The levels and rules of the Model Trading Plan are for educational purposes only. They are intended to demonstrate (and improve) the efficacy of EdgePlayer Trading indicators and methods. They may also be useful to traders developing their own methods. However, the levels are not trading recommendations and should not be traded on without fully understanding how they were arrived out and what risks are involved.
For 09/28/2016 9:30 EST release (subject to revision prior to 9:30 EST)
Initial Support/Resistance Levels for S&P Emini Contract:
Note:Due to the lack of volatility, I am extending my vacation another week until 9/30. During this period no pre-market levels will be posted.
WARNING: S/R levels within 4 points of the Open are subject to getting overshot on the Open and are riskier. These levels are for discretionary traders only -- the Model Trading Plan does not trade these levels.
General Model Trading Plan Rules:
1. 3 contracts are traded and scaled at +3, +5, +7 points.
2. All trades are front run by 1 tick (0.25 points).
3. All trades use a stop loss of 2 points.
4. A trade is exited at break-even if it goes 1.75 points in the intended direction and then returns to the entry point.
5. Counter-trend trades are not taken on trend days. Instead, the model waits until a level has been broken (by 3 points) and then enters on a re-test in the trend direction.
6. Trades are taken only during the pit session and only before 3:30pm EST.
7. No trades are taken when there is news of war, terrorist attacks, nuclear meltdowns, etc.
8. No trades are taken just before or just after FOMC announcements or the release of significant reports (including FOMC minutes)
9. No trades are taken after 2 successive losses.
10. The average daily range over the last 10 trading days must be at least 10 points.
For detailed Model Trading Plan rules see the Trader Training page.