Welcome to the second installment of the âCorallus Chronicles.â Quick Background: I have a cumulative total of two years of full-time active trading experience (in stocks and equity options) over the course of the last six years, but I am relatively new to the futures markets. Iâve been trading ES for two and a half months, and I am just now at the point where I am becoming mildly (emphasis on mildly) profitable. General Methodology: I am developing a trading style that seeks 1-4 high-quality trades a day. However, if nothing meets my criteria during a trading day, I have no problem with not placing any trades at all. Iâm going to be looking largely for divergences in Stochastics and/or MACD compared to price, preferably with confirmation in TICK and TRIN. Initial stops will generally be 3-4 points, depending on the situation. If a position moves in my favor by the amount of the initial stop, the stop will be moved to breakeven. From that point on, stops will then be trailed, or sometimes not trailed, using discretion. Profit targets will be set prior to any trade entry, and these target levels will often coincide with support, pivot, and resistance areas. Trades may also be closed out when technicals indicate that there is a high likelihood of the current trend reversing. For example, a bearish MACD divergence while holding a long, followed by the current uptrend being broken to the downside. I will continue to monitor 30-min range breakouts and late-day price surges relative to the price of ES at 1:30 EST, but trades made off of these, especially the latter, will be made within the context of the other technical considerations. This time around, I plan to include charts with commentary along with my End-of-Day reports, since, as they say, a pictureâs worth a thousand words!! My hope is that by posting a journal here on ET, I will be able to improve my trading skills by receiving feedback from others and by enforcing a higher level of discipline upon myself by making my trades public. Feel free to comment, criticize or just come along for the rideâ¦ Thanks, and good trading!!