Day-Trading With Market Profile (2010-10-11)

Day-Trading With Market Profile (2010-10-11)

SUBTITLE'S INFO:

Language: English

Type: Robot

Number of phrases: 1796

Number of words: 13522

Number of symbols: 56751

DOWNLOAD SUBTITLES:

DOWNLOAD AUDIO AND VIDEO:

SUBTITLES:

Subtitles generated by robot
00:00
well first off I want to thank you for joining us Daniels trading a great partner for us sponsored our webinar today and I can't thank the guys enough they've been absolutely wonderful partners with this my name is Kevin Hudson I founded channel trading comm channel - trading comm and I work with the trade angle strategies guys and we're market profile traders right and again you know I can't thank all of my partners enough for putting this together for me and give me an opportunity to get in front of you guys
00:32
Daniels Trading is a brokerage firm in Chicago they've made it really easy guys they've rolled out the red carpet for market profile traders they offer turnkey everything you need from brokerage support they're working with me on the trade room so that you can get education on a daily basis and they provide the you know the charting package the the DT Pro and an indicator packages as well so be certain to stick around at the end we're gonna have a special offer for you guys and again I'll have another Q&A session for
01:02
up to an hour or in my private trading room after the session so you can hear me for an hour and then if you really like me you can hear me for another hour how's that all right so what I want to do kind of kind of is kind of get into what we what we talk about with with really all day long in our trading room and what we work with all the time which is his market profile and you know how you look at market profile to help you trade the es and any of the other instruments once you understand you know what we do with profile and what you
01:33
once you understand the concepts of it you can apply it to any market and again you know for legal reasons and all the other reasons that that we say this you know you really have to understand trading is tough it's difficult it's not for everybody and you know we're not telling you that you know you can look at what I'm doing today and immediately become a fantastic trader and make tons of money and all of that what I'm going to help you with today is to give you some basic concepts of how to stay on the right side of the market what you should be looking for and how we teach
02:05
profile alright so again take what we teach you today and what we talked about today and try to envision yourself trying to swallow that whole you know like I used trying to try to eat the elephant one one bite at a time try to understand that it you know watching profiles and watching profiles develop over time is a critical critical thing for you and that's part of what we teach all the time in the room and part of the concept when you're learning trading is that you're gonna learn this you know a little bit at a time so when I'm talking about Who I am
02:38
and what what I do I work with trade angle strategies and we're two different companies but we work very very closely together our goal is to provide institutional level tools education and support that means we want to teach you to be better and we want to teach you to be able to make better decisions on your own you know my goal for anybody that ever ends up in my room is someday if I get hit by a bus you're already a better trader and you can make great decisions and manage your risks so that's always been my goal is as an educator and as a trader that's how I live my life so
03:09
combined we offer institutional grade tools education from literally from beginner to professional and that means you get to be in my life coaching room all the time I talk about the market all day long with the exception of a lunch break and we also provide one-on-one coaching so you can run the full gamut from seminars to being in the room and learning to hey you're having trouble with understanding some concepts and we can work out something for you for one-on-one coaching - so Who am I what have I done right I found it in a
03:41
president of channel - trading calm I'm a full-time trader I'm a father mentor coach I coach soccer I coach trading so it's in my blood to help other people get better at the things that I'm halfway decent at so hope you'll understand that my passion is for trading the markets and teaching people how to trade and I literally wake up loving what I do every single day I I can't think of anything I'd rather be doing other than maybe completely retired and getting to surf all the time but you know this is what I do this is
04:11
what I love and you know I've been doing it for a long time now I have passed the decade mark yeah not only in my trading but being a moderator and being a teacher and I spent a huge amount of time before that with two the big banks in the world I won't tell you which ones but they're real big so my background and my you know my life has been in the financial markets first in the banking world and then again in the in the private world teaching and
04:41
trading myself so I've been around this I've seen all of the good stuff I've seen some major crashes I've seen unbelievable bull markets that you know wouldn't stop for anything in the world and I've seen times where it just sits around in chops in a three or four point range for what seems like hours and hours and hours so I have pretty good perspective on what we want to look for so what am I doing here what why do I want to do this right I love to teach this what I talk about I love to teach people how to manage risk and stay in the game while they're learning the trade and I think for a lot of people
05:12
that's the hardest part at the very beginning is you know how do I keep all or most of my money while I'm trying to figure out how to do this safely and effectively so that I can draw a paycheck from it right and also it makes me a much better trader right I found you know when I started teaching trading and I started helping other people having to explain it and having to to be able to justify the reasons for getting into a trade or staying out of the market made me a better trader too so it
05:43
forces me to grow my discipline I think you guys will find if you ever spend any time with me at all I can watch a market move ten points like the es and if I'm not on it if I don't see the way to be on it in the right manner and safely I've I've got the discipline to wait it out for the next bus that comes by and try to get on that one so I am very very disciplined and have two great reasons as you guys see in the lower left corner there to be a disciplined trader I encourage everybody else to find something that forces you to be disciplined and forces you to treat your
06:13
business of trading as a business and that's the most important thing and we want to talk about that a little bit but the most important reason in the world for you for you guys to to listen to a mentor and and to kind of grow in your trading is that there's really only two groups of traders right you got to be real honest with yourself you're either consistently profitable and you can draw a paycheck from this thing or you're not consistently profitable right there's really nothing else about it you're either making money and you're able to draw a paycheck or your breakeven or losing money it's it's
06:45
really cut and dried right and the reason most people lose lose money or why most people are not consistently profitable I guess would be you know a number of things I'll talk to them about on the next slide you probably don't have a detailed plan you probably haphazardly take trades if you're not consistently profitable already very very large number of people over leveraged themself with an undercapitalized account and you know there's a lot of statistics out there
07:16
about how long it takes to blow out an account when you're new when you're over leveraged and you don't have a detailed plan this is something that we talk about all day long in the coaching room do you have a mentor are you lost in your jumping from system to system and and for me what I would I usually tell people it's not a system that's gonna make you a better trader it's understanding what the big picture looks like in a market and market profile helps us do that right I'm not gonna sit here and say you know it crosses this line and goes above this line and you're always going to be profitable and you
07:47
