Trading Results – Four Days of Price Action System

The last few days using the Atlas Line have been quite profitable. The signals have been nearly-dead on. We’re not sure why John Paul uses the Bounce signals, as many of his other videos mention turning this feature off. Regardless, the Long and Shorts were very accurate. Using the NinjaTrader platform, John Paul scrolls through the most recent four days.

Basically, the rules of the Atlas Line are as follows:

When two closes occur above the plotted line, go long (a Long signal is also produced on the chart)
When two closes occur below the plotted line, go short (a Short signal is also produced on the chart)

Stay in the trade until one of the following occurs:

You make profit based on the ATR rules (use a period of four for the ATR)
You hit a prove-it stop (price closes above or below the Atlas Line once in the opposite direction from which you entered)
You hit a time-based stop (20 minutes or four candles on a 5-min chart)
You hit a catastrophic stop (also based on ATR)

As you can see, the rules for entering and exiting a trade are straightforward. They’re taught in detail in the live training that’s included with purchase.
Additionally, you are taught how to use the S and P symbols that appear on the chart – indicating entries for additional Strength and Pullback trades.
You will of course have losing trades. Many days are profitable, some are break-even, and a few are losses. The recent trades page provides a history of recent trades taken by John Paul.

Overbought vs. Oversold Markets

This example shows how the E-Mini S&P can be a very tricky market. The Atlas Line gives a short order 1461.75. If you followed this short signal by itself, the trade would have not been profitable. There’s a way we filter these trades – we can detect if a market is overbought or oversold. Overbuying or overselling is another way to say a market has exhausted itself going long or going short. We can gauge exhaustion by calculating the difference between the Atlas Line’s entry signal minus the price the Atlas Line is currently plotting at. In most of the Day Trade to Win videos, the Atlas Line is a dashed link of a pink, red or blue color. The plotted begins after 9:30 a.m. usually and provides a measurement to go long or short based on price’s position against the line. If we double the ATR value and determine it is less than the distance between the plotted line and plotted entry signal, we can determine that the market is exhausted and the trade should NOT be taken. Yes, this is a minor consideration one has to perform when using the Atlas Line. It is better to learn to quickly calculate this instead of losing money on a big reversal. You can find more about the Atlas Line trading software at Day Trade to Win.

Automated E-Mini Trading Software

Here’s a recap video of E-Mini (ES) trading using automated software called the Atlas Line. The Atlas Line plots Long or Short order signals on your charts in NinjaTrader, TradeStationand eSignal. The plotted line can also be used as a reference, as you know to change to long or short trades if price is plotting above or below the line. John Paul of Day Trade to Win recommends using the ATR to dictate profit target. The Average True Range is a unique way of reading volatility. Sometimes a market with a low ATR is is far to choppy or “incomplete” to consider trading. Instead, a healthy range of 2 – 4 points of ATR for the last four bars is desired. Some days are simply better for trading than others. More often than not, the Atlas Line calls out profitable trades ahead of the big moves. Purchase of the Atlas Line includes a free live training session. The software also works with other Futures and Currencies, such as the Euro, Australian Dollar, Canadian Dollar, Swiss Franc, YM, Bonds and other futures / currencies.

Find out more about the Atlas Line