Classic Rob Hoffman Trade Right Here

Welcome back, gang! As you recall, this week we’ll be on that very special cruise all week. I have students from all over the world who are a part of this, but I want to take care of all of you as well. I’ve included some special programming this week, which we’re going to start in just a moment for you. Enjoy these five videos on different methods, strategies and uses of my work and day trading and swing trading environments. You’ll see more of that throughout the week as the videos build upon each other. Enjoy this video, and we will look forward to seeing you back for our regularly scheduled program after we get back from this wonderful cruise with wonderful students from all over the world.

Welcome Back!  Here is another installment of the day and swing trading world of videos.  This is where the techniques work for both sides.  This one will be more interesting because I talk about this a lot of the swing trading videos.  However, I also use this on an intraday basis.  I even used it this week as a part of my trading strategy.  It is really important that we note that you hear me talking about it in the swing trading videos, that I also use this on an intraday basis as well.  The strategy we will be talking about is the pullback to the 35 trade.  This is important for swing traders because those who have a swing trade in place, will often find that we will pull back to the 35 where there is a pause to refresh.

There are some things you can do to enhance the probability of success there.  When it pulls back to the 35 you will see the real low stochastics.  We actually covered that in other videos as well.    If the pullback gets down to the channel, and there is a pullback with the low stochastic, those will show an uptrend with a short term pullback.  The expectation is that it will bounce off the channel.  This is really good for underlying equity players, but also to options players because this is the place where traders will choose to sell puts below.  If it trades sideways then they can still buy enough time there with collecting their premium before the expiration.  That is a very common strategy with a lot of my traders.  Whether you are trading the underlying instrument and looking for immediate gratification, or you are looking for something further out with an options trade, the key is trying to get that good 45 degree angle.  You can kind of see that here with ENDP.  You can see over the last 20 bars, you want a 45 degree angle.  This one is over 20 bars.  If you were to isolate this down to any given point you will still see that nice angle there.  It doesn’t matter if you expand it out, you will have to have a nice angle of attack.  That is exactly what we are looking at, and that I talk about when I say I want to see a pullback to the channel.  I want to see a pullback to the channel, an overdone stochastic to get me warm and fuzzy inside.  I will also look for a resurgence.  You can also play it directionally with buys and calls and sell puts.  There are a lot of different things you can do.

What happens on an intraday basis you will look for a virgin touch of the trade.  So the market has been going down and hasn’t touched the channel for quite some time.  Then all of a sudden it pulls back towards that channel.  Then it is even better when it has a high stochastic.  What we would like to see is the momentum to be red if I am looking to short.  If I am looking to go long, I want to see blue.  All of these different factors will increase the probability of success.  If it hasn’t touched the channel in a while, it is likely to bounce.  You can see multiple examples of that.  It is the same kind of concept.  So this is a great place to execute a short because you can put a stop beyond the other side of the channel.  The expectation is that somewhere in that channel it will get caught and roll back over.  The exception to the rule is that it will go back through the other side of the channel.  No matter how you look at it there is that there is a chart that hasn’t touched the other side of the channel.  You can execute at the top or the middle of the channel.  You can look for a stochastic to be overcooked down below.  That will show that there is an overdone pullback.  You will get exhausted into an area just in time there is a wonderful 35 moving average at a beautiful angle to save the day.  I use this a lot on an intraday basis as well.  That could be either an initial entry point, or an add in point.  Either way those are key points that I will use on an intraday basis.  This is just another great example that is very fractal in nature.  You can use both as a successful day and swing trader.  If you are already successful on one side of the fence, you can use it to go ahead and bolster your skill set on the opposite side.  If you are a great day trader, use it to become a great swing trader.  This is the great 35 period channel pull back trade that you will hear me talk about.

I hope you enjoyed that video and please, please don’t forget to go to http://events.stjude.org/becomeabettertrader. We gave you this wonderful opportunity to be a part of something that is very special and will help you and help charity alike.

If you go to that website, you’ll see our goal for this year is $20,000. We’ve already raised $24,525. As you guys know, I’m not one to quit and sell the charity short just because we’ve met our goal. That’s not how we do it. Please go to this website and see all the wonderful people who donated already who have helped us reach $24,525. If you go there today, you can be part of something special. If you make a $100 or more donation, you will be entered to win me for a day. Remember, we are doing that drawing on December 15th and I will be showing up at your door at Monday, December 21st. If you can’t do December 21st, we will set up a new day after the New Year.

What we need everyone to do is to make the donation and take your receipt and forward it to us at support@becomeabettertrader.com. Not only will you have a chance to meet me at your doorstep, which was very valuable to the people we did this earlier in the year for, but you also get 25% off most of the products and services on our website. That’s a huge opportunity there for you to have a win-win. You’re going to win no matter what. You’re going to get 25% off one of these great products and services and you will make a difference for St. Jude’s Children’s Research Hospital and you will have a chance to win me for a day to win me for a day all on me. I pay all the expenses to get out there and everything else. We’ve made this great commitment. It’s been great for St. Jude’s throughout the year. Please take a few moments and make this donation. Make a life-changing decision for the charity and for yourself. The drawing, again, will be December 15th to announce the winner and I’ll be at your house on December 21st to help get you going to kick the year off right.

Take care everyone!

 

 

 

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The Perfect Pause To Refresh Trade Entry

Welcome back, gang! As you recall, this week we’ll be on that very special cruise all week. I have students...

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