know you're never going to take any stop outs understanding the big picture and what profile tells us gives you much better odds to be successful in that specific trade nothing more nothing less right and honesty is part of it I have to be honest with you you have to be honest with yourself and what your actual results are and what your probabilities are and each owning your traits right are using the right tools do you have unrealistic expectations and I think this is really really probably one of the biggest ones I get a lot of
08:18
people that'll email me and you know hey honey I want to this this brand new trader or somebody that's been around a while you know I want to make you know eleven hundred dollars a day or you know thirty thousand dollars a month or whatever and I always ask the question well how much are you starting with and how much do you know and it's usually a pretty small account and they just believe that they're gonna go out there and be a gunslinger and make it happen and our goal is really to extract money from the market when it's safe that's one of my favorite lines is that our goal is to extract money from the markets when it's safe to do so and the
08:50
rest of the time I would prefer to not be in the market unless I'm in a very large position trade overtime and I'm up and I'm safe in that trade right so again I talk about extracting money from the market when it's safe most professional traders if you're in a day trade environment or in the market less than 10 percent of the time and you're waiting for setups the rest of the time so if you think about that the common you know theme among that as most people over trade and they over trade it the wrong spots and then they get into the fear and the
09:20
greed and the you know the lack of discipline and lack of education which makes them have fear and greed because they don't know what's happening in the market and then they what they're doing essentially is not trading as a business you know I take my stops as a business expense and I talk about this and a lot of my training is that I never not take a stop I never move my stop did I in the past yeah was I successful then no you know and when I finally realized you know hey man I've spent a ton of my life managing a P&L and trading really is a
09:51
P&L right it's you know paying your light bill when you're I looked at my stops as you know I'm paying either paying my employees or paying my light bill if I was running a regular business and my winners were my revenue and at the end of the month or the week I made myself take a paycheck you know and at that point you become pretty disciplined when you've got to pull a paycheck out of the market every every week so a lot of these are the reasons guys fail and I talk about discipline all the time these are the things that generally will trip people up and most of it has to do with
10:22
not having a clear and concise picture of what the markets trying to do and then you're always behind the eight-ball trying to catch up with the market rather than waiting for the market to come to you so is this you right is this me it was me years ago right poor planning uncertain outcomes right if you're not perfectly planning where your trades are and letting the trades come to you you're really at in a position where you're guessing and we don't want to guess right so your trading plan is your business plan right I'm gonna get into some profile stuff in a minute but
10:53
I want to kind of make the circle for you you know you have to have strategies and tactics the right tools discipline and always plan your trade and trade your plan I will not take trades that don't meet all of my criteria I just simply won't and and over time that has made me very very profitable I didn't say rich I said profitable the goal again is to extract money from the market when it's safe to do so and draw a paycheck from it right if you're looking to date or if you're looking to swing trade you're looking from a completely different perspective but
11:23
everything I talk about works across other timeframes right you just have to be properly leveraged for the time frame that you're trading and have proper stops for that time frame right so discipline leads to confidence confidence leads to patience profits and reward right it's a trading plan you you must believe in what you're doing it 100 percent so that you'll have confidence when you run on into a streak where you lose two or three times in a row that your trading plan is sound you can't control the order of wins and losses and that gives you the confidence to continue to swing the bat at the right
11:54
areas all right we talked about that all the time you must have confidence in your tools you must have confidence in the types of setups that you're looking for and you must trade those setups only right you can't jump from system to system just because you made a made a losing trade on one of your traits you have to be very confident in your edge and stay with your edge all right so we all know there's no certainties in the market right only probabilities and once you realize that that it's a numbers game right we know we're gonna be right 60 percent of the time or 70 or whatever
12:26
the number is on the types of setups you have where people fail is they have a tough time recognizing when they're on the wrong side of the market right it's key in an uptrend don't be short right and depending on the time frame you're looking at if you're looking at a really small time you may be in a downtrend on a 15-minute chart but an uptrend on a one-minute chart so you have to take the whole thing into context and understand what true trend is but the idea is especially when you're trading futures is don't be sure to the wrong spot when
12:56
this thing's moving in and up in a true uptrend right in a downtrend you don't want to be long it's okay to be out of the market if you miss it's just not okay to be you know trying to do the wrong thing at the wrong spot and that's I would say we're about 80 to 90% of the people in this business fail is they they don't have a very good idea of what the true trend is across multiple time frames and they end up on the wrong side of the market right so we about automated trading systems a license we hear a lot right now about you know high frequency trading and all
13:27
the other things that are out there and everybody's trying to do this to take bias out of the way right so for me I don't trade an automated system but I am as automated as I can be with my system meaning I am a discretionary trader but my rules and the things that I do are absolutely positively set in stone and I don't break the rules okay so I would almost be called a robot if I didn't speak the way I do and and and have so much energy and want to coach and teach
13:57
but literally you know you can't have bias you know we look at very very simple things to tell us what we want to look at right it takes a little bit of time to learn it it takes some coaching and mentoring but everything you should do in trading whether you're trading with me or anybody else is rules-based right you need to write that into your trading plan and you don't ever break the rules right automated trading systems whether they're perfect and they're profitable or whether they're not they don't break their rules right
14:28
they never ever break the rules and you need to be that automated in your trading right so another thing they do is I mean it's hardwired into the operating procedures for them to not be able to break the rules and if you think about an automated system would never ask the question right or develop a bias and for me that's what I try to do guys is I try I literally have a buzzer go off about every 10 minutes I have a little little timer and it tells me to check my I have a little list here and it says you know when that buzzer goes
14:59
off I check my bias I always ask myself in the market right now who's most at risk shorts are Long's it has it recalibrates me it sends me back to you know to reality I may have already started to develop a bias and you guys know in five or ten minutes you can begin to develop a bias so every ten minutes I recheck my bias I look at all of my time frames again to make sure that I'm not developing the wrong kind of bias and then I trade from that recalibrated Briant bias at about every five or ten minutes okay it's really
15:29
