20 Rules for Trading Success

In this video I talk about the 20 rules that I truly believe are absolutely essential for trading success. It doesn’t matter if you day trade, swing trade, intermediate term trade or position trade…it doesn’t even matter if you trade futures, forex, stocks, etf’s, commodities, or options – the lessons learned here will absolutely help any trader looking to make consistent profits from the markets. I suggest you write down each one of these important lessons (RULES) that will help you become a better trader.

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Entering Weekly Options positions via Price Ranges

We’ve seen this movie before over the past three years; consolidation/basing action for a few days, followed by a breakout higher. This kind of “stair-stepping” price action is very common and we’ve seen it over and over again when the S&P500 is in a primary uptrend. How can we use this condition to create an […]

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A Bit About ‘Price Action’ & What I Expect to See

Today I talk about what I would expect to see depending on where the market closes today and whether or not the market is able to take out the low of 1281.75. So far the market has matched yesterday’s low of 1281.75. And once again I agree 100% with what Doc had to say on his video about trading being all about probabilities and patiently waiting for the ‘right’ trade set-up. Nobody really knows where the market is going, it’s simply about stacking the odds in your favor and waiting for the right trade set-up.

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Do Pro Traders have a Crystal Ball?

This might surprise some people but most professional traders don’t base their earnings on correctly predicting the future; they earn their profits by applying probabilities in their favor as well as managing their risk. 

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Trading Index ETF’s in a Retirement Account

Not only do I agree 100% with Doc with his analysis of the market, but I also give important support numbers in the market when the market does (at some point) retrace back down. Now these support numbers are only good based on yesterdays high of 1292, and of course if the market makes new highs these numbers have to be re-calculated. I also explain four (4) Index ETF’s that I highly suggest trading in a retirement account. I truly hope this all helps you in your trading.

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SPX – a Fly in the Ointment

The S&P500 broke out to new highs yesterday and should support further gains from here, right? Well, not so fast. Ever been on a family trip where one child is a little tired and cranky? It’ll slow down the whole group, and that’s what we’re seeing with the S&P today.   

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A New Year, a New SPX High

The correlation between the Euro (versus the Dollar, or EUR/USD) and the S&P 500 (SPX), which had been running at close to 0.9 as recently as late November, is breaking down a bit, and is currently at 0.71.  The implication of a 0.9 correlation is that a move higher in the Euro (lower for the […]

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Knowing Price Patterns is Not Enough

Pretty good with price patterns? Barely known just a few years ago, it seems like everyone has a bead on them now and you’re even seeing analysts calling out patterns on TV. If you see the same thing as everyone else, however, that won’t give you an edge. Those that understand what’s going on underneath […]

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Market Opening Above Major Resistance Today

The market today is opening above major daily resistance at 1283.50 (on the ES S&P 500). Since the market is breaking through this important level we want to keep a close eye on 1283.50 to act as support. If the market is not able to break down through 1283.50 but instead closes above 1283.50 that will be a strong sign for the market to continue moving higher. If on the other hand the market moves lower and is able to break down through 1269.50, 1268.25 and the big support number of 1259.75, the market should move lower. So, keep a close eye on these bigger numbers and trade accordingly.

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1 Loss & 1 Winning Trade This Morning in the ES

This morning was not the norm trading the E-Mini S&P 500, but it does happen from time to time. The market created a ‘V’ and then an ‘Inverted V’. Let me show you the first trade of the day (which was a loss), then immediately after the loss let me show you a nice winning trade. This morning was a bit choppy and no real follow-through. Before ending the video I called out a short trade at 1272.75 to 1273.00 with a 2 point stop loss…the trade was triggered at 11:45, let’s see what happens. Have a profitable trading day – Todd

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