Tue ES MES Technical Analysis & Trading System 12/10/2024

Preparing ES Emini and MES Micros Traders To Trade In Our S&P Trading Room

Welcome ES MES Futures Traders

Good morning, traders! Happy Tuesday, December 10th. Tomorrow marks CPI day, so today might be a rest day—or it could surprise us with a strong trend. If the market moves, don’t resist it; just go with the flow.

Today’s Scripture

“In the beginning was the Word, and the Word was with God, and the Word was God.”
The Word equals Jesus, who became flesh and dwelt among us, full of grace and truth. (John 1:1)
This scripture is beautifully written, and my wife and I are studying the book of John this month. It’s a great way to reflect during December.

Trading Tip of the Day

What do you control?

Size – Adjust position size appropriately.
Location – Decide whether to enter at the 3-minute level, the greedier 1-minute level, or a breakout point.
Management – Define your response if the trade goes against or in favor of you. Follow a structured plan, just as a pilot does in emergencies. Standardizing your procedures is crucial for consistent results.

Market Insights: News Drivers

Today’s key drivers include OPEX meetings. However, tomorrow’s CPI will dominate focus. Given the contract rollover week and upcoming FOMC and OPEX, expect volatile and potentially unpredictable price action. Trade cautiously and avoid forcing trades.

Yesterday’s Review

The group had an excellent day yesterday, with several traders achieving 10-point wins, both long and short. Key takeaways:

Patience is key. Waiting for the right setup often pays off.
Discipline matters. Traders like Caleb adhered to their plans, exiting trades at predetermined times, avoiding greed.
The bull-bear line served as a pivotal point, with trades bouncing off it repeatedly.
Observing index confluence helped make smarter decisions, such as avoiding low-probability trades.

Today’s Analysis

The bull-bear line remains a critical level, showing significant activity overnight. Markets are above VWAP and holding within the lower distribution, but indices like ES have retraced overnight liquidity, suggesting a cautious bullish bias for now.

Keep your charts clean and structured:

Mark key levels like RTH high/low, halfbacks, and significant trendlines.
Stay engaged with your charts as trading is both art and science.

If the market trends upward, look for potential longs around meaningful levels with confluence. On the flip side, watch for signs of exhaustion for potential shorts.

Bull-Bear Scorecard

Overnight Trend Line: Bulls
Session Stacking: Bears
Above VWAP: Bulls
Overnight Halfback: Bulls
Yesterday’s Range: Bulls
Index Confluence: Bulls
Liquidation Risk: Bulls

Final Notes

Stay patient, wait for the right setups, and manage your trades with precision. Trading is a journey of discipline and adaptability. Remember, hours of boredom often precede moments of sheer excitement.

MORE INFORMATION:

Terms To Know for Futures Traders

ES Futures, MES Futures, CPI day, contract rollover, FOMC, VWAP, bull-bear line, liquidity, trendline, fair value gap, session stacking, market confluence, breakout levels, risk management, trading discipline, volatility, patience, trade management system, price action.

ADDITIONAL LINKS:

AM Briefing Playlist Archive

Commodity Futures Trading Commission. Futures and Options trading has large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the futures and options markets. Don’t trade with money you can’t afford to lose. This is neither a solicitation nor an offer to Buy/Sell futures or options. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this web site. The past performance of any trading system or methodology is not necessarily indicative of future results. CFTC RULE 4.41 – HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN. Testimonials Disclosure: Testimonials appearing on this website may not be representative of other clients or customers and is not a guarantee of future performance or success. Risks Associated With Trading IMPORTANT DISCLAIMER By continuing with the Core Strategy Academy, Discord, and Zoom you also acknowledge and accept the following information: The material in this course is general in nature. It does not constitute personal investment advice or personal trading advice. Any advice provided is general advice only and does not take into account an individual's risk profile or financial situation. The author of this course content is not legally qualified to give personal investment or trading advice. Although the author is an experienced and consistently profitable trader and the information offered within this course is given with the best intentions and made to be as accurate as possible, the author has no idea what your financial situation is and everyone has a different tolerance for risk and different investment goals. The purpose of this course is to teach you how use technical analysis to assist in your trading, it is not intended to teach you how to trade even though many lessons do share practical techniques based on real-life trading experience. The lessons in this course are provided as hypothetical trading examples, not necessarily ones that are profitable or robust. While the creator of these lessons has used some of these techniques to generate profits in the past, it is not guaranteed that you will experience the same results and past performance is not indicative of future performance. Trading involves the risk of loss as well as the potential of profit. It is generally advised by successful traders to never risk more money than you can afford and are willing to lose - both on a trade-by-trade basis, and a portfolio basis. You should seek independent financial advice from a qualified professional in deciding if trading is appropriate for you. Please also consider the appropriateness of that professional advice in light of your own objectives, financial situation or needs. ALL MATERIAL HAS BEEN PREPARED BASED ON INFORMATION BELIEVED TO BE ACCURATE AT THE TIME OF PUBLICATION. SUBSEQUENT CHANGES IN CIRCUMSTANCES AND THE MARKET MAY OCCUR AT ANY TIME AND MAY IMPACT THE ACCURACY OF THIS INFORMATION. PAST RESULTS ARE NOT INDICATIVE OF FUTURE PERFORMANCE. Information containing hypothetical or simulated results has limitations and may not represent actual trading. Since the trades presented in simulated backtests have not actually been executed in the market, the results may under or over-compensate for the impact (if any) of certain market factors, such as lack of liquidity, large spreads, slippage, commission costs etc. NO REPRESENTATION IS MADE THAT ANY TRADING STRATEGY WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN IN HYPOTHETICAL BACKTESTING RESULTS. You should carefully consider your objectives, financial situation, needs, psychological and emotional fortitude, and any other relevant personal circumstances when determining whether or not trading is suitable for you. Trading is not for everyone, and for some there are much easier ways to make money from a side-hustle or career more suited to their personality and situation. Trading is exceptionally difficult to succeed at, with a remarkably high failure rate. So please do your own due diligence to protect yourself and your capital from unnecessary losses and damage. Seek advice from a qualified professional (such as a financial advisor) if you feel uncertain about your decision to begin trading. THE RISK OF LOSS IN TRADING SECURITIES IS LIMITED TO THE AMOUNT INVESTED. HOWEVER, THE RISK OF LOSS IN TRADING DERIVATIVES (SUCH AS FUTURES, CFDS, FOREX ETC) MAY NOT BE LIMITED. THIS MEANS YOU MAY LOSE MORE THAN YOUR ACCOUNT BALANCE OR THE AMOUNT REQUIRED TO HOLD AND CONTROL THE PARTICULAR DERIVATIVE, ESPECIALLY WHEN EMPLOYING LEVERAGE. THE HIGH DEGREE OF LEVERAGE THAT IS OFTEN OBTAINED IN FUTURES, OPTIONS, FOREX AND CONTRACTS FOR DIFFERENCE CAN WORK AGAINST YOU AS WELL AS FOR YOU. IN OTHER WORDS, THE USE OF LEVERAGE IS A TOOL THAT CAN LEAD TO LARGE LOSSES AS WELL AS LARGE GAINS. WHEN USED PROPERLY THIS CAN BE AN ADVANTAGE, BUT WHEN USED IMPROPERLY AND CARELESSLY IT CAN RESULT IN CATASTROPHIC LOSSES - OFTEN RAPIDLY. This brief statement cannot disclose all the risks and other significant aspects of securities and derivatives markets. It also does not cover the many risks inherent in cryptocurrency trading - such as lack of regulation, potential liquidity issues, high volatility and various third-party risks. It is YOUR responsibility to research and decide whether or not to accept the risks involved in the particular market or asset you choose to trade or invest in. IT IS YOUR RESPONSIBILITY TO CONSULT YOUR FINANCIAL ADVISOR TO DETERMINE WHETHER TRADING IN SECURITIES, CRYPTOCURRENCIES OR DERIVITIVES PRODUCTS IS APPROPRIATE FOR YOU IN LIGHT OF YOUR OWN FINANCIAL CIRCUMSTANCES. Good luck with your wealth creation journey, and please take this information seriously. The graveyard of failed traders is large and ever-growing, and that is largely due to these warnings being ignored and the many dangers of trading not being respected.