Emini Trading, Christmas and the New Year to come …
We hope everyone had a great Christmas and enjoyed some quality time with their families! We thank you all for the cards, and emails!!
We have not been day trading this week. In our Trading Room we are doing Q&A sessions and getting ready for the New Year! Frankly, the system has produced one and done trades yesterday and today. However, the volume is extremely light – and that’s to be expected this time of year and I really do not want to trade all day long. Lower volume and low volatility simply means less trades our emini trading course will produce. Normally we get a TON of emini trading signals a day. However with the low volume it’s probably about half! My point is: I don’t want to take one or two losing trades and have to stare at a screen all day long trying to recover from losing trades.
Again, I was actually wrong. We could have traded and had 2 great, quick trading days. When I make a rule – I stick with it! So I am personally waiting for next year before I start trading again.
I’m also curious to see what happens. China had an unexpected rate hike over the weekend, we had a big blizzard which helped the lower volume – yet the market is making highs! I am reading a lot of concern about this market getting ready to go into “correction mode” and I am beginning to believe this rally will be over soon. I remember quite some time ago, Art Cashin said we would see a rally and it would be one heck of a rally – he was right. Here his Art’s views today: http://www.cnbc.com/id/15840232?video=1713529895&play=1
How does that play in to my trading system? Well, to be honest, it’s a good thing. If the market starts to correct, we will see more short sellers and stop orders being hit – which equates to MORE volume and more volatility. So really it’s a good thing for a day trader! Remember that since July we’ve done nothing but rally! Just something to consider!
Consumer Confidence shows a surprise drop in December as noted by CNBC.com : http://www.cnbc.com/id/40827894 So we have a lot to watch out for! The market seems to ignore the housing market and the job markets and focuses more on QE2. So we may very well be ready for a correction.
In any event we are ready to trade for a living like we always do!
Cheers and happy trading!!
David
Emini Trading Results 12/27 & 12/28/2010
