My name is Steve Rushton. I am an independent trader.
This is the personal diary of my observations and signalling system of the S&P 500 index that was launched in January 2014. Feel free to browse the archives and see how the signals develop in real time.
For many years I have had a fascination with the market and over those years, with many false starts, I have slowly and painfully put together a set of rules of engagement that works for me.
The result is Trading the Line and the S/T (short term) Signalling system. This is a trend following and risk management price-based system that is designed to make the most out of the market's major movements. It cannot identify the tops and bottoms but it will alert your senses to the possibilities that are developing, getting you into the big moves and getting you out of harms way.
I believe that it is necessary to allow the market to "tell" you what is most likely to happen next and if you have a set of rules in place that you follow without prejudice then you may profit from what the market does. Follow the price action and not the noise from the news and the talking heads. And stay away from predictions. An open mind is required because we cannot ever know what will happen next for sure.
I believe that Price is the leading indicator and so the system is based upon a proprietary moving channel that is itself based upon price performance. I also reference the powerful studies available in my version of Advanced Get for assessing momentum, support and resistance. I also use Gann Angles and Magic T Theory.
My most important influences include Marty Schwartz (one of the amazing traders discussed in the "Market Wizards" by Jack D Schwager) and Terry Laundry - a legendary market technician, who was also a major influence on Marty Schwartz.
Marty Schwartz's book "Pitbull" is essential reading for anyone studying the markets and discusses Terry Laundry and T Theory in detail.
Terry Laundry's T Theory (or Magic T Theory) is a very important study that I use extensively in my observations. Terry Laundry discussed his ideas in a regular audio until his untimely death in 2012 and I listened and studied his approach in detail. I have found that when used correctly it is an extremely powerful way of analyzing the S&P 500 and estimating when the market will peak. T Theory helps you to understand why the market moves in a particular way. T Theory remains little understood by the mainstream technical analysis crowd as there is very little information available, and it needs to be understood in real time. If you are interested in this unique way of looking at the markets you have come to the right place.
The S/T System is a position trading system, not a day trading * system, with signals lasting anything from one day to many weeks. It is used in reference to the cash market and does not incorporate the fluctuations of the Futures market outside of cash market hours. How you use the system is really up to you, but because I hold positions for an extended period of time I generally prefer to use deep in the money SPY options as a leveraged proxy for stock and to reduce the overall risk involved to a minimum.
* If you are interested in day trading you will find the Notes on Day Trading PDF that is now included in the Membership extremely useful and informative. I use Day trading techniques in conjunction with the S/T Signals for hedging and risk management and use ES E Mini Futures for intra day positions.
You are welcome to follow me along but please understand that the information posted here is for educational purposes only. No recommendations are being made to buy, or sell stocks, options or futures contracts. Please consult your own financial advisor before making any investment decisions.
FREE REPORTS
Every 2-3 weeks and/or when there is an interesting development in the S&P 500 worth discussing, I will send out a Free Report and this will usually include some discussion on the bigger picture and the relevant T Theory structures that I am observing. Please sign up here for my free reports.
MEMBERSHIP INCLUDES:
Email Alerts & Observations
For those interested in following my observations in much more detail, and who would like to receive a regular daily email update informing you of all important factors affecting my analysis, as well as the price levels for my personal BUY, COVER and SELL signals, please sign up below - its just $75 / month, or $695 / year.
You will receive daily updates before the opening with the price levels that I will be using with my positions, as well as discussion on the various T Theory structures and cycles that I am observing.
The private Member's service is for those of you who want to understand how to navigate the market using T Theory and other important concepts, so that you may be able to confidently invest in the market without the emotional prejudice that makes Trading so very difficult.
I will also answer any questions from my members personally and as promptly as possible.
Please join my inner circle and receive my detailed Daily Observations.
Here is an example, from 2 February 2017 - A Leap of Faith
Members Area
Members receive a login to the pro version of Trading the Line.com where the emailed Daily Observations will also be available and archived for future reference. The archive dates back to June 2016 for back referencing.
Trading the Line 'Explanatory Notes' PDF
This document simply explains all of the concepts that I am using to make my analysis of the S&P 500 for the S/T System and is included in the Membership.
Includes explanation of :
S/T Signals
OSc Signals
T Volume oscillator Signals
T Theory - cash-build up and projection of peaks
Echo and Pulse highs
and much more...
Trading the Line 'Notes on Day Trading' PDF
This document is a compilation of my notes on intraday movements in the S&P 500 and explains how I look at the market with a view to trading short term and for the hedging of positions. It is now included in the Membership.
Includes:
How I set up charts
Key moving averages
Buy Sequence
Sell Sequence
and much more...
It is important to understand that this is not intended to be investment advice or the recommendation to buy or sell stocks, options or futures contracts - but it is a rigorous method for navigating and understanding the market so that you may make decisions yourself with confidence and without emotion.
You will learn how I utilize Magic T Theory in Trading, how I perceive what is occurring in the marketplