Category: futures trading education

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Trading Tip:

Entering trades using a STOP order.

Most retail clients I work with will enter trades either at market or using a limit order (better price than current market price), however, there are times that depending on your trading strategy , entering the trade on a stop order might be better.

Example, you are looking for momentum and making a few ticks and you feel that the current resistance on natural gas is 3.570 and in this hypothetical example the market is trading at 3.550.

You place a buy stop order to enter the market at 3.573 because you want to see the resistance violated and you are looking for possible continuation and follow through if that happens.

If the market does not brake the resistance line in this “educational example”, you don’t get in the trade. If it does, then your buy stop will trigger you long at best market price.

Some traders will take this a step further and use a buy stop/limit. example buy stop 3.573 / limit 3.575 meaning fill me if we break 3.573 but no worse than 3.575. In this case you are willing to “miss the trade” but you know what is your predefined slippage.

Feel free to reach out to your current Cannon broker or contact person if you like to expand on the topic.

Futures Trading Videos:

1. Identifying Support And Resistance Using A Line Chart.

2. Finding Levels of Support Resistance

3. Day Trading crude oil futures using fear and greed….

VIEW VIDEOS HERE

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Yes

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

09-26-2022

#goldfutures #sp500futures #crudeoilfutures # nasdaqfutures #dowfutures #futurestrading #futuresbrokers — SP500 #ES_FNasdaq100 #NQ_FDow Jones #YM_FMini Russell #RTY_FBitCoin Index #BRTI SP500 Dec. Gold #GC_F Dec. Silver #SI_F Oct. Crude Oil #CL-F Dec. Bonds #ZB_F Dec. 10 yr #ZN_F Dec. Corn #ZC_F Dec. Wheat #ZW_F Nov. Beans #ZS_F Dec. SoyMeal #ZM_F Oct. Nat Gas #NG_F Dec. Coffee #KC_F Dec. Cocoa #CC_F October Sugar #SB_F Dec. Cotton #CT_F Sept. Euro Currency

Weekly Levels

Reports, First Notice (FN), Last trading (LT) Days for the Week:

https://business.facebook.com/groups/1105191589938254/

Date Reports/Expiration Notice Dates

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 herein 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 judgment in trading

Choppy Price Action Calls for Different Strategies + Futures Trading Levels 9.23.2022

Posted on September 22, 2022 by Ilan

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Price action yesterday during FOMC and today leads me to talk about the “type of market environment you are trading”.

Yesterday we saw extremely volatile action both sides of the market with the end result a sharp down move.

Today we saw again, volatile, at times sporadic price moves both up and down.

Volume both days was heavy.

My opinion is that there are 3 main types of trading days.

1. Most common is two sided trading action with swings up and down – this type of trading day is most suitable for using support and resistance levels along with overbought/oversold indicators.

2. Strong trending day, mostly one directional – this type of trading day is the least common, many times will happen on Mondays and maybe 3-5 times a month at most – this type of trading day is most suitable for using ADX, MACD crossovers and pretty much looking for pullbacks to jump on the trend

3. Slow and/ or choppy trading day – this type of trading day is best suited for taking small profits from the market by looking at volume spikes, using stochastics as possible entry signals and usually wait for a pullback before jumping in.

Good question is how can one asses what type of trading day we will have while the market is still trading….I am doing some work about it and will be happy to hear feedback via email but here are some initial observations:

Was the overnight session a wide, two sided trading range? If the answer is yes, good chances for similar trading day during the primary session ( primary session is when the cash/ stock market is open)
Mondays have the highest chance for trending days
The behavior of the first hour of trading can also suggests the type of action for the rest of the day.
If the first 30 minutes have good volume, better chances for type 1 or type 2 trading days.
low volume during first 30 minutes can suggest a choppy (type 3 trading day)

As always, plan your trade and trade your plan. Please contact your broker or Cannon Trading with any questions.

Futures Trading Levels

09-23-2022

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Economic Reports, Source:

https://business.facebook.com/groups/1105191589938254/

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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.

