Every morning, BEFORE THE MARKET OPENS, I prepare The Intraday Traders Daily ES Advantage Report to give YOU a “definitive edge” over other traders. Regardless of your current trading methodology, this morning report may put some serious money in your pocket, when you understand how to use it properly. Try It For FREE For 10 Days and you will discover exactly how it can put money in your pocket.
In the report at the top of the home page of www.natebrooks.com, the report titled Understanding Market Flow explains the details how you can prepare your own morning analysis report. Use the 10 Day FREE TRIAL to compare your reports to the ones I provide for you.
What I want to accomplish in this document is to make sure you understand how to interpret the Today Price Action Flow Analysis and Comments section of the daily morning report. I will refer to the following two days, the Oct 22nd Wednesday and the Oct 23rd Thursday reports to show you the power behind this part of the report.
As day trader, you need to understand that NO ONE can predict exactly what will happen to the price action at any given moment. However, what you should know is that the “deep money pocket” professionals, such as your hedge funds, commercial banks, pension funds and other commercial investment funds, CONTROL when, how much and in what manner the price action of any instrument will move.
The “so called expert pundits” on CNBC, the Financial Times, Investors Business Daily or any other media format DO NOT KNOW why the market for any particular stock, option, futures contract or any other instrument behaves in the way it moves. Now, that does not stop them from “reporting” the reasons, after the fact, “as if” it were the exact reasons why the market is moving in a certain way, in real time. Let me make this absolutely clear…THEY HAVE ABSOLUTELY NO CLUE!
Furthermore, YOU do NOT need to KNOW why the market is moving up or down or sideways. That information does not help you make trading decisions in real time. All you have to get good at, when day trading or trading during any time frame, is to improve your ability to “react” to the information you see happen on your charts, at that very moment in time…PERIOD!
So, what do you have to “react” to when trading?
You have to learn how to properly “react” to what the “deep money pocket” professionals are doing, at that very moment in time…period!
With that said, you need to know that the “deep money pocket” professionals do operate with the intentions of tricking you and manipulating you so that you make incorrect decisions…that is one of the things that they are good at doing…they do this using mass psychology, misdirection, computerized program trading with customized algorithms, leaking incorrect or misleading information to the media and a host of other tools that they have at their disposal. Their intentions are clear…they want take ALL of your money.
The hardest two parts to learn about trading are how to find out what the “deep money pocket” professionals are doing to trick you in making incorrect decisions and then, how you can integrate that information into a final written trading plan for yourself.
In the Traders Advantage Methodology, we teach you the subtle nuances and tricks that are used against you so that you have a definitive way to approach each trading session in a way that gives you the flexibility to properly “react” to the price patterns, price tricks and psychological games that the “deep money pocket” professionals are using against you.
The purpose of The Intraday Traders Daily ES Advantage Report is to equip you with the information and tools that you need to be able to “react” properly once the “deep money pocket” professionals tip their hand(s) as to what they are really doing with the price movement. I want my students to be armed with this information prior to going into each trading session. Please do yourself a favor right now…Enroll and Use the 10 Day Free Trial so you can see for yourself how this can help you in your day trading session. You don’t have to have already taken our special Traders Advantage Methodology mentoring program to be able to take advantage of the information in this daily morning report.
The information in The Intraday Traders Daily ES Advantage Report summarizes vital information regarding support and resistance levels and provides additional information that makes it possible to consider market breadth information as well as other little known secrets regarding market’s price behavior. Please note that this report is NOT like any other report on the Internet or done by any other trainer. This is a price action based report that takes into account the secret knowledge of Floor Traders and the interdisciplinary technical analysis approach using well know concepts such as Supply and Demand Concepts, Pivot Points, Market Profile and Fibonacci Concepts combined with some advanced innovative ways of using information that you will NOT find written in any trading books. As you read this document carefully, you’ll begin to appreciate the subtlety and power of the information contain in each daily morning report.
So, what is really happening out there…every trading session?
First let me destroy another myth about the big boys. They are not all in collusion with each other (it is possible for a few of them to have the same interest in seeing the market move in one direction or the other). Many times, they have the same type of financial interest in seeing the market move in one specific direction so even though it may not be collusion, they may seem to be operating in similar patterns. Similarly, there are times when the big boys are fighting it out with other big boys who want the market to go in a different direction. And, they also have different time frames when they expect to cash in. Unfortunately, for us, they don’t have an announcement letting people know what they are doing.
What is important for YOU to understand is that there are certain price patterns and price behavior patterns that are based on mass human behavior psychology. These patterns repeat and they work for the big boys…over and over…because they operate knowing exactly how to trigger the human emotions of fear and greed…in the timeframe that they know most of the traders are trading in. Simply stated, they know what the mass are doing in the various time frames and they know how to trigger those emotions of fear and greed.
