This How to Day Trade guide is a comprehensive list of all the best articles and videos on Emini-Watch.com. Together they describe my day trading methodology and pretty much everything I know about Emini trading. But it’s still a work in progress.
Day trading has taken me a long time to master. But the quicker you can settle on a methodology, the quicker you can move to becoming a “break even” trader. And then once you’ve achieved that … the next level is consistent profitability and breaking out of the 9-to-5 rat race.
The articles are arranged in 9 sections. Use these links to jump to a particular section:
- Key Points
- Why & What To Trade
- The ‘Better’ Indicators
- The ‘Better’ Signals
- Money Management
- The Practicalities of Day Trading
- The Psychology of Day Trading
- The ‘Better’ Indicators on Other Markets
- Travelling & Trading
- More …
Please don’t try to tackle all these articles and videos at once. There are hours of reading and watching here. But think of this as a Table of Contents for the Emini-Watch site.
1. Key Points
If you have limited time or want to get a quick overview of Emini-Watch and the types of videos and articles you can find on this site then start here. These are probably the most directly relevant videos about How to Day Trade and how I day trade.
- How I Day Trade Emini Futures for a Living
- What Makes the Emini-Watch.com Methodology Different
- How to Read the ‘Better’ Emini Charts
- Emini Day Trading – Real-Time Video Example
- A Collection of Trading Success Stories
2. Why & What To Trade
The Global Financial Crisis (GFC) has changed everything. Your financial future is more at risk than at any time in the last 30 years. And if you don’t learn what’s going on and how to adapt and profit – you’ll be badly hurt. Get control and don’t rely on employers or pension plans.
This section of the How to Day Trade guide covers the advantages of trading over investing, why buy and hold is no longer attractive and what the end of this debt super cycle means. It then covers the advantages of Emini trading and what Emini futures are.
- Learn to Trade the Market – 5 Compelling Reasons
- Buy and Hold Is Dead … IMHO
- The Book That Changed My Life (or The ‘GFC’ Has Only Just Begun)
- What Are Emini Futures? The Essential Facts
- Why Trade Emini Futures?
3. The ‘Better’ Indicators
This section of the How to Day Trade guide has more detail on the 3 ‘Better’ indicators I use for day trading. Better Sine Wave measures price cycles and trends; Better Momentum analyses the strength of buying and selling waves; and Better Pro Am identifies Professional and Amateur activity using average trade size.
- Hilbert Sine Wave – How This Little Known Indicator Transformed My Trading
- Ditch Your Moving Averages … They’re So 1956!
- Momentum Indicator: It’s Time to Update this Classic
- Volume Patterns – How to Spot the Professionals at Work
- The Better Volume Indicator – My Secret to Analyzing Volume
- Tick Charts – 5 Compelling Reasons to Use Tick Charts
- Contract Rollover & Using Continuous Contracts
- Should I Use Emini Day Session Only Data (@ES.D) or Day & Night (@ES)?
4. The ‘Better’ Signals
This section of the How to Day Trade guide shows how to put the 3 ‘Better’ indicators together to identify the trend and pinpoint Long and Short entry signals. The methodology is still very discretionary in nature – but I hope over time to fine tune the entry rules and make them more systematic. To be honest, this is probably the weakest section of the Guide, so bear with me on this one.
- Trends & Cycles on Single Time Frames
- Trends & Cycles on Multiple Time Frames
- Signals Syncing on Multiple Time Frames
- Support & Resistance Levels – How Amateur Activity Marks a Congestion Zone
- How to Spot Winning Breakout Trades
- Trading Breakouts and ‘The Gathering’ Pattern
- Better Momentum – Emini Day Trading Video Example
- How I Interpret Professional and Amateur Bars
- Amateur Bars and RAMBO Patterns
- Trend and Tells
- Favorite Setups: Holding Above Resistance
- How to Re-Enter in a Trend
- A New Take on the Double Top
- The Stopping Volume Pattern
- The No Demand Volume Pattern
- Richard D. Wyckoff – Jumping the Creek & Falling Through the Ice
- The Volleyball Spike and Major Turning Points
5. Money Management
This section of the How to Day Trade guide covers stop losses, profit targets and preserving your trading capital. In time I plan to add articles about minimum account size and how many contracts to trade. In the meantime a couple of rules of thumb: minimize your risk by trading only with capital you can afford to lose and use at least double the minimum margin required to trade a single contract.
- Exiting Trades: Profit Targets & Stop Loss Orders
- Running Stops and Where to Place your Profit Targets
- When to Exit a Trade with a Small Loss
- How to Protect Your Wealth from Money Printing and Political Unrest
- How to Protect Your Trading Capital from Currency Depreciation
6. The Practicalities of How to Day Trade
This section of the How to Day Trade guide covers charting software options, choosing a broker, trading with a Mac, protecting yourself from technical glitches and trading while travelling. These decisions can make your life easier – or much, much harder.
- What Is the Best Charting Software?
- Running Charting Software – 8 Tips and Tricks
- TradeStation – 10 Time Saving Tips and Tricks
- How to Learn TradeStation EasyLanguage
- Trading Software for Mac
- Trading Backup – Simple 5 Step Trading Backup Plan
- Taxation – Are There Any Loopholes Left to Minimise Your Taxes?
7. The Psychology of Day Trading
This section of the How to Day Trade guide covers the psychological aspects of trading: identifying and fixing repeated trading errors, understanding your trading biases, how to deal with losing streaks, etc. Psychology is important – but not as important as having a trading methodology that successfully identifies the trend and low risk entry points.
- The 7 Deadly Sins Trading Log
- Day Trading Preparation – 3 Simple Steps
- Trading Psychology and Range Days
- Defeating my DNA or How to Re-enter in an Uptrend
- Market Turning Points – Prive, Volume & Hysteria
- What To Do When You Blow Up Your Account
- Toughen Up, This Isn’t a Game for Crybabies
- Trading Is Gambling & Other Common Criticisms
8. The ‘Better’ Indicators on Other Markets
The ‘Better’ indicators don’t just work for Emini day trading – they can be used for all markets and all time frames. The only thing you do need is volume data. So if you’re a Forex trader, switch from the Forex cash markets (which don’t have volume data) to the Forex futures markets on the CME (that do have volume data).
- Do the ‘Better’ Indicators Work on Forex? Yes
- Do the ‘Better’ Indicators Work on Crude Oil? Yes
- What Settings Should I Use for NQ, YM, TF & EMD?
9. Travelling & Trading
In the last 10 years the dream of trading while travelling has become a reality. Wi-fi is becoming more and more ubiquitous and Internet connection speeds are going up. Sure, trading while on safari in South Africa is unlikely. But more and more locations are becoming possible.
- Travelling & Trading: 8 Tips for Making It Work
- Travelling & Your Personal Safety
- Travelling & Keeping Up with the News
- Is It Possible to Day Trade from Bali? Err, No.
10. More …
Lastly, in this section of the How to Day Trade guide there are a collection of longer term type indicators and analysis. For example, the TRIN is a useful indicator for measuring multi-day swings of buying and selling activity. The weekly Commitment of Traders data is also useful for seeing very long term trends in Professional activity and identifying potential Stock Market Crashes.
- Make a Better TRIN Index in 4 Simple Steps
- How to Trade with the Better TRIN Indicator
- Commitment of Traders & Following the Professionals
- Commitment of Traders – Stock Market Crash Indicator
- Bond Market Analysis and Indicators
- Most of my rants are in this Recession or Depression thread
- The Shortest Video in the History of Emini-Watch.com
- And The Famous Beatbox Video