Comparing Market Volatility to 2018, ES Daily Chart & Trading Levels 3.11.2020

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Dear Traders,

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The recent volatility is of historical proportions!
Today we saw the bond market lose over 7 full points!!
The Dow was down approx. 2000 points yesterday and is up over a 1000 today…..
I have a few points to make:
  1. Take a look at the below chart from Feb. 2018 of the mini SP, last time I remember volatility close to what we are seeing ( FYI the VIX high back then was close to 30…we saw VIX trading over 50 this time around) and you will see that the moves are not a straight line….don’t get over excited if you are long and market bounced your way or vise versa if you are short and the market is limit down….this volatility will play both sides and in MY OPINION this is not a market to just buy and hold using futures….You need to be able to react and adjust positions according to market action and sentiment.
  2. Learn to reduce trading size. Perhaps trade smaller contracts like the micros.
  3. Understand that loses are part of trading and this is definitely not a good time to “fight the markets”.
  4. Focus more on risk management and ways to protect certain positions as needed.
  5. Survive to trade another day.
  6. Tomorrow I am going to look at some charts from 2008…..
Overnight limit, can’t trade below but can trade above.
-5%
Intra day
-7% Trading Halt 15 mins
-13% Trading Halt 15 mins
-20% Closed for rest of day
Due to the start of Daylight Savings Time starting in the U.S. on March 8 (this weekend), and British Summer Time not starting until March 29, European markets will open and close one hour later in the US during this time. Also, Coffee, Cocoa, and Sugar will open an hour later, but will close at their normal times.
Click on image to enlarge ES chart from 2018 and the VIX back then only reached 30…VIX traded above 50 yesterday….
2018 EP E Mini S%26P 500 Equalized Active Daily Continuation

Good Trading

Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors.  You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time when it comes to Futures Trading.

 

Futures Trading Levels

03-11-2020

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Futures Trading


Economic Reports, source: 

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Order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.

Risk & Limit Guidelines & Mini S&P Chart & Trading Levels 3.10.2020

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Voted #1 Blog and #1 Brokerage Services on TraderPlanet for 2016!!  

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Dear Traders,

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Overnight limit, can’t trade below but can trade above.
-5%
Intra day
-7% Trading Halt 15 mins
-13% Trading Halt 15 mins
-20% Closed for rest of day
Due to the start of Daylight Savings Time starting in the U.S. on March 8 (this weekend), and British Summer Time not starting until March 29, European markets will open and close one hour later in the US during this time. Also, Coffee, Cocoa, and Sugar will open an hour later, but will close at their normal times.
RISK
It Is A Four Letter Word. As Traders It Is Something That We Thrive On And Dread.
We chase and fear. We look for and look to avoid. It is RISK. Without it, there is no opportunity for profit. Without it trading lacks potential. With it, failure and heartache are the consequences when it is abused.
Risk itself is not a bad thing. When it is misused by traders, it becomes a problem. Controlled risk presents traders with exciting and profitable opportunities. Uncontrolled, it brings the end to the dreams and careers of many traders.
How should we as traders confront risk? The first step is to respect it.
Realize the damage it can do to our account equities when it is abused. The two most important tools that we have to control risk are stops and position size.
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Good Trading

Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors.  You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time when it comes to Futures Trading.

 

Futures Trading Levels

03-10-2020

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Futures Trading


Economic Reports, source: 

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Order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.

Unemployment Tomorrow & Futures Levels 3.06.2020

________________________________________________

Voted #1 Blog and #1 Brokerage Services on TraderPlanet for 2016!!  

_________________________________________________

Dear Traders,

Like us on FaceBook!
Get Real Time updates and market alerts on Twitter!
Due to the start of Daylight Savings Time starting in the U.S. on March 8 (this weekend), and British Summer Time not starting until March 29, European markets will open and close one hour later in the US during this time. Also, Coffee, Cocoa, and Sugar will open an hour later, but will close at their normal times.
Tomorrow we have monthly unemployment numbers in addition to the chaos in the markets…..
The following are my PERSONAL suggestions on trading during these days:
·    Reduce trading size
·    Be extra picky = no trade is better than a bad trade
·    Choose entry points wisely. Look at longer time frame support and resistance for entry. Take the approach of entering at points where you normally would have placed protective stops. Example, trader x looking to go long the mini SP at 2925.00 with a stop at 2919.00, instead “stretch the price bands” due to volatility and place an entry order to buy at 2919.75 and place a stop a few points below in this hypothetical example ( consider current volatility along with support and resistance levels).
·    Consider using automated stops and limits attached to your entry order as the market can move very fast at times.
IMPORTANT – second round of equity margin increases, this week
ES, $7920 –> $8360
NQ, $9350 –> $9900
YM, $6820 –> $7480
RTY, $3960 –> 4125
Sometimes no trade is better than a bad trade.
MICROS are a good smaller alternative!!

