Jun 272011

The feedback on Friday’s real time trade videos was positive so I recorded a couple trades today.  In the first I waited for a pullback on ES due to the strong move up.  It didn’t pull back enough for me but I did take the same trade on the Euro (which pulled back more).

The second video has the second trade which I took on both ES & Euro.  I got over 6 pts on the ES trade.  The video is extremely long but I think it’s interesting.  The entry is important and the exit are important, and many would think those are the only thing important but I find what happens in between the entry & exit is very important too.  For example I took my first scale early, I guess it was justified I don’t know (let me know what you think).  Then on the second I was very tempted to take my profit and to be honest if I hadn’t been making the video I might have cut my winner short!   But I was patient and got my target which ended up being to the tick at the high of the morning.

I share these videos so that others may learn something from them and also so that I can get feedback and learn from others.  So please share your questions & comments.    If the feedback is positive I will do more real time videos in the future.

I also want to thank FlowTraderES for sharing his thoughts while trading as they were very helpful to me.  I highly recommend following him on Twitter if you trade ES.

I hope your trading went well today.



  6 Responses to “Two real time trades”

  1. Great job Michael. I was talking to the screen for you. Really appreciate the discussing of the DOM and the footprint, which you know I’m trying to learn more about to refine entries. I’ll take all of that discussion that you can give. I am working on going through your site here and really appreciate you sharing your work. Keep it up!!!

  2. Thanks Tony I’m glad you found it useful. I think the thought process is the most important thing and although the videos may be long (and boring), it can be interesting. I know it is helpful to me too because if I’m making a video I will explain myself and it helps me to talk it out.

    for the next video I may show the footprint more. I only use it when timing entries and exits but it’s very helpful to me.

  3. The videos are not boring to me. If someone thinks they are too long, they can shut it down. Footprint discussion on the next video would be grrrrrrrreat!

  4. Your trading vids are indeed more interesting than Don Miller’s Trading after Dark because we use more or less the same approach and I see some of my own challenges there (eg. second guessing my targets). It was interesting for me to see you go long when I went short (was a profitable trade, too). ES had a biz area at 73.50 and it couldn’t get beyond it but built a VPOC at 72.5. Later FT71 tweeted: “@morchocolat If it drops to 70.50 from here, I certainly wouldn’t play long there #FT71”. And you averaged down around 69.50 – and your first target was 73 which seemed quite aggressive for me cause we had the VPOC around 72.50. Later you exited before your target was reached (something I work hard to improve in my trading: stick to your plan as long as it is valid).
    Again thanks for sharing!


  5. Markus – The problem with Don Miller is we don’t know what he’s doing and why.. unless we pay $2k for the training classes. I try to explain it and it’s the same principles that FT71 & Rob followers are familiar with. This is why I’m not a Don Miller fan.

    Regarding “averaged down” – hopefully I made clear in the video, that was planned in advance. I didn’t know when price would stop but I knew I wanted to get long. Just as I scale out because I don’t know how far it will go, when I have a zone for my entry I will scale in. IMHO this is fine. It’s the unplanned averaging down that is dangerous.

    In hindsight I took the first contract off too soon but at the time, I didn’t know if price was going to continue or not. It could have very well stopped there and dropped down. When there is uncertainty there is risk and by scaling out one I reduce my risk. Had I gotten a better entry (where I entered my 2nd contract) I could have been out with 2 pts. So I don’t second guess that too much as many times I haven’t gotten out and ended up with zero or a loss even.

    Sometimes I find I disagree with Rob & FT71. But as you pointed out, we can disagree and both be right. When we do disagree I study it because there is something I can learn from it.

    Thanks for your comments. This is the type of feedback I was hoping for when I posted the video.

  6. Thanks for this vid. It’s great to see different peoples trading styles based on the principles FT & Rob talk about. In your 2nd vid I found DOM reading interesting and would like to hear more of your thoughts regarding this in future vids.

    Thanks again

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