• "Joseph spends his time trading the global futures markets and working with his growing community of lifetime members to help them achieve their own personal success as professional traders using the simple and effective James Wave Trading System™.
• Beginning in college, Joseph has been a student of the markets and a mentor to his members for almost 8 years, and still considers his method of trading to always be evolving.
• It wasn’t until a friend asked Joseph to teach him to trade that he began the process of writing the materials that would soon end up as the foundation of the James Wave Trading System™.
• Joseph’s expertise is trading the E-Mini ES & YM (CME) and the DAX (EUREX). He focuses on short-term trades, often considered "scalping," which aims to make profits quickly, avoid risk, and capitalizes on small fluctuations in price that happens throughout the day. "

•  The Advanced course builds on the solid foundation laid in the Beginner & Intermediate courses and introduces the James Wave Trading system. The James Wave Trading System attempts to exploit the fundamental elements of every liquid market, fear & greed.
  
  Because every market is a creation of mankind, those markets must abide by the same fundamental laws that govern the way in which we think and act on our emotions as human beings.
  
  Using these fundamentals as our foundation for our methodology, this system executes intra-day trades on any global futures markets.
  
  This course will focus mainly on our favorite market(s), the S&P E-Mini (ES) and the DAX of the EUREX exchange, which has (in our opinion) the most potential for a day trader because of its liquidity, its large trading ranges, and its high percentage trade set-ups that occur numerous times each day, giving us plenty of opportunity to make a wonderful living while maintaining a conservative and disciplined approach in everything we do.
  

• Los Angeles, CA – The School Of Trade has just announced the launch of a Free 3 week trial for prospective members. According to Joseph James, School Of Trade Head Educator, "Our 3 week trial is one the most extensive and transparent in the industry because we know that learning our methods will be an important decision in your journey to becoming a professional trader and we want you to know the facts before signing up"

• The James Wave Trading System efficiently produces profitable traders by delivering a unique combination of the vital emotional & technical discipline required to be a trader, and using that discipline to execute high percentage trade set-ups according to their simple set of trading rules, which results in consistent daily profits for traders of all skill levels.
  

Technical Indicators + Discretionary Trading Rules = Day Trading PROFIT!

By Joseph James, SchoolOfTrade.com

“Your job as a Day Trader is to identify the times in the market that offers us the highest percentage of winning opportunities; technical indicators identify these times, and our simple rules allow us to capitalize on them consistently.”

What are technical indicators?

• Used primarily by short-term day traders, technical indicators apply a specific formula to the price of a security. These ‘indicators’ look to predict future market direction by using previous price patterns.
• Example of the most common technical indicators includes Moving Averages, Relative Strength Index, Stochastic, MACD and Bollinger Bands.
• Day Traders use these ‘indicators’ to identify specific times in the market when the opportunity for winning trades is the greatest.

What are Discretionary Trading Rules?

• Discretionary trading rules are one of the most important aspects of consistently profitable day trading. Just like any business, you must have a business plan or a set of specific instructions on how to run your business.
• Everything from start-up capital, research and development, operational expenses and even the re-investment of your profits or the management of losses are included in this plan.
• Professional day traders use their rules like a roadmap to success, just like a small business owner uses the business plan they wrote. A disciplined use of this set of ‘rules’ results in a day trader taking only the trades that meet his/her specific trading criteria, and nothing else.
• Just like a small business owner would never buy inventory for a product they don’t sell, a day trader must practice discipline to avoid the trades that do not meet his/her criteria, and to only take the trades that have demonstrated the highest percentage of winning results.

Profitable day trading is as easy as 1-2-3!

1. IDENTIFY: Technical Indicators identify the time in the market when you see the most opportunity
2. CHECK RULES: The trader then consults with his/her discretionary trading rules to identify this as a trade opportunity that he/she wants to take.
3. EXECUTE: The trader executes & manages the trade according to the discretionary rules, always making sure to stay within his/her rules, and never allowing emotions to do the trading instead.

“The mark of a professional trader is left by the trades that he/she doesn’t take, and our Wave Indicator combined with our discretionary trade rules provides new and experienced traders with the discipline and focus they need to accomplish remarkable trading results.”

• The SchoolOftrade.com provides our members with ALL the technical indicators they need at NO ADDED COST, and this includes our WAVE INDICATOR.
• One of the most powerful technical indicators available, the Wave Indicator is offered exclusively through the SchoolOfTrade.com to our lifetime Advanced Members.
• This indicator gives both LONG & SHORT trade signals, but most importantly, it gives you the ability to use a simple set of Discretionary Rules to filter out only the very best opportunities to trade

What is it?

• Tape Reading is the study of raw price action as it comes across your time & sales window, and is considered by most to be the ‘purest form of the market.’
• The term tape comes from ticker tape; print out by the ticker tape machines available since 1870s which reports the latest trade/bid/ask update information.