Good Trading

Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors.  You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time when it comes to Futures Trading.

 

Futures Trading Levels

03-06-2020

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Futures Trading


Economic Reports, source: 

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Order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.

Trading size & Futures Levels 3.05.2020

________________________________________________

Voted #1 Blog and #1 Brokerage Services on TraderPlanet for 2016!!  

_________________________________________________

Dear Traders,

Like our Futures Trading Brokers on FaceBook!
Get Real Time updates and market alerts on Twitter!
I hate sounding like a broken record but be careful out there!!
Don’t blow your account up ! Control your emotions and stay disciplined.
I personally recommend using HARD STOPS, you don’t want to get caught in some crazy moves or when the FED lower rates in a surprise move…..
Volatility has SPIKED, tremendously. That is a game changer.
IMPORTANT – second round of equity margin increases, this week
ES, $7920 –> $8360
NQ, $9350 –> $9900
YM, $6820 –> $7480
RTY, $3960 –> 4125
Sometimes no trade is better than a bad trade.
The following are my PERSONAL suggestions on trading during these days:
·    Reduce trading size
·    Be extra picky = no trade is better than a bad trade
·    Choose entry points wisely. Look at longer time frame support and resistance for entry. Take the approach of entering at points where you normally would have placed protective stops. Example, trader x looking to go long the mini SP at 2925.00 with a stop at 2919.00, instead “stretch the price bands” due to volatility and place an entry order to buy at 2919.75 and place a stop a few points below in this hypothetical example ( consider current volatility along with support and resistance levels).
·    Consider using automated stops and limits attached to your entry order as the market can move very fast at times.
MICROS are a good smaller alternative!!

Good Trading

Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors.  You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time when it comes to Futures Trading.

 

Futures Trading Levels

03-05-2020

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Futures Trading


Economic Reports, source: 

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Order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.

Margins Raised & Trading Futures 3.04.2020

________________________________________________

Voted #1 Blog and #1 Brokerage Services on TraderPlanet for 2016!!  

_________________________________________________

Dear Traders,

Like us on FaceBook!
Get Real Time updates for Futures Trading Margins and other market alerts on Twitter!
I hate sounding like a broken record but be careful out there!!
Dont blow your account up ! Control your emotions and stay disciplined.
I personally recommend using HARD STOPS, you don’t want to get caught in some crazy moves or when the FED lower rates in a surprise move…..
Volatility has SPIKED, tremendously. That is a game changer.
Here are some recent changes to margins due to volatility:
Metals and Energy Margins
Gold from            $5,500 to $6,000
Silver                 $5,500 to $6,000
Palladium           $24,200 to $28,050
Natural Gas (J)  $1,500 to $1,300
Interest rate & FX Margins
Euro Future       $1,870 to $1,980
Japanese Yen    $2,365 to $2,640
10 yr Note          $1,265 to $1,403
30 yr Bond         $3,080 to $3,245
Equity Index
DJIA Futures      $6,050 to $6,820
Nasdaq-100      $8,250 to $9,350
Russell 2000       $3,520 to $3,960
E-mini S&P         $7,260 to $7,920
Nikkei Futures  $5,610 to $6,050
The speed and nervousness in which the markets moved these past few days create more risk than opportunity for MOST traders. This is a personal opinion.
Sometimes no trade is better than a bad trade.
Control.
MICROS are a good smaller alternative!!

Good Trading

Trading Futures, Options on Futures, Futures Trading Margins, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors.  You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time when it comes to Futures Trading.

 

Futures Trading Levels

03-04-2020

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Futures Trading


Economic Reports, source: 

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Order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.

Daily Mini NQ Chart & Trading Levels 3.03.2020

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Voted #1 Blog and #1 Brokerage Services on TraderPlanet for 2016!!  

_________________________________________________

Dear Traders,

Like us on FaceBook!
Get Real Time updates on NQ Futures and market alerts on Twitter!
Start trading June bonds/ May Silver/ May grains!
Volatility has SPIKED, tremendously. That is a game changer.
The speed and nervousness in which the markets moved these past few days create more risk than opportunity for MOST traders. This is a personal opinion.
Sometimes no trade is better than a bad trade.
Control.
NQ Daily chart below, if you like to have access to the ALGOS like the slanted arrow that signaled the sell off last week or the SQUARE that appeared BEFORE THE OPEN today, signaling a possible short term reversal VISIT the FREE TRIAL page.
200302 ENQ E mini NASDAQ 100 Equalized Active Daily Continuation

Good Trading

Trading Futures, Options on Futures, NQ Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors.  You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time when it comes to Futures Trading.

