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Author: Ilan

Mini S&P Renko Volume Charts & Economic Reports 11.06.2014

Posted on by Ilan

Hello Traders,

For 2014 I would like to wish all of you discipline and patience in your trading!

Hello Traders,

 

Amazing to see the difference in what I consider “an influenced market” like we seen the last week or so with Japan QE, versus a market that was free for a bit about 2-3 weeks ago….when it expected QE to be over….

Last few sessions we see the big moves happen overnight with much tighter trading ranges during the day session versus a market that had WIDE ranges and “healthy” volatility both ways a few weeks ago…..Bottom line the market is what the market is and this is what one needs to trade and not what one would like to trade…..
On a different note, I mentioned before that i like using range bars and Renko charts when it comes to short term trading versus minutes charts.

Main reason, is that i feel that Range/ renko/ Volume charts will complete faster when there is action and speed in the market , hence have potential to provide a signal faster and vise versa, may filter our some noise when the market is dead.

below you will see today’s mini SP chart. I am using 5 ticks range bar chart along with some ALGOs I created and have confidence in.

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Continue reading “Mini S&P Renko Volume Charts & Economic Reports 11.06.2014”

30 Futures Market Moving Events & Economic Reports 11.05.2014

Posted on by Ilan

Hello Traders,

For 2014 I would like to wish all of you discipline and patience in your trading!

Hello Traders,

 

I have shared the feature below a while back but feel it is worth reading even if you read before. Make sure you are prepared for the trading day, part of the preparation is to know what reports are coming, when they are coming and if they are market movers or not for the specific market you are trading…..

WE DO HAVE MORE THAN A FEW MARKET MOVING REPORTS TOMORROW FOR DIFFERENT MARKETS, SEE ECONOMIC CALENDAR BELOW

Ranking 30 Futures Market Moving Events

Where do I look and when do I pay attention?

By: Cannon Trading Commodities Broker

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Every trader has done it. You’ve done it, your friends have done it, even your broker has done it at one point early in their career.

Here’s the scenario:

You’ve finally finished your futures education at Cannon Trading Company. You’ve done you’re homework on stops, limits, indicators and price movements for the market you’re trading. You’re ready to go, you enter your limit order and you wait.

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**DING**

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You get filled. Your heart rate picks up, a wry smile crosses your face and you begin to imagine the possibilities of the one trade you’re in: How much can I make? How much can I lose before it’s too much? You’ve waited through months of technical trading and deep meditation to get here, and now it’s finally paying off with one of your first trades in the live market. Sayonara paper trading; aloha live futures.

Then, all of a sudden, the top of the hour hits and the market starts acting up. It’s getting more volatile and more volatile; it’s picking up speed and taking an unforgiving turn against you. You can’t think straight, all you can think about is your losing position that could get worse and worse as the seconds go by. You race to put in a stop order, but you finally have to settle for a market order just to stop the bleeding. You stare.

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**DING**

 


READ THE REST

Continue reading “30 Futures Market Moving Events & Economic Reports 11.05.2014”

Trade The News weekly recap & Economic Reports 11.04.2014

Posted on by Ilan

Hello Traders,

For 2014 I would like to wish all of you discipline and patience in your trading!

Hello Traders,

 

Some BIG news last week…I believe these news will affect the markets for the near future and highly recommend reading, understanding the basics as you go about your trading and day trading.TradeTheNews.com Weekly Market Update: Fed Passes the QE Baton to the BoJ

The Fed ended QE3 this week, six years after beginning the extraordinary effort to ease monetary condition in the US, and just two days later the Bank of Japan doubled down on its own QE policies. Note that the Fed retained its language on keeping interest rates low for a “considerable time” but dropped its “significant” wording in regards to slack in the US labor market. In addition, the Q3 US GDP topped expectations and grew 3.5%, according to preliminary data. Global equity markets surged higher following the events, with both the DJIA and S&P500 back at all-time closing highs on Friday, the Nikkei up 5% and the Nasdaq at its best level since February 2000. Shanghai saw more modest gains after the flash manufacturing PMI for October gained a bit and Q3 GDP came in at +7.3%. For the week, the DJIA had its biggest gain since early 2013, rising 3.4%, the S&P500 rose 2.7%, and the Nasdaq added another 3.3%.

