MY TRADING ALGORITHM

1. TRADING PRODUCTS
• Futures (CME/NYMEX) – CL, ES
• Up to 20 trades per day.
• TRADING VOLUME: 1

2. LEVELS THAT I TRADE

• Mirroring
• Limit player
• created by FB
• Consolidation
• INCR. POWER - round number, mirror, fb, consol.
• I DO NOT TRADE FLOATING LEVELS!!!!!! IF I SEE ONE I RUUUN!!

3. STRATEGY – DAY TRADING

Searching models:
• False break - PRIMARY
• bounce - SECONDARY
• Indicators - single signal system (ONLY FROM THE LEVEL)
• KEEP INDICATOR RULES BY MY SIDE
• KEEP LEVEL TRADING RULES BY MY SIDE

4. TRADING VOLUME
• FUTURES 1 contract per trade (in the beginning) - Keep the "money risk" equal.

5. REMEMBER
• Follow the rules 100% – PRIORITY
• Do only what I see and not what I THINK
• Always use stop loss that will not exceed 100 $ per trade.
o ES – 2$ STP
o CL – 10 cents STP
• Always use take profit (move STP into profit).
 • Follow the RULE 3 to 1 (At 10 cents STP – 30 cents TAKE)
• DON’T GIVE MORE THAN 25% OF YOUR PROFIT

TIME TABLE
08.00 – 10.00 –

• Mark/check relevant key levels in D1, H4, H1.

• Go through yesterday’s trades. Analyze all the mistakes of previous trades and record all
trades into STATISTICS.
• Previous close of S&P500, Dow Jones, NASDAQ and compare them with Asian and
European markets.
• Go through the Economic Calendar and write down the time of the news on a sticker.
• Highlight on the sticker the news of specific sectors.

10.00 – 16.30 – TRADE, This is the time for Smooth movements in futures CME/NYMEX.

16.30 – 17.30 – Take screenshots of made trades and the reason for opening position at that
particular price.

HOMEWORK (after work)

• Print screens of all trades for the day (labels of open/close, stop loss) and the reason why
I have entered and closed at that particular price/level – PRINT OUT.
• Analyse mistakes, negative trades and statistics make adjustmants to
ALGORITHM??
• Compile correct and understandible STATISTICS
• Before the trading session indicate on 5min charts the following labels:
1. Max. price of the last week.
2. Min. price of the last week.
3. Max. price of the current week at the time of trading day.
4. Min. price of the current week at the time of trading day.
5. Close price of previous day.
6. Max/Min Price of previous day.

TRADE ONLY WHEN I SEE A STRUCTURE THAT I UNDERSTAND.

EXAMPLES:
Entry points:

LONG

1. Set out BUY-stop order after the break of level going down!
2. Entry on the 2rd bar of false break.

COMMENTS: In this example you can see even after falsebreak the price tested the
support level 4 times.

3. Entry long at after 4 bars testing the price after each bullish movement. It looks like
stairs, after making one step up the price stops for 3-4 bars and then moves again.
COMMENTS: This model does not give full confidence that the price will continue rising.
It’s signals for entry are the weakest among other given examples, as it has the possibility
to change the direction at any time.

SHORT

1. Entry on the 4th bar after false break (or strong limit)

2. Entry on the 2rd bar of falsebreak.

COMMENTS: As it can be seen the bars tested 5 times the resistance level after the
falsebreak. However, it must be noticed that the first two bars before the falsebreak
confirmed that there is a resistance level. The 5 bars after the falsebreak confirmed that it
is a strong resistance level. Even though, the bars did not test exactly at the same price.

IMPORTANT: AS I HAVE NOTICED FALSEBREAKS MAKE THE

PARTICULAR LEVELS (SUPPORT/RESISTANCE) STRONGER. IT
GIVES YOU MORE CONFIDENCE THAT IT MAY BOUNCE BACK
FROM THAT PARTICULAR PRICE.

PROCEDURE:

1. Levels
2. ATR
3. Range
4. Local trend
5. FB / Bounce / IND signal
6. PTE
7. TP / STP / SIGNAL in opposite direction

IMPORTANT: At the same time always check the distance of the price from
resistance/support level, as the price may be reaching the new high/low of the
previous year. In this case, the price can make a huge bounce/retrace from
that level. IT IS VERY RISKY TO TRADE BEFORE STRONG LEVELS,
WHICH ARE CONFIRMED NOT ONLY ON 5 MIN CHART BUT ALSO
ON DAILY.

RISK MANAGEMENT.

3 Negative trades per day – END OF TRADING DAY!

25% loss of profit - END OF TRADING DAY!

STP equal to 100$ per each instrument:

CL – 10 cents

ES – 2 $

EXAMPLE OF A TRADE
1.Stop loss (2% from price)
88.74 : 100 * 2 = 1.7748
2. Backlash (20% of stop size)
1.7748 : 100 * 20 = 0.35496
88.74 – 0.35 = 88.39 - POINT OF ENTRY
88.39 + 1.77 = 90.16 – STOP.
3. Take profit (3 to 1)
1.77 * 3 = 5.31 – amount of profit points if 3:1 is reached
88. 39 – 5.31 = 83.08 – TAKE PROFIT.
SCREEN:

ALWAYS TRADE IN A POSITIVE MOOD, WITH NO

EMOTIONS! :))))))))))))))))

BREAKING THE ALGORITHM = you deserve to suffer