Perfect Chess and Holding the Runner | AM Briefing #824

AM BRIEFING

ES CHART | KEY LEVELS | SETUPS

PERFECT CHESS: HOW THE RUNNER GOT HELD

Last Wednesday was FOMC. A wild day that finished at a beautiful trade location where the Battle Plan only mapped longs for the close of the session. George went aggressive long at Battle Plan 3. Battle Plan 2 was another legit entry, and adding there put you into a winning trade before the real move started.

Here is the chess. He entered the train at 38.75… that is the base. Then he laddered, playing perfect chess 5 to 10 points below the RTH low, adding a fresh Battle Plan entry each time price came back to him. Because he was already up nicely, he treated the add as a lotto runner… set it at breakeven, then locked 10 points on it when it popped. Then the move came. At the high, the add-on was up 100 points and the main train was up 222 points.

Two micros held through that move is a mortgage payment for somebody. That is why we are called Micros Trader. The micros let you scale in, scale out, and hold that single runner back just in case.

KNOW YOUR BASIS WHEN YOU ADD

Here is the trap that fools traders who add to winners. George uses Tradovate. When he first entered at 38.75, that was his price. But once you add a contract and then peel that add-on off, the platform re-tabulates your entry off your LAST entry. Your original entry stops showing.

So when price came back down, his P&L flashed negative… and it was not true. His basis was still 38.75, and the add-on had already banked 10 points. A professional knows where the basis is. The screen number lies after an add… your basis does not.

BATTLE PLAN BASICS: WHAT LANDS ON YOUR CHART

Every Monday George runs Battle Plan Basics, because the same few things happen every day. He maps the boundary… the squiggly lines showing where price is looking to go, and whether the read is a long or a short. Press the number 1 or 2 on a level and a box pops up with the actual Battle Plan notes.

• Battle Plans: Published Sunday through Thursday, updated every night, so the current levels are drawn on your TradingView chart.
• Strong Levels: Created every Sunday as horizontal lines… George’s opinion of the most important levels on your chart, plus any needed nodes like the Bull Bear Line or expected range.
• Together they become the Battle Plan. Battle Plan members get both indicators. Full members get both plus five more.

The mechanic is always the same. Wait for price to drop into your Battle Plan level. Know where price is likely to bounce back in your face, which is the next Strong Level. Peel some contracts, keep a single runner. Not everything is a home run… the Boot Camp’s opening trade was a clean 20-pointer, and that is a great way to start a week.

THE OVERNIGHT AND TODAY’S READ

We opened with a nice gap up. Depending on how you count it, a 30 to 46 point gap. The Sunday opening stays a very important level and we are holding above it. London took out the Asia high. Overnight there were no Battle Plan trades in the gap itself… the Battle Plan trade was reclaiming the Bull Bear Line and getting long.

▶ Watch this moment in the AM Briefing

• 75-75: The speculator special. If you got long and want a really great take-profit target, that is the level.
• Bull Bear Line: We are laddering above it into the RTH session, so bulls control this moment. Balance for now… we need to get into RTH and see.
• RTH Halfback: Price touched it and gave a little bounce. Interesting, but with the Dow lifting and NQ not participating, we tend to get stuck. A mixed bag.

In last night’s Battle Plan George was blunt. There are no high probability Battle Plan entries here. The play is already long or flat. We finished Friday nicely at the weekly high, and the bulls responded exactly where they needed to… right where the Battle Plans were.

THE PREFLIGHT: EARN THE RIGHT TO OPEN YOUR DOM

Do not open your DOM until you have done a thorough preflight. If you are in the group, do not open it until you have reviewed the Battle Plan. George’s checklist before takeoff:

• Are you emotionally ready? Physically ready? Did you sleep well? Are you hydrated?
• Do you have the right equipment and the right trade locations?
• Do you have enough time to trade? A doctor’s appointment in an hour means Stand Down… but come watch price action with us for the love of price action.
• Have you reviewed the Battle Plan and checked the economic calendar?
• Are you prepared for a Max Loss Day?
• Will you trade your system and not your opinion?

Answer those and you are cleared for takeoff. This is a week of volatility with JOLTS tomorrow and non-farm payroll toward the end of the week, so the preflight matters more, not less.

COMMON QUESTIONS FOR ES FUTURES TRADERS

How do you manage a runner in ES micro futures?

A: Peel contracts off at the next Strong Level to bank your points, then keep a single micro runner back just in case price keeps moving. Because a micro carries small margin, you can hold that one runner through a big move without risking the position you already banked. George treats an add-on he is already up on as a lotto runner, sets it at breakeven, and lets it work.

Why hold the lotto runner instead of taking full profit?

A: Because the easiest points you will ever make come from a runner you are already up on. In the FOMC example the main train reached 222 points and the add-on reached 100 points at the high. You peel enough to lock the win, then let one micro capture the tail of the move.

What does playing perfect chess mean in the three-contract system?

A: It means adding to a winning trade at pre-planned Battle Plan levels rather than reacting. George laddered fresh entries 5 to 10 points below the RTH low, each one a legitimate Battle Plan entry, while he was already in a winning position. The board is mapped in advance, so each add is a planned move, not a gamble.

Why did the platform show a negative P&L on a winning trade?

A: After you add a contract and then peel that add-on off, tools like Tradovate re-tabulate your entry off your last entry, so your original entry stops showing. The screen can flash negative even though your true basis is far better. Always know your real basis. Here the basis stayed at 38.75 while the screen misled.

What is the Bull Bear Line and why does it matter today?

A: The Bull Bear Line is the key dividing level between bullish and bearish bias. When price ladders above it into the RTH session, bulls control. This morning we are laddering above the Bull Bear Line after reclaiming it, so the honest read is bulls control while we wait to see if RTH confirms.

What is the speculator special at 75-75?

A: It is a marked take-profit target George flags for traders who got long and want a strong exit. If you reclaimed the Bull Bear Line and went long, 75-75 is the level he points to as a great TP for that move.

Should I trade when there is no high probability setup?

A: No. When the Battle Plan shows no high probability entries, the play is already long or flat. Mixed price action with the Dow lifting and NQ dead tends to leave the ES stuck. Forcing a trade into low probability conditions is how traders give back a good week.

What is a trading preflight and why run one?

A: A preflight is the honest checklist you run before opening your DOM… are you rested, hydrated, emotionally and physically ready, do you have time, have you reviewed the Battle Plan and the economic calendar, and are you prepared for a Max Loss Day. If you cannot answer yes, you Stand Down. It keeps you trading your system instead of your opinion.

Why train with micro futures instead of the E-mini?

A: Micros let you scale in and scale out across many contracts and hold a single runner with small margin. That flexibility is what makes disciplined position sizing and runner management possible for smaller accounts. Two micros held through a strong move can still amount to a meaningful payday.

📅 Upcoming This Week

Hit the bell — every AM Briefing and live trading session this week is already scheduled on YouTube:

• Tuesday, Tue Aug 4: AM Briefing · Live Stream
• Wednesday, Wed Aug 5: AM Briefing · Live Stream
• Thursday, Thu Aug 6: AM Briefing · Live Stream
• Friday, Fri Aug 7: AM Briefing · Live Stream