1 Point Per Day Trading The E-mini

[NOISY]

Does any trader know of a successful trading strategy or software able to profit 1 point per day on 1 contract day trading the E-mini?!

I've wasted thousands of dollars on useless software, indicators and mentors unable to meet this simple criteria.

Any proven advice would be greatly appreciated.

 

[laptop1]

I have traded th ES, rather than go for 1 point a day, go for 1.5 two times a day, for a total of 3.00 points, even if you a 1 to 1 ratio, it should give you an average of 1.3 points a day on a 50% Method after losses and cost. This shows you how tough it is.

I am thinking of doing a webinar trading futures, when I get around to it

 

[Mr.J-Arthur]

Wow, 3 points or 12 ticks? That's quite small, even though ES is highly leveraged and that's all you need to make.

Why not shoot for a goal of 10pts with the stop loss moved into 1-3 pt profit, if it retraces? Letting your winners run will usually help. IMO.

 

[Ash8]

Noisy, if you find such a method, let us know!

I am trying to get there myself, although am still learning day-trading having more experience with longer-term systems which I like to develop but don't have sufficient capital to trade.

That said, I am fairly convinced that the following strategic approach is valuable, namely:

1. Determine decent setups that have at least 50-50 probability of success.
2. That these setups have better than 1-1 risk-reward, i.e. you risk 1 pt to make 2 pts.
3. As soon as you have net 1 pt profit for the day you stop trading. Why? Because you risk going back to break-even or losing on the day. Trade until you have the 1 pt.
4. Be patient and apply money management. At 1 ES pt per day x 20 days = $2,000 a month = 1 more contract can be traded, then it compounds from there.

What I have been working on recently is the following: The first hour of the day is often the hardest to read because the market is feeling itself out. That said, it is almost certain for example that the first 3 - minute bar of the day will be exceeded at least in one direction and most likely both. I put together an indicator that plots the percentage of times the first bar is the high or low of the day and it comes to about 20% (10% for each direction). That means that 80% of the time it is not the high or low of the day. This doesn't predict which direction or anything but the simple fact is that the chances of the market definitely making a move of more than a few points in the first hour is very high as the market feels out what it is doing. So for example I have noticed that if the market yesterday was in a strong downtrend and gaps up on the open, there is a high probability that even if the previous Day Low is not tested, at least it will pull back a little during the first hour before reversing and becoming an uptrend.

Secondly, there are certain Times of Day when things tend to happen, though not always of course.

First, there is a Morning Contra move, often around 10.00 EST up to around 10.30. So if there has been a decent upswing from the open to around 10.00, then (after a report if you don't like gambling during reports), there is a high probability that the market will do at least a .38 retracement on the current swing, and often a full .618 retracement before resuming the early trend. Of course, it could reverse the entire early morning trend and make a lower low in which case the chances are that, after a pullback, it will go down either to test that new low or make a new lower low.

1.30 EST is often when a Day Contra move starts. Which means that around 12.30 - 1.15 there is a PreContra move, i.e. if the market is off its highs/lows, leading into the Contra Time is goes back up/down to the Day High or Low from which a reversal happens. So if the market has had a clear trend direction on the day and has pulled back from its highs in an uptrend and its around 12.30-1.00 and it's about .38 or .50 from that Day High, there is a high probability that before any further selloff happens the market will go back up to test or exceed that Day High.

On a day whose trend is so strong that there is not even a .38 retracement before around 2.00, then a Late Contra at 2.30 EST might happen, and this could be a big one since there will be quite a few points between the Day High and even a Day .38 retracement. Countertrend trades are harder to time of course because you never know when the turn might happen, but I have been experimenting with using Tick Bars (360 or so on the ES) and colouring the Paintbars according to up-down volume. Often when the market is somewhat oversold you begin to see selling pressure coming in even as the price rises. But once there has been a short-term pullback and then a rally which retests or doesn't even retest and then it pulls back again making a lower high, the negative volume in the high levels of the second rally up that fails to take out the high make for a good entry point with low risk.