Futures Trading Insight + Trading Levels 9.20.2022

Posted on September 19, 2022 by Ilan

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December is now front month for MOST markets out there…

December ES, December euro, December gold, December Tbonds and more.

Crude oil front month is now November.

Are you trading using order flow? volume profile? heat map? Try Volumetrica powerful tools.

If you are looking for other reference material please contact your Cannon Broker for lists of solid, informative and helpful trading tomes

Futures Trading Levels

09-20-2022

Improve Your Trading Skills

Get access to proprietary indicators and trading methods, consult with an experienced broker

1-800-454-9572 Explore trading methods. Register Here

Economic Reports, Source:

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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.

Weekly Newsletter 1115: 5 Big Mistakes Beginners Should Avoid Making + Trading Levels for the WeekAhead

Posted on September 16, 2022 by Ilan

Cannon Futures Weekly Newsletter Issue # 1115

Dear Traders,

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Here are the FIVE CRUICIAL MISTAKES you need to avoid!

Get Real Time updates and market alerts on Twitter!

Trading 101: 5 Big Mistakes Beginners Should Avoid Making

Trading Futures Is A Tough Business, But If You Are One Of The Very Few That Can Succeed, This Could Be A Lucrative Business As Well

Ilan Levy-Mayer |SmallCapPower

I have seen quite a bit since I became a broker in 1998. Some war stories to share about the markets, some crazy moves and much more in between. I was trading futures with clients on the sad Sept. 11th 2001 day when the planes hit and the markets were plunging before they were closed for almost a week. I witnessed the meat contracts making limit up and limit down moves over the years and much more…..

As a commodity broker I have observed MANY traders, many of them were new traders, and this allows me to share with you some valuable observations I hope will help you start your futures trading journey on a much smoother road than most.

Would you like to get daily support & resistance levels?

Yes

Good Trading

Futures Trading Levels

09-19-2022

Weekly Levels

Reports, First Notice (FN), Last trading (LT) Days for the Week:

https://business.facebook.com/groups/1105191589938254/

Date Reports/Expiration Notice Dates

WYNTK before Trading Tomorrow, Sept. 13th 2022 Trading Levels

Posted on September 12, 2022 by Ilan

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Stock Index futures are entering the “rollover period”.

Somewhat of a choppy intraday price action.

December is now the front month/ higher volume.

September will expire this coming Friday at 8:30 Am Central time.

Tomorrow we have an anticipated CPI report ahead of next week’s FOMC. Below is a good informative piece by my colleague, John Thorpe:

Has the Stock Market bottomed?

In the Yardeni Bull/Bear index, the last temperature taken on Sep. 7th, there were .53.3 % bearish vs only .18% bullish sentiment for the Stock market. With the August Consumer Price Index Release 7:30 am Central time, the Peak inflation game speculation may be nearly done.

What I mean by that is we will have established a turn in the voracity of “the Summer of Inflation” IF the year over year change is less than last month’s 8.5 %, the consensus is a reading between 7.9-8.3 % ( whenever i talk about consensus right before a report you can damn well know that is already discounted by the market) The commonly quoted inflation rate is actually the change in the CPI from the year earlier or Yr/yr. see lower number. Now think of the number being released with three potential outcomes relative to the consensus. Higher than, the same as or less than expectations. If the market has been rallying because of the consensus, and we believe we can make an argument this is true, then the markets reaction to a Higher CPI number will provide a backdrop for a sharp sell off in equities. If the CPI number is a lower number than consensus, I could make a strong case for the market to rally and hold it. And finally, if the CPI numbers are in line with expectations, the sellers will be more aggressive as the previous weeks ralies will have been overdone in anticipation of lower CPI numbers and expect the market to sell off as it waits for more data. CPI is currently an important indicator for market direction as the FED uses some of this data to drive it’s rate decision making process.. I included the Yardeni Bull/Bear ration to give you a sense that even with the rally in the stocks these past few weeks, many institutions are Bearish yet still, and may be close to a capitulation point if the CPI Data is extremely positive tomorrow. (CPI % lower than consensus. Plan your trade and trade your plan.

