Cycle Trader Pro - Trade Models

 Fade The Swing model happens more times than not.  Have you notice that the market creates a swing high/low and then on the next move in that direction it does all it can to take them out and then bounce out of there?  This is how the floor traders would trade and still do if there was a floor. Think about this, there is a swing low developed and all the retail traders were taught to put stops there. This would be they were trying to buy the market with sell stops at the swing low.  Here, the floor traders are selling hard into this level, meaning they are short into the move.  If there are sell stops there, the opposite side of the trade is a long buy order,  Go back to the floor traders being short, they need to buy to exit.  Go back to the see stops above, this is the perfect set up for the floor traders. Lots of stop order to sell to exit which means lots of buy order to buy those sells stops.  The take out the swings also sets up the following models - Divergent Lows Stab Buy/Sel

The Price Advantage model suggest to be able to buy low and sell high on a set number of contracts while maintaining a core position.  Why would you want to do this?  Simple, to lock in profits and greatly improve the average price of a current position.  How do you do this? Once you have you first Price "Fill" Advantage order in place, then wait for the market to make the move, Ball Bounce out of this move, then place you 2nd entry above or below that move plus X points. Normally 3 to 15 points depending on the market being traded. The ES would be around 3 to 5 and the NQ would be around 10 to 15 points. Get a feel for how far the market moves and pick a level you feel is reaching, but attainable.  What happens now after you get your 2nd set of filled orders? Now, place an automatic exit for the 2nd set of filled orders. This is usually the same point value that you reached for. For example, if you reached 10 points and got filled at 3350.00 to buy, then the auto exit can be

Cycle Trader Pro's trade models suggest to never go all in on your first entry level and at the same time reach for the first fill to start the trade. The first fill and how you find this price level is key to your exit price level(s) and the 2nd entry. If you have a contract limit of 20 contracts for example. The the models suggest to start with 10% of you set limits, and at the same time use the same number of contracts at each consecutive entry level. 

The Meat and Potatoes of the market is where you see where most of the OPENS and CLOSES from the following past trades.  We propose this is both support or resistance areas to enter or exit trades. Meaning, if you are above the Meat and Potatoes, then this would offer support below the market and if below Meat and Potatoes, then this would suggest resistance above the market.  This model is also where the market is likely to come back to. It can also be a C-zone where the market is going sideways.  Think about this idea, if the the market is trending down, and we recognize Meat and Potatoes below and to the left of the chart, we will suggest the market may come back to that range. This can help you decide to place long orders in this range rather than the top of the current bar.  Another scenario - If the market holds above or below Meat and Potatoes -  If the market drop below or above Meat Potatoes and holds, then this would suggest prices are being accepted and price action could co

San Francisco Effect is how the market moves up and down after you get in. This is a uncomfortable pattern, but it happens all the time.  Picture getting in your car and you put it in drive, and you expect the car to go up, and it does.  Then the car stops and starts to row back to where you started. You have hesitation in your eyes.  Then the car starts to go up the hill again past where you were before and are now happy again and cheering! Then the car stops and rows back PAST where you started, you jump out of the car, and what does the car do? It goes up the hill to the top, and you are sitting on the ground. Does this sound like trading to you?  Yes, it does... this is trading.  So, we got comfortable with these moves over time. It still is difficult to watch, we get that.   It is a mindset, and the SF Effect will never stop happening. We know this to be true. It happens many times a day, each and every day in fact.  This is how the Prophet Target model was discovered too.  https:

Never Look Back -  There are going to be times the trade did not work. It happens... get used to it. It will happen again and again. We built trade models around how to avoid this best as possible. But, it will happen. Markets will get away from you.  Our philosophy is to move on and look for the next trade.  Have the mindset not to hold yourself down if the last trade did not work out.  You got this! Trading is a personality, you can come back!  Look for a new entry model to start your next trade and make sure you apply the correct money management to each trade. In other words, do NOT go all in on any one trade. Scale into trade and out of trades.  When you never look back, you get balanced.  Take a minute, get flat the market, take a walk, come back and say to yourself. What do I see? What model(s) is happening? Then reach for a fill price to scale into trades and apply the scale-out models to lock in potential profits. https://cycletraderpro.com