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Disclamer
 

Emini future trading with the opening range. Part 2

Emini future trading is an excellent way to implement many different emini trading systems. The opening range trading is one of those systems for emini day trading.

After reviewing the first part of the opening range emini trading system (click if you missed it). We are now going to check and explore what happens when the Market opens below the previous day's value area, we will also check the rules for this strategy used in emini future trading and commodities trading:

If the Market opens below the value area while emini future trading:

  • When the Market opens below the previous day's value area, we have a chance of having Initiating selling activity in the commodities charts.
  • Click here if you don't know what the value area is and how is used as a commodity trading system.

  • If the Market gets below the opening range while emini future trading, we sell the break down to the downside, usually with a market order or a sell stop below the opening range.

    Normally I use the opening swing in the emini trading systems and commodities to determine the opening range but the first minute of trading is also good to estimate the opening range, more if you are just beginning.

  • I’ll put my buy stop order to protect my open position above the opening range high.

  • emini-trading-systems


    On a typical emini future trading day like in the chart above You can see (click to enlarge) that the Market opened below the previous day's value area giving a sell signal alert, it also broke the low of the opening range, which is our trigger to enter short.

    The stops-loss is set right above the opening range high and the profit target is 2.25 points for the emini s p, 12 ticks for the Nasdaq 100 and 12 ticks for the 10-Year Notes. (I talk more about this later on)


    emini traders


    Other days while you are emini futures trading something like the chart above could happen. As you can see the Market might "hang around" for a while after the opening range is broken to the downside signaling an entry, this is totally normal, just respect the stop losses.

    In this case the high of the opening range is broken but the stop-loss is not triggered, that is why we put our stop loss a few ticks away from the High.

    When you are emini future trading also consider that many times the high and low of the opening range serve as support and resistance for the remaining of the day, like in the day of this trade.

    Ok my dear friend now let's talk about the…

    Rules for emini future trading the opening range:

    1. E-Mini S&P 500

      Long Trades:

    2. Buy when the emini s p gets above the opening range, as long as they are opening above the value area.
    3. Place your sell stop 1.00 point below the opening range low.
    4. Place your profit target 2.25 points above the opening range high
    5. Short Trades:

    6. Sell when the emini s p gets below the opening range, as long as they are opening below the value area.
    7. Place your buy stop 1.00 point above the opening range high.
    8. Place your profit target 2.25 points below the opening range low
    9. E-Mini NASDAQ 100

      Long Trades:

    10. Buy when the E-Mini NASDAQ 100 gets above the opening range, as long as they are opening above the value area.
    11. Place your sell stop 5 ticks below the opening range low.
    12. Place your profit target 12 ticks above the opening range high
    13. Short Trades:

    14. Sell when the E-Mini NASDAQ 100 gets below the opening range, as long as they are opening below the value area.
    15. Place your buy stop 5 ticks above the opening range high.
    16. Place your profit target 12 ticks below the opening range low
    17. T-Bonds and Notes:

      Long Trades:

    18. Buy when the 10-Year Note gets above the opening range, as long as they are opening above the value area.
    19. Place your sell stop 5 ticks below the opening range low.
    20. Place your profit target 12 ticks above the opening range high
    21. Short Trades:

    22. Sell when the 10-Year Note gets below the opening range, as long as they are opening below the value area.
    23. Place your buy stop 5 ticks above the opening range high.
    24. Place your profit target 12 ticks below the opening range low

    OK my friend now that we know the rules, there are additional consideration that we should consider for emini future trading the opening range.


    Click to check those considerations while emini future trading the opening range.

    Click to go back to Part one of the opening range emini trading system.

    Click here to go back to Futures Trading How To


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  • Reader's Testimonials

    First I must congratulate you on a very successful and useful site. It is practical and really helps to trade with confidence. Excellent work. Trust me when I say this...

    I have gone through thousands of sites before I came across your work and indeed it is commendable. I have one question for you. After drawing support and resistance lines on the 30 and 5 minute chart, do you then focus on a 2 minute chart and take your trades based on candlestick patterns?

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