Dow Jones Futures Daytrading Complete Strategy BreakdownE-mini Dow Jones Industrial Average Index FuturesCBOT_MINI:YM1!FOMC_GodI will breakdown my exact strategy I use to daytrade Dow Jones Futures. Starting on the 4 hour chart, which is the largest timeframe I reference, I am marking out the monthly candle and the monthly cycle. In orange, is the monthly opening price. The entire goal is to take the best 10-12 trades possible within each monthly cycle. The only four indicators I use are the following: The 20 period simple moving average on both the 4 hour and the 15 minute The Monthly opening price Each Day's opening price The 15 minute ATR for position sizing There are roughly 20 trading days per month on average. Not everyday deserves to have risk put on the table. I am only looking for two types of setups in the NY session timing only and preferably after the first thirty minutes. If the market does not come to me, I am not interested. On the 15 minute chart, the two setups I look for are the following: Reversals AT/NEAR the High of Day/Low of Day or AT/NEAR the Open Continuations AT/NEAR the 20sma This is it. If price moved in other sessions, then I am not interested. Yes even though this style is still daytrading, does not mean trade everyday. You are looking for the best 2-3 trades per week. Using as an example of how I approach each month: On 4 hour chart, mark the opening price divide the month's start and end time in black vertical lines divide each day's start and end times in blue vertical lines Figure out NFP, CPI and FOMC release dates Now on to the 15 minute entry timeframe: Yes I realize this is all hindsight. The challenge is to execute in real time as best as possible. I set my system up to allow for human mistakes. Because the winners are bigger than the losses, only a couple of wins are needed to erase many losses. Here within an 8 day trading block, only four days offered any setup that fit within my rules. Two reversals AT/NEAR HOD/LOD Two continuations AT/NEAR the 20 As you can see, there were 10 best trade setups within my rules and within my trading window. You don't need to trade everyday to be successful. Now on to position sizing: I use the 15-minute ATR to determine my stop size and contract size ahead of time to eliminate all thinking when day to day executing. I keep the EXACT same position size for every trade In July, I was using 125 tick stops and 325 tick targets for 2.6 risk to reward. I go for 2.6R on every trade as this is the sweet spot between a higher win rate and big profits. At a 50%-win rate, this is an expectancy of 0.80 Very important to know what trades to take and where, EQUALLY important is when to avoid a trading day. I will show some examples of what NOT to do and WHY