Lastly, around 3.30 EST there is an 'End of Day' moved. This one doesn't always happen (none of them do of course), but if the day has been pretty consistently trending in one direction, say down, and is near the lows of the day or a recent swing low not far from the lows, there is a high probability that around 3.30 after a retest fail or something that the market will reverse, as floor traders clean out many of the positions that have been riding the market down all day. If this move happens, it happens fast. Look at some charts and you can see how they work.

Fundamentally, these time of days are based on simple logic, i.e:

At first the market is feeling out its momentum/direction for the day, either up or down, and/or it just can't get anything going one way or another, i.e. is in a trading range.

After the first move, there is a little pullback or a complete reversal that develops into the trend for a while.

If there has been a trend, then around 1.30-ish there is a correction.

After the correction (not commented on above), there is a resumption towards the trend again.

As we get into the day's end and if there has been a clear move up or down, there is a correction around 3.30 into the close of the cash market at 4.00.

The above TOD's don't have much to do with making one point a day except that if you don't manage to make your point in the first half hour or so, you can wait for those sort of developments, especially round Fibonacci and other key SR levels to go in and get a quick point or two.

Check out the charts and see how many times there are day corrections around the 1.30 EST time period or if not 2.30 EST. You will see that they happen quite often.

Again, though, if you come up with a pretty good setup for 1 pt a day, I would love to know. Still working on it myself. Getting close, but not quite there yet. Problem is: if your goal is only one point and if you have a 2 pt stop (which is not that large in the ES market), if you are stopped out then you have to win 3 in a row to get your 1 pt. So the key to this sort of approach, I think, is to have 65% plus probability and if possible have only 1 pt stops OR LESS for 1-1.5 profit targets and also be able/willing to move the stops down quickly to breakeven so that even if some get taken out at breakeven, at least you don't have losses to make up after.

I have been starting out on the NQ which is not as liquid and orderly as the ES. But with the ES, if you get even one tick profit, that is $7.50 net of commissions. Do that 4 times and you have your 1 point a day. With the NQ you have to have a 3 tick move to get a 2 tick profit = $5.00 net of commissions so it is a little harder. Anyway.

 

[TomTom]

Mad stratogy attempting to get one point !
The risk reward is not worth the time effort.

 

[pboyles]

Mad stratogy attempting to get one point !
The risk reward is not worth the time effort.

Depends on whether or not youre risking more than one point I suppose.

I came across one training course that claims to be able to do it, havnt purchased it so cant say if its good or bad. What I do know is that taking 10 points a day on the e mini DOW ($5 per point) with a 20 point stop does work so maybe this can work too.

What is day trading? Emini Day Trading FAQs

 

[Ash8]

Yes, he says he has not had a losing day in about a year, I believe. If you can do it, it makes sense, since compounding over time (i.e. start with 1 lots then end up with 10-20) can turn into a powerful income-generating machine working an hour a day. The trick, of course, is to be able to get that one point consistently without having to lose 5 points making it!

 

[new_trader]

Does any trader know of a successful trading strategy or software able to profit 1 point per day on 1 contract day trading the E-mini?!

I've wasted thousands of dollars on useless software, indicators and mentors unable to meet this simple criteria.

Any proven advice would be greatly appreciated.

Yes, you are right. You wasted thousands of dollars on useless software and indicators. The problem is that you are searching for a 'strategy' when what you should be doing is cultivating a skill through study and practice. You don't aim to make a 1 point. You aim to become proficient at trading.

There are no shortcuts, do you see?

 

[mahlonhersh]

How about just reading the candlesticks and acting accordingly?

 

[eddiea6987]

Yes, you are right. You wasted thousands of dollars on useless software and indicators. The problem is that you are searching for a 'strategy' when what you should be doing is cultivating a skill through study and practice. You don't aim to make a 1 point. You aim to become proficient at trading.

There are no shortcuts, do you see?

your name says new_trader and under it it says Legendary MEMBER almost sounds like an oxymoron ...but anywayz nicely put ..."You don't aim to make a 1 point. You aim to become proficient at trading."
!!! that was nice lol

 

[N Rothschild]

if you cant even take a single point in a trading day your either in the wrong game or you have a hell of alot of learning to do!

 

[fantastic4]

Hey manlohersh, I haven't met any one who trade succesfully, using only signs from candlesticks. One trader I learned from said that all failed futures traders have one thing in common, they set their stops too tight. If you're only shooting for one point, I can't imagine you'd want even a full point loss. Two losses in a row, or three, and you'll already be behind a week and a half. Even the best traders experience three stop outs in a row, if I'm not wrong.

 

[wowpravin]

From what I have learnt about trading (still a newbie), it is important to be patient and wait for the most profitable setup to materialize. If we enforce that I have to earn 1 point a day, it essentially means that we have to trade daily even though the market situation is not right. - which I believe is too risky. Trading should not be treated like a job - I have fallen in this trap and paid for the lesson.

 

[new_trader]

Hey manlohersh, I haven't met any one who trade succesfully, using only signs from candlesticks. One trader I learned from said that all failed futures traders have one thing in common, they set their stops too tight. If you're only shooting for one point, I can't imagine you'd want even a full point loss. Two losses in a row, or three, and you'll already be behind a week and a half. Even the best traders experience three stop outs in a row, if I'm not wrong.

If even the best traders experience three stop outs in a row how does setting your stops "too tight" change this? You are confusing badly timed entries with tight stops.

 

[stuey]

Hey guys, what is the best/cheapest broker to use when trading teh e-mini s&p? I will only be trading 2 or 3 lots at first. Thanks and i am in england

 

[bnaimy]

Does any trader know of a successful trading strategy or software able to profit 1 point per day on 1 contract day trading the E-mini?!

I've wasted thousands of dollars on useless software, indicators and mentors unable to meet this simple criteria.

Any proven advice would be greatly appreciated.

Hey Noisy, getting 1 point on the emini is effortless and that is nothing i am just saying out of the blue. Anyone with a decent method and some disipline can do that everyday, and those who say its impossible are just full of it. I do i everyday, but far more then poor 1 point, i make a living doing this.

And then it comes to indicators and and all that stuff, just trow it into the garbage, i was for a long time using indicators and doing quite well, but now that i have seen that price action is everything you need, the indicators are useless, they only make you dissctracted on the thing that matters the most and that is support and resistance.


My suggestion is that you dont waste anymore money on software or any other things, everyone who sells indicators and books and programs, they dont trade themself, and they make all their money selling newbee this junk. If they made money , they would not need to do all this selling. Its a hard world out there, and everyone is after your money and to screw you over. They are just a bunch of thiefs, and most tradingroom, people loose money.

So this is what i suggest, send me an email to [email protected] and i will do my best to show you how to trade and actualy start making some money. And you can start taking the trades i do on sim, just to get comfortable and later go over to cash when you feel you are ready and have the confidence in the calls.

This is a offer with no strings attached, and the room is open to everyone and all can listen in to the trades being taken by me while i talk to my other buddies on skype.

I have this simple method, and thats all you need:

1500volume chart
4500volume chart

And thats all, nothing else or any indicators.

I get around 3-4 trades on average pr day.
We risk 100 to get 100, risk/reward is 1/1, but the hitrate is good so we dont
need to go for higher targets. We could go for twice that, but i am more of a scalper of nature.

This is how i scale out and have my stops.

2 contracts scaling out

First target : +6 ticks
When first target is hit, move stop from -10 to -4
Second target is +16 ticks.

4 contracts scaling out

First target: +6
When first target is hit, move stop from -10 to -4
Second target is +12
Now move stop to Breakeven
Last target is +16 ticks.


With 2 contracts, and two trade pr day, that we typicaly average you should around 40ticks that is around 200 usd.

You MUST trade 2 contracts, you can neve make any money with 1 contracts.
And i also suggest you have at least 10 000 usd in your account, so that you are only risking 1% pr trade. But if you have less, we can increase that to tops 2%, and if your account is less then 5000 usd, then i suggest you somehow increase that and dont trade before you have a decent amount. And in the meantime just sim trade.

And as i sayed, this is a offer to you with no strings attached, and if you want to take it or not is up to you, you know how to get a hold of me. I am also currently helping a few others as well.

Reason i do this is because i personaly enjoy helping new people with getting their trading in order, and its always nice to have the extra company

Anyways, you i wish you all the best and i hope you do great

WIth kind regards
Bashir Naimy

ps: i ONLY trade the NQ

 

[bnaimy]

Hey manlohersh, I haven't met any one who trade succesfully, using only signs from candlesticks. One trader I learned from said that all failed futures traders have one thing in common, they set their stops too tight. If you're only shooting for one point, I can't imagine you'd want even a full point loss. Two losses in a row, or three, and you'll already be behind a week and a half. Even the best traders experience three stop outs in a row, if I'm not wrong.

Hi Fantastic4, how your tigh your stop is not the reason they loose money, its because they are buying at the wrong level,and typicaly they base their entries on emas or some other indicators. Most traders get the direction right,but that dont mean ****, if their entry is bad, they can get stoppped and still be right on the direction.

I am not saying to use 2 tick stops, but you can easly trade with stops that are 8 ticks and still be fine. I use stops that range from 10-8 ticks, and i know that i am buying at absolutly low of a support level, and if that level breaks , then having a 20tick stop will not help you. And having a stop of around 10-8 tick prevents getting taken out by price spikes.

Its all about your entry, get your entry right and you are on the right way, and if you dont have the right entry, not even the biggest and widest stop will help you in the long term. If you are using emas and that sort of levels to get in, then your are at the mercy of the market.

Anyways, thats my take on it ,and im pretty sure i am right on this one.

With kind regards
Bashir Naimy

 

[bnaimy]

Yes, you are right. You wasted thousands of dollars on useless software and indicators. The problem is that you are searching for a 'strategy' when what you should be doing is cultivating a skill through study and practice. You don't aim to make a 1 point. You aim to become proficient at trading.

There are no shortcuts, do you see?

You are so right, to many new traders are searching for the perfect method that will effortless give you good trades. The truth is that, most of the cases its the screentime and experience that makes the method work and not the method itself.

The method is just a guideline in my eyes and the rest if up to the trader himself, and how he interpete the market and what its telling him or her.

The thing i find fun is that, when you point these things to new traders, they get defensive and as if you just shattered their dreams of rolling cash and girls LOL

If trading was easy, then everyone would be doing it and 90% ++ would not loose money and just live like kings. Trading will not make you rich over night, but it will make you rich from experience and the wealth and all that will come with time, you cant rush it.

With kind regards
Bashir Naimy

 

[N Rothschild]

how u gona trade 2 contracts with only 10,000usd?

 

[bnaimy]

how u gona trade 2 contracts with only 10,000usd?

With 2 contracts, and a stop of -10 tick equals to 100 usd pr trade, so you are risking
1% of your capital pr trade, that is something i find acceptable. 0.5% would have been better.
It all depends on your capital and what you have to play with, but my general rules is not to risk more the 1% pr trade.


But then again, i have a pretty solid hitrate and i hardly get stopped, it happend occasionally of course, its far in betwen. Since i buy at support when it gets tested for the first time, i always get a bounce, so i get my first +6 ticks, and my trade is then risk free. And if the trade goes agains me, i will loose nothing and also cover my commission.

And i dont trade right into news or any other importent announcements, news can cause price to spike true support and with my tight stops its not a good deal.

Btw, i am trading the Emini NQ, and each tick is worth 5 usd, incase that was not clear, i find the nq alot more calmer and easyer to trade, and i can use smaller stops on it.

I always take retracements to resistance or support, and the first test always hold for at least a bounce, if you get your entry right. But if you belive me or not that is a tottaly different matter, i have my own way of finding support and resistance, not normal way that people use to i guess. Cause i get my entries pretty much right on the spot, varies sometimes with 2-3 ticks at most.

I can show you how i do it, if that is of any interest, and i find the 1500v and 4500v to show me those levels pretty easly.

Looking forward to hearing from you

WIth kind regards
Bashir Naimy