Dr. Steenbarger asked to share screens used for trading in his latest blog. The screen above and the one below are the two screens that I use the most for trading purposes. The Matrix Window is used to place trades, and view the bid and ask sizes along with the volume profile of the day.
The blue lines on the 1 minute chart are 2-Period SMA's of the (H+L+C)/3 for both the ES Futures and $TICK. This helps to see any divergences between the two. The white dotted line on the futures chart is the 20-Period EMA of the close, where many traders will place trades using ATR breakouts and trends.
On the 5-Minute Chart, I color code the 30-minute intervals. The market tends to move in 5 and 30-minute intervals due to many system trades focusing on these time frames. On the 5-minute $TICK chart is the 20 and 38-period EMA's to help identify the overall trend of the $TICK. The yellow line is the 2-Period SMA of the (H+L+C)/3.
I focus on $TICK and Futures divergences, and when in a trend, will place trades when the 2-Period SMA has diverged from the overall trend, and then starts to go back into the trend direction.
I use the 620 tick chart to look for patterns and market structure.
Charles
COOL, THANKS! I guess folks now what charts I use due to the videos and the snippets. I like your approach, nice and simple! SSK
ReplyDeleteThanks Steve. It is one of the things that I learned from reading "Brain Rules" by John Medina: Keep things simple!
ReplyDeleteCharles