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Brian Heyliger editor Market Trigger Alert
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Unlike stocks, the futures markets trade 24 hours a day. And Brian is one of the best at finding trades with high profit potential and minimal risk: his system only performs trades that have a 75% or better chance of closing at a profit.
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  • The Market's Advertising a Major Move... Which Direction Will It Be?

    A few weeks ago, the S&P was carving out a new high at 950… As the climb started to wane, I was looking for a sign the market was about to turn in the opposite direction… down. Another week passed, and I got the signal I was looking for. So I told you about it…

    I told you to expect the S&P 500 to lose another 30 points… or about 3.5% from where it was trading at the time (920). I’m sure some of you were laughing, as Maria Bartiromo and Becky Quick CNBC were cheerleading the S&P’s upward assault. But since the S&P has fallen from 920 to 885 (35 points or 3.8%), perhaps you’ll have a little more confidence in my indicator this time.

    The indicator I’m talking about is as simple as they get… The Box Trade. The Box Trade - as the name implies - consists of drawing a box on a chart. Based on the size of the box, you can determine how far, and in what direction, the market’s next intermediate-term move.

    Here’s what the box looked like last week:


    However it appears, over the past week, not only did we hit our profit target for the previous box, it appears the market is trading in a much larger range, carving out another, larger box.

    Put another way, even though the last trade was successful… it was only a small portion of a much larger box, which could break any day.

    Take a look here…

    Last week’s box trade was simply a box within a much larger box…

    At this point, it’s a too early to tell which way the larger box will break. Frankly, I’m a bear in this market. However, if we break above 950 on the S&P 500 futures, it’s off to the races, and 1010 is my target. But if we don’t, and we break the bottom end of the box at 885, the race is over and we’ll hit 830 in short order.

    I’ll be keeping an eye on this one, and if another trade pops up… Whichever direction it does breaks, there’s going to be a 60 point move, in a matter of days. Whenever it does, I will make a killing…

    Good Trading,

    Brian Heyliger 

    ps I have no positions listed


    Tags: SSO, TZA, SPY, ES-OLD
    Jun 29 6:33 AM | Link | Comment!
  • This Trade Happens Only Twice a Year

    Primarily, I don't swing trade... I'm a scalper, and my time frame for a trade rarely exceeds an hour. However, there is one swing trade I always perk up to when I notice it. The trade I'm talking about is The Box Trade.

    You see, The Box Trade happens about twice per year, and it has already worked once this year. The reason I like this trade, even though it doesn't fit my trading style, is simple, it works four out of five times. Which is a very high success rate as far as trading goes.

    The idea is amazingly simple, perhaps that's why most miss it. Simply put, the market bangs back and forth a few days... it runs to the top, runs to the bottom… and so on and so on. Eventually, as the market is pounding back and forth over a period of at least 10 days, it will form a box. But we all know the market won't stay in a trading range forever… it will eventually break out of the box, either up or down.

    When it does so on a closing basis, you have a trade.

    If the market is strong enough to break the top of the box, it will continue to move higher. If the market is weak enough to break the bottom of the box, it will continue to move lower.

    The last time this trade setup was February of this year (2009). The S&P 500 was down about 10% year to date, and the market had many thinking it would make up for those losses in short order.

    Not me, the box was broken. On February 17, the S&P 500 closed below the box it had been forming over the previous thirty days, signaling it was headed lower...


    About a month later, the S&P had lost over 149 points, more than 18%. The Box Trade worked and I made a killing.

    Today, we're seeing it again...

    The S&P has been marching higher since March, and has spent all of June forming a topping pattern. The top of the box has been hit more than once at the 950 level.

    However, Monday's close brought the short signal when the S&P closed below the bottom of the box at 921. This is where a short position should be entered.

    I expect the S&P to lose at least another 30 points from here... This trade only comes twice a year… but when it does, big gains can be made.

    Good Trading,

    Brian Heyliger

     ps. I have no positions listed.







    Tags: ES-OLD
    Jun 25 9:42 AM | Link | Comment!
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