great amount of energy to finally break through Support or Resistance.

 

 

#2) After expending great energy, price will often retrace its steps triggering the stops of those who entered the trade based simply on the breakout without any follow through confirmation.

 

 

#3) Those stops being triggered can then propel price higher or lower depending on the direction of the breakout. This should not be confused with the "They ran the stops" conspiracy. What I am explaining does not involve a "they", it is an explanation of how markets work.

 

 

Breakouts can be traded on a 1 minute chart or a monthly chart. The concept is the same, the only difference is the risk required and the potential profit to be gained. When watching a daily chart, price might spend days or even weeks attempting to break out of a range. Once it breaks, if you place your trade without any additional confirmation you become what we call a One Eyed Jack.

 

How To Be An Emini King

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In A Land Of One Eyed Jacks

emini-jack-spades.png?__SQUARESPACE_CACHEVERSION=1341043098759

 

 

emini-jack-spades.png?__SQUARESPACE_CACHEVERSION=1341043166690

 

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The difference between a Breakout and a Fakeout is - Confirmation

 

Top 2 Breakout Strategies

 

 

  1. Confirmed breakout
  2. Failed breakout

 

Now here's the top-secret breakout strategy you won't find anywhere else.

 

 

 

ALL BREAK OUTS ARE TRADABLE OPPORTUNITIES

The key to a successful breakout strategy is learning YOU CAN PROFIT no matter what happens. First, accept the fact that 50% OF ALL BREAK OUTS FAIL. Revel in it. This "secret" removes all bias and gives you a clear head.

 

 

 

The knowledge simply makes you informed, embracing it makes you a King.

 

 

Forget about the outcome of the break, simply trade whatever confirms.

 

 

Emini Podcast for Thursday 06/28/12

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Stock Market Bargain Shopping

 

With the possibility of a longer term bounce into the Presidential election, it might be worth taking a look at some equities that have been knocked down, but not out. We are not attempting to call a bottom, this is more like catching a Phoenix as it rises from the ashes. Our focus is 95% on the indices here at CFRN but after all, those indexes are made up of indvidual stocks right?

 

As always, due your own due diligence and consult with a licensed investment professional.

 

Magnum Hunter Resources (MHR)

483471-13409514645721421-DeWayne-Reeves

Consider buying $4.25 Stop / Stop Loss $3.75 / Initial Target $5.75

 

Key Energy Services (KEG)

483471-13409517625107505-DeWayne-Reeves

Consider buying $10.50 Stop / Stop Loss $8.75 / Initial Target $16.00

 

Dycom Industries Inc. (DY)

483471-13409519163852797-DeWayne-Reeves

Consider buying $20.75 Stop / Stop Loss $17.40 / Initial Target $22.50

 

LSI Corp. (LSI)

483471-13409520948249714-DeWayne-Reeves

Consider buying $7.10 Stop / Stop Loss $6.75 / Initial Target $8.75

 

Monster Worldwide Inc. (MWW)

483471-13409521644678302-DeWayne-Reeves

Consider buying $8.75 Stop / Stop Loss $7.90 / Initial Target $10.00

 

 

Emini Podcast for Friday 06/29/12

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While travelling by plane, Cassius Clay (Muhammad Ali) was once told by a stewardess to put on his seatbelt. He retorted, “Superman don’t need no seatbelt!” to which the stewardess said, “and Superman don’t need no airplane! Put on your seatbelt please.”

 

Traders often fall prey to Superman Syndrome after a string of successful trades. The rush of endorphins begins to cloud our thinking and we start to believe we really can fly. When you buy a child’s Superman suit at a toy store, it comes with a manufacturer’s note: This product is sold as a toy only. It does not enable the wearer to fly.

 

After a good day, week, or month in the markets, we as Traders might be well served to put a post-it-note on our shaving mirror that says "You can't fly". It might not hurt to stick one on the platform monitor as well. Your success was not the result of a misplaced sense of self-worth, your downfall however, could very well be. Reading this will help bring you back to earth - Deuteronomy 13:1-5 .

 

Now let's get into today's discussion with Robin and learn how you can spot Superman Syndrome in its early stages and prevent it from becoming your own personal Kryptonite. Just click here - Overcoming Superman Syndrome w/ Robin Dayne The Traders Coach

Edited by cfrn
Link Issue

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EMINI PODCAST ARCHIVE

 

Once again time to catch up on a few "lost" episodes.

 

 

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Tuesday June 25, 2013

 

 

 

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Wednesday June 26, 2013

 

 

 

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Thursday June 27, 2013

 

 

 

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Friday June 28, 2013

 

 

 

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Emini Coaches Corner w/ Robin Dayne | Episode #19

 

 

 

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Monday July 1, 2013

 

 

 

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Tuesday July 2, 2013

 

 

 

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Wednesday July 3, 2013

 

Once again, thanks to the TL Staff for maintaining the best Trading Forum on the 'Net!

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