Jack Broz tells it like it is to new traders

Education, The Opening Print

boot-camp-bondsWhen we had the Tuesday webinar—my part of the MTS 1-week boot camp—we discussed how to use the information I share with traders in the MrTopStep room.

The first chart you see is the bonds; when I joined Frank and Kathy on the 12:30 update I said “We’re long at 05 targeting 22”. [Editor’s note: if you caught the bulk of that trade the profit was about $375—more than the monthly cost of the Trading Room. Please see the disclaimer below.]

I also said to sell the SPs at 1690.


As traders, all we want is opportunity (movement in the markets we choose to trade), reliable platforms (DOMs and charts that reflect current trading conditions), and our tool box of tradeable information.

Well, bootcampers – if I was the drill sergeant I would take your boots from under your bunks and throw them in the muddiest, most stagnant water I could find – and then make you polish them. And then I’d do it again.

The question was asked in bootcamp, “How do we start thinking like [professionals] and not like retail?”

Now, before I answer, please understand that I don’t blame you for your predicament…and let’s address the situation from a couple of angles and see where you fit in.

On one hand you’re like a kid in a candy store – you have finally found what your trading has been missing – and you’re so ecstatic that you’re just enjoying yourself for now and chatting with everyone and listening to Danny’s stories. Okay, I get it – and you’ll get to work sooner rather than later.

Another part of the platoon is made up of those of you who can’t let go of what you’ve previously been exposed to—and seem to be reveling in sharing it with everyone. Again, I can’t blame your group, but I fear for it.

I can’t blame it because, for the most part, the trader-speak, jargon, and inability to see trades is because of WHO you have previously been exposed to: the non-professional educators and traders who make up 90% of what is available in the realm of “trading information.” But you need to stop because now you’re with the pros. Listen and watch how the pros trade. As we said in bootcamp, trading is putting information together. Look for consistencies in the information given and act on it.

So spend your time scrolling thru the posts for the market(s) you trade and gleaning the price levels the pros are talking about. Don’t get bogged down so much on “is the price support or resistance?” Make your main focus the price. Does anyone else have it—give or take a couple of tics? Does a third person have it? A fourth? That should be a good spot for a trade.

What are the pros discussing as their bias? Are the majority bullish? You better buy. Bearish? Find a place to sell. And don’t give a hoot about the reasons; the key is that there are likely a myriad of reasons. Just like in the pit when the brokers for Merrill, Goldman, and Morgan were all offering 2000.

By the way, SPs went 85.75 offer on that trade.

[Ed. note: this trade was worth over $200 per contract. I know, because I did the trade as well. It is not hard unless you make it hard. We can teach you the focus you need.]

Disclaimer: this article is for information and education only and is not a recommendation to buy or sell any financial product including futures contracts. Results are unique to the writer. Your results may vary. 

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Jack Broz (273 Posts)

Jack Broz has been a CBOT member since 1996. He trades bond, note, and SP futures from his booth on the trading floor. As a lead trader in the MrTopStep IM-Pro Trading Room, he shares trading ideas, price levels and breaking news live from the floor with our other professional traders and new traders eager to experience the power of collective intelligence. Join us today and get the edge only social trading can give you.

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