How to Trade Futures:

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Elizabeth Elliott
6 years ago
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1 How to Trade Futures: Ten Steps to Success Webinar Workbook Doc Severson theotrade.com 1

2 Section One - Contracts & Markets 1. Intraday traders should start with the:. 2. The NASDAQ emini contract ticker is the. 3. The contract with the highest intraday volume is the contract. 4. The Dow Emini has leverage of per tick and per point. 5. Between the NQ and the YM, the contract has more volume and liquidity. Determine which contract that you will specialize in. 2

3 Section Two - Intraday Trading Framework 1. Most retail traders try a new trading strategy once or twice and then. 2. The first element of an Intraday Trading Framework is/are the which is/are normally documented in a. 3. The Trading Rules for a strategy are defined in the. 4. The section of the Intraday Trading Framework where data is analyzed for possible adjustments is the section. Create your intraday Trading Framework. 3

4 Section Three - Intraday Trading Equipment 1. Trading intraday futures on a small, underpowered is normally not going to be adequate. 2. It s almost a necessity to use multiple. 3. Most intraday futures traders enter and manage positions via an interface known as a or. 4. It s better to have the broker hold live orders on their vs. your. Determine if your current hardware/software/systems can support Intraday Futures Trading. 4

5 Section Four - Defining Your Niche 1. Most retail traders end up becoming a and a master of. 2. Most professional traders only prosecute one well-defined. 3. Finding your niche is simply a matter of finding the right strategy/ instrument/setup that gives you the. Define your Trading Niche with intraday futures. 5

6 Section Five - Stage One Trading 1. Stage One normally uses paper or trading. 2. The purpose of this stage is to determine if the strategy has an. 3. You will conduct and in this stage. 4. I will look for the strategy to make a specific before letting it graduate to live trading. Create a strategy and make it prove to you that it has an edge and has the potential to be profitable. 6

7 Section Six - Adjusting to Markets 1. Quiet, trending markets normally have a daily range than corrective markets. 2. Within the span of one day a chart can show as well as price behavior. 3. During quiet markets you might only get one per day. 4. I will adjust and depending on what character that the current market is showing. Ensure that your strategy is able to adapt to changing market conditions, not only on a macro basis, but also intraday. 7

8 Section Seven - Managing Risk 1. A futures contract is an trading instrument. 2. You must not run these positions or. 3. Every position should be placed with a and a. 4. OCO stands for. Learn how to manage your risk with these unlimited-risk positions. 8

9 Section Eight - Stage Two Trading 1. Stage Two is where you trade the position with capital. 2. The goal of this stage is to replicate your performance with capital. 3. is the Mother of Skill! 4. To improve as quickly as possible, don t focus on the win rate percentage, focus instead on the. Earn the right to trade live risk capital, don t just assume it. 9

10 Section Nine - The Trading Mindset 1. If we try to shortcut the process, the mind will know it and will make progress difficult. 2. If you don t believe that you have an edge in the markets, you have an edge. 3. Your Trading Mindset will come from of your chosen strategy. The Trading Mindset is one of the most powerful tools in trading; it can only be acquired through repetition and work on your strategy. 10

11 Section Ten - Scaling Up 1. Dynamic Money Management must never be employed unless you have a profit factor. 2. Dynamic Money Management can lead to. 3. Scaling up capital should be done. Employ dynamic money management once you attain consistency in live trading. 11

Trading Essentials Framework Money Management & Trade Sizing 2.0

Trading Essentials Framework Money Management & Trade Sizing 2.0 2.0 Money Management: The most critical aspect of your trading plan Money management represents the administrative side of your trading plan. It addresses the question of how best to use the capital available