Predict 2013 E-Mini Trading Using January Effect

Ever heard of the January Effect? At Day Trade to Win, John Paul describes it as an accurate way to determine if price will be up or down by the end of the year compared to its price at the end of January of the same year. Sounds complicated? Watch the video. If you take a look at January, 2013, you will notice that price closed higher at the end of the month. January was an up month. This will also hold true for the entire year. At the end of December 2013, John Paul claims price will be higher than the closing January 2013 price. Now, there will be pullbacks along the way. When price drops to estimated bottom levels throughout the year, professional traders will buy the market expecting the overall trend to be profitable. This January Effect is known among the professional trading community. In 2012, price followed the January Effect. Although you may find a few years where the January Effect does not hold up, overall you will see a distinct trend – one that hedge funds, high frequency algorithms, and financial institutions will keep in mind. For the average retail trader, you likely won’t be holding positions long enough for the January Effect to matter. At Day Trade to Win, they focus on smaller time frames. The longest they’ll hold a trade for is typically 20 minutes or four bars on a five minute chart. In most cases, the profit target will be hit first, or if the trade goes against you, the prove-it stop. Trading dynamically using price action is important – it’s adaptive.

Going Short on Live E-Mini Trade

John Paul from Day Trade to Win starts this video with a Short Trade using the Atlas Line software. How much profit and stop do you use for each trade? The first trade was good for one point, based on the ATR which was also near a point. The current trade’s profit target is 1.25 points. The stop is around 2.5 points. There are three stop strategies in mind that we went over in the last video. With the ATR hovering above one point, we know the market is worth trading. When you can look at nothing but price and decide to get in and out, you are trading using price action. It’s the most effective and easiest type of trading to learn. Everything you need is provided right in front of you on the chart. There is no guessing – it’s objective. The best time to trade is in the morning starting at 9:30 a.m. US/Eastern until about noon. However, you’ve probably seen many videos with the Atlas Line trading far beyond the open outcry session. Why 9:30 a.m.? When the CME opens, there are millions of orders placed by high frequency trading algorithms, hedge funds, professional and retail traders. In addition, financial news events, press releases and the U.S. daytime infrastructure really comes online during this period. As long as the ATR (with a period of four) remains between two and four points, you can bet the trading conditions are favorable. All you need at this point is an effective day trading strategy. There are many day trading courses at Day Trade to Win that focus on price action.

How did you do trading the Euro Currency today ?

Almost as watching magic in front of your eyes, amaze yourelf by watching the following video of John Paul demonstrating the Atlas Line software perform in two unbelievable trades.

Atlas Line indicates to go short right after three consecutive large green candles and John Paul does so with little hesitation. Why? Becayse the Atlas Line is constantly effective in making the decisions for us. Price was headed toward the Atlas Line, indicating an Atlas Line pull back trade (at least two bars pulling back followed by one candle closing in the red). ORDER FILLED. Using only price action and the Atlas Line,this resulted in a nice 1 point winner.

Plenty of opportunities for profit today with the Atlas Line:

Trade 1 – Short – win for 5-6 ticks
Trade 2 – Short – win for 6-7 ticks
Trade 3 – Long – loss for 6-7 ticks
Trade 4 – Short – win for 6-7 ticks
Trade 5 – Long – win for 6-7 ticks
Trade 6 – Long – win for 4-5 ticks

This gives us a daily potential of 32 ticks if you traded using the Atlas Line.

The difference in doing well or not in day trading is usually a result of lack of experience, knowledge or effective tools.

The ATR gives us a clear volatility indication for us to know when to get out. All in all, the combination of the Atlas Line and ATR leave little doubt for a day trader, allowing him to get in and out with profits and ease. Is your trading strategy simple or are you fighting just to keep consistent?

E-Mini S&P Day Trading for Beginners

Not all of us are born with a calculator and chart in our hands. Learning to become a day trader within a couple of months is entirely possible, as in this video I’ve come across. It seems Day Trade to Win’s Private Mentorship program has been picking up momentum, as more traders are looking to make up the losses spent on faulty indicators or other trading systems. E-Mini S&P day trading can be really simple – once you understand how to use the trading software (NinjaTrader, TradeStation, etc.), it’s a matter of deciding what price action method to employ. The Day Trade to Win Private Mentorship program fills in all the gaps, letting you know when switch between the 11 methods taught in the course.

Scalp Trading Webinar / Course

TheTradeScalper.com had another successful run with its exclusive trade scalping course. Offered periodically throughout the year, the course teaches students E-Mini S&P price action trading techniques in a live webinar format. Students are able to take trades while being advised by the instructor. The video below shows a captured live webinar with questions being answered by the instructor.

Each day the course was offered, students walked away with not only advanced knowledge of trade scalping techniques, but actual profits. Here is a recap of all four courses along with the win-to-loss ratio:

Wednesday, June 23, 2010: 3/3 winners.
Monday, June 28, 2010: 3/3 winning trades
Wednesday, June 30, 2010: 4/5 winning trades
Friday, July 2, 2010: 5/6 winning trades

Student enthusiasm was apparent with the amount of winning trades in the form of comments posted in the video chat area. To find out when the next trade scalping course will occur, visit http://thetradescalper.com and register for notification. TheTradeScalper.com page will also update with course availability information when the time comes.

Atlas Line May Webinar Video

DayTradeToWin has been very busy the past few weeks posting content on Twitter and new daily images of the Atlas Line while trading the e-mini, crude oil, euro, gold and other commodities / currencies on Flickr. The latest webinar was posted on YouTube sometime last week; this is great news for those who missed it (or were asleep, considering the time the video was captured). The webinar is split into nine separate videos. I recommend spacing these out and trying a few of the tips John Paul mentions, as they can be applied to many situations; even if you’re not a user / customer of the Atlas Line.

Parts 2 – 8 in order:

If you want to see Part 9, check out the DayTradeToWin YouTube channel.

Making Money When the E-Mini Tanks

While searching for E-mini videos related to last Thursdays (May 6, 2010 market downfall), I came across a new video from John Paul at DayTradeToWin.

The Atlas Line is not a system, but a method of trading that allows the user to stay on the correct side of a trade.

In the video, John demonstrates that market volatility is an excellent opportunity for traders. The Atlas Line takes the guessing out of the equation; simply go long if price is above the Atlas Line. Adversely, go short if price is below the Atlas Line. Using this method, unexpected market free falls like last Thursday’s crash can work in your advantage.