Continue reading “Trade The News weekly recap & Economic Reports 11.04.2014”

Day Trading Psychology, Levels & Economic Reports 10.31.2014

Posted on by Ilan

Hello Traders,

For 2014 I would like to wish all of you discipline and patience in your trading!

Hello Traders,

 

I read the following from:  http://www.daytradingpsychology.com/

and thought it was worth sharing. I think that if you know which category you fall into, it may actually help you deal with this “non human brain friendly thing called trading”……

 

THE COMPULSIVE BRAIN

People with Compulsive brains tend to get stuck in a particular thought or view of the market. Whether bullish or bearish, right or wrong, the main thing is that their minds are closed.

People with compulsive brains often don’t use stops (because they “know” what’s going to happen). They can have some amazing winners, but they will hold a losing position much longer than necessary because they are not open to the feedback the market is giving. These folks demonstrate the same closed-mindedness in daily life and tend to have very strict, by-the-book ways of doing things.

THE IMPULSIVE BRAIN

People with Impulsive brain function are the exact opposite. They tend to stop themselves out all the time and over-use the reverse button. They over-trade. Like a fish spotting a shiny lure, they can’t resist getting involved in a moving market.

In other words, they lack impulse control. This will show up not only in trading, but in conversation, driving, eating and other aspects of daily life.

THE ANXIOUS BRAIN

The third type of brain function found among traders is the Anxious Brain. These folks live with a non-specific sense of impending doom. They see the glass of life as half empty.

When they take risks in trading, they are skeptical and have a heightened sense of the obstacles in their way to success. For example, if they are long, they over-focus on resistance. Continue reading “Day Trading Psychology, Levels & Economic Reports 10.31.2014”

FOMC Results, Increased Volatility & Economic Reports 10.30.2014

Posted on by Ilan

Hello Traders,

For 2014 I would like to wish all of you discipline and patience in your trading!

Hello Traders,

 

FOMC lived up to the hype with increased volatility in many markets including stock indices, currencies, metals and mainly the bond market ( I recommend exploring the bond market for day-trading as it offers different personality and behavior look at previous blog post here ) 

 

 

  • Fed Ends QE While Keeping ‘Considerable Time’ Low-Rate Pledge

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    From bloomberg.com

    Read Full Story at bloomberg.com

    The Federal Reserve confirmed it will end an asset-purchase program that has added $1.66 trillion to its balance sheet and maintained a pledge to keep interest rates low for a “considerable time.” “Labor market conditions improved somewhat further, with solid job gains and a lower unemployment rate,” the Federal Open Market Committee said today in a statement in Washington. “A range of labor market indicators suggests that underutiliza tion of labor resources is gradually diminishing,” the panel said, modifying earlier language that “there remains signifi cant underutilization of labor resources.” Policy makers said that while … (full story)

FOMC Interest Rate Decision due 10.29.2014 at 14:00 ET & Economic Reports

Posted on by Ilan

Hello Traders,

For 2014 I would like to wish all of you discipline and patience in your trading!

 

The FOMC interest rate decision is due at 14:00 ET in the US tomorrow ( Wednesday, October 29th ).

 

FOMC days have different characteristics than other trading days. If you have traded for a while, check your trading notes from past FOMC days that may help you prepare for tomorrow.

 

I have shared this same post before more than a few times but I do encourage you to read and try to implement as I think tomorrow’s meeting may be even more volatile than the last few. 

 

if you are a newcomer, take a more conservative approach and make sure you understand that the news can really move the market.

 

The following are suggestions on trading during FOMC days: Continue reading “FOMC Interest Rate Decision due 10.29.2014 at 14:00 ET & Economic Reports”

FOMC Facts, Futures Levels & Economic Reports 10.28.2014

Posted on by Ilan

Hello Traders,

For 2014 I would like to wish all of you discipline and patience in your trading!

