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Jake Bernstein

ETS “Lucky” 13 www.jakebernstein.com

Profits from Clarity Saturday 29 October 2011

Session 1 of 8 Welcome new Attendees What we will do and how and why Methods and Signals Review of Seasonals for October November Seasonals: Futures, Spreads Friday-Monday Gold Pattern and Trade Euro FX Day of Week Trade Year End Pattern Psychology Corner Bonehead Moves Account Review And more

© 2011 by Jake Bernstein 800-678-5253 831-430-0600

My mission

Has taken me all over the world

What I found and why I care

The bad news about trading with facts –

accountability

The good news about trading on opinions –

everyone can find an excuse

The bad new about trading on opinions -

excuses don’t make money

The good news about trading on facts – facts

don’t lie and they are somewhat scientific

What we will do and WHY?

HOW to find your trades daily

The Friday - Monday Gold trade continued

2 NEW Day of Week trades - rules and application

Fewer markets... but MORE FOCUS

The BEST SPREADS - low risk, high potential reviewed each week

The DECISION MAKING process: what, when and how

COT major changes review... every 2 weeks

Seasonal trades for the week and month

Position sizing: when to increase - when to decrease

Markets and methods

Psychology Corner – Psychoanalysts Couch

Bonehead Moves

Goals and Procedures To provide you with a solid, 100% clear and

objective rule-based approaches to trading with

consistency and reality

To avoid anything that requires judgment or

interpretation, perception or opinions

To show you specific trading methods, systems,

risk management procedures, and profit maximizing

strategies

To do so in a way that assists you in becoming an

independent and professional trader or investor

To show you my decision-making process and

many of my trades based on the rules presented

during the sessions

To show you that my highly researched and rule-

based strategies are effective moneymaking tools

that you can use in virtually any market and in

virtually any timeframe

To answer your questions as best I can within the

context of my methodologies

To explore and explain the behavioral and/or

psychological aspects and limitations of trading

To examine and find solutions for specific errors

that traders commit which limit profits and

increased losses

To give you a solid structure within which all

trading decisions should be made

All of this based on my 43+ years of trading

Methods and Systems

Here is a synopsis of the methods and systems I

will use and teach and review

MAC moving average channel – for position trades

and swing trades in stocks and futures

8 OC: short-term timing method for stocks and

futures

MD power of momentum for entering trades in any

timeframe at or near significant tops or bottoms

Seasonal trades in stock futures and spreads

Specific day of week patterns such as the Friday

Monday gold and Thursday Friday European

currency trades

I will make specific trades based on these methods

in one or several of my trading accounts and I will

show you ahead of time (as often as possible) what

I plan to do, why, the rules, procedures, the risk, the

profit maximizing strategy and more

Tuesday through Thursday I will send you a report

that updates positions and/or changes in trades

again based on what I will teach you

I will discuss account equity during the session but

my goal is to accept the challenge that faces all

traders who seek to be successful in today’s volatile

markets. In other words my focus will be on

accurate trades risk management and profit

maximizing

There will be no hocus-pocus, “looks like”, analysis,

Fibonacci, Gann, Elliott wave, market geometry,

astrology, Mayan calendar, Nostradamus

prophecies, Magic numbers, Kabbalah, or other

rubbish that is nonspecific and non-testable – this

includes traditional chart patterns and formations

which simply stated just do not work

Finally, my job is first and foremost to manage risk.

If I am effectively managing my risk I will end up

making money by following the profit maximizing

strategy.

Session ground rules

Please be on time for every session. I will usually

begin exactly on time

Please ask me questions if anything is unclear.

Jump in at any time. If I can’t answer you at that

moment I will get to your question as soon as

possible. If the question is too long to answer in the

session or if it is not related specifically to the topic I

will ask you to e-mail me your question

I ask you please to not engage in too much chatter

with other attendees while I’m doing a presentation

since this can be distracting to all of us

Please do not be afraid to ask questions. These

sessions are truly all about you and making you

better at what you do

All sessions are recorded and available to you

usually within 24 hours after we end

I ask you please do not share this information with

anyone who is not a paid client since this will not

only be unfair to me but may also hurt you. This

information is protected by copyright and I will

aggressively pursue anyone who violates my

copyright privileges and rights

In the rare event that our Internet connection

temporarily fails please wait and I will come back to

you as soon as possible

If you have any technical questions or need

technical assistance with your subscription or

connection, login, etc. please send a private

message to either Marilyn or Ray who work with

me.

