Here’s a look at the Atlas Line and ATO 2 in a live trading environment. The first signal for the E-mini S&P 500 (ES) that appears is an Atlas Line Long signal at the close of the 9:55 a.m. candle when the price was at 3094.5. This is a long entry because it is the second close above the Atlas Line (the dashed diagonal line below the price candles).
You can see how the price is plotting real-time, or “live” as we call it. We’re trusting the following candle or candles will surpass the profit target. The profit target depends on the ATR (Average True Range) utilizing a Period value of 4. At the time this trade was placed, the ATR value was around 2 points, so that’s the profit target we used. In other words, we let current market conditions dictate the amount of profit we seek. A less volatile market equals lower profit potential, so we inversely account for this as well.
See the news indicator in the upper-left of the outline? That is a free trading download we have on this site. It’s a decent method to monitor coming news events. For the most part, you need to keep away from large news occasions as they can make abrupt unpredictability. Incidentally, you want to avoid big news events as they can create sudden volatility. By the way, if you enroll in our eight-week Mentorship Program, you can get the version that excludes the advertisement.
Keep watching the video because at 2:20, John Paul shares ATO 2 performance with a confirming Long signal.