 

Two pointers I picked from an email service from factset.com that are worthy in looking ahead this week, as we will have FOMC statement this Wednesday:

 

Earnings metrics improve:

  • According to FactSet, the blended growth rate for Q3 S&P 500 EPS pushed up to 5.6% this week from 5.1% at the end of last week and 4.6% at the end of the quarter. In addition, of the 208 companies that have now reported results for Q3, 75% have beat consensus EPS expectations. This is up from 68% last week and ahead of the 73% four-quarter average. In the aggregate, companies are reporting EPS 3.8% ahead of the Street, slightly better than the 3.6% four-quarter average. As was the case last week, some of the better takeaways came from cyclical names where sentiment has been fairly depressed. MMM +8.1% reported a high-quality, margin-driven earnings beat and slightly raised the midpoint of F14 guidance. ITW +5.5% reported its best organic growth since 2011. Europe held up better and the company raised full-year guidance. HVAC leveraged plays like LII +15.1% and WSO +8.6% were some of the post-earnings standouts. UPS +3.4% had some upbeat commentary on the peak holiday shipping season. Outlook commentary following strong results from UNP +7.7% was also positive. Results and guidance from the airline sector also highlighted a still favorable domestic demand backdrop. Continue reading “FOMC Facts, Futures Levels & Economic Reports 10.28.2014”

Is the Wheat rally real or just a short covering bounce? & Levels 10.24.2014

Posted on by Ilan

Hello Traders,

For 2014 I would like to wish all of you discipline and patience in your trading!

 

Is the Wheat rally real or just a short covering bounce?

Along with the rest of the grain complex and many other commodities, the wheat market has taken a serious beating, declining from $7.64 in May to $4.66 in late September! That is a very serious drop in price (close to 40%!!) in a short period of time.

 

In recent weeks, the wheat market has bounced almost $0.60 from its lows and the big question longer term traders, as well as swing traders, are asking themselves, is the following: Is this just a chance to go short again or is this the beginning of a reversal to the upside.

Continue reading “Is the Wheat rally real or just a short covering bounce? & Levels 10.24.2014”

Weekly Futures Crude Number, Economic Reports & Levels 10-23-2014

Posted on by Ilan

Hello Traders,

For 2014 I would like to wish all of you discipline and patience in your trading!

 

Weekly crude numbers for WTI from EIA  for  28 years .

Wealth of information  for review if you are a crude oil/ energy trader!

 

  http://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=pet&s=rwtc&f=w

 

Trading myopothy blinds many traders so from time to time it is important to step back, take a deep breath and look at the price action from longer time frames” The action to the downside in the Crude oil market has been nothing short of breathtaking. ….

the longer term view(s) can illustrate ( on this chart supplied by U.S. Energy Information Administration).  That deeper sell offs and more volatile market moves could continue for some time .

Weekly chart for your review below:

 

842

 

Continue reading “Weekly Futures Crude Number, Economic Reports & Levels 10-23-2014”

Recognizing Different Types of Trading Days & Levels 10.22.2014

Posted on by Ilan

Hello Traders,

For 2014 I would like to wish all of you discipline and patience in your trading!

 

Are we done? Was this the correction everyone was afraid of and that’s it?

Only the future can tell but interesting to look at the daily chart below of the mini SP 500. We bounced OVER 100 points from the lows!!! But I still need to see if we can break above the 1946 level marked on the chart….

 

Another interesting point is that this rally is on much lower volume than the sell off, but then again this has been the story in the “minor corrections” we had during the last several years.

 

Not sure if this one is any different and we are heading back to test new highs…my “emotions/gut” says this one has a bigger chance of being a more serious correction than the ones we have seen before but my “trading brain” says that statistically odds are in favor of resumption in the rally…

Continue reading “Recognizing Different Types of Trading Days & Levels 10.22.2014”

RISK DISCLOSURE: Past results are not necessarily indicative of future results. The risk of loss in futures trading can be substantial, carefully consider the inherent risks of such an investment in light of your financial condition.