Futures Trading Levels

09-13-2022

Improve Your Trading Skills

Get access to proprietary indicators and trading methods, consult with an experienced broker

1-800-454-9572 Explore trading methods. Register Here

Economic Reports, Source:

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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.

Weekly Newsletter 1113: Get An Edge With the Trading Psychology Course & Trading Levels for 09.05.22

Posted on September 2, 2022September 2, 2022 by Ilan

Cannon Futures Weekly Newsletter Issue # 1113

Dear Traders,

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Get Real Time updates and market alerts on Twitter!

Get An Edge With the Trading Psychology Course

“You Must Understand That There Is More Than One Path To The Top Of The Mountain.”- Miyamoto Musashi, A Book Of Five Rings: The Classic Guide To Strategy

Many experienced traders say that the stiffest challenge you’ll face in becoming a futures trader is conquering your own psyche. Why? Because losing is part of trading, and people hate to lose.

In this “Trading Psychology” Course you will learn:

· How to examine your patterns and behaviors and recognize when they are holding you back

· Maintaining self-confidence as a trader even in the face of inexperience

· The mathematical expectation model and how it can decrease your losses

· Determining the trading plan that is right for your trading personality

· Understanding and using Motivation – Risk – Reward to its full advantage

· Creating effective trading technique strategies

· Qualities of Successful Traders

ACCESS THE COURSE NOW

Custom DOM Layout - E-Futures International

Would you like to get daily support & resistance levels?

Yes

Good Trading

Futures Trading Levels

09-05-2022

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Weekly Levels

Reports, First Notice (FN), Last trading (LT) Days for the Week:

https://business.facebook.com/groups/1105191589938254/

Date Reports/Expiration Notice Dates

First Notice & Last Trading Days for September & Reports for 09.01.2022

Posted on August 31, 2022 by Ilan

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Below are the contracts which are entering First Notice or Last Trading Day for the upcoming month. Be advised, for contracts that are deliverable, it is requested that all LONG positions be exited two days prior to First Notice and ALL positions be exited the day prior to Last Trading Day. If you have any questions please contact us

* DO NOT assume anything…if you are not sure, contact us and we will try our best to assist with the combined, vast experience we have here as a team.

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CME GLOBEX Labor Day Trading Schedule

If you are looking for other reference material please contact your Cannon Broker for lists of solid, informative and helpful trading tomes

Futures Trading Levels

09-01-2022

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Improve Your Trading Skills

Get access to proprietary indicators and trading methods, consult with an experienced broker

1-800-454-9572 Explore trading methods. Register Here

Economic Reports, Source:

https://business.facebook.com/groups/1105191589938254/

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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.

Adjust your Trading to Volatility & Futures Trading Levels 8.31.2022

Posted on August 30, 2022 by Ilan

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December is now the front month for bonds, ten years, Silver, Copper, most grains, metals and softs.

ASP unemployment early in the session and later Crude oil inventories.

Also tomorrow is the last trading day of the month.

Last Friday Powell 8 minute speech injected volatility back into the markets.

Few pointers below, hope it helps.

*While I have no idea were the market is going from day to day, minute to minute, week to week etc. I do know that in the past, some of the sharpest and largest rallies were short covering after a large sell off. More often than not market sell offs and volatility like we are seeing do not end up as V type of action but more like U or W when it is all said and done.

*Expect the unexpected…

* Have an idea of what you are looking to do, keep in mind possible risk and have a game plan. Now more than ever, plan your trade and than trade your plan!

* Think money management, hedging risk while you are still trying to figure out how to profit.

* Know what is going on, reports, current margins, current limits and more.

· Consider short term options instead of futures and/or MICROS

*Trade smaller. The bands are much larger. Watch the VIX.