How it’s used:

• Predict short term price changes by examining price and volume information as it comes across the ticker tape.
• Most effectively used at potential turning points in the market to gauge overall market sentiment and help determine the future direction of price.
• Traders use this to see confirmation of a potential trade set-up, or a heads-up that a set-up should be avoided.
• Also used as an indicator of when momentum has dried up, signaling a trader to take profits or to limit his/her risk on a position.

Benefit to the trader:

• Filter out the highest percentage set-ups
• Confidence in your entries
• Know when to exit a trade
• Maximize profits on each trade
• Limit the risk on each trade

What to watch:

• Speed of the orders
• Size of the orders
• Order Condition

Learning to read the tape is a vital part to becoming a successful trader in the long term, and understanding how to learn this skill can be difficult if you don’t know what to look for.

Learning to read the tape is as easy as 1-2-3!

First, know what you’re looking for…

Find a pivot point

A pivot point is nothing more than a specific price level for the market you are trading, and we will use this price point as a reference.

The most common pivot points for this would be the open, high or low of day, and previous close levels.  We use these specific levels in the market to watch how price action reacts in and around these areas.

If we see that price action shows bullish patterns around the high of day, that will tell us we should expect to see the market try to rally through the highs of the day.  In other words, this tells us the overall market sentiment at these levels.

Reaction to Price Moves

Successful traders always trade the reaction, rather than the move, and reading the tape allows them to really tune-into what really drives these moves.

For example, if price is trading in a specific sideways trading range and then breaks out of this to the up-side, the experienced trader knows to stay away from getting involved on the initial move up, but rather pays close attention to how the tape reacts to this move.

Using simple price patterns at these extremes, the trader can get a better feel for the sentiment in the market, and make educated trading decisions based on this reaction to the increase in price.

Conviction in the market

Are buyers met with equal amount of sellers?

Are the sellers having a hard time keeping up with the buy orders?

Is price forcefully moving through levels of support or resistance?

Is price flirting with support and resistance levels, only to be swatted back and forth like a paper napkin?

Price patterns on the tape solidify conviction in the market and give the trader more confidence getting involved with the current short-term trend.

On the opposite side, conviction on the tape can also give the trader an indication that the current move has ended, and they need to be prepared to see a potential reversal

Second, use simple patterns to identify these opportunities

As traders we use predictable and dependable patterns on the tape to make educated trading decisions.  These patterns are easy to see on your time & sales window if you know what to look for.

Use these simple patterns to develop your skills:

Pattern #1:  The Lift-Off!

Characterized by a breakout of range-bound price action, this move up is quick, and on increasing volume, followed by a small pullback down, only to be taken up again by increased momentum on the buy-side.

In this example, you could use this pattern as confirmation for a LONG entry in the market, or as an indication that you should be covering a short position.

Pattern #2:  Got-Ya!

Characterized by a sharp move out of its trading range, usually on low volume by small retail traders in the market, and is met with great resistance from larger-sized traders who quickly take advantage of this opportunity to get into the market at a great price, and the retail traders pay the premium on it.

In this example, this pattern shows little confirmation, which is an easy give-away for traders to stay away from the up-side b/c the buyers didn’t bring enough conviction to the market and the sellers are ready to make them pay.

Don’t get fooled into a long position on this, wait for the conviction to show you where to go, and in this example, you would want to short this jump up in price once you see the sellers take control.

Pattern #3:  Confusion

The most common pattern we see, this pattern shows no concrete direction, no conviction, and no volume in any given direction.  Traders who can see this pattern know to wait for more conviction in the price action as to where the market is headed.

In this example, the experienced trader waits patiently to see a pattern develop, knowing that this lack of conviction in the market increases the risk on a potential trade exponentially.

“If you can’t see a pattern on the tape it’s most likely the confusion pattern, and in any case, you need to avoid it…”

Third, use this knowledge to make educated trading decisions…

Professional traders use the tape to better-understand the overall sentiment in the market participants, and we use that knowledge to make educated trading decisions in our trading.

• Execute with Confidence:
  • Reading the tape increases your confidence to pull the trigger on your trades by giving you the ability to know what the other traders are thinking.
  • Wish you had the ability to speak with the other traders in the pit?  You do when you read the tape!

• Know when to hold ‘em, and when to fold’em:
  • Know when to exit your position, or when to let it run using the information you gather from reading the tape.
  • Using specific ‘pivot points’ as a reference, you will better understand what other traders are thinking as price moves in your direction, and you can use this information to know whether you need to exit your position or stick around for the ride!

• Understand your stops and targets:
  • Ever wonder why you got stopped out of a trade?
  • Ever wonder why you get some targets filled and some do not?
  • The answer lies in the tape, and your ability to read and understand it.
  • Using the tape, you’ll know more about why a trade didn’t work out, or why you barely missed a profit target, or even when to move that target closer to price to ensure you get filled.
  • Remember, the markets are anything but random, and price always moves with purpose, it’s your job to interpret the tape to understand why.