important that you do that okay so when we get into what profile is we talk about balance and imbalance right when the markets going straight sideways in a chop zone like the I don't know if you guys watch the es at the end of the day today but you know it traded in a range from about 1213 up to about 1216 for the last hour or so right it was very balanced right supply is balanced that means all of the buyers and sellers or their needs are being met both sides of the trade you know we
16:00
weren't moving very fast we were moving up and down in a very small range we call that a balanced market all right so markets are either balanced or they're moving right they're imbalanced and imbalance it very simply means that the needs in this case of the buyers right are being met but but there's the sellers are just getting run over the opposites true in a downtrend right they're selling selling selling buyers are moving out of the way there's not
16:31
enough supply so sellers just keep piling on so markets are either balanced and moving in a chop zone or their imbalance where there are more sellers and buyers or more buyers and sellers they can't happen at the same time we're either trending and moving on a particular timeframe or we're balanced and we're in a tight range right this is not where you want to be you want to be here or you want to be flat one or the other okay supplies imbalance and cannot meet the needs of all traders in this timeframe and again we go back to time frame you
17:03
may be balanced on a 60-minute chart and completely imbalanced on a on a one-minute or a five-minute chart so it's all relative that's why you have to look at multiple timeframes to tell you whether we're trending and moving sideways and we're in balance or that were that we're trending and moving into an area of imbalance okay real clear so if you're going to be successful doing this and this I'm going to leave it with a lot more into a lot more profile stuff here success and trading is dependent on you being able to figure out which ones
17:35
which right and at the end of the day you know we we we almost completely stopped trading we didn't even really look at anything because we had moved into that little chop zone and it was imbalanced or it was in balance and there were they were overlapping bars and we had all kind trouble looking for opportunity so we ended up not taking any trades in the last hour and it was a good thing because we'd have been chopped to death all right and that's where a lot of new traders have a ton of trouble is is that they're trying to look for that next move and really you just have overlapping highs and lows on the small timeframe and you'll get chopped to
18:07
death and you'll give back probably what you made in the first part of the day so here's how the picture looks though when we're looking at this thing in its entirety you-you-you're you guys see this happened a lot of times the market will be really super slow and then right silver sellers will overwhelm buyers and we'll get into an imbalance down position and then it'll consolidate and it will either continue on down or you'll get an imbalance up position like this right and then it will consolidate again don't want to trade here don't want to trade here don't want to trade
18:37
here you want to find a way to be on board during times like this when the market moves fast and that's why I say professional traders will generally be in the market only about 10 percent of the time because if you look at this in the total number of bars that we're looking at here what we got three or four bars we got three or four bars and then it moves in the Chop and a lot more bars here right so 10 or 20 percent of the time maybe you should be in the market trading trying to trade this part and the rest of the time you should be sitting out when it's doing this alright
19:08
so when you get fast non-overlapping bars and clean that's generally when we're in an imbalance situation same thing on the way up and when they're slow and overlapping like we did at the end of the day today on the es in about a two or three point range it'll look like this and you'll get chopped to death that makes sense if you have questions as I go up guys I'll try to try to knock them out for you I want to make sure we cover the material but I want to make sure as we kind of build a picture here for for profile that you understand what we're talking about balance leads to imbalance leads to
19:38
balance leads to imbalance again and goes back into balance right we call it chop but what it's telling you is that buyers and sellers agree they're not fighting everybody we call it everybody's at the same party and they all agree and the markets generally not going to move very fast or very far where we run into trouble again is trying to trade in this and this and this okay very important right exactly slow too fast and then fast too slow one follows the other
20:08
always but we don't know how long it's gonna sit there and that's why we need to understand how to be on board and when it does actually begin the movement knowing where to put your stop so that you can you can take the right reward the risk in that scenario works in any market but once you understand the picture it really helps you okay so traditional market profile guys and it started back in the day with Stoudemire and a lot of people developed their own theories and concepts on it with tee POS and everything else but we would use
20:38
30-minute periods in a TPO chart and it would give us pictures of not only time rather than having the bars but you could see where each of those bars finished and what were we taking out a specific higher low on a split profile and then when you bring them all together like these are tpo prices when you bring them all together you get what we would call it completed and in this case a symmetrical looking profile right and within that let me go to the next one real quick we would get what we call
21:12
a value area and I know some of you guys are probably very new to profile some of you guys have been around a little bit so if you've been around you'll understand this very well and some of this stuff may be a little bit on the on the beginner side for you but again we're painting the picture and trying to get you to understand that the market tells you a lot lots of things right and when we get a balanced profile and we call these a wide right day that's what I kind of the term I use and we get what's called fair versus unfair in a balanced market who's got the advantage right well price will generally you can
21:42
tell each of these for price to prayer for one of these X's to print here price is going to have to visit that area at least once in a 30-minute period during the trading day and the more time it spends there the wider right it goes right so in a balanced market we'll get something that's very symmetrical and we'll have in the middle what we call a PLC or point of control and usually there are some very clear pictures that will tell you that we're going to do this I mean based on some internals and other things that we talked about in the room all the time I can usually tell if we're going to build out into a
22:13
rotational type day right and wrote by that I mean within the value area right the middle say 70% or so TPO is time price opportunity bred I won't be able to stop on it for too long but in there in our our after this in our question and answer I'll show you exactly what I mean in the other room if you'll have if you'll stick around and do that with me okay this is a little be a little bit off-topic for what we're gonna do in this first hour okay but it's important that you ask that question because there's quite a bit of relevance to it but the idea when you're
22:46
in a balanced profile like what we see right here is that there's not going to be much interest in commercial activity to buy above value and there's not going to be much interest on the commercial side to sell below value right so what you'll find a lot of times is that it'll bat around between the what we call the value area high area and the value area low area what we call fair prices which is in here fair value versus unfair prices right unfair highs and lows now can they blow out and go straight up
23:18
from there or blow out and go straight down from there yes but we have a lot of stuff that tells us whether we think it's gonna trend out or whether it's gonna try to stay in balance which is what we call right here balanced right in a fair value range does that make sense all right so what will happen is professional sellers right we'll find ways to try to get on board in a balanced market at the upper end of the range outside of the value and usually traders that are not real familiar with