The accounts

A few of my stock accounts

The trades I want you to learn how to do

The constant rubbish and nonsense we have

subjected to all day and sometimes all night

long…

“We feel as if the market is top

heavy here but if we cross below

the 200 day MA* then we might

correct to support levels if the

risk on trading strategy returns

but overall we believe that there

is value near current levels if

Fed policy remains as is”

Track Record 200 day MA in S&P

200 Day MA IBM

SBUX has pricing power which

makes it a good candidate in spite of

the current rise in coffee prices. We

would be buyers on a scale down

basis as we enter a period of

stronger demand and seasonal

strength. Additions to the menu will

boost earnings unless of course we

enter an economic recession in

which case all bets are off…(blah

blah blah blah bs)

What increase?

Suddenly…Mr Cramer is a chartist

(Paraphrase)

This is a head-and-shoulders pattern…great

chart formation used by professional

chartists..a big money maker…one of the

most accurate chart patterns

problem - no firm rules – no follow through

stop – no profit maximizing strategy – where

are the back tests?

The Model – More Details

Patterns + Process + Persistence = Profits

SETUP TRIGGER Follow Thru

© 2010 Jake Bernstein www.trade-futures.com

28

Tested and

proven

accurate

100% objective

and rule based

– not subject

to

interpretation

No myths or

magical

mumbo jumbo

No “looks like’

Step by step

Clear checklist

Procedure

Implementation

Triggers

Exact risk based

on market

behavior

Exit strategy

Profit

maximizing

strategy

Know your odds

Drawdown

Max cons loss

Max cons profit

Max % risk/trade

Patience

Don’t MM!

Less is more

Limit media

Isolation

Chat room NO

The dead man

concept

Set a daily goal?

ABSURD!

Have to be BIG

Remove some

Diversify

Profits create

confidence

which then will

Foster discipline

and more

profits!

Platinum - Gold

What do you see now?

Some of what I did

42.10

324.72

1310

417.12

324

41.10

Compare: Fri EuroFX

C>O Thurs

Buy Fri 2 ticks above Thurs high

C<O Thurs

Sell Fri 40 ticks below Thurs low

Exit FPO or stop loss

$ stop on long and short

2 ,5 0 0

5 ,0 0 0

7 ,5 0 0

1 0 ,0 0 0

1 2 ,5 0 0

1 5 ,0 0 0

B y Y e a rb y P r o f it

Pr

of

it

2 0 0 2 2 0 0 3 2 0 0 4 2 0 0 5 2 0 0 6 2 0 0 7 2 0 0 8 2 0 0 9 2 0 1 0 2 0 1 1

Fri Mon Gold Rules Reviewed

Setup: Weekly trend in gold up

Buy Fri open (Thurs night)

Stop largest range bar last 10

Initial target same as stop

Exit Fri close 1/3

Exit Mon open 1/3 (Sunday night)

Exit or TS Mon close

FMG trade WEEKLY TREND +

FMG example

FMG Trade

A few stock trades as

examples of methods

LIZ 2 Sep

My next victim (2 Sep)…why?

Long down trend

Quality stock

Excellent earnings power

Forefront of trading technology

Flash and high frequency trading

Let’s look at the chart

WAIT FOR TRIGGER!

Let’s take a look at a few situations: MD

KC MAC

KC followed through

NFLX what do you see?

Psychology Corner Why do so traders go for the quick profit

while they ride their losses until they grown

hair on them?

1) Long term pain is easier to adapt to – boiling

water experiment

2) Ego loss – Freudian view

3) Instant gratification

4) Fear that a profit will disappear quickly

5) Need to win to overcome frustration

6) SOLUTIONS:

Bonehead moves…

What’s that?

My talk at CSTA last week…someone

approached me after the meeting

Here’s what he said

October futures seasonals

Are you ready?

For the highest accuracy trade of the year?

What’s normal?

October futures seasonals

Friday

Nov seasonals

Spreads

JRCC

Mentoring appointment interview http://www.comtrade1.com/letter/

ETS sessions are recorded

I can be reached at 800-678-5253 or 831-430-0600

Email me if you have questions:

jake@trade-futures.com

Best of trading

Jake Bernstein

© 2011 by Jake Bernstein

www.trade-futures.com 800-678-5253 * 831-430-0600