Liquidity Raids & VWAP: A Flexible Approach to Trading the MES
Discretionary trading gives traders the freedom to make informed decisions based on market conditions rather than following rigid rules. Our trading system applies this approach specifically to the Micro E-mini S&P 500 (MES), one of the most accessible futures instruments available.
At its core the strategy is built around two key concepts:
- Liquidity Raids: These occur when price briefly moves beyond key support and resistance levels to trigger stop orders and fuel larger moves.
- VWAP (Volume Weighted Average Price): A dynamic benchmark that helps identify fair value and institutional activity, offering crucial trade confirmation.
To ensure accurate validation our backtesting was conducted using a single contract, factoring in all commission costs. However, traders can easily adjust position sizing and risk-reward parameters to match their personal trading style. This flexibility is one of the key advantages of discretionary trading, making it easy to adapt the system to individual preferences.
For subscribers we go deeper into optimized take profit and stop loss levels, as well as refined entry techniques designed to enhance your trading edge.
Watch the performance in action: Youtube
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