Tips On Picking Entry Points For The Trading For Pennies Strategy

For FullyInformed Members interested in the Trading For Pennies strategy for the IWM ETF, I have continued almost daily to trade the morning recoveries using the Trading For Pennies Strategy. Returns have been exceptional and I have only had one small loss. I have though received a number of emails from investors worried that the morning low is not going to hold.

Investor Concern On Trading For Pennies Strategy

Here is a typical email. This one is from Erik. My edits are in brackets

“Recently, the market falls in the am and rises til 13:00 or so then falls, then closes up a bit. How do you decide that when the market makes a 10:00 am (or early morning) low that you should buy calls (in IWM or Spy ETF) and not worry about the bottom just falling out. I’ve watched it for 3 days in a row and keep thinking that it can’t do the same thing AGAIN today, but then it does. I’m afraid that “today” when i buy calls it’ll decide to plunge instead of do the same old pattern. How frequently does the market hold a pattern when its waiting for something like the current stalemate in congress?

Why not SPY calls if you trade IWM calls? I’m doing well trading your Pennies strategy, excellent in fact, thanks for figuring that out for the rest of us! Thanks for all your help! Erik.”

IWM ETF Trading For Pennies Strategy Article

This strategy article looks at how I am doing my morning trades and the signals I have used. The investors who are concerned are not looking at this type of trade properly and as you will see in this article, whether the morning low marks the bottom in the market for that day does not matter.

This FullyInformed Members Strategy Article can be directly accessed through this link or Members can login here. Non-members can join here.

Trading For Pennies Strategy With IWM ETF Links For Members

The Trading For Pennies Index Page (A Great Place To Start Understanding This Strategy)

The Trading For Pennies Strategy Explained (Learn the Strategy Here)

Different Trading Platform Settings

Trading For Pennies Trade Alerts (trade alerts as they happened)

Trading For Pennies Strategy Trades For 2013

Trading For Pennies Strategy Trades For 2012