How to Use My Signals

Just a reminder on how to use my signals.

As I don't know how everyone likes to trade, and  mixing it up myself, I simply publish the buy and sell signal coming from my software.  You pick what you like to trade.

I use a 2 hour chart, and it is a combination of momentum, trend and position indicators that alert me to a trade.  Once the signal fires you have a number of choices.  Example; yesterday a buy on GLD and DUST fired.

I published the signal, the price at which it fired, and a stop and a trailing stop.  My stop is based on a ATR that matches my momentum look back, and I trail using the same level.  This way if we get a trend move, we can stay in the trade and profit from it.  If not, get out and move on to the next trade. Trading is a numbers game, and stops are critical, and is most traders Achilles heel (me too when I ignore placing them).  I won't publish when the stop loss hits though. (I can't capture it, and may not be in that trade), but if I publish a trade I take, I will publish my exit.

I like to use options, so I usually take a at the money strike, two weeks out, and us the stop as a guide to exit the trade.  Sometimes I will do a credit spread to capture income opposite of the direction of the signal (do that mostly with SPY and VXX), and another choice is to use the leveraged ETF's instead, like UVXY for a VXX signal, NUGT for GDX, etc.  Your choice.

For NADEX, I stop out if price hits my strike, as NADEX does not allow stop losses.

Finally, I am now comfortable enough with a sixty minute signal for SPX to recommend ES future options. More of a swing/Climate type of trade. Stay tuned.

Good trading