How To Setup Conditional Stop Order On ThinkOrSwim - Day Trading | Stock Market || Axe Options

[Music] hey everyone thanks for clicking back on my channel i know i haven't posted in a while i'll spare you the excuses and keep the intro short if you're new around here i'm arianne i don't normally post iphone intros but time you know it's just it's just like that sometimes um i'm a full-time options day trader i'm pretty focused just on the s p 500 and my favorite time frame to trade is same day expiring contracts aka zero dte in today's video i'm just recapping the trades that i took today i'm basically trading the same two strategies that i always trade and yeah i mean i think whole trading careers can be built on the s p 500 it's the largest index it's highly liquid it's cash settled you never have to worry about assignment um it's got three weekly expiring contracts it's got futures contracts that you can trade at night if daytime sessions aren't enough for you um and it's got tax benefits so anyways i'm a big fan mr standard and poor if you're listening sponsor me no uh just kidding so i did my best to condense many hours of trading into 15 minutes i hope that it makes sense if it doesn't feel free to comment below and i'll try and clarify otherwise thank you so much and excuse my morning voice good morning everyone it is wednesday june 9th and it is 6 20 pacific standard time and when i'm first looking at the market the first thing i'm looking at is the s p futures and this is just the futures on a 15-minute chart and i'm basically looking to see what the overnight activity look like and where we are trading now in relation to the over overnight activity what this range looks like in comparison to price action toward the left are we in balance are we out of balance and you know i'm making a bullish or bearish determination based on this information and opening morning price action so i'll be back shortly after the bell and i will record my position entries today one other thing that i always do when the market opens is i set up the opening iron fly orders because i kind of want to see what the highest premium was right at the open and then watch it in relation to the expected move and of course on thinkorswim the expected move is on the top right there where it says 1415 so yeah and then i just monitor those saved orders okay it's 6 35. i sped up this clip just a tiny little bit if you're watching the seconds move um but i generally don't make an iron fly entry in the first five minutes i'd rather it shake out just a tiny bit before i choose which of those two at the money strikes i am going to go short on and so i basically watched that nat and mid price and of course i know i could have gotten 1170 for it right at the open but that could just easily shoot up to 12 13 but as you can see the expected move is decreasing as will the premium prices so i'm going to choose what i want to be filled at i changed my contract sizes to three my normal position size is four or five contracts because i also take the vertical spreads and i don't like to use more than about twenty thousand dollars of margin so that for me is kind of my sweet spot but i went a little bit lower today because we're near all-time highs and i never really like to trade near all-time highs so anyways you'll see me put on my call credit spread here shortly all right now that my order is filled i immediately go in and set up my orders to take profit so i'll take off my first contract at a hundred dollars i will take off my second contract at a hundred and sixty dollars and then i will leave one on to run if i'm out of both of my first orders before an hour has passed all right we're just two or three minutes into the trade and the market's come down to four two to nine so this is what my trade looks like on the option chain i could have probably squeezed another 40ish cents out of the trade but that's okay i'm never going to pin the perfect highest premium price you can see the expected move went up a little bit and i will just watch it here now for my working orders and look for a vertical spread all right it's 7 a.m and i'm gonna take this call credit spread exactly as joe has alerted it and thinker swim has this feature where you can copy and paste trades directly into the platform so that's what i'm doing here you just click on that little clipboard thing in the order entry you'll see me do it right now and actually you can see that the natin mid price is higher than when he's entered it so i am gonna send my order for 65 cents 75 cents i'm gonna send it for 65 cents and that is what i get filled at i normally take a one lot which is ten contracts on this thread but because we're near all-time highs and i just don't want a high stress trade i am taking a half position here and i will send my order here shortly i get filled at 65 cents and we'll go over to my monitor tab and you can see also that i have set up my well right now i'm setting up my take profit order so i always close out my spreads when they decay to 10 cents sending that now and i don't think i recorded when i put in my take profit order on my second ironfly contract so that's what that nine dollars and seventy cents is and that's to take profit all right i am also entering this trade in a really small account that i have over with first trade first trade is like a discount broker like robin hood and weeble but they allow zero dte trading on spx and i have been using this and i think i've done about 10 trades in this account and i have really um similar fill times as thinkorswim and they don't charge any fees so i wanted to test them out for a while and see how it works before transferring more money over there and so this is me just entering the same spread but of course for a lower price because as you can see on my thinkorswim screen the price of the call credit spread has already decayed to 40 cents so i'm going to send this for 45 cents if it doesn't get filled no big deal i'll just skip the trade that day and if it gets filled great all right it's 7 20 pacific standard time and i've been in my call credit spread about 20 minutes i put on there that purple line is where my iron fly short strike is this is how my trades look you can see that my call credit spread is doing great it's already decayed to 40 cents and my other iron fly orders are still working but pretty close to filling if you look at that 10.30 limit order i'm right there so it should fill any minute 7 22 and my first order has filled to take profit on the iron fly um for a hundred dollars and i'm also checking on my first trade order since now that the market is moving up that order should have filled which it did and you can see the price as well on my thinker swim screen [Music] 7 28 and my second take profit order on my second contract of the iron fly has filled for 160 profit and the market is moving up and not great for my call credit spread but i'm not worried about it because we're not worried about it yet because the short strike is way up at four to five zero and we're quite a ways away from there and i put in a third take profit order that one at eight dollars and seventy cents but that's more like a placeholder i'm going to adjust that and use a conditional order to let my winning contract run