23:49
profile and they're kind of in that hope mode the price starts to move outside a value it'll move real quick it'll stall somewhere in here they're trying to get long here right when professional traders are stepping in to sell the unfair highs happens all the time right same thing on the low end right once we get in range found balance price will vacillate in this range and it can do it on a bigger timeframes that can do it for weeks it can do it for months if you're looking at a big Pro you know big weekly chart you can find value you know
24:20
in a 40 or 50 point es range on bigger timeframes over time but for what we're looking at on a day period like today you know you can find value in three or four or five points or you can in a seven or eight point range as well so but the key is when it's balanced like this this is not a good place to be going short and this is not a great place to be going long right because it's balanced it's telling you that it wants to revert back to the middle all right important stuff now what you'll see and we draw those squiggly lines before
24:52
right when markets are balanced price will be rotational within that right if price direction will generally be horizontal we'll be calling it wide right right fat slow and choppy when we get a profile that looks like this right the range of price movement will generally be narrow in the numbers of small numbers of points right not big numbers of points small numbers buyers and sellers are equally accommodated and price moves very slow they'll generally just bore you to death when it's like
25:23
this all right so you have to you have to understand where to trade on the upper ends of value okay right now a profile that has a little hole in it like this will generally trend right when we get imbalance meaning we in this case we've got to balance areas they're very small price will be very directional it'll move very quickly up to the middle of that thing it'll move very quickly from here down to wherever the next balance point would be and your profile will have a kind of a hole in it or a jagged look in it where it won't be
25:55
nearly as symmetrical as this right range of price is pretty wide and I'll show you guys something at the end of this thing when we go over into the room what we've been looking at on a 240 minute chart and it all came true today based on some things that happen yesterday and we had two different balanced areas that were very large built around this you know twelve seventeen to twelve twenty area on the es and then again down around ninety three 1193 area and we filled a bunch of that hole in today price moves very quickly I'm gonna show you what I mean
26:26
yeah when we get to that here just a little bit so when we get a balanced market to look very much like this price is very efficient right when we get when we kind of call this a p-type formation and traditional profile language but you get a minus development area area where price hasn't spent very time and will likely revisit right it creates that whole so once they're unable to build out and get above this and create another distribution area up higher very often when they fail below this they'll fill in the hole in the
26:57
market again will move very very quickly and it'll try to find the next balanced area somewhere down here okay wherever that might be on the charts that we're looking at so when you get a hole in the market like that and you're able to find a way to sell unfair highs up here once it rolls over the top then you get to use this for resistance and the market generally will move fairly quickly down into the areas and you'll have an opportunity to have those traits that move fast and you're on board and you're in the right spot rather than try to be on at the wrong spot alright so next
27:28
slide this is kind of what I was talking about in the previous one once it fails once we develop here and they're unable to make new highs up at the unfair high level of this smaller profile this - development hole price will move very quickly here there's not a lot of development here so there are not a lot of people with skin in the game in this area they're they're either already in and gone when it couldn't do what they needed to do or they're so fewer of them that once we get below here and starts moving down they get overwhelmed and so a lot of times if you're looking at a
27:59
regular chart you won't see what we're talking about here because price move and you'll say why did price move so quickly through this level and it's because there's been a lack of development right so what we want to do is we want to be on board for vertical moves right when I talk in the room that price is going vertical it usually means we're leaving one balance area and I would expect that we're gonna go ahead to the next one okay does it always happen no it's trading but what what gives you a better opportunity to trade a fast vertical market than a place where there's no development right the
28:29
skin in the game if this thing was moving up was here and for the move down the skin in the game is right here so if you get somewhere in here markets gonna move and bounce between those levels until it fills it in or it continues and moves away alright so your wrist or reward to risk is much greater obviously trading horizontal moves I mean vertical moves up and down rather than this horizontal garbage in here and I call it garbage because it is right price just moves in a very small range constantly trying to suck in new lungs
29:00
and shorts and it's constantly taking them out right so you can give back a whole bunch of your money by trading in this area or you can be on board at the right area where it's gonna move through the vertical lack of vertical development right in the - hole important stuff right there alright and here's what it looks like using the trade angle tools right this is what we call a market map this is the fat and slow and one of my favorite ways to get on board with a trade like this is you
29:31
know as we get to these highs if I'm not on board here and the market moves very quickly and gets in the hole very often you'll see a pullback right up against the lower end of this thing right and so I'm usually looking to get on board right in here if I'm unable to get on here right or if I'm not on at the unfair highs up here alright I certainly wouldn't want to be getting along above this unless I had another balance here if this was a triple balance type look on the same timeframe so if you can see what I'm talking about here this is a ton of development and they were
30:03
certainly trying to make this thing move up higher and as it fails and gets down in here there's not very much development they'll come back up underneath and test and then they'll move to the bottom and you can see what happens kind of the same thing repeats on the lower end of value here so that makes sense you want to be on board the fast vertical moves where there's very little development you're not gonna see that on a 15-minute if you wipe away this map you're not gonna see that oh you'll see in hindsight you'll say god I wish I was on that trade but you're not gonna see where that lack of development led to the success of that trade and
30:33
that's purely a hole in the market that needed to be filled and price moves very quickly vertically through it make sense good spot for if you guys have it it doesn't matter what time frame it is it could be a daily this was I believe a 15-minute chart but it works on whatever timeframe as long as you take into context all of them Brett the most important thing you can do is coordinate is run this map on a 15-minute chart I've got it on a 5-minute chart and I've got it on a 240
31:07
minute chart and a daily and a weekly if you can believe that so I'm looking for holes across big timeframes that will lead me to trades on small timeframes for my day trading and then for my bigger swing periods I'm looking for you know I'd love to see this kind of stuff on it on a daily or weekly how many days of data for profile it depends on the timeframe you're looking at great great question on my 15 minute when I use 50 I used two maps and I use 50 bars on my 240 minute I'm still
31:37
