Hello All,
This is my first week of ever trading Futures ( Crude Oil , Specifically ) and I have a new found respect for anyone who does this for a living. There were times my nerves were shaking, due to me not being use to the leverage.
Here is my start -
Day One - Tons of
Volatility and I started to
scalp the market for a couple of hundred here and there. I turned my $4,000 Account into a 4,500 Account. I should of stopped, but this is my first day ever trading and I'm up 12.5 % on my account. It eventually turned out bad and I closed the day at around 3,700.
Day two, I had successful trades on Crude Oil and I wanted to "Check Out" Other Futures. Trading Other futures in which I had no background about was an eye opener as Gold moves very erratic compared to the High level of Volatility in Crude Oil.
Day Three - The market got in my head and I wasn't able to pull the trigger when my account dwindled down to 3,500.
Day Four - I managed to put on some trades in the European Session and got my account back to 3,700. I woke up for Work and traded the Day Session only to have it come back to 3,400.
Day Five - I really was a prisoner in my own head. The Crude Oil Market was just an absolute
all out war and I can see why people don't recommend it as a beginner. I did make a Trade and was able to Manage 10 Ticks for $ 100. That built a level of confidence again. I bought 2
Contracts at Market, from a bounce and it just continued to sell off. I ended the week at $ 3,000.
Here is the Important Part that I learned.
1.) The best entries are the hardest entries. They seem like the last thing you want to do, but they work out. These are the areas in which you know we have moved far into the Under Value/ Demand or Over Value/Supply Areas.
2.) You can get an initial reading on your entry as you purchase. If you purchase 2 contracts, entering your trade in a a favorable area is where other traders typically get in as well. This can be a great place to sell a
contract for a quick scalp as you wait for market to move in your favor. You can get a feel for the position and limit your draw down by purchasing the " Invisible " walls of volume in this market.
3.) The Crude Oil Market is unforgiving. If you miss the trade, don't click the "Market" Button. The consequences of doing that has cost me a large amount on my account.
4.) Understanding Market Profile helps me navigate this market.
5.) Having a smaller account means only taking the best set ups. The very Stretched Reversals are one that I look for and matching them up with key areas of volume.
I'm currently using
Volume Profile and
VWAP and my knowledge of Market Profile is limited.
All Feedback is Welcome.