http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/http://www.fxstreet.com/education/http://mediaserver.fxstreet.com/images/fxstreet-provider-logo1-en.gif7http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-11-17.htmlSince my last article, the market volatility has begun to pick up and we are experiencing much larger average daily ranges (average price range from High to Low) in most of the Futures markets. For example, the E-mini S&P had a 14 point average daily range several weeks ago and now has an average range of 24 points. On average, each day the E-mini S&P trades in a range that offers $1,200 from High to Low per contract. This creates great opportunities and also means we need a method toTue, 17 Nov 2009 13:25:59 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-11-17.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-11-10.htmlHow many times has this happened to you? You see a trade setting up. Every condition you look for is present; it's time to take action. But just before you click the Buy/Sell button, that nagging doubt begins to set in... You have second thoughts. Suddenly, you're mired in negative what ifs, and before you know it, the market does what you expect and you are not participating. As the market begins to gain momentum, your frustration builds until the thought of missing the move becomes soTue, 10 Nov 2009 12:24:12 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-11-10.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-11-03.htmlFor those of you that have been in my classes, you know that I am a big believer in having a trading plan. Before you start trading with your hard-earned money, you must have this trading plan to create rules for you to follow in this sometimes unstructured career of trading. Once you have this plan, you no longer have to be thinking about what to do next once you enter your trade. You see the setup and take the trade, knowing exactly where you want to exit with a profit, how you are going toTue, 03 Nov 2009 12:00:58 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-11-03.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-10-27.htmlSince my last newsletter was published, I've received some great emails. Some of them were in response to my last article, and one was written by one of my recent students who asked some very good questions pertaining to trading strategy. Since I believe the answers to the trading questions have very good educational value, I'm going to dedicate this missive to responding to those inquiries. I'm also going to share with readers some poignant responses to my last piece, "Discipline TranscendsTue, 27 Oct 2009 10:38:15 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-10-27.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-10-20.htmlOnce we have our Trading Plan written and we are ready to commit our hard-earned money to the markets, we must keep track of our results and how we came about them. Notice that the Trading Plan came first. This will give us the rules and structure we need to survive in the markets. The Trading Journal will document for us how well we followed our Trading Plan and the results. The Trading Plan is a very effective tool to improve your trading when used on a daily basis. With each day, you willTue, 20 Oct 2009 10:30:51 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-10-20.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-10-06.htmlLet's imagine you are going to build a house. Most of us would not have a clue where to start without some kind of plan to follow. In this case, the plans are called blueprints. Without these blueprints we will be lost as to what needs to be done when that big lumber truck pulls up and unloads a couple of thousand board feet of lumber on your lot. Obviously, there is a lot of expense in building your own home and you certainly don't want to waste anymore material than you have to. Some of youTue, 06 Oct 2009 10:51:46 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-10-06.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-10-13.htmlIt may seem a bit premature to begin talking about the holiday season and the end of another year, but before you know it they will be upon us. With that in mind, it's time to reflect on what has transpired both in our trading and personal endeavors over this year. As we do our review, we must ask ourselves what changes can be made to continue to improve all facets of our personal and professional lives. During the upcoming time of reflection and festivity, temptation is abundant - as bakedTue, 13 Oct 2009 10:32:29 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-10-13.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-09-29.htmlHow many people do you think would attend a trading seminar that advertised teaching to lose small? Or, how popular would a workshop be that was dedicated to extolling the virtues of preventing big losses in the financial markets? My guess is that unless there were a lot of incentives (perhaps a free trip to Vegas or a flat screen TV), not many people would show up to these events. The reason - no one likes to hear about losing. Losing conjures up feelings of failure and pain, and since mostTue, 29 Sep 2009 11:44:59 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-09-29.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-09-22.htmlAverage True Range is another tool I have in my toolbox for trading. Having different tools available to you will allow for making adjustments to your trading strategy as the market conditions change. There are hundreds of tools and studies one can apply to their trading strategies. I don't recommend you have so many that you become paralyzed when it comes time to pull the trigger for entering or exiting a trade. Markets do change and we must adapt when they do. Knowing how and when to useTue, 22 Sep 2009 11:28:25 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-09-22.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-09-15.htmlIt's been approximately a year since the near collapse of the US financial system. The causation and blame for the crisis has been written about ad nauseam, and the debate ranges on as to what the solutions are. If you were long (owned stocks and/or mutual funds) as were the vast majority of people during that time, you probably shudder at the thought of reliving those terrible days. That was when 401k's, IRA's, and other investment accounts were literally melting away daily, and investorsTue, 15 Sep 2009 11:04:37 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-09-15.