using 50 bars per profile and I have two or three of them on that usually so fifty bars back generally will give you the data that you need okay and then on my TPO profile so that I can show folks you know what we're looking at on T POS and how it matches up with a map I'll used a data in 30 minutes yeah moves through very quickly mark exactly it's an air pocket right and generally this is the trades where you go yippee
32:10
because they move real quick for you right this is the trades where you're eating you know a roll of tums or Rolaids because you're stuck in the middle of a chop zone and you and your you're in true hold in hope mode because you have no idea whether it's gonna pop out the top or bottom of it right so these are the ones you when you know when you're on these you know you're on them yeah I use composite - yep matte in that that's what I'm saying on a daily I've got a year-to-date one that I'm looking at with holes on it all over the place but now that we're up over the
32:40
1200 s again there's not a lot of data above us if you're looking back a year right it's been almost two years since we've been here on the es anyway so and here's what it looks like on a 15 guys right this was a few days ago back before we broke back up but what I wanted to show you is that the market map gives you these different balance areas and you can see and this this was bigger timeframe related but market moves pretty quick through the holes it developed a little bit more after the fact when I took the picture and
33:10
snapshot of this but once we got below this thing you notice it it worked its way below tested the upper side of it and then fell out because there's there wasn't that much development here okay across bigger timeframes so we had a little bit more of a hole not as much to hold it up so it makes a pretty nice little move down biggie and important to see the market map will give you the center points right and multiple center points if if it warrants it right so we'll have both all right so if you're
33:42
trying to learn profile though hold let me let me read this question this is a great one it's the profile printed prior to that day or is it filled it fills in as the day progresses so but you got enough data to look back to Greg and I run that 15-minute with with overnight but then I run I run other profiles with just day data so I can see holes and gaps and that sort of thing and again I look for as a traitor I look for a picture right I want the market to tell me a story hey
34:13
Brad yes I trade certain time charts I I but again I'll try to cover that at the end but I if'n S chart like a very small volume chart and a one-minute chart to finesse my entries but it's always based on levels on bigger timeframes so I personally don't I mean I I personally don't think you can get a clear picture if you're trading just a three minute chart or one minute whatever it is you might be able to trade it pretty well if you've got a little system down that will help you out but you're gonna miss the big picture long-term I think if
34:46
you're not looking at the big picture you know for me the big picture is is is how I setup my day it's how I setup where price can go if it gets moving one way or the other and the balance points that you find are gonna be really critical for you once you get on a trade in knowing where to take profits and where you can expect the market to try to turn and if you can't see those pictures on a small timeframe or whatever timeframe you're looking at then you need to expand your timeframes both above and below where you're at so you can see the picture again it's about
35:16
a picture right how does profile handle the big 30 to 20 to 30 point days that's when you go up in time Greg like this morning when the es broke down and this is a great point the es broke down it could have broken down all the way to about 11 94 it stopped on another little balance point but yesterday in the room you know we talked about you know we tested a high actually told the guys to take their trades off at 24 and a quarter based on a balance area yesterday we had a long
35:48
from the low 20s and then when we broke down below 17 18 area yesterday we waited and I didn't get a fill but we waited for it to pull back to 17 to be short going into the close and actually I'm always real honest about it I didn't get a fill and then I tried to I tried to actually get long off a balance area in the 13 but if I'd have been short from 17 I wouldn't even tried that and that you guys saw what happened with the market toward the end of the day yesterday so that was all based on a balance area and I'll show you guys what
36:19
I was talking about later on if we run over to my room but it's real important that you understand trading from balance area once a balance area breaks a pullback to that balance area is almost immediately long or short right if it's a big enough area and it's showed that it can contain price it's really really important stuff all right so what trade angle did guys when they were building these tools like the map and all that is they've also built what's called a dynamic profile and it works really on any time frame excuse me you know and what it does is
36:51
ask the ask price builds out in an area and volume builds out in an area it'll create many profiles within the chart okay and they'll actually build it out to three lines rather than building it out like this so you can see and I'll give you guys an example I'm actually gonna drag a chart in from today well it'll be kind of off slide and you guys can see price is actually selling off right now but today I'll give you guys an example of what we did towards the end of the day you know this box was
37:22
created all you'd see is one dot right then this is the profile I'm going to show you this box was created near the highs right and when price broke down below it came back up we actually got short right up here against you know 15 up to the 16 area I call it like an area trade and we took it down into here it ended up not following through for us but we were able to actually take profits off of it but that was the POC of what we call a dynamic profile a profile that's built out within the entire map okay and you guys can see right now look at this lack
37:52
of development that this is not what I had planned to show you guys but I this is a great example because it's real-time okay I want to show you guys how cool this is and how great it works earlier today when we when we made this move up right when it when it held onto this thing he created a profile in a value area that you could have been long off of and we tried a number of times and we can't get wiggling out like breakeven or just a little bit but look what happens when this new profile is created once we finally made the commitment to move up it pulls back to the value area on a profile that was
38:24
created during the day a mini profile and gave you the rest of the trade right so then another one was created it shot above it Kemp comes back down and sits on top of it goes up again you can be long until the next profile is created right but along the way the market created holes today right it spent a lot of time between what we'll call what eight and a half nine up to about eleven twelve and then it went through very quickly right and left a hole alright same thing down here now watch what's
38:55
happening price goes up it creates a new box you get below the box it's clear sailing right but what happens in the - development area did price just jet right through there right there's nothing to hold it up okay it gets right through the next one where does it stop guys to the tick right at the top of the balance area that's six six and a quarter you guys see that pretty clearly yeah and the cool part guys is that once you were long like from anywhere in here
39:28
until that new box is created up high at the top of value you can stay long and be exiting right and then what I tell you guys earlier that area we broke down from on a 240 minute chart I'm gonna bring that one in hope you guys don't mind all these extra lessons but this was the area where we broke down from yesterday right and once we got below it look what happens there's the hole I'm talking about that took a week to Deval most two weeks to develop okay but look at that hole we got way down into it we pulled back up
40:00
