2 Active Trades at Same Time
What happens when two separate day trading systems produce buy or sell signals around the same time? Do you exit your original position? Do you double-down on your original position? Do you take the additional trade and refrain from touching the existing trade?
The above video explains the DayTradetoWin price action approach using the Atlas Line and Trade Scalper trading systems. The Trade Scalper produced a Long signal at 3147. Two ticks later, the order was filled. Remember, scalping involves many short/quick trades. However, we were in this trade for longer than we’d like. You can see how price approached the profit target but backed away. Fortunately, the Atlas Line jumped in with a trading signal of its own. It, too, confirmed the buy (Long) direction. With this in mind, another Long trade was placed. Again, the order was filled within two ticks of the entry price.
What about the profit target? Do you think the profit target should have been greater for the second trade? Avoid being greedy. John Paul used the same profit target for the second (Atlas Line) signal.
In total, both trades totaled a +4 point win. This is without any broker or exchange fees. Recall that each E-mini S&P 500 tick is worth $12.50. Four ticks constitute one point. Therefore, $12.50 * 8 = $100. In total, 10 contracts were used (five for each trade). Lastly, $100 * 10 = $1,000. Not bad for a few minutes of trading! Remember, not every can trade 10 contracts. Even if you have the requisite funding in your broker account, practice trade with a sim account, then move two one contract before investing everything you have.