The Futures Trading Mastery
Course Part 3 - Finding High Probability Trade Setups
Welcome to Part Three of The Futures Trading
Yesterday we discussed how discipline is critical if you are to become a successful futures
trader and why a lack of discipline will guarantee failure in the trading
industry. If you missed yesterday's lesson, you
can read it here.
Today we are going to look at the third critical distinction between
professional, profitable traders and everyone else...how to identify high
probability trade setups.
Futures Trading Coach
But first of all I would like to personally congratulate you on making it this far in the course. By
learning and implementing the ideas and strategies you learn here you will have
a very good chance of becoming the profitable futures trader you know you can
So what is a high probability trade setup? The simple answer is when you have a higher probability to succeed in the trade.
The setup is defined as a set of rules that are pre-determined prior to entering a trade. An example of this could be a typical double bottom formation. This formation may cue you off so that you take the trade setup.
The chart below shows a classic double bottom formation. Notice the
powerful, explosive move out of the formation once it confirmed...
We also have double tops that act at times as great setups. The key is to understand why a trade setup is the pre cursor to entering the trade. When we see the same patterns occur day in and day out, we must take advantage of these setups so that we can profit from this potential.
There are literally dozens of trade setups that I look for and when spotted I have a finite amount of time to enter that trade. You will learn all of the setups as I have without all of the pain and suffering that I have gone through over all of these years.
My favorite trade setup is when there is a continuation of the trend. The setup occurs at times by a retracement of one
to three points in the opposite direction of the trend.
At that time you will see the setup that tells you to enter the trade so that you can participate in the trend continuation.
The chart below shows a typical series of trend continuation setups that
would have resulted in good profits for anyone knowing what to look for...
It can be very difficult to spot trade setups when you don’t know what you are looking for.
I will show you the proper way to take advantage of the easiest trade setups in the business. I am not saying that it will be easy but we will make it easier.
Another one of my favorite trade setups is a head and shoulders formation. I will show you how a head and shoulders formation forms and what to do when you see it.
A setup in and of itself is not enough of a reason to enter a trade. There are other indicators that need to fall into place before you can take the trade. I will teach you all of the secrets that I have learned.
A lot of traders ask me why I am so patient when I trade so I tell them the exact reason. The reason I am patient is
that my desire to have discipline allows me to wait for the proper trade setup.
Trading is a methodology that can be extremely rewarding if you follow all the rules that make a trader successful. I will teach you all of these rules as well as my personal rules that have never been released before.
You owe it to yourself to learn all of the trade setups. All of the trade setups are different for all traders. You need to know which ones make the most sense based on high probability.
The reason we trade is for profit. You need to learn the smartest ways to trade so that you can maximize your potential gains on every trade.
Rules in trading are our special bible. We create this bible by knowing all the rules or we lose and the losses can be dramatic.
Important Note: I've had a couple of
readers email me and ask whether the Free 30 Minute
Personal Trading Consultation I'm offering would be worthwhile for them.
If you were wondering too, my answer to them was this. "What if just
one idea I shared from our time on the phone together meant you discovered the
answer to a problem that had been causing you problems for months (or
And what if by working out how to tackle that one thing that had caused you
so much grief, your trading results were completely turned around?
If your trading results aren't as good as you know they could be, don't put
this off. To grab one of the remaining spots for your Free Consultation, book
yours now by using the form below and together we can work on getting your trading
results up to where you want them to be.
When we see each other again we will discuss the rules of executing a trade. Have a great day and I look forward to our forth part of your Futures Trading Mastery
And don't forget, if you have any questions about anything we've covered so
far in this course, please feel free to call me on 954-464-4100 or you
can also contact
me by email through this form and I'll get right back to you.
Until tomorrow, take care,
Futures Trading Coach.com
P.S. By acting now and booking your Free
30 Minute consultation, you could be trading profitably faster than you every
thought possible. Book your spot now using the form above so we can work on your trading together.
P.P.S. The question you're probably
asking is ... Is it worth my time to talk with Sam? ... OR ... "What
if he can't help me improve my trading?" Well think about this:
I've helped many traders who were having problems either developing
a system that worked for them or they had a proven system but following
it was the problem.
What if 3 months from now you were successfully trading the market of your
choice because of some insight I shared in this Free consultation. Book your spot now and let's get to work solving it for
U.S. Government Required Disclaimer - Commodity Futures Trading Commission Futures and Options trading has large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the futures and options markets. Don't trade with money you can't afford to lose. This is neither a solicitation nor an offer to Buy/Sell futures or options. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this web site. The past performance of any trading system or methodology is not necessarily indicative of future results.
CFTC RULE 4.41 - HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN.
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HYPOTHETICAL PERFORMANCE RESULTS HAVE MANY INHERENT LIMITATIONS, SOME OF WHICH ARE DESCRIBED BELOW. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN. IN FACT, THERE ARE FREQUENTLY SHARP DIFFERENCES BETWEEN HYPOTHETICAL PERFORMANCE RESULTS AND THE ACTUAL RESULTS SUBSEQUENTLY ACHIEVED BY ANY PARTICULAR TRADING PROGRAM.
ONE OF THE LIMITATIONS OF HYPOTHETICAL PERFORMANCE RESULTS IS THAT THEY ARE GENERALLY PREPARED WITH THE BENEFIT OF HINDSIGHT. IN ADDITION, HYPOTHETICAL TRADING DOES NOT INVOLVE FINANCIAL RISK, AND NO HYPOTHETICAL TRADING RECORD CAN COMPLETELY ACCOUNT FOR THE IMPACT OF FINANCIAL RISK IN ACTUAL TRADING. FOR EXAMPLE, THE ABILITY TO WITHSTAND LOSSES OR TO ADHERE TO A PARTICULAR TRADING PROGRAM IN SPITE OF TRADING LOSSES ARE MATERIAL POINTS WHICH CAN ALSO ADVERSELY AFFECT ACTUAL TRADING RESULTS. THERE ARE NUMEROUS OTHER FACTORS RELATED TO THE MARKETS IN GENERAL OR TO THE IMPLEMENTATION OF ANY SPECIFIC TRADE PROGRAM WHICH CANNOT BE FULLY ACCOUNTED FOR IN THE PREPARATION OF THE HYPOTHETICAL PERFORMANCE RESULTS AND ALL OF WHICH CAN ADVERSELY AFFECT ACTUAL TRADING RESULTS.