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-09-09.htmlAt first blush, you might think the title of this piece may be better suited for a Country-Western ditty, but in actuality, it's on old saying that is widely used among floor traders on the major stock and commodities exchanges. The reference is of course the contrarian point of view held by most professional traders. One of the prominent themes I'm continuously writing about is that of being a contrarian thinker. Getting people to change their perception, and think against the grain ofWed, 09 Sep 2009 11:39:48 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-09-09.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-09-01.htmlMany times people come into the trading arena because they lost their jobs, are looking to supplement their incomes or think this is an easy way to make money. Trading is much like any other business in the sense that you get back what you put into it. I feel those who come into trading treating it as a part-time job will struggle tremendously. With a business that has a statistic of approximately a 90% failure rate in the first 6 months, you must work very hard to survive in this field. IfTue, 01 Sep 2009 10:51:56 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-09-01.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-08-25.htmlI've been crisscrossing the country teaching for Online Trading Academy in the last few weeks, and have met some terrific people (both students and staff) at the various centers. One thing I've found that they all have in common is their eagerness to gain more knowledge as to how the markets function, and how they can apply that information to their trading. I think it's commendable that these folks (students) are willing to make an investment of both time and money in an effort to improveTue, 25 Aug 2009 12:24:13 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-08-25.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-08-18.htmlOne of the hardest tasks a trader faces is exiting his trade if it is profitable. Obviously, if we have a losing trade our protective stop will take us out of the market with a small loss. This is how the professionals stay in the trading business so much longer than the inexperienced traders; they manage their losses. Many times we are trading one contract and when the price comes to our exit price we start wondering what will happen when we get out. Will the market keep going and will I missTue, 18 Aug 2009 10:38:48 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-08-18.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-08-11.htmlAs traders, we are always looking for an edge in the markets. This week we are going to focus on finding this edge through the market entry technique that we use. You could always enter the market at the current price with a market order if you like, instead of waiting for a more optimal entry point. Over time these types of entries will cost you in terms of slippage and higher cost of doing business. One price tick slippage does not sound like much until you add up all your trades at the endTue, 11 Aug 2009 10:21:03 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-08-11.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-08-04.htmlThis week I would like to discuss a few steps I like to use when selecting a commodity to trade. These tools will help you stay with your trades a little longer by having several fundamental factors in your favor, instead of just getting in the trade and taking a few pennies out of the market. Step 1: Seasonal The first thing I like to do is review the Moore Research Center, Inc. (MRCI), weekly trade selections based on seasonality. There are usually 7-8 Futures trades or 6-7 Futures SpreadsTue, 04 Aug 2009 10:09:51 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-08-04.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-07-28.htmlAs the temperature outside rises, market volatility continues to decline. The daily ranges are becoming smaller and smaller—which from a day trader’s perspective --means that the opportunities for big intraday moves are becoming less frequent. This translates (at least for those of us that love volatility) into not much fun. Of course, this could change quickly, and when the ranges do expand again --the proper adjustments have to be made. In my experience with new traders, I have found theyTue, 28 Jul 2009 12:25:06 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-07-28.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-07-21.htmlWe, as traders, tend to put ourselves in pressure situations more often than we would like to admit. This has been going on for so long that for most of us, we feel there is no way to eliminate these situations, but there are many ways we can successfully react to the pressure. In this article, I would like to help you recognize these potential pressure situations and prepare you well in advance of when they actually occur. A potential pressure situation is one in which the consequences ofTue, 21 Jul 2009 10:33:37 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-07-21.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-07-08.htmlIn my last article, I talked about traders with and without trading plans and some of the different types of trading days we as traders can expect to face on any given day. This week, I would like to go a little deeper into knowing one's self and recognizing signs of revenge trading. By knowing our strengths and weaknesses, we can anticipate how we may act when a circumstance arises while we are trading. Even if we have a perfect trading plan that under most conditions we follow, we still needWed, 08 Jul 2009 10:40:10 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-07-08.