It has been a few months since my last posting, but we are still at it, at Sniper Day Trading. I just took a break from the many years of posting hundreds of articles and updates, but things are still moving nicely with the training, mentoring and coaching. With that all said, the topic of trading without indicators often comes up and I have written about it before but as an update for those who may have missed some of those past postings here again are a few thoughts I will share.

Trading without indicators within the Sniper Day Trading Method is a foundational truth for us within the trading group. It is the bedrock for our confidence to put on and take off trades. That foundation is found within the price bars themselves as current price projects three levels of insight for us to move on.

We explore possibilities first, probabilities second and a strong likelihood that price will move to certain targets and areas. Trading is so conditional in that when a condition is met, only then can you move to take an action. Doing so before hand reduces you to just guessing and you hold no trading edge in that.

In looking at the market you must first uncover trading possibilities. Conditions like, “If this, then that” scenario’s. If you don’t do that work, when conditions change, you will many times not be able to change with them. You could easily be stuck in a mindset where you want the market to follow your trading script and you then blind yourself from seeing anything that will conflict with your conclusions and desires of price movement.

This is a very big danger and with just this alone, could ruin many traders. Being aware and open-minded to changing conditions and having your opinion held only loosely is key. This sounds like something simple and obvious, but you would be surprised how so this is not the case. Let this point sink in deep, as it is big principal to remember.

Guide-to-Trading

Keep and hold your opinions about market direction loosely because things change and you have to be willing to “LET GO” of your desire for price performance. By letting go, you open your mind to see what price is really doing and not what you want it to do. So, keep that in mind.

Look at all the different possibilities for price to break and move to key levels. If price breaks at X, then is could very possibly go to Y. As it then starts happening, you can see it unfold and then confirm. When that happens, it then moves to the strong likelihood that it will get to Y and so you can place a mental or hard exit to cover and lock in your profit for the trade. If you don’t see it ahead of time, you won’t be able to hold to the target because you did not open yourself up to the “possibility”.

Keep an open mind to possibilities at all times as that will lead you trading probabilities which then leads to the strong likelihood that price will complete the task. This is what we have as traders to anchor our decisions. Holding the trading edge as we view the markets is what we seek. because we can never achieve certainty. We only have statistical edges to work with, which is enough going forward.

The price of a stock or trading instrument will tell you the ”likely path of price” eventually, but you need to wait and allow it to do the work, which then allows us to see these likely moves.

There are always two forces at work in the markets. Traders who are long and short at any given time. They place sell stop orders to limit loss and protect profits when long and they place buy stop orders to limit losses and lock in gains when short. Knowing where those stops are ahead of time tells us where certain shifts in price are going to take place. I often call this, “turning points” within the price action.

One could say, “so, how do you know where those stops are”?  People are instinctive in their thinking and tend to react within the herd mentality. That being true, let me give you one simple way that could give you some insight. If you were long at any given point wanting the price to go higher, where would you place your stop to protect your account equity. The answer to that question is also the same place others are likely going to place their stops as well. If you think the opposite from the public you are going in the right direction.

Most traders will lose money. If most lose, they lose it to the few who can think in the opposite from the herd. There is a language the market speaks, but it is not conventional to most. Where traders are placing a stop to get out, you may be placing a stop to get in. See, its just the opposite. The fuel that drives their stops from getting hit and taking traders out is in part the same fuel that is propelling price in your desired direction. The additional buyers who come on board is added fuel, as they start to come in after you. When it becomes more obvious the price is going higher, you are looking at your exit point to leave and take your handsome gains while the trader on the other side is still hoping and wishing price to come back as he is now in an emotional tailspin, no longer able to think clearly and rationally.

Trading is not easy, but one certainly can learn how to read, understand and position yourself to capitalize on the predictable habits of others, which then can become your gain.

Sniper Day Trading does teach all the above mentioned market behavior to where you can pin point your entries and maximize your gains. 1-2 hours is usually more than enough to find opportunities that keep your risk very low, mixed with good percentage rewards. This method works with stock, currencies and commodities in all time and price interval charts. The foundation starts with price and understanding the rhythm of the market and offers you the opportunity to trade without indicators if you so choose to.

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