Here’s what this means to you…you will never really know WHY they are doing what they are doing and WHY they are choosing to do whatever they are doing, at that very moment. So, stop trying to figure out why or trying to understand why they are doing what they are doing (people are trying figure out the de-leveraging process, the hedging process, the liquidation of funds process, people asking for their money back, sector rotation, program trading, etc…none of this matters.) …your job is to simply “react” to what they are doing after they tip their hand as to what they are doing at that moment.
The good news is this…the “deep money pockets” professionals HAVE TO LEAVE CLUES WHEN THEY MAKE THEIR MOVE and when they make their move, they do so in REPEATABLE PRICE PATTERNS and IN A CERTAIN FLOW PATTERN OF MOVEMENT so they can trigger the desired mass psychology behavioral patterns that tricks the masses to make undisciplined mistakes that gets them to take trades in the right direction.
In the document Understanding Market Flow, I share with you various principles and philosophies used by the “deep money pocket” professionals to help you determine how to approach and understand how the market may flow in the upcoming trading session. In this document, I am going to show you how to properly use the Price Action Flow Analysis and Today’s Comments section of the daily morning report.
Let’s get started…
When the market opens up to start a new trading session…WE DON’T KNOW WHICH WAY IT WILL GO and THAT’S THE TRUTH…but, we do know, that the big boys will operate according to certain principles and philosophies that leaves us clues.
Therefore, as part of your homework preparation for each new day trading session, you should have two or three different types of scenarios outlined in your mind so that you can recognize the process the “deep money pockets” professionals, who are controlling the specific movement of price, at that specific moment in time, are using to move the prices to the desired levels and in what manner.
Once you get good at recognizing the specific patterns that are being used by the “deep money pocket” professionals, you then, use the strategies provided to you in the Traders Advantage Methodology private mentoring program to capitalize on the best trade setups that allows you to maximize your trading profits.
The most important reason I recommend that people take advantage of the FREE 10 Day Trial is so that they can begin the process of learning exactly how to recognize the various patterns that the big boys are using. This is one of the most important things that I can teach you as a day trader.
For example, in my October 22nd Wednesday Price Action Flow Analysis, I mentioned two specific scenarios for my students to watch for…I said, “926 is an important low, if price breaks this number…the next stop is about 908 and then, 875.” At 8:51 am, price broke the 926 number and went to 910…that was a 16 point move…that if you look at the charts you can see you could have easily grabbed at least 10 to 11 points of that total move. Now, when price broke below the 903 number, it went all the way down to 872. There was 30 points for the taking on that move…of which 20 points could have easily been grabbed, when you enter with the appropriate trade setup.
Here’s what my students know when I type the one line sentence…they know that I have analyzed the price flow and I am identifying specific key levels where the risk reward ratio is stacked in the favor of my students should the price action visit that area and if one of our trade setups trigger near that number. So please pay attention to the three or four comments that I make in the Price Action Flow Analysis section. These comments are provided so that you can be viewing the market from the perspective of these are the things that can dramatically increase my probability of making money in the upcoming trading session.
Now, let’s examine the October 23rd Thursday Price Action Flow Analysis, here’s what I said, “Price tested the 923 Value Area High area in the pre-market and then, bounced all the way down to 882 in the Globex Market. World markets are down…market may test the Value Area Low before heading down or it may just go down at the Open. Look for low stop points at 875…then 865…then 854…then 837…if the market breaks the 875 number.”
Let’s make sure you know how to use this information…I start out by reminding my students that one of the principles used by the “deep money pocket” professionals is that in order for price to make a new low (let’s say that is the direction that they ultimately want to take the market) it will first test a previous significant high (resistance area) to see if there are any buyers at that point ready to drive price higher. If the price point does not show buyer strength, the big boys can now start their journey to see if they are ready and able to start making new lows…so the price travels in that direction to attempt to set a new market low.
Now, if you take a moment, you don’t have to, to look at a 3 min chart, you will notice the following price flow happened…the market opened and tested the Value Area Low area to see if there were any buyers…the market reversed and went straight down to 882, just like it did in the Globex Market…that is following the same pattern that it did earlier and I identified exactly what happen and told you to be on the look out for that. A closer look at the 3 min chart should show you that the total possible points on that move was 29 points and you could have easily grabbed 18 to 20 points of that with no problem.
Now let’s look at the next part of the Price Action Flow Analysis…I say…“if price breaks the 875 number…look for 865 and then 854…” Just after 1:00 pm, the market broke through and first went down to 866 and then down to 856. On each one of those moves, you could have grabbed 4 to 5 points on each move using our trade setups.
The information I put in this one section is extremely powerful information that is designed to help put money in your pocket. Please take a moment to ENROLL IN OUR FREE 10 Trial right now…to help yourself in your trading…even if you are using your own trade setups. You’ll be glad you did!
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