How's it going everyone i'm matt, and in this video i want to share a trading strategy that recently made me four thousand dollars in one day. This will not be a complex lecture that you need a degree in math to understand. In fact, the trading strategy is relatively simple and i'm confident that you will fully understand it by the end of this video. As a bonus, i'm going to show you how you can make your own trading strategies and i promise that it won't require any coding with all that being said, my efforts in creating this are purely educational.

I've been called many things in my life, but financial advisor was never one. Please do your own due diligence rather than blindly trusting some guy with a picture of cats on his wall. When i first started trading, i was absolute garbage. The only thing more erratic than my account balance was my emotional reaction to my account balance.

If you feel this way about your own trading, you should know that it's no different than any other skill. It takes time to develop. Unfortunately, this particular learning process can cost an astonishing amount of money and, if i'm being honest, it can also highlight the worst parts of the human psyche. I will fully admit i have many things to still learn about training, but i want to share a few of the things i've picked up so far to help make your journey a little less painful.

I tried all types, and i mean all types of training, systematic training resonated with me, because i liked how there was no wiggle room. Decisions are made by an evaluation of numbers rather than my own discretion, or should i say my ego, i just feel more comfortable with a highly specific game plan rather than some random hail. Mary play. Don't get me wrong.

People can make serious money without a trading system. I was just never one of those people and since i was too stubborn to quit, i was forced to find something that worked for me as a surprise. It ended up evolving into a form of passive income, see when you have a fully automated trading system. All of the trades are done for you.

This allows you to spend your time finding new strategies, rather than going slightly mad, as you watch every candlestick of the trading day. Now that you know more about my mindset and how i approach trading, let's take a deep dive into a strategy that recently made me four thousand dollars in one day. I call this strategy turn around tuesday. I personally run this strategy on the e-mini futures market, but if you don't feel like trading futures, you could get comparable results with this strategy on spy.

The qs iwm really anything that tracks the overall market. You may have guessed from the name, but this strategy only trades on tuesdays. You would take a long position as in buy shares when the market opens. It doesn't simply run every tuesday, though this strategy is triggered.

If, and only if, the market drops by over 1.1 percent the day directly before the position would be closed in one of two ways, whichever comes first, the first option is as easy as it gets you exit when the market closes. The second is more of a rip cord option for when the market starts to really turn against you. Many traders use a stop loss of x, which is fine, but it doesn't take. The current volatility of the market into account range is the difference between the high and the low of a candlestick average range is the average value of a handful of the most recent range readings, depending on what i'm trying to accomplish, i like to use the most Recent 14 or 20 trading bars, but you should play around with it and find a window size that best suits your trading style for the turnaround tuesday strategy, the average range of the past 20 daily bars is used in defining the max risk.

If the market moves against you by more than 1.6 times this value, your position would be closed for a loss. Let's say that the average range of the past 20 days has been 10 points. Your stop loss would be placed at a market drop of 16 points. Obviously, the situation is not ideal, but it's better than letting the loss get out of hand.

Capital preservation is key and that's all she wrote. That's it. That's the whole strategy. I told you it would be easy to understand.

You take a position in an asset that tracks the overall market on a tuesday. If monday was a big enough drop, you exit when the market closes, that tuesday or the stop-loss set by the multiple of the average range is hit. Now that you know all the details of the turnaround, tuesday strategy, i'm sure you're thinking, okay, mr catman, why don't you show me the money? First off, that's a little offensive, but you're not wrong. Let's see how this strategy has actually performed at the time.

I'm recording this the last time the turnaround tuesday strategy took a position was on tuesday, the 17th it bought into the market on this day because monday, the 16th had a decline greater than 1.1 percent. The position was bought at 2407 and sold at a market. Close of 2485.5 before you freak out and say that trade only made 78 and a half dollars. You should know that this futures contract is highly levered.

One point is actually worth 50, so a return of 78.5 points is actually a profit of 3925. It is fair for you to wonder if this was just a fluke, though i mean, after all, a broken clock is right twice a day. Let me show you how this strategy has performed over the past two decades on the screen. Now are the performance results for the turn around tuesday trading strategy over the past two decades, it returned just under 47 000, with 125 trades out of these 125 trades, 60 of them were profitable with a profit factor of just over two.

This means that for every dollar lost, roughly two were gained, the average winning trade returned just over a thousand dollars and the average losing trade was just under a thousand dollars. Now don't get me wrong. This is by no means an amazing trading strategy, but i would argue that it is a good place for you to get started with your own training strategies. As a reminder, this strategy tells you when it is statistically significant to buy into the overall market the s p.

500, the nasdaq, the russell 2000 all have similar results. If you want to leverage the returns beyond the percentage move in these indices, you could use options. Futures or whatever you want, i personally use the s p 500 futures contract, but you should take the time to examine the results of various asset classes. In addition to multiple asset classes, you should check out how the results are impacted by using a profit target.

A longer hold period or anything else you think, could be effective. Think of this strategy as a starting point and seek an even better one, be as creative as you want. If you don't have a programming background, i know that this task can seem daunting. I do have a programming background and it still took me hours to learn everything i needed to to build this strategy.

I have great news, though i recently found a program called build alpha which allows you to build trading strategies with no coding nada, zero. In fact, it's so easy i'll show you how to build a trading strategy and build alpha right now. This is the build alpha interface. I know at first it can seem complex because there's quite a bit going on, but it's actually pretty intuitive.

Once you start playing around with it, this piece of software is very powerful and has many capabilities that i won't be able to cover in one video. But let me show you how easy it is to build the turnaround, tuesday trading strategy. To start you would select the strategy type, which is long. Then you would select the asset class, which is the es futures contract, which is the s p.

500 e-mini. There is no profit target, but there is a stop loss, which is 1.6 times the average true range. None of these are used for this strategy, but there is a max holding time of one day now that we have our two exits covered. We have to select our two entry triggers.

We know that this strategy trades on tuesdays, so we're looking for a drop on monday. This means that we should require monday, and then we have to go down to the percentage change and ensure that it is a drop by more than one percent. Now that the entry triggers are figured out, all you have to do is hit simulate. Here are all the excel type results, there's actually quite a few to see the equity curve.

You would simply tap on the highlighted line within this and on the right side, there's actually quite a few forms of analysis. For instance, here's the results of variance testing. All these little pieces actually deserve a video of their own, but let's just say that the strategy does meet your requirements. You would be able to generate code as easily as clicking a button.

My brokerage uses easy language, so i would simply select this: i'm not really doing build alpha any justice, because the turnaround tuesday strategy is relatively simple. This piece of software has so much more built into it, as you can see here are all the entry and exit triggers beyond that there's a ton of built-in data for the most popular futures, etfs and forex. If the thing you want to build a strategy on isn't on this list, you can simply load that data into the program and then run it with all these parameters. Really, this program allows you to be as creative as you want to be.

I'm a new build alpha user, so i wouldn't be surprised if there are even more useful capabilities. I'm not fully aware of i'm definitely excited to find out, though, so i could show you guys even more trading strategies if this is something that interests you. Let me know by hitting the like button and leaving a comment below the feedback lets me know that i'm doing something that you guys find to be useful. If you enjoy this type of content subscribe to my channel, i put out new videos every week if you're feeling generous.

The best way you can support me is by sharing this video with a friend thanks for watching until the end and best of luck babe. I really think carol. Baskins would want to sponsor this video. You.