I'm gonna say this is gonna be a measured move guys from here to here back up and I'll tell you I think we're going to 94 I wouldn't tell you to take the trade here right now because that's not a smart or prudent thing to do in the futures market but I'm telling you that that this hole should be something that tries to fill down to our breakout area in the 94 area okay but this is what I was telling my group yesterday once we broke below this once we broke below that area that we should try to fill a hole now this is at the five-minute version and you can see once
40:30
we broke down below and we created the new box it can't get back above it and now we trade very fast through the through the minus hole in the market right real simple and it goes right to the liquid guys it goes right to the top of that area that was creating all of value below us all right it didn't take long there's not enough there to support it all right so now you can see the the the lines how they look on a real chart real active okay any questions about
41:01
that I think that's pretty cool that's a great example and it's live right now all right so we talked about this earlier markets trade vertically right do they not I mean they trade vertically we just we just saw it live on a five-minute chart right there while I was talking to you guys I was watching that happen I wish I was in the trade actually but then it moves right down to the next balance area so live look at that it leaves the balance area it goes it really cuts through this when it's but look where it stopped the first time before it pulled back right at the top
41:35
it pulls back next run through pulls back goes to the next one now does that make it easy to trade guys no trading is not easy they're gonna do everything they can to wiggle you out in the middle of it but what it is is it gives you an idea of where you really want to be serious about your trades and where you really want to get out both for your exits on stop outs and for your entries and for your profit targets excuse me alright so here's what it looks like again right sideways
42:08
consolidation it breaks down below the box you can stay short until you get til a new box is created on whatever timeframe that you're looking at same thing on the way up so the picture should be fairly clear because we've been able to use a real real real picture right and here's the thing this what this is telling you once it breaks there's no guarantee you're gonna be on it right execution issues or you didn't pull the trigger or whatever it was but at least you don't want to be long right
42:38
you don't be long when we break a balanced area and are heading for another balanced area you might not be able to get on where you can manage your risk but you don't want to be you don't be on the wrong side of that's what I told you guys at the beginning most traders fail because they're on the wrong side of it you don't to be long when this thing breaks down below here and it's heading for another balanced area and then hold and hope that it's not gonna create another balanced area and go down you know in this scenario you get lucky and it would come get you but the markets aren't always that that kind right so again here's what it looks
43:10
like on the map picked on on a on an actual chart what the picture could look like and so when you break down and it creates another box it's not really to me it's not it wouldn't be advantageous getting long out of here until we got back above and then came back and sat on it and tested to go long again alright it wouldn't it wouldn't be nearly as easy a trade for me in my opinion as ore is or one where you could control risk as much and that for me is the most important thing know so you can see how when this one was created down here
43:41
notice how and this is part of the tool when the POC which is the middle line here it's closer to either the value area low or value area high it forms like a wall right it's gonna be really hard to push through so trades off of that you can see how tight your risk can be if you're wrong here you only need to be wrong on the other side of the blue line so if you were taking a long entry off of this your risk is only two or three ticks in most cases maybe for the biggest if I ever have in my room is five or six ticks guys on day trades that's the
44:13
biggest stop you can be that precise with it alright so again when you get back above the box you can use that box for support for your trade that you entered down here and then you can stay long until the next box appears or at least get some get some scales off in here and then I wouldn't I wouldn't worry about it too much until we're below but look what happens it forms the new box it gets down below comes back at retest goes down comes back up retest the other side that's gonna be an easier
44:47
question to answer live Tom then it would be right now but do i queue my entries up as buy or sell stops just beneath or above the box when I'm looking for a pullback like this I'll usually set my order right here I'll either set a limit order or a range like I may want to arrange my orders and then or I'll do a mark if I really want the level I'll do a market on touch so I'll just get you know it'll touch my number and then mark it on touch enter but it kind of depends on the setup and
45:16
my stop-loss is I have a rule if I can't reach the exit door from my entry I don't take the trade so if that makes sense to a trader I mean if I cannot feel and reach my exit door which means I take pretty precise entries if I can't get my risk down to the level that I want which is five or six ticks on most day trades and then I move that in pretty tight pretty quick I won't take the trade if you're if your swing trading or looking for something bigger yes you can do that on the bigger
45:47
timeframes absolutely but you yeah you could set your orders that way now I'll show you guys how to do that we just won't have enough time in here the the Navigator another great tool for trade angle it will tell you very clearly and very often you know when the markets gonna run out of steam right and when you should be looking for potential trades in the other direction alright and that's something I think we'll run out of time before I can tell you too too much about it today but hopefully the other lessons will make up for it
46:18
but you can tell once it starts shooting magenta lines like this it'll generally tell you that we're to start start a weakening move right but when it's bright bright green like this you can stay in the trade you certainly don't want to be short at that point but then when we start to roll over you start printing the red dots I'll start looking for pullbacks like after we break structure I'm real big on price structure breaking so like when this low right here got taken out this little low right here by this one I would have been looking for lower high somewhere in here to get short if I have
46:48
the right looks and then again when it comes up here breaks down what have you I mean you're gonna start to see opportunities but I would have probably been looking for this one and then a retest of there if I couldn't get what I wanted to see then I for a long then I would I would be looking to take structure break short but you're getting the clues from where you're at on profile and I'm not showing you profile on this at the same time but there would be a profile reason for me to take that trade - all right a little bit clearer picture right with the dynamic profiles
47:20
and this is on it this is a daily you can tell with the gaps and all of that but you could tell this thing was peeking out you wouldn't want to be yet trying to get long while it's doing that it pulls back forms another box gets above it can't hold on to it the break of the box guys to the downside was your cue with this stuff falling right we had divergence on this move up box was formed it couldn't stay in it down you go peaks on the way up it actually shoots the magenta lines it's telling you not
47:50
to take any entries there it'll meander around it creates a new box right moves very fat very fast back through and if we had a map on here you'd see what I'm talking about for the rest of it so any questions so far I'll give you guys five or ten seconds to type something in here the peaks seem to be the brakes I'm not sure if I understand that question Brad well and again you don't want to be too quick to be a counter trend trader right oh I have a rule about I'll tell you a short story you know there's two mice
48:34