* DO NOT assume anything…if you are not sure, contact us and we will try our best to assist with the combined, vast experience we have here as a team.

My colleague, John Thorpe, Ex floor broker, contributed the following on the VIX and the VVIX:

We recommend all stock indices intraday traders to keep an eye on the VIX for directional clues and study, many of you have access through other means to view this critical trading barometer, VIX now trades 5 days per week ,23 hours per day. if you need to add the VIX data to your trading platforms , it’s 3 bucks per month, penny wise and pound foolish if you don’t. Contact your broker on how to add the Volatility Index traded through the CBOE to your trading platform

If you are looking for other reference material please contact your Cannon Broker for lists of solid, informative and helpful trading tomes

Futures Trading Levels

08-31-2022

Futures Support Resistance Levels 8.31.2022

Improve Your Trading Skills

Get access to proprietary indicators and trading methods, consult with an experienced broker

1-800-454-9572 Explore trading methods. Register Here

Economic Reports, Source:

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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.

Weekly Newsletter 1112: Trading Futures Spreads + Futures Support Resistance Levels for the Week Ahead

Posted on August 26, 2022 by Ilan

Cannon Futures Weekly Newsletter Issue # 1112

Dear Traders,

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To read the remaining article on Trading Futures Spreads by Mark O’Brien, please click here.

Get Real Time updates and market alerts on Twitter!

Trading 201: Trading Futures Spreads – Basic But Important Strategy

“A Basic And Important Strategy For Commodities Traders Using Spread Trading.”

By: Mark O’Brien, Cannon Trading Commodities Broker

Over my 20+ year career as a commodities broker, I have studied and traded a wide range of approaches to trading the futures markets. From candlestick formations to the commodity channel index, from condors to turtle trading, there’s an enormous catalog of tools and methods available for traders to consider.

One method I have noticed is surprisingly underrepresented among retail traders is futures spread trading, where a single position in the market consists of the simultaneous purchase of one futures contract and sale of a related futures contract as a unit. I call it surprising because some of the most invested players in futures trading – and arguably the most sophisticated – include large speculators and commercial firms who regularly employ spreads. This includes traders in the markets who often actually buy and sell the physical commodities we trade. Farmers, ranchers and other food growers along with food producers, petroleum companies who either drill for oil or natural gas or refine these products – or both, financial institutions with enormous holdings in treasuries, equities or currencies, mining interests and their buyers – all these areas of production and distribution employ spreads from time to time as an important aspect of their businesses. Indeed, spread trading is a fundamental and essential part of the commodities futures markets.

At the same time, despite the remarkable increase in interest and in the growth in the volume of the futures markets over the years, spread trading is typically dismissed by most other traders in search of a trading strategy. With so much attention focused on other approaches related to straightforward directional trading (and within that category, day-trading) it’s not difficult to see how spread trading can be overlooked.

Market Pick Review for the Week:

September Natural Gas touched $10.028 per million British thermal units intraday this week, a 14-yr. high.

Would you like to get daily support & resistance levels?

Yes

Good Trading

Futures Trading Levels

08-16-2022

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Weekly Levels

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Reports, First Notice (FN), Last trading (LT) Days for the Week:

https://business.facebook.com/groups/1105191589938254/

Date Reports/Expiration Notice Dates

Customize your DOM + Futures Trading Levels for 08.26.20

Posted on August 25, 2022August 25, 2022 by Ilan

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A Video on How to Customize your Multiple DOMS

Some traders are more visual than others.

Regardless of your style of trade, I feel that organizing the DOMs in the way shown in the video can help anyone who trades more than one market at a time.

WATCH VIDEO

If you like this platform, try it in REAL TIME, free demo mode!

If you are looking for other reference material please contact your Cannon Broker for lists of solid, informative and helpful trading tomes

Futures Trading Levels

08-26-2022

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Improve Your Trading Skills

Get access to proprietary indicators and trading methods, consult with an experienced broker

1-800-454-9572 Explore trading methods. Register Here

Economic Reports, Source: