Futures - Morning Session

Signals popped right out of the gate this morning. I had greater than 50 ticks on the YM 24-Hour Range, but less than 50 on the Morning Session Range, so my rules allowed me to take one trade to test the waters. No way of knowing if a trend is going to develop when the market happens unless you test the waters. I received momentum signals on both ER2 and YM (2 minutes charts). The 5 minute and 15 minute charts were both supportive of long positions, so I took both. Markets were fighting to make headway while they waited for the Consumer Sentiment numbers 1/2 hour into the day. The market reaction to the short side was a bit soft when the numbers came back weaker than expected, but it held up after a few minutes. Longs were able to push it higher, but there was no overly bullish sentiment coming into the market. I was able to capture my first targets, but trailed my stop on the second targets as the choppiness just didn't allow for runners this morning. I exited the first two positions +27 ticks on the YM and +17 on the ER2. I stood aside for a bit since the Morning Session Range just could not get over 50 ticks for the YM. My momentum indicator was developing a long signal as the YM was approaching the 50 tick level, so I went ahead and violated my rule to capture the run of the indicator 2 ticks before the 50 level was achieved. The result was +20 ticks on YM and +10 ticks on the ER2.

Good outcome - bad process.

My morning results are presented below:

YM: +58 ticks (equal to +$290 per one contract position)
ER2: +27 ticks (equal to $270 per one contract position)

24 Hour Range: 114 ticks
Morning Session Range: 74 ticks