A Pawn for a King

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A Pawn for a KingMicro E-mini Nasdaq-100 Index FuturesCME_MINI:MNQ1!SidgateFact or Fiction; Truth or Falsehood; 1+1 = 2 or 1+1 = ...-3, -2, -1, 0, 1, 2, 3...; Order or Chaos. The chaos caused by an explosion is recreated using math, algebra and geometry, not the other way around. We live in a mathematically designed universal. It only makes sense that a Trading Plan should use mathematical principles. A Pawn for a King Trading Plan stands on such principles. I used it to trade this most recent run up. I will use 2 contracts of MNQ to illustrate this plan, thereby making it accessible to more people. The px bounced on a very strong Support - the pink line. I got in at 24,994.5. Again, using +2 contracts of MNQ as an example. Now here is where the plan (i.e. the math) gets interesting - I sold 1 contract @ 24,994. I used 21.5 points for each target. My first target was 25,016. I sold 2 contracts @ 25,015.5. I continued this mathematical pattern for the rest of the run up - that is I added 22 points to each entry of +2 contracts and to each entry of -2 contracts. It will look like this: 24,994.5 +1; 24,994 -1 24,994.5 +1; 25,016 -1 25,016.5 +1; 25,016 -1 25,016.5 +1; 25,038 -1 25,038.5 +1; 25,038 -1 25,038.5 +1; 25,060 -1 25,060.5 +1; 25,060 -1 25,060.5 +1; 25,082 -1 And so on. The last 2 trades were -2 @ 25,390 and +2 @ 25,390.5. This left me 1L. Then the px pulled back. Using this example, you would have made $690.48 profit. Now it gets very interesting. Compounding profits kick in. At 25,390 I sold 2 contracts. I always try to get about a 200-point pullback. It bounced at support 25,192.5 - a 197-point pullback. I bot back one of the -2 25,390 contracts. 197 points x 1 contract x $2.00 per point - Commission (.91 x 2) = $392.18 profit. Then I started the process all over again using the same pattern as listed above. It looks like this: 25,192.5 +1; 25,192 -1 this is the 1 contract I just made $392.18 profit on 25,192.5 +1; 25,192 -1 25,192.5 +1; 25,214 -1 25,214.5 +1; 25,214 -1 25,214.5 +1; 25,236 -1 25,214.5 +1; 25,236 -1 25,236.5 +1; 25,236 -1 25,236.5 +1; 25,236.5 +1; This is where the trade stands right now. Profit so far on this leg: 21.5 points x 2 contracts x $2.00 per point - Commission (.91 x 4) = $82.36 x 2 = $164.72 profit Total profit: $690.48 + $392.18 + $164.72 = $1,247.38 I know this is a lot of detail and sounds confusing. Once you do this it will become very clear, and you will see the simplicity. I've given you enough detail so you can do it. Now I challenge you to demo trade it. It is very important that the first trade you enter is divisible by 2 and that the first sell order is .5 x that first entry quantity (i.e. .5 x 2) and slightly less. I make it $.50 less. If I made it $.25 less the chance of creating a wash trade would increase and I don't want to hear from the trade desk for doing so. You will soon see that this plan grows profits exponentially.