Day Trading Signals Explained
If you’ve found yourself wondering, “Can algo trading signals improve my results?” you’re not alone. This article outlines how signal-based trading works, and the ways day traders are using it to redefine their strategies in 2025.
What are Day Trading Signals?
Day trading signals are markers that appear on a trade chart to indicate the ideal moments to enter or exit a trade.
They might be represented by simple tags like these:
[LONG_TAG] Or [SHORT_TAG]
Day traders tend to divide into two camps—one signal-based and the other signal-agnostic.
● Algorithmic Trading: Leverages software to identify trade entries with real-time signals based on an array of defined data patterns.
● Traditional Trading: Relies on human intuition, adapting fluidly to market conditions, and developing experience-based patterns to identify entries.
What Are The Different Styles of Day Trading?
Each trading style has its advantages and drawbacks, but ultimately every trader is in search for the same solution: How do I become a profitable day trader?
Nearly 75% of all U.S. stock trades are now executed by computers. While this can make a compelling case for the efficacy of algorithms, it hasn’t eliminated the presence of humans on the trading floor in Lower Manhattan, where hedge funds demand results. So if both humans and machines are involved in institutional stock trading, what does that mean for retail day traders?
Below is a categorical comparison of styles employed by today’s day traders:
What's Better: Manual or Algorithmic Trading?
Skilled manual trading is impressive, but very few will replicate the results that expert traders boast. There is simply too much emotion interfering with an already complex strategy. While exact stats vary, the profitability index is largely agreed upon: some 97% of day traders lose money.
Algorithmic traders populate the same statistical space, but their results are catalogued in definitive terms, allowing algorithmic backtesting to prove signal accuracy. The purpose of an effective algorithm is to increase the profitability share of regular retail traders.
Do Trading Signals Actually Work?
The more a trading strategy gets you out of your own way, the better it works. Human traders are emotional, fearful, and overconfident. Our thoughts continually interfere with our trading strategies.
The power of automated trading signals is in their unemotional simplicity. Manual trading strategies require extensive self-training, testing, and reformatting. Once you arrive at the actual execution of trades, the mental rigor of keeping it all straight while balancing your emotions becomes a nearly superhuman task.
Trading signals, like traffic signals, reduce all of this to a green or red light. You see it, and you take action. It’s extremely simple and eliminates considerations about entry/exit between signals.
Jarvis was made to keep trading simple. Long/Short tags reveal exact high-probability entries, taking the complexity out of knowing when to trade.
Yes, and that’s the point of trading signals. Less homework, with faster results
Some of the high-impact variables we’ve identified are trading volume (low volume can indicate lower probability on alerts) and position in relation to VWAP.
While you can master algorithmic trading much faster than traditional trading strategies, every algorithm has nuances that should be learned to achieve reliable trades
Emerging AI technology is hard to track and verify. Algorithmic signals are different than AI because they have predetermined limits based on historical and live data.
AI-generated signals will mean that signals are determined with fluid intuition, and we simply haven’t seen tools that perform that function yet.
The LLMs that underwrite today’s AI systems are more algorithmic than advertised, and traders should be cautious of algo-trading services masquerading as AI.
No, it’s a sign for you to follow; it leaves you in control to trigger the trade yourself.
Backtesting doesn’t have to be complicated, especially with algo tools like Jarvis. Trade tags are locked into the history of tickers, so once you’ve identified your formula (say: enter Long tags, above VWAP, after 10 am, with a 10% stop loss), you can scroll through past charts and determine if that strategy would be profitable on existing tags.
*Backtesting always performs differently from live trading, but it’s a valuable method of determining if your strategy can perform in a vacuum.
Depends on the algo—they’re not all built to the same standards.
The most important feature an algorithm can have is real-time accuracy. If it’s lagging by more than a few milliseconds, traders will experience frustration and false signals.
Be sure to research and backtest algo signals before putting real money behind it.
Absolutely. As a beginner, signals fill gaps in your understanding. You’ll comprehend more of the algorithm’s reasoning as you use it while developing broader trading awareness.
Explore More
Smart traders make great decisions using Jarvis. Here are some resources to guide you along your trading journey.
How Long to Stay In a Trade: May 2026 Jarvis Scorecard
Trading exits feel like something that should be so easy. But anyone who’s traded for even one week knows better. It’s easy to exit in a panic, easy to overstay, and challenging to pinpoint the right profit to target.
For options traders, duration is further complicated by trade decay (Theta), which causes the security to lose value, even at standing stock price, as the expiration approaches. Since we train on options, we’ll showcase this theme with some of the big trades from this month.
Trade examples are hypothetical and applied retroactively to demonstrate the Jarvis strategy. Trades were not executed in a live account. Results do not account for liquidity, slippage, or fees.
TRADE 1
Day Trade Options | Timeframe: 1M SPY Put | May 4 | 11:13 am – 12:20 pm P674 $1.08 → $3.24 | 200% profit
This trade quickly finds a strong run, which always makes it feel easier to ride through the chop. Following the Jarvis strategy by the book, that’s exactly what we do here. There’s one more big extension after 12pm to justify staying, and we exit at 12:20 when the red cloud breaks, at exactly 200% profit.
An alternate exit strategy worked well for some of our traders on stream, and would be considered a more advanced trading exit. Once the trade finally retracts at 11:22, it’s reasonable to take profit. We’ve seen two huge extensions, which could easily be the real opportunity.
Doing this could be closer to 185% profit, but it also closes our position almost an hour earlier. By the time the trade has run that long, decay is eating the trade as fast as price action grows it. Less anxiety for almost identical results.
TRADE 2
Day Trade Options | Timeframe: 1M QQQ Call | May 8 | 9:32 am – 10:29:30 am C703 $1.08 → $3.24 | 238% profit
This one is pretty straightforward. Taking a trade in the second 1m candle of the day can be tricky, though. One thing we’re looking for to confirm these kinds of opportunities is to also view the 15m chart before we jump into something this early. When 15m is already green, and we get a LONG tag above VWAP, it’s an additional confirmation. This trade worked out beautifully.
This trade may make it feel like you miss way more as it continues upward, but it’s important to follow the Jarvis cloud exits. Greed makes us say, “But it kept going up.” Yet running that risk means we could ride through a big retraction and get hit with trade decay, which quickly eats away at our profit ratio. We followed the tag-to-cloud strategy, and it worked. We take the win.
TRADE 3
Day Trade Options | Timeframe: 1M SPY Call | May 12 | 1:07 pm – 3:21 pm C736 $1.07 → $2.50 | 133% profit
This is an unusual trade for us to take because we almost never take a LONG tag moving towards VWAP. But it’s also unusual that this is our first LONG of the day, after noon, after a major selloff. That can lead to trades just like this.
Consider this an advanced trade where the risk of stretching the typical Jarvis VWAP strategy may not be for everyone.
The Lesson: Elongate Time, Reduce Risk
The trades shown here are same-day expiration options. The reward multiplies faster, but the risk is high. One thing we are testing on JarvisLIVE stream is week-long expirations, like a Friday expiration for a Monday trading session.
Doing this will cause slower movement on the instrument, reducing the rate of loss and limiting the opportunity for profit scaling. It’s up to each individual to decide what risk they can tolerate, but the first step in every strategy is: don’t lose money. So if you want a more conservative approach to options, consider ditching the 0DTE and elongating timeframes to mitigate risk.
See you out there.
[Log in]
Thanks for trading with Jarvis, and helping create the greatest Discord trading community on the internet. We’ll see you out there.
It’s a great day to trade.
Jarvis
Risk Disclosure
Trading stocks, options, futures, and cryptocurrencies involves substantial risk and is not suitable for every investor. An investor could potentially lose all or more than the initial investment. Risk capital is money that can be lost without jeopardizing one’s financial security or lifestyle. Only risk capital should be used for trading. Past performance is not necessarily indicative of future results.
CFTC Rule 4.41
Simulated performance results have inherent limitations. Unlike an actual performance record, simulated results do not represent actual trading. Since trades have not been executed, results may have under- or over-compensated for the impact of certain market factors, such as a lack of liquidity. Simulated trading programs are generally designed with the benefit of hindsight. No representation is being made that any account will or is likely to achieve profits or losses similar to those shown.
Disclaimer
The information and trading signals provided by KTS Trading, LLC are for educational and informational purposes only and do not constitute investment advice or an offer or solicitation to buy or sell any security. We do not execute trades, manage accounts, or guarantee results. All trading decisions are made solely by you at your own risk. You should consult with a licensed financial advisor before making any investment decisions. KTS Trading, LLC is registered with the U.S. Securities and Exchange Commission.
Trading exits feel like something that should be so easy. But anyone who’s traded for even one week knows better. It’s easy to exit in a panic, easy to overstay, and challenging to pinpoint the right profit to target.
For options traders, duration is further complicated by trade decay (Theta), which causes the security to lose value, even at standing stock price, as the expiration approaches. Since we train on options, we’ll showcase this theme with some of the big trades from this month.
Trade examples are hypothetical and applied retroactively to demonstrate the Jarvis strategy. Trades were not executed in a live account. Results do not account for liquidity, slippage, or fees.
TRADE 1
Day Trade Options | Timeframe: 1M SPY Put | May 4 | 11:13 am – 12:20 pm P674 $1.08 → $3.24 | 200% profit
This trade quickly finds a strong run, which always makes it feel easier to ride through the chop. Following the Jarvis strategy by the book, that’s exactly what we do here. There’s one more big extension after 12pm to justify staying, and we exit at 12:20 when the red cloud breaks, at exactly 200% profit.
An alternate exit strategy worked well for some of our traders on stream, and would be considered a more advanced trading exit. Once the trade finally retracts at 11:22, it’s reasonable to take profit. We’ve seen two huge extensions, which could easily be the real opportunity.
Doing this could be closer to 185% profit, but it also closes our position almost an hour earlier. By the time the trade has run that long, decay is eating the trade as fast as price action grows it. Less anxiety for almost identical results.
TRADE 2
Day Trade Options | Timeframe: 1M QQQ Call | May 8 | 9:32 am – 10:29:30 am C703 $1.08 → $3.24 | 238% profit
This one is pretty straightforward. Taking a trade in the second 1m candle of the day can be tricky, though. One thing we’re looking for to confirm these kinds of opportunities is to also view the 15m chart before we jump into something this early. When 15m is already green, and we get a LONG tag above VWAP, it’s an additional confirmation. This trade worked out beautifully.
This trade may make it feel like you miss way more as it continues upward, but it’s important to follow the Jarvis cloud exits. Greed makes us say, “But it kept going up.” Yet running that risk means we could ride through a big retraction and get hit with trade decay, which quickly eats away at our profit ratio. We followed the tag-to-cloud strategy, and it worked. We take the win.
TRADE 3
Day Trade Options | Timeframe: 1M SPY Call | May 12 | 1:07 pm – 3:21 pm C736 $1.07 → $2.50 | 133% profit
This is an unusual trade for us to take because we almost never take a LONG tag moving towards VWAP. But it’s also unusual that this is our first LONG of the day, after noon, after a major selloff. That can lead to trades just like this.
Consider this an advanced trade where the risk of stretching the typical Jarvis VWAP strategy may not be for everyone.
The Lesson: Elongate Time, Reduce Risk
The trades shown here are same-day expiration options. The reward multiplies faster, but the risk is high. One thing we are testing on JarvisLIVE stream is week-long expirations, like a Friday expiration for a Monday trading session.
Doing this will cause slower movement on the instrument, reducing the rate of loss and limiting the opportunity for profit scaling. It’s up to each individual to decide what risk they can tolerate, but the first step in every strategy is: don’t lose money. So if you want a more conservative approach to options, consider ditching the 0DTE and elongating timeframes to mitigate risk.
See you out there.
[Log in]
Thanks for trading with Jarvis, and helping create the greatest Discord trading community on the internet. We’ll see you out there.
It’s a great day to trade.
Jarvis
Risk Disclosure
Trading stocks, options, futures, and cryptocurrencies involves substantial risk and is not suitable for every investor. An investor could potentially lose all or more than the initial investment. Risk capital is money that can be lost without jeopardizing one’s financial security or lifestyle. Only risk capital should be used for trading. Past performance is not necessarily indicative of future results.
CFTC Rule 4.41
Simulated performance results have inherent limitations. Unlike an actual performance record, simulated results do not represent actual trading. Since trades have not been executed, results may have under- or over-compensated for the impact of certain market factors, such as a lack of liquidity. Simulated trading programs are generally designed with the benefit of hindsight. No representation is being made that any account will or is likely to achieve profits or losses similar to those shown.
Disclaimer
The information and trading signals provided by KTS Trading, LLC are for educational and informational purposes only and do not constitute investment advice or an offer or solicitation to buy or sell any security. We do not execute trades, manage accounts, or guarantee results. All trading decisions are made solely by you at your own risk. You should consult with a licensed financial advisor before making any investment decisions. KTS Trading, LLC is registered with the U.S. Securities and Exchange Commission.
What are trading signals
Have you ever wondered if buy and sell signals in trading offer any real value for your strategy?
A trading signal is an algorithmic or AI-driven indicator that tells you exactly where the high-probability setups are on a chart. For traders whose strategy has been reliant on guesswork or left them drowning in data, signals allow trading with greater confidence in data-backed decisions.
Many traders start out expecting to will their way to success, but the marketplace is a treacherous space when armed with nothing but intuition. Signal trading tools can deliver an edge in a market where retail traders compete against high-powered market makers using sophisticated resources of their own. Here are trading signals explained for today's tech-driven trading landscape.
What is a trading algo?
An algo (algorithm) is a set of rules a computer follows to make a decision. Some algos are built to fully automate trading, from insight to execution. For algos that leave buying and selling in the hands of retail traders, a tool will surface entry signals on a live trading chart, highlighting high-probability trading setups.
The difference between signals and indicators
Think of a trading signal as a type of indicator that conveys a higher expression of intent.
If an indicator effectively distills data into a new visual distinction, like a line or a range on your trading chart,it's still entirely up to the user to interpret that data. Indicators give traders raw material to build from. That's valuable for traders who like to craft elaborate strategies, but rebuilding an underperforming strategy costs time that could be spent in the market.
This is where signals take data interpretation a step further, turning it into actionable insights. A signal is not necessarily telling a trader "you must trade right now," but it is surfacing the precise moment to make a decision based on verified data.
Algo vs AI trading: Which is better?
LLMs like ChatGPT and Claude are fundamentally algorithmic, making it difficult to distinguish between algo/AItrading. Both modes perform heavy data-lifting to simplify and speed up decision-making for traders.
The core differentiator is this: algorithms predefine exact thresholds for decision points, where as AI logic can be reinterpreted up until the moment of decision. There are advantages and drawbacks for each design.
Algo trading models process formulas instantly and interpret them using fixed rules, so systems know exactly which event will occur when certain metric thresholds are met.
- Algo upside: predictable parameters & repeatability
- Algo downside: less dynamic agility
AI trading models will actively review the logic at every stage, dynamically resetting parameters.
- AI upside: constant refresh of information
- AI downside: unverifiable, sometimes hallucinogenic logic
Signals make trading simpler
Trading has a reputation for complexity, but more screens and data matrices may not be the edge that tradersthink they are. 97% + of day traders aren't profitable, and it's likely that the elaborate strategies and modelstraders have sought to liberate them have actually made it harder to win.
In signal-centric strategies, computation happens under the hood. Each signal represents thousands of datapoints, indicating an entry opportunity. You don't have to comprehend the complexity. Instead, you get to acton the insights of the data.
The true challenge of simplicity
How do traders misuse trading signals? By overriding the data. Second-guessing confirmed entries while theseconds tick by. Chasing a signal after sitting down at your laptop three minutes too late. There are a hundredways to get it wrong. The good news is that the pattern is recognizable, and so is the way out.
Trading simplified is not trading made easy. Trading with signals is a great start to mitigate emotional trading, but universal truths still apply:
- Risk is inherent to trading: every profitable strategy comes by surviving losses and earning your way to consistency.
- Half the battle is in your mind: no algorithm can out-discipline an impatient trader who refuses to learn.
- Results are your responsibility: the market is uncaring, so make every loss a lesson, not a reason toblame.
For traders who are committed to self-discipline from day one, all that’s needed is a system on which to build a longstanding strategy.
How Jarvis helps traders
Jarvis is a sophisticated trading tool that automates the signal, not the execution. Here is what this looks like inpractice.
- Solving the complexity problem : When we were designing Jarvis, our daily question was "How can we make this even simpler?" LONG & SHORT signals are as simple as green light / red light, and by toggling timeframes, you can set these uniquely for the same symbol to fit day trading, swing trading, or investing.
- Knowing when not to trade : The most important rule in trading is this: Don’t lose money. This isn’t about finding great trades; it’s about avoiding bad ones. Every moment between Jarvis signals is a moment traders can sit out high-risk trades. Ifthere's no signal, there's no action required.
- Entry signals & exit indicators : Every signal indicates high-probability entry opportunities based on real data. These are not 100% guarantees of winning setups (no such service exists), but the logic behind them is built on a strong foundation of livemarket analysis and past price action, giving traders something real to believe in and build their strategy on.Similarly, the trailing Cloud indicator helps track exit opportunities for active positions so you can protect profitsand avoid overstaying.
Simplified trading is still trading
Signal trading is not a shortcut around the work. Algo signals change cognitive load, but they don't remove risk or responsibility. At the end of the day, all that matters is taking the right trade at the right moment, andknowing when to walk away.
Jarvis helps traders **keep emotion out of the equation** and make clearer, more decisive trades by trusting in a tool built on decades of trading experience. If you’re a trader who is committed to finding a strategy that willlast, start by putting some power behind it.
FAQ
What is a trading signal and how does it work?
A trading signal is a visual cue generated by an algorithm that highlights a high-probability entry point on a trading chart. When predefined market conditions are met, such as volume thresholds, price action, ormomentum data, the algo surfaces a LONG or SHORT tag. The trader then decides what action to take.
Are trading signals reliable?
No signal is 100% predictive, and any platform claiming otherwise should raise a flag. What reliable signals offeris data-based probability, a structured edge over emotionally-driven decisions. Signals are meant to improve consistency, not guarantee results.
What's the difference between a trading signal and an indicator?
An indicator provides data for interpretation. A signal interprets it for you, making it faster and less dependent on a trader's ability to read and respond to raw data in real time.
Can beginners use trading signals?
Yes, and in many ways, signals lower the barrier to entry. Rather than spending years developing the intuition to read charts and build day trading strategies from scratch, a beginner with a signal-based tool can learn torecognize and act on high-probability setups much faster.
Do professional traders use signals?
Many do, though the terminology varies. Institutional traders operate within highly structured rule sets,automated triggers, and defined entry criteria, which is functionally what a signal delivers. What separates professional from amateur trading is not the absence of tools, but the discipline to use them without overriding them.
Have you ever wondered if buy and sell signals in trading offer any real value for your strategy?
A trading signal is an algorithmic or AI-driven indicator that tells you exactly where the high-probability setups are on a chart. For traders whose strategy has been reliant on guesswork or left them drowning in data, signals allow trading with greater confidence in data-backed decisions.
Many traders start out expecting to will their way to success, but the marketplace is a treacherous space when armed with nothing but intuition. Signal trading tools can deliver an edge in a market where retail traders compete against high-powered market makers using sophisticated resources of their own. Here are trading signals explained for today's tech-driven trading landscape.
What is a trading algo?
An algo (algorithm) is a set of rules a computer follows to make a decision. Some algos are built to fully automate trading, from insight to execution. For algos that leave buying and selling in the hands of retail traders, a tool will surface entry signals on a live trading chart, highlighting high-probability trading setups.
The difference between signals and indicators
Think of a trading signal as a type of indicator that conveys a higher expression of intent.
If an indicator effectively distills data into a new visual distinction, like a line or a range on your trading chart,it's still entirely up to the user to interpret that data. Indicators give traders raw material to build from. That's valuable for traders who like to craft elaborate strategies, but rebuilding an underperforming strategy costs time that could be spent in the market.
This is where signals take data interpretation a step further, turning it into actionable insights. A signal is not necessarily telling a trader "you must trade right now," but it is surfacing the precise moment to make a decision based on verified data.
Algo vs AI trading: Which is better?
LLMs like ChatGPT and Claude are fundamentally algorithmic, making it difficult to distinguish between algo/AItrading. Both modes perform heavy data-lifting to simplify and speed up decision-making for traders.
The core differentiator is this: algorithms predefine exact thresholds for decision points, where as AI logic can be reinterpreted up until the moment of decision. There are advantages and drawbacks for each design.
Algo trading models process formulas instantly and interpret them using fixed rules, so systems know exactly which event will occur when certain metric thresholds are met.
- Algo upside: predictable parameters & repeatability
- Algo downside: less dynamic agility
AI trading models will actively review the logic at every stage, dynamically resetting parameters.
- AI upside: constant refresh of information
- AI downside: unverifiable, sometimes hallucinogenic logic
Signals make trading simpler
Trading has a reputation for complexity, but more screens and data matrices may not be the edge that tradersthink they are. 97% + of day traders aren't profitable, and it's likely that the elaborate strategies and modelstraders have sought to liberate them have actually made it harder to win.
In signal-centric strategies, computation happens under the hood. Each signal represents thousands of datapoints, indicating an entry opportunity. You don't have to comprehend the complexity. Instead, you get to acton the insights of the data.
The true challenge of simplicity
How do traders misuse trading signals? By overriding the data. Second-guessing confirmed entries while theseconds tick by. Chasing a signal after sitting down at your laptop three minutes too late. There are a hundredways to get it wrong. The good news is that the pattern is recognizable, and so is the way out.
Trading simplified is not trading made easy. Trading with signals is a great start to mitigate emotional trading, but universal truths still apply:
- Risk is inherent to trading: every profitable strategy comes by surviving losses and earning your way to consistency.
- Half the battle is in your mind: no algorithm can out-discipline an impatient trader who refuses to learn.
- Results are your responsibility: the market is uncaring, so make every loss a lesson, not a reason toblame.
For traders who are committed to self-discipline from day one, all that’s needed is a system on which to build a longstanding strategy.
How Jarvis helps traders
Jarvis is a sophisticated trading tool that automates the signal, not the execution. Here is what this looks like inpractice.
- Solving the complexity problem : When we were designing Jarvis, our daily question was "How can we make this even simpler?" LONG & SHORT signals are as simple as green light / red light, and by toggling timeframes, you can set these uniquely for the same symbol to fit day trading, swing trading, or investing.
- Knowing when not to trade : The most important rule in trading is this: Don’t lose money. This isn’t about finding great trades; it’s about avoiding bad ones. Every moment between Jarvis signals is a moment traders can sit out high-risk trades. Ifthere's no signal, there's no action required.
- Entry signals & exit indicators : Every signal indicates high-probability entry opportunities based on real data. These are not 100% guarantees of winning setups (no such service exists), but the logic behind them is built on a strong foundation of livemarket analysis and past price action, giving traders something real to believe in and build their strategy on.Similarly, the trailing Cloud indicator helps track exit opportunities for active positions so you can protect profitsand avoid overstaying.
Simplified trading is still trading
Signal trading is not a shortcut around the work. Algo signals change cognitive load, but they don't remove risk or responsibility. At the end of the day, all that matters is taking the right trade at the right moment, andknowing when to walk away.
Jarvis helps traders **keep emotion out of the equation** and make clearer, more decisive trades by trusting in a tool built on decades of trading experience. If you’re a trader who is committed to finding a strategy that willlast, start by putting some power behind it.
FAQ
What is a trading signal and how does it work?
A trading signal is a visual cue generated by an algorithm that highlights a high-probability entry point on a trading chart. When predefined market conditions are met, such as volume thresholds, price action, ormomentum data, the algo surfaces a LONG or SHORT tag. The trader then decides what action to take.
Are trading signals reliable?
No signal is 100% predictive, and any platform claiming otherwise should raise a flag. What reliable signals offeris data-based probability, a structured edge over emotionally-driven decisions. Signals are meant to improve consistency, not guarantee results.
What's the difference between a trading signal and an indicator?
An indicator provides data for interpretation. A signal interprets it for you, making it faster and less dependent on a trader's ability to read and respond to raw data in real time.
Can beginners use trading signals?
Yes, and in many ways, signals lower the barrier to entry. Rather than spending years developing the intuition to read charts and build day trading strategies from scratch, a beginner with a signal-based tool can learn torecognize and act on high-probability setups much faster.
Do professional traders use signals?
Many do, though the terminology varies. Institutional traders operate within highly structured rule sets,automated triggers, and defined entry criteria, which is functionally what a signal delivers. What separates professional from amateur trading is not the absence of tools, but the discipline to use them without overriding them.
Trading Trending Signals: April 2026 Jarvis Scorecard
April was an incredible month for a rebounding market, but traders are filling up social mediawith their feelings about the tweet turbulence emanating from the executive branch.
Unpredictable X announcements about oil transport or international peace talks are not what Jarvis was built to predict. But the resulting rebound in this month’s market gave way to someSPY signals that showcase the exact intent of Jarvis signals.
Not every Jarvis user trades options, but this month they showcased the force-multiplying powerof signals riding a strong positive market trend.
Note for non-options traders: With options, stock price (~$675) will correspond with anoptions contract price (~$1.10). The prior appears on the Jarvis chart visuals. The latter isincluded in our journal entries, and can be verified with retroactive On-Demand charts in appslike ThinkorSwim.
Trade examples are hypothetical and applied retroactively to demonstrate the Jarvis strategy. Trades were not executed in a live account. Results do not account for liquidity, slippage, or fees.
TRADE 1
Day Trade Options | Timeframe: 1M SPY Call | Apr 2 | 9:47 am – 10:50 amC676 $1.10 → $5.32 | 383% profit
April has been all about identifying trends and trading with them. A LONG tag on a 15Mtimeframe is a good starting place to say that you have a bullish trend. Then, when a 1M LONGtag just above VWAP supports it, like here, it’s the kind of alignment we look for on trend + tag agreement.
This trade matured steadily but really finished with a flourish that locked in a lot of profit forentries at the LONG tag. The SHORT tag preceding it presented some interest and would havelost money. But again, the daily trend was positive, so the trade we were really looking for, we got.
TRADE 2
Day Trade Options | Timeframe: 1M SPY Call | April 9 | 10:56 am – 12:23 pmC650 $0.74 → $4.17 | 463% profit
While this looks easy in hindsight, the bottom wicks tested our resolve three times before the11:32 breakout. We rely on the Jarvis cloud to keep things simple, but staying in through bottom tests still requires discipline.
Usually, we look for a cloud break to exit a trade, but with options you also fight decay (more onthat in our next trade). When an extremely profitable position starts to stall, notice the greencloud flattens twice before our 12:23 exit, we don’t like to wait around and give away more profit.We exit this one mid-stall. Huge signal success.
TRADE 3
Day Trade Options | Timeframe: 1M SPY Call | April 24 | 10:40 am – 12:08 pmC712 $0.71 → $1.96 | 176% profit
When day trading options, time decay erodes gains. A stock price gaining modest value may accompany an options instrument that loses value. Just before the huge extension candle, this trade would only have us up only 30% in over an hour. Not optimal for the risk we carry on asame-day expiration instrument.
Once we get a candle that launches our position past 150% profit in a minute, we’re asking how much of it we want to protect. We don’t mind traders exiting even as soon as that candle closes (that would be +200%). But we take the Jarvis cloud break as our standard exit, and we’re content.
Trusting a strategy and winning because of it is the victory that matters most.
The Lesson: The Trend Is Your Friend
Wealth Through Diversification
Being bearish when the market is at an all-time-high is a common fear for traders speculating in territory the market has never tested before. But look at the history on an ETF like SPY. Breaking new highs is what the market, in the long term view, has always done.
The most valuable information you can have, then, is knowledge of the market trend. Our stream this month focused on how Jarvis can showcase trend + signal agreement for even higher-conviction trades.
You saw a few of them here, and we invite you to see the next ones with us live on our daily stream. All free trial members have access. Sign up below, we’d love to see you there.
It's a great day to trade.
[Log in]
Risk Disclosure: Trading stocks, options, futures, and cryptocurrencies involves substantial risk and is notsuitable for every investor. An investor could potentially lose all or more than the initial investment. Risk capital is money that can be lost without jeopardizing one’s financial security or lifestyle. Only risk capital should be used for trading. Past performance is not necessarily indicative of future results.
CFTC Rules 4.41: Simulated performance results have inherent limitations. Unlike an actual performance record,simulated results do not represent actual trading. Since trades have not been executed, results may have under- or over-compensated for the impact of certain market factors, such as a lack of liquidity. Simulated trading programs are generally designed with the benefit of hindsight. No representation is being made that any account will or is likely to achieve profits or losses similar to those shown.
Disclaimer: The information and trading signals provided by KTS Trading, LLC are for educational and informational purposes only and do not constitute investment advice or an offer or solicitation to buy or sell any security. We do not execute trades, manage accounts, or guarantee results. All trading decisions are made solely by you at your own risk. You should consult with a licensed financial advisor before making any investment decisions. KTS Trading, LLC is registered with the U.S. Securities and Exchange Commission.
April was an incredible month for a rebounding market, but traders are filling up social mediawith their feelings about the tweet turbulence emanating from the executive branch.
Unpredictable X announcements about oil transport or international peace talks are not what Jarvis was built to predict. But the resulting rebound in this month’s market gave way to someSPY signals that showcase the exact intent of Jarvis signals.
Not every Jarvis user trades options, but this month they showcased the force-multiplying powerof signals riding a strong positive market trend.
Note for non-options traders: With options, stock price (~$675) will correspond with anoptions contract price (~$1.10). The prior appears on the Jarvis chart visuals. The latter isincluded in our journal entries, and can be verified with retroactive On-Demand charts in appslike ThinkorSwim.
Trade examples are hypothetical and applied retroactively to demonstrate the Jarvis strategy. Trades were not executed in a live account. Results do not account for liquidity, slippage, or fees.
TRADE 1
Day Trade Options | Timeframe: 1M SPY Call | Apr 2 | 9:47 am – 10:50 amC676 $1.10 → $5.32 | 383% profit
April has been all about identifying trends and trading with them. A LONG tag on a 15Mtimeframe is a good starting place to say that you have a bullish trend. Then, when a 1M LONGtag just above VWAP supports it, like here, it’s the kind of alignment we look for on trend + tag agreement.
This trade matured steadily but really finished with a flourish that locked in a lot of profit forentries at the LONG tag. The SHORT tag preceding it presented some interest and would havelost money. But again, the daily trend was positive, so the trade we were really looking for, we got.
TRADE 2
Day Trade Options | Timeframe: 1M SPY Call | April 9 | 10:56 am – 12:23 pmC650 $0.74 → $4.17 | 463% profit
While this looks easy in hindsight, the bottom wicks tested our resolve three times before the11:32 breakout. We rely on the Jarvis cloud to keep things simple, but staying in through bottom tests still requires discipline.
Usually, we look for a cloud break to exit a trade, but with options you also fight decay (more onthat in our next trade). When an extremely profitable position starts to stall, notice the greencloud flattens twice before our 12:23 exit, we don’t like to wait around and give away more profit.We exit this one mid-stall. Huge signal success.
TRADE 3
Day Trade Options | Timeframe: 1M SPY Call | April 24 | 10:40 am – 12:08 pmC712 $0.71 → $1.96 | 176% profit
When day trading options, time decay erodes gains. A stock price gaining modest value may accompany an options instrument that loses value. Just before the huge extension candle, this trade would only have us up only 30% in over an hour. Not optimal for the risk we carry on asame-day expiration instrument.
Once we get a candle that launches our position past 150% profit in a minute, we’re asking how much of it we want to protect. We don’t mind traders exiting even as soon as that candle closes (that would be +200%). But we take the Jarvis cloud break as our standard exit, and we’re content.
Trusting a strategy and winning because of it is the victory that matters most.
The Lesson: The Trend Is Your Friend
Wealth Through Diversification
Being bearish when the market is at an all-time-high is a common fear for traders speculating in territory the market has never tested before. But look at the history on an ETF like SPY. Breaking new highs is what the market, in the long term view, has always done.
The most valuable information you can have, then, is knowledge of the market trend. Our stream this month focused on how Jarvis can showcase trend + signal agreement for even higher-conviction trades.
You saw a few of them here, and we invite you to see the next ones with us live on our daily stream. All free trial members have access. Sign up below, we’d love to see you there.
It's a great day to trade.
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Risk Disclosure: Trading stocks, options, futures, and cryptocurrencies involves substantial risk and is notsuitable for every investor. An investor could potentially lose all or more than the initial investment. Risk capital is money that can be lost without jeopardizing one’s financial security or lifestyle. Only risk capital should be used for trading. Past performance is not necessarily indicative of future results.
CFTC Rules 4.41: Simulated performance results have inherent limitations. Unlike an actual performance record,simulated results do not represent actual trading. Since trades have not been executed, results may have under- or over-compensated for the impact of certain market factors, such as a lack of liquidity. Simulated trading programs are generally designed with the benefit of hindsight. No representation is being made that any account will or is likely to achieve profits or losses similar to those shown.
Disclaimer: The information and trading signals provided by KTS Trading, LLC are for educational and informational purposes only and do not constitute investment advice or an offer or solicitation to buy or sell any security. We do not execute trades, manage accounts, or guarantee results. All trading decisions are made solely by you at your own risk. You should consult with a licensed financial advisor before making any investment decisions. KTS Trading, LLC is registered with the U.S. Securities and Exchange Commission.
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