and i'll share the details of that in a sec okay i'm gonna set up a conditional stop order for that ironfly contract that is running and i actually got this tip from a viewer who emailed me thank you sir and i'm setting up the order to tell td that one spx touches my my lower my downside break even level that i want them to send this limit offset order and all that means is that my limit order to sell will be entered with a limit price that is 15 cents higher than the best reported ask in the market at the time that the order is triggered i know that's a mouthful but i'm doing it that way because i don't sometimes these spread prices get a little tricky and i don't want to be messing around you know when the price of spx is plummeting and then i don't get filled so i'm willing to take 15 cents higher than the best reported ask i hope that makes sense closing order for this spread so let me do that now close spread out all right we are about two and a half hours into the market my call spread has decay to 10 cents it should fill here soon so this is what my p l looks like and this is what my runner contract looked like so i think at my last about 30 minutes ago it was a dollar less from here so in order not to turn this runner contract i don't want it to turn into a loser there's my fill um oh wow do you see how that jumped up from 9 30 to 10.70 so now my trade is back to break even i'm sorry i felt at 11 30. so just in this drop that's what happened to my runner contract so i will honor the oco order that i have set up and if this trade happens to hit what was my level four two two three point seven zero then it will stop me out of that trade otherwise i'll try not to panic here and just take off the runner contract on this dip so i'll be back and we'll see how that plays out everyone so we are about three and a half hours into the market this is what spx looks like we've been pretty range bound all day this is what my running um ironfly contract looks like and i think i'm just going to adjust and there's absolutely nothing wrong with taking profits right now but i'm gonna just adjust my order here and i'm going to bring in the threshold at which i want to be stopped out at so i previously had it at four two two three which is way down here now why would i wait for spx to drop that low because then this contract will turn into a big loser so i'm gonna bring it up until this level four two two eight eight so let me get back there and now i have replaced that order with a tighter stop loss and i'm just going to continue to monitor this like i said i i was going to take profit somewhere around here but why i'm hanging around so close to the middle of my pin so i'll be back to update this all right it is a 10 21 this is what spx looks like it's coming closer to my short strike which is good for the trade this is what the mark is at this is what my piano looks like and i'm going to bring my downside stop up even tighter so i'm going to use the low the low of this candle i don't know maybe i'll use the low of this candle i'm going to bring it up to 4230.72 so cancel replace 4230.72 all right guys i will be back to see how this plays out of course i don't want spx to go up and above i mean it's okay if it goes up and above it here's the bottom line is i can actually leave the trade to expire worthless or to expire like i don't need to close the runner at all but of course i don't want to expose myself to any power hour nonsense um and you know basically the calculation is the the closer that spx closes to my short strike 4235 the bigger my profits are um maybe i'll just come back and update it after the market closes to see what my profit would have been had i not closed it at all but you know i'm pretty sure i'm just gonna lock in profits here here soon um but you know the price will continue to decay so why not let my winner run you know that's the point of this contract so i will be back friends 10 42 the market dropped below that stop level that i had four two three zero i forgot what it was anyways and it's triggered my order and it got filled at 7 45 so that last runner contract netted me 385 bucks so it really got as high as 450 maybe 500 yeah maybe 500 but um that's okay that's a good capture for that trade so i am done for the day and um up 9 20 plus i need to go check on that first trade account so all right thanks thanks for watching everyone so this is what power hour looked like on the last screen i think we were trading at four two three three and um spx ended up closing at four two one nine so that doesn't sound like a big sell-off but that was 14 points and 14 points was the entirety of the expected move today so that was pretty dramatic for just one hour of price action had i held my iron fly it would have been a loser so i was right to take profit but i could have captured like an additional 150 somewhere when it was getting closer to that um four two three five level but you know i'm still um tweaking this ironfly runner strategy i've actually stopped alerting the trade entirely to my members because it needs a better stop-loss so obviously days like this where it's winning duh it's easy it's easy to peel them off for profit but the previous stop-loss rule of using the trades to break even levels is just not working well in this market structure so once i figure out a better stop-loss strategy then i will um update on what that is other than that it's been um today was relatively easy out of the money call and put credit spreads have been working so well if you follow us on instagram we had three months of no losers straight winners on five wide out of the money credit spreads so um you know got to change with the market no big deal what else was i going to say a thousand dollar day you know for a professional day trader that's probably like peasant level i don't know but um oh i guess only because i trade with a bunch of people who trade like huge contract sizes like 30 40 50 contracts and i'm over here trading five contracts it doesn't bother me at all like i am not trying to flex my account size and it doesn't bother me to be a small day trader i want to wake up and not dread day trading i want to day trade for the rest of my life and so it's more important to me to have a stress level that is manageable and for me that is just trading small size so um yeah thanks guys for watching as you can see i'm filming this on my iphone i have gotten super lazy about um setting up a whole thing for youtube um but i'm a mom i got a lot of stuff going on it's going into summer and um youtube is not my full-time job so this is what i've got talk to you guys later bye

Channel: Axe Options

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Keywords: Axe Options, How To Setup Conditional Stop Order, Setup Conditional Stop Order On ThinkOrSwim, Stop Order On ThinkOrSwim, Day Trading Axe Options, Stock Market Axe Options, daytrade, thinkorswim, firstrade, spy options, spy options trading, trading day, spy, How To Set Up Conditional Orders, ThinkorSwim, Automating Trades, set up conditional orders, setting up conditional orders, conditional orders, conditional, build conditional orders, day trading, day trading easier Axe Options

Id: mGM26G_FtXQ

Length: 18min 58sec (1138 seconds)

Published: Thu Jun 10 2021