 

Futures Trading Levels

03-03-2020

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Futures Trading


Economic Reports, source: 

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Order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.

E-Mini S&P Daily Chart & Levels 2.28.2020

________________________________________________

Voted #1 Blog and #1 Brokerage Services on TraderPlanet for 2016!!  

_________________________________________________

Dear Traders,

Like us on FaceBook!
Get Real Time updates on E-Mini S&P Futures and market alerts on Twitter!
Start trading June bonds/ May Silver/ May grains!
Volatility has SPIKED, tremendously. That is a game changer.
The speed and nervousness in which the markets moved these past few days create more risk than opportunity for MOST traders. This is a personal opinion.
Sometimes no trade is better than a bad trade.
Control.
ES Daily chart along with possible support levels for this “blood shed” below…..
200227 E Mini S%26P 500 Equalized Active Daily Continuation

Good Trading

Trading Futures, Options on Futures, E-Mini S&P Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors.  You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time when it comes to Futures Trading.

 

Futures Trading Levels

02-28-2020

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Futures Trading


Economic Reports, source: 

58e6c7fb 9bff 43a2 96f8 4a3b32c5a18f

Order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.

Daily Emini Nasdaq Chart & Trading Levels 2.27.2020

________________________________________________

Voted #1 Blog and #1 Brokerage Services on TraderPlanet for 2016!!  

_________________________________________________

Dear Traders,

Like us on FaceBook!
Get Real Time updates and market alerts on Twitter!
Volatility has SPIKED, tremendously. That is a game changer.
The speed and nervousness in which the markets moved these past few days create more risk than opportunity for MOST traders. This is a personal opinion. Sometimes no trade is better than a bad trade.
Control.
First possible sell signal on NASDAQ daily in a long time…..
200226 ENQ E mini NASDAQ 100 Equalized Active Daily Continuation

Good Trading

Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors.  You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time when it comes to Futures Trading.

 

Futures Trading Levels

02-27-2020

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Futures Trading


Economic Reports, source: 

15f1c177 278d 4881 8c85 417601e8577c

This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.

Volatility SPIKED & Trading Levels 2.26.2020

________________________________________________

Voted #1 Blog and #1 Brokerage Services on TraderPlanet for 2016!!  

_________________________________________________

Dear Traders,

Like us on FaceBook!
Get Real Time updates and market alerts on Twitter!
Volatility has SPIKED, tremendously. That is a game changer.
The speed and nervousness in which the markets moved these past few days create more risk than opportunity for MOST traders. This is a personal opinion. Sometimes no trade is better than a bad trade.
Control.
Our brokers here at Cannon will be happy to chat about the markets, futures, options, futures spreads and much more! Feel free to contact us at any time.

Good Trading

Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors.  You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time when it comes to Futures Trading.

 

Futures Trading Levels

02-26-2020

93556418 541a 4100 bebb a42f96fa0ac0

Futures Trading


Economic Reports, source: 

ff5183eb 12fd 4925 bca4 b5f6f83c74af

This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.

E-mini Nasdaq Daily Chart & Trading Levels 2.25.2020

________________________________________________

Voted #1 Blog and #1 Brokerage Services on TraderPlanet for 2016!!  

_________________________________________________

Dear Traders,

Like us on FaceBook!
Get Real Time updates and market alerts on Twitter!
Volatility has SPIKED huge. That is a game changer. In my opinion, one can NOT trade the same way he/she did two weeks ago – today.
The large spike ion volatility makes it tough for most people. It is a good time to REDUCE trading size, possibly look at trading the MICROS and definitely not a time to use “mental stops”…..
8984 is a MAJOR support for me personally on the NQ/ mini nasdaq which seems to be the leader of stock indices.
Click on the chart to enlarge
E mini NASDAQ 100 Equalized Active Daily Continuation
Our brokers here at Cannon will be happy to chat about the markets, futures, options, futures spreads and much more! Feel free to contact us at any time.

Good Trading

Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors.  You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time when it comes to Futures Trading.

 

Futures Trading Levels

02-25-2020

27758e79 1ae1 45aa 856c 18d388c124df

Futures Trading


Economic Reports, source: 

1508cf28 1131 47eb b6ed 0ef62cd5c910

This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.