{"id":15940,"date":"2020-03-25T12:24:04","date_gmt":"2020-03-25T20:24:04","guid":{"rendered":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/?p=15940"},"modified":"2020-03-25T12:24:04","modified_gmt":"2020-03-25T20:24:04","slug":"trading-insight-on-futures-market-volatility-from-a-season-trader-broker-trading-levels-3-26-2020","status":"publish","type":"post","link":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/trading-insight-on-futures-market-volatility-from-a-season-trader-broker-trading-levels-3-26-2020\/","title":{"rendered":"Trading Insight on Futures Market Volatility from a Season Trader \/ Broker & Trading Levels 3.26.2020"},"content":{"rendered":"

________________________________________________<\/span><\/b><\/em><\/p>\n

Voted #1 Blog and #1 Brokerage Services on\u00a0TraderPlanet\u00a0<\/a>for 2016!!\u00a0\u00a0<\/span><\/b><\/em><\/p>\n

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Dear Traders,<\/p>\n

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To be honest I don’t have much to share other than what I have tried to share and educate blog readers over past few weeks…..<\/div>\n
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This is a situation that I don’t think any of us ever experienced on many levels and definitely not in the markets either.<\/div>\n
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What I can share with you are some memories I have from 9.11.2001 and the big market correction we had in 2008…..<\/div>\n
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Hope it helps.<\/div>\n
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*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.<\/div>\n
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*Expect the unexpected…<\/div>\n
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* 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!<\/div>\n
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* Think money management, hedging risk while you are still trying to figure out how to profit.<\/div>\n
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* Know what is going on, reports, current margins, current limits and more.<\/div>\n
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*Trade smaller. The bands are much larger. Watch the VIX.<\/div>\n
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* DO NOT assume anything…if you are not sure,\u00a0contact us<\/a>\u00a0and we will try our best to assist with the combined, vast experience we have here as a team.<\/div>\n
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* Wash hands, take this seriously and do your best to stay healthy….<\/div>\n
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I\u2019ve received\u00a0some questions about the\u00a0price\u00a0limits or circuit breakers\u00a0we have seen mostly in stock index futures.\u00a0Hopefully this\u00a0explains\u00a0things\u00a0a bit better:<\/div>\n<\/div>\n
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A price limit is the maximum price range permitted for a futures contract in each trading session.\u00a0\u00a0When markets hit the price limit, different actions\u00a0can\u00a0occur depending on the product being traded. Markets may temporarily halt until price limits can be expanded,\u00a0they may\u00a0remain in a limit condition or\u00a0they may\u00a0stop trading for the day, based on regulatory rules.<\/div>\n
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This is for Stock Index futures but keep in mind MANY other markets are experiencing LARGE swings and moves.<\/div>\n
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Overnight limits (5:00 P.M. \u2013 8:30 A.M., Central Time): the futures contract is limited to a 5% price move up or a 5% price move down, based on the futures contract\u2019s prior day\u2019s settlement price (3:15 P.M., Central Time).<\/div>\n
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This applies to the main stock index futures contracts available, such as the\u00a0ES, MES, NQ,\u00a0etc.<\/div>\n
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What is so dangerous you may ask?<\/div>\n
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If you are long an ES during the night session and the market is limit down (5%) you can NOT get out. There is a chance that when the market opens up at 8:30 AM CDT that the market will then go down the 7% limit with out you being able to exit. That means that on certain situations you can lose MORE than you have in your account.<\/div>\n
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If you don’t understand how the circuit breakers\/ price limits work…make sure you call us and talk to a broker at + 1 310 859 9572<\/div>\n
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This only applies for the overnight session\u00a0ending at\u00a08:30 A.M.\u00a0Central\u00a0Time.\u00a0At that point,\u00a0a new set of rules kick in ONLY to the downside….<\/div>\n
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-7% Trading Halt 15 mins<\/div>\n
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-13% Trading Halt 15 mins<\/div>\n
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-20% Closed for rest of day<\/div>\n
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Good Trading<\/strong><\/h3>\n

Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors.\u00a0 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.<\/p>\n

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Futures Trading Levels<\/strong><\/h3>\n

03-26-2020<\/p>\n

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Did you know?<\/div>\n
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Cannon will\u00a0Match or Beat Your Current Commission Rates!<\/a><\/div>\n
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Cannon offers o<\/a>ver 12 TRADING PLATFORMS\u00a0CLICK HERE<\/a>\u00a0for a demo<\/div>\n
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Cannon offers\u00a0<\/a>extensive trading education for FREE<\/a>. Browse resources here<\/a>.<\/div>\n


\n<\/a>Economic Reports, source:\u00a0<\/strong><\/h3>\n
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https:\/\/bettertrader.co<\/a><\/div>\n<\/div>\n
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Order to buy or sell, but a current market view provided by Cannon Trading Inc<\/a>. Any statement of facts\u00a0here in\u00a0contained are derived from sources believed to be\u00a0reliable,\u00a0but are not guaranteed as to\u00a0accuracy, 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\u00a0judgement\u00a0in trading.<\/p>\n","protected":false},"excerpt":{"rendered":"

________________________________________________ Voted #1 Blog and #1 Brokerage Services on\u00a0TraderPlanet\u00a0for 2016!!\u00a0\u00a0 _________________________________________________ Dear Traders, Like us on FaceBook! www.facebook.com\/CannonTrading Get Real Time updates and\u00a0market alerts on Twitter! To be honest I don’t have much to share other than what I have tried to share and educate blog readers over past few weeks….. This is a situation […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[67],"tags":[],"class_list":["post-15940","post","type-post","status-publish","format-standard","hentry","category-future-trading-news"],"_links":{"self":[{"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/posts\/15940","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/comments?post=15940"}],"version-history":[{"count":2,"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/posts\/15940\/revisions"}],"predecessor-version":[{"id":16493,"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/posts\/15940\/revisions\/16493"}],"wp:attachment":[{"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/media?parent=15940"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/categories?post=15940"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/tags?post=15940"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}