Hi all, I started looking into Futures market in March this year, it seems very attractive to me. I mainly focus on ES. In the past, I have swing traded stocks. I don't think I'm a complete newbie. But here I'm asking about how to get started. I have been trying to find and focus on a general method of trading. From all the free resources I can find online, I have come to an conclusion that the following methods might worth my time. - Price Action (i.e. Al Brooks, Pats) - This is the method I'm leaning towards, but anyone has any success using Brooks method? I know Pats system works(tested myself, but it is so easy to miss entries as market moves so fast.....) - Orderflow/Footprint (Axia Futures/Michael Dalton/Trader Dale) - My opinion is using orderflow alone to trade is extremely hard(Still feel like gambling), but it is quite useful for indicator/trade confirmation/SR. - DOM(Jigsaw) - Again, fast moving method, vulnerable to spoofing(saw 1000+ limit sell orders far away from the last price the other day in ES market..... LOL) but I see some traders successfully use it to trade Bonds. I don't mind looking into bonds as well, but again, trying to see what the community has to say. Please drop a comment. I appreciate any suggestions and civil discussion.
I think swing trading using price action (I am a Brooks student) is the best idea if you can short (with your broker). If your account is IRA then of course you are limited to options. I would not do futures, but that is just me. I like the Swing method as you can capture gaps overnight up or down...
Speculating in the financial markets is an extremely poor use of your time & resources. It's far easier, cheaper and higher EV to invest in learning a useful skill, or starting a real business.
%% 20] He uses a 20 period moving average=ok by me i use a 50+ 200 period more myself. Cover] Cant judge a book , by covering, but like an opening or [c]close price, good place to start+ write,record close price. His Trend Trade Book has a good green cover; under that book = red Trading Ranges book . Same thing today as of 12:16 CST. I saved his MAGAzine article but havent bought his books , but good ideas off his cover, I do ETFs, x2, x3+ cash ETFs; i never could make enough money on ES or single stocks. For inverse ETFs, make sure to do some planned orders, not suitable for all investors + they move so fast in price + %,/\ have to .
Thank you for the idea. I've always enjoyed the idea of swing trading. Especially it helps reduce the frequency of trades.(I tend to overtrade and give back profit to the market......) Good to hear from a fellow brooks fan.
Thank you for the suggestion. For sure, speculating has its inherent risks. I'm actually in construction industry(Project Management), and the market I'm in is very hot with construction jobs. Job security is non-issue, and I make good money doing it. However, constantly dealing with subpar consultants/subcontractors, and working long hours does take a tow on my mind and body. I don't even have time to go to gym or eat healthy...... I'm not going to drop my current job tomorrow and trading full-time. But if I can prove to myself that I can consistently profit from the market, why not? Starting a business is on my mind for sure, but I guess I'm still in the phase of accumulating wealth. Got to have some start up money.
No matter what method used, make sure when you hit buy or sell button it really makes sense financially and pays off when compared with time spent. After years I ended up trading FDAX just few minutes a day up to 3 trades. 100 EUR per trade per contract makes sense to me. I tried trading US micro future all day long with "low risk" but ended up exhausted. Very hard to beat cost of trading micros when taking small profits. And a total screen slave. Never more.
Watch his video. I also recommend a Youtube Channel - Thomas Wade. He teaches price action for free with occasional live trading. There is no doubt in my mind that price action works, it just takes time to develop the skill.
Also, there is nothing wrong Swing trading very small sized ES (not the full e-mini). Only it is not for my temperament. However we are in a down market and volatility is higher than normal. So option selling is not that bad of an idea.