there's one trap and one piece of cheese first Mouse is usually what dead okay so I usually wait for it to be ripe and look for pullbacks after I get structure change and if I got the rest of the signals I hate being the first mouse it doesn't feel good when you're running a room with a bunch of people that you have in it you don't want to always be the first Mouse Mouse nobody will stay in your room yeah generally what it's telling it's telling you to lay out
49:04
what's telling you Brad is that if you're long from here that's probably a good place to start scaling out it doesn't tell you to go short we may not have a reason to be short yet but it's probably telling you that you should take some profit I mean I take profit all the way up but at this point I would probably be out of all but maybe one runner let's just say you were trading multiple multiple Lots which I do you know I'm I may have taken it from you know take a third of it off here a third
49:36
of it off here or maybe another little bit in in here and then I'll be looking to scale out of the rest of it based on how price is acting in the level like this so it very much it's telling you number one don't continue to enter Long's but also you shouldn't be taking profit okay all right so what all of this does guys is helps me manage risk it helps you manage risk right having us having not a trading system as much as a
50:07
full understanding of profile and tools that will help you see the picture and again I say this over and over again I'm not I know and I fully admit I'm not the best trader in the world I'm probably the most disciplined trader in the world but I I know there are guys in my room even that I admire as traders but what I look for in the way that I trade is the ability to manage risk if you can't manage risk first it doesn't matter how
50:38
good you are on the good ones because you're gonna spend all of your time making up for your idiot trays right everybody's done one right probably everyday we all try to try to avoid doing an idiot trade but if you can always look to manage your risk first and wait for the right opportunities your success in this business the probability of your success in this business goes up dramatically if you're not disciplined and you're always taking chase trades or you're always taking revenge trades you will not make it and
51:10
I say that in the nicest possible way so why not put yourself in a position where you're taking trades at the right areas when you're wrong it's ok because not every trades gonna work out but you're taking trades where the odds are tipped in your favor rather than based on your emotions and that's kind of what we're talking about today discipline not trading with your emotions and only taking trades it'll give you at least a 3 to 1 minimum right the 3 to 1 risk reward I mean I'm not gonna take 5 takes a risk unless I can see the market
51:42
moving you know three or four points I'm not even taking 5 ticks of risk if I can't see it do that the opportunity for it to do that does it always do it no way but I'm not gonna look for opportunities I'm not gonna look for opportunities to take trades with you know five takes a risk for five takes a reward it doesn't make sense it's not gonna help you you won't stay in the business right and I want you to stay in the business I know I know the people that that make it in this business don't take an enormous number of trades at the
52:13
wrong spots it's just it's not gonna work for you right so I'll give you a couple seconds for questions here I know I've got one coming in on another screen okay cool I've been given permission to go over a little bit guys so we can talk how many how many markets do I trade one actually another one but I'll how many do I really guys I hope I'll tell you this
52:43
this is my personal philosophy okay if you get really super good at one market it will feed you for the rest of your life if you're trying to chase every scanner every market every time something moves how in tune can you really be with a bunch of mark I mean where you're really in tune unless you're up 24-7 so my point as a professional traders I want to know my opponent as well as I can right I want
53:16
to know every single thing about it I want to know where the bones are buried I want to know every balance area on every time frame so that when we get to those areas I trade them like a beast yesterday my guy I told you told my guys we were going to 2475 right and to scale out when we got there I mean just be out of there trade right and then we tried to get short at 23 and a half which would have been short for the rest of the day on it just never it never came back and filled me once it broke and I had an area I wanted to be short from
53:47
but my point is get to know one market or two markets max really super well and then you can observe other things but I don't know how you can be really effective in understanding how a market moves and where the bones are buried if you're watching too many markets pick one that fits your personality and style once you figure out how you want to trade it and be pretty aggressive with that one I promise you eight feet it feeds you if if you will take care of it right take care of it means study take
54:18
care of it means be disciplined and take care of it means you know understanding what it does right and where it can help you and where it can hurt you if you're doing anything other than that this is my opinion guys and again I'm a trader no different than you guys my opinion is most people spread themselves way too thin trying to catch every move in every market and most people are not profitable traders so does that answer that hopefully I didn't go too long on that Brad but I want to illustrate the point that really good professional
54:49
traders don't trade as many markets as the gunslingers who say they are I'll be honest I I think most people that that try to cowboy too many markets generally probably are this is my opinion again I'll always give you my my personal thoughts but I would say that it's kind of cavalier and cowboy ish to think you can trade so many markets and be really super effective I want to know my market like the back of my hand okay all right
55:20
so all of the tools guys and all of the things that we talk about profile the the things that we look at every single day allow me to be very specific trading rules I know exactly what's gonna happen on the es I can't always be on it but I know where I know where most of the bones are buried and the trading tools help me figure those things out right it helps give me the picture I always talk about a picture it gives you the picture that you want to see okay and what what the tools do allow you to focus on
55:52
what's really happening price volume volatility relationship rather than what we want to happen right no I think I think that's a great question you prepare profiles on a one day five day 10 day tick data is that too late or behind no I mean you want to see where the balance areas are I'll show you that bread you want to know you want to know where all the balance areas are across multiple time frames so that you can
56:21
make those decisions okay next one for Brad I'll show you all right so what we do again this is trade angle and and the Daniel's group and me you know we've kind of put together the picture for you guys today and again we have to say a very big thank you to Daniel's for for allowing us to do this today but you know having great tools it's a great idea but it's not like what I said the
56:56
complete picture right you need to be structured you need to have someone that's showing you how to do it that's what I do guys I mean I teach this all day long you you hear me talking right now but this is what I teach during the day I'm constantly doing this during the day and I'll answer questions during the day during live market because I think the only way to really learn how to trade is to watch a market in every high every low everything that could possibly happen to you during the day happens in real life right you can't hide from the fact that the market ran away and you weren't on it you can't hide from the
57:27
fact that it missed your entry you know so you get to see the highs and the lows and the areas that we talked about they continue to hit day after day after day right and that's what gives you the confidence to trade right it gives you the confidence to be mechanical and rules-based and you need to you can't skimp on your tools you gotta have the stuff that gives you the picture right and that's what we're talking about is stuff that gives you a picture all right and you need to be somewhere where somebody like miel nurture you and be nice to you when you're making your
57:57
mistakes and your learning so do you want the time frames uniform with each other or some of them to determine a trend yeah I want to see again that goes back to the picture bred like right now you know if we if we look at it we've kind of rolled over on some of the charts but the bigger time frames are still very much in an uptrend right until we break some stuff way below us so yeah I want them to be fairly uniform but I'll still take trades off a balance levels right when I see the right area setting up so you're there's no way you're gonna
58:28
get every chart to line up on every timeframe across any kind of trend because you'll have you'll have some tricks some charts that are gonna be opposed all right excuse me guys I got I'm coming off on pneumonia actually um I'll tell you guys where you can follow me Twitter every trade every time good bad or ugly and that's how you get to me and if you guys have any email questions for after this thing you can always email me I try to answer every email before I go to bed at night
59:03
and if I miss you it'll certainly be within 24 hours okay so I'm honey at channel - trading calm and as we jump into the next slides I'll let you guys write this down I'll give you I'm gonna give you guys a link so that we can spend a little bit more time later as we as we roll into my room and I'll show you guys some other pictures here alright so let me do through let me let me kind of run through the Daniell stuff and I'll let these guys jump in if they want to want to jump in with me but you know really
59:33
really great platform I know some of you guys are already Daniel's clients if you're not fantastic platform some of you might use ninja I know some of the people from my room use use ninja but Daniels works very well with ninja okay so we can do the full task trade angle strategies toolkit on the Daniels charting package it works on the ninja charting package DT Pro guys absolutely fantastic fantastic execution system so and we've got great guys I mean the people that I've been working with over
01:00:04
the last few weeks highest integrity nicest guys and I'm really really pleased to partner it I mean I I can't say that enough the kind of response I get when I'm trying to put this stuff together and the help I've been given I'm about working with good people and I really am very very happy with the people that I'm working with again I love my job and when I'm doing my job I want to work with people that I like and that I feel like I can develop a relationship with and I feel very much like these are those guys kind of guys
01:00:34
so I'll say that very simply now when we get into the differences between if you're going to use ninja you know the DT Pro guys does really and truly can do anything else that you want to do on ninja or anything else the beauty of it is it's it's free to daniels trading clients right you can still trade on the domore arts I mean you've got all of the great stuff 100% free to you guys as clients you get real-time streaming data for your Chan and charting package it's the
01:01:07
same place where your broker would be if you're a Daniel's client real-time account management and the tools work perfectly on the Daniel's platform all right and again the DT Pro is their their most popular platform that's voted by clients it works for you in a lot of environments ok so again very pleased with it ninja if you're a die-hard ninja user absolutely it works perfectly through the Daniels platform so it is fee based you guys know how that works with ninja
01:01:38
but again it'll provide you a lot of the same stuff but if you're a Daniel's client I would highly encourage you to give it a test drive you can email tasks at Daniel's desk Daniel's trading comm and those guys will hook you up with a demo with it ok great stuff very again very very happy with what I've seen so far now for our specials tonight and we're gonna go over the room we're gonna be we're running a teeny bit late here if you guys are interested in coming and hanging out in the room we're gonna do an offer that I
01:02:09
normally personally haven't done in the past at all I don't believe in giving away like an hour or day in my room as a general rule because I think people come in if they see a great trade they think you're just the most wonderful thing in the world if you if you stop out for 4 ticks they think you're an idiot so I want people to spend some time and hear me teach and coach and do the things that I'm doing and what we've done is put together a package where you can do that you get a free two and a half day pass to the room right and you can you can work with us you can see
01:02:41
what we do you can see all the charts in action and cut and the kind of stuff that we do on a daily basis good bad or otherwise right I give you guys lots of areas and things to think about in your trading and then a bonus half-day where the guys are gonna give you in a little bit of training on the tools and give you an open Q&A right so what will generally be doing is we're going to be doing those on Tuesday Wednesdays and Thursdays you'll be in the room on Tuesdays and Wednesdays and these guys will handle a nice little training thing for you on the third day and then have an open Q&A all right I'll
01:03:12
still be in my room when that's going on but you'll have the opportunity to ask all the questions that you want and talk to the people that that can answer them for you all right so and from that what we're going to do is we're going to do an intro membership we're gonna give you two months in the room two months used of the tools and give you a hugely discounted price and then if you renew you're gonna have much better pricing than you'd normally have through the other route okay and then again Premium Membership it's gonna give it to you for a much longer period of time and you'll get all the
01:03:43
tools and then you'll get a you bet mark email me anytime buddy all right so this is what we're gonna look at guys again WWE trade angle comma make sure I'm going to tell you all the stuff correctly yeah there's opportunities to do that sort of thing Greg absolutely so but the upper right corner what you're gonna want to do is click right here to sign up for the special guys right here is where you're gonna want to be alright
01:04:15
and that gives you access for the free trial because if you try to come to me for it I'll tell you no on a free trial all right it's got to come through this group here so that we can we can manage it and make sure that you're getting exactly the training that we promised you and and your ability to get your questions answered okay so very important that you go right here when you see this it's already up on the website everything is there right keV okay so yeah it's on the website guys right there trade angle comm special offers
01:04:46
and pricing right there okay and then if you have questions about the trade angle tools guys the trade angle tools my buddy Kevin Stowers case towers at trade angle comm and there's his phone number he's got 102 fever today but I bet you he'll answer his emails 2 1 4 3 2 5 37 55 yeah he says he'll answer answer
01:05:18
emails for sure if he can't hear you on the call and then more thing guys type this in write this down whatever you want you can't sign on until I sign off of this one and have the opportunity to get the other one started we'll start in about about 10 minutes after we we shut this one down and I'll answer questions for as long as you guys want up to about an hour like I said I coach soccer and I coached my daughter's you eight girls soccer team
01:05:48
we got practice later but I'll give you guys a whole hour of my time for sure so type in ww1 goto meeting.com slash register slash eight three four two nine one zero zero zero I'll give you guys time if you have that or don't have that please tell me to wait and I won't shut this slide down here cool everybody got
01:06:21
it anybody from Daniels want to hop in just for a second Kevin you need a second with the group you probably can't talk Steve or any of the Daniels folks alright guys thank you so so much for your time appreciate it very very much and anybody that wants to come over and ask questions I will be there to answer them for you give me about five or ten
01:06:56
minutes to get it set up and use that link and we'll see in just a few minutes thanks so much guys have a wonderful evening appreciate it very very much happy trading to you you

DOWNLOAD SUBTITLES: