First of all a "heads up". We had Exhaustion Buying at the end of Tuesday and we're sitting just under Resistance at 1,210. I'm going to be looking for signs of weak buying and a potential Short setup on Wednesday.
OK, now today's video is about coping with catastrophe. I was in a Long trade Tuesday and my Internet connection went out – for the rest of the day. However, I trade with "Server side" orders and so was safe. Trade worked out and my profit target was hit.
Are you prepared for an Internet outage? Watch this video if you'd like to learn about "Server side" order handling. Oh, and please forgive the spelling error (Catastrophes not Catastrophies) – I hate spelling errors on the Internet too!
If you're reading this article via email or RSS reader, then follow this link to view the Server Side Order Handling video on the website.
Emini Trading & Coping with Catastrophe (12:02)
The diagram below is explained in the video and illustrates how I use OCO (one-cancels-other) "braket" orders, parked on the "Server side", that consist of:
- Buy/Sell order executed at the Market, plus
- Profit target order (cancelled if the Stop is hit), plus
- Stop loss order (cancelled if the Target is hit)
Server Side Order Handling
Check with you broker first …
Not all brokers have this Server Side Order Handling. I use Interactive Brokers and it works. However, I’ve heard from followers and customers that not all broker order entry systems have this functionality. Check first.
Sorry, decided not to post the trade setup video – would take too long and I wanted to get this post out. Good luck with your Emini trading tomorrow.