ES & MES Futures Trade Plan #381

COMMON QUESTIONS FOR ES FUTURES TRADERS

What is the Bull Bear Strong Level and why does a reclaim matter?

A: The Bull Bear Strong Level is the line in the sand on the ES chart. Above it, Bulls control. Below it, the Bears have the ball. A reclaim means price dropped under that line, then climbed back over it and held. That is the signal longs want to see. Battle Plan 2 in this plan is built on exactly that… two RTH lows from the breakout candles, and any reclaim of the Bull Bear Strong Level gets a long trader interested. Range Rules Rule.

What is a Strong Level and how do I use one?

A: A Strong Level is a price where ES has proven it will react. Buyers or sellers showed up there before, so we expect them to show up again. A Strong Range is the same idea stretched across a few ticks, like 7,801.50 to 7,796.50. You do not trade the number blind. You wait for price to get there, watch how it behaves, then act. This week’s levels run from 7,820.00 at the top down to the 7,629.00 to 7,627.00 range at the bottom. Hand draw them on your chart if you are not on TradingView.

What is the Preferred Trade in this Battle Plan?

A: Battle Plan 6 long. That zone is the top of an old range we traded many times, so I become very, very interested in longs there. The ideal entry is a reclaim of 7627. If price pushes deeper and then climbs back over that number, that is the long. Battle Plan 4 and Battle Plan 5 sit above it and are almost the same trade, so be careful knife catching up there… if we get that far, I hope we make it to Battle Plan 6.

What is the ES Expected Range?

A: The Expected Range is the options market’s forecast for how far ES could travel this week. It comes from the SPX at the money straddle applied to the front month futures. This week the implied move is plus or minus 82.60 points, about 1.07 percent, which puts the range at 7,638.15 on the low side and 7,803.35 on the high side. Use it as a boundary for targets, not a promise. In the last three weeks we have only hit the Expected Range once.

What does Core Strategy mean on the Scoreboard?

A: Core Strategy is the Full Member playbook that runs alongside the Battle Plan levels. It is a set of pattern based setups, like the 3 minute FS FVG that paid 40 points on Friday. The rule after a trade like that is simple. You close down and call it a day, especially on a Friday. Green Over Greed. Take the win and protect it.

MICROS TRADER BASICS

The Micros Trader Mission

The mission of Micros Trader is to transform speculative traders into disciplined risk managers. Markets should be treated as a business… with process prioritized over profits and capital preservation placed above all else.

This room was built for traders who want to improve. Who demand they improve. Green Over Greed is the operating standard. No Level, No Trade is the rule. Together We Trade Better is the result.

Learn more about Micros Trader →