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-06-30.htmlAs many of you have noticed, the stock index Futures have had a drastic cut in volatility since their all-time high volatility in October. At that time, the ES (E-mini S&P) had an ATR (Average True Range) of approximately 90 handles (full points). That is about $4,500 per contract from the day's low to the day's high. Today, the ATR is about 20 handles or $1,000 per contract from the low of the day to the high of the day, almost an 80% haircut. With this decreased volatility comesTue, 30 Jun 2009 11:10:55 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-06-30.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-06-23.htmlIn this newsletter, I'd like to share with readers a fantastic email I received from Jon, a student who attended an E-mini class I taught at Online Trading Academy Irvine recently. Communications like this are what make being a trading instructor so gratifying. The following are excerpts from Jon's email: Hi Gabe, Thank you so much for your class and motivation on teaching us how to trade E-minis. You really did a great job and I could tell you gave a lot of yourself by teaching and stressingTue, 23 Jun 2009 11:55:07 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-06-23.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-06-16.htmlAs measured by the Volatility Index (VIX), the market's rate of change over the last seven months has fallen dramatically. The chart below shows the steep decline in the VIX from the unprecedented levels seen last fall. A simplified explanation - I'll leave the more complex details for our excellent options instructors - of the Chicago Board Options Exchange Volatility Index (VIX) is that it is derived from the calculation of the weighted average of implied volatility for Standard and Poor'sTue, 16 Jun 2009 11:02:52 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-06-16.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-06-09.htmlOne of the big attractions to Futures trading for many people is the low start-up cost involved with funding their accounts to day trade. Unlike Equities, where you have to come up with about $30K to open a day trading account, you can open a Futures account with about $5K and control Futures contracts worth hundreds of thousands of dollars. Many Futures brokers will let you day trade with margins, good faith money you deposit per contract to trade, for as little as $500. This also attractsTue, 09 Jun 2009 12:23:41 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-06-09.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-06-02.htmlRecently, my family and I got new puppy. He's been a great addition to our household (although plenty of work), but the cute little fellow is well worth it. Ever since he became part of our home, he got me thinking about the animal spirits that drive some of our decision-making. By this, I'm referring to the term coined by the famed British economist John Maynard Keynes in which he essentially attributes the irrational, illogical behavior of humans for the constant boom and bust cycles marketsTue, 02 Jun 2009 12:34:59 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-06-02.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-05-28.htmlSeasonal Patterns are simply cycles in a Commodity's life that repeat on a consistent basis year after year. This creates opportunities in outright Futures or Spread positions that fall in an optimized window in time. All Commodities are grown, mined, drilled, consumed, produced, etc. These products are based on growing seasons, weather, driving, heating seasons and many other factors affecting supply and demand. Since there are periods when these Commodities are needed by consumers orThu, 28 May 2009 06:33:30 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-05-28.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-05-20.htmlEver notice how your trading is going along very nicely and then, like somebody threw a switch, you start having equity draw downs for no obvious reason? What I am about to discuss will most likely answer some of your questions. By being aware of the three barriers I will discuss in this article, I believe you can understand why we seem to hit the wall in our trading sometimes. Every trader, at some point in their career, has experienced one or all of these barriers. Even after we haveWed, 20 May 2009 13:15:06 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-05-20.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-03-03.htmlThrough my years of trading, one thing I have found is that one strategy does not fit all. We all have different risk tolerances and monetary goals. One of my goals in each E-mini Futures class I teach is to show the students a strategy and have them take it home and use it as a foundational starting point for defining their own strategy. My style is to follow the trend and enter on pullbacks. You could call this style Intraday Swing trading. This works for me because it fits my personality,Tue, 03 Mar 2009 15:14:59 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-03-03.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-02-25.htmlOf all the facets of trading, perhaps the most challenging is properly exiting a winning trade. I've lost count of how many times I've seen first-hand, or have heard of, traders and investors committing the cardinal sin of turning a hugely profitable position into a losing one, simply because they lacked an exit strategy. In terms of identifying entry points and placing stops in the market, most traders become somewhat proficient – after extended periods of practice. Putting together, and mostWed, 25 Feb 2009 09:35:44 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-02-25.htmlhttp://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-02-19.htmlPivot Point analysis originated many years ago in the grain pits. Before the Pivots, all that the pit traders had to trade off of in reference to yesterday's range was the sacred High, Low and Close. Pivot Point analysis was designed to give the trader a reference of where today's prices are in relation to yesterday's prices. Since traders were not allowed to have electronic devices in the pits during trading hours, this was a big help. Of course, back then, even the smallest electronic deviceThu, 19 Feb 2009 09:46:05 GMThttp://www.fxstreet.com/education/related-markets/contact@tradingacademy.com (Online Trading Academy)http://www.fxstreet.com/education/related-markets/lessons-from-the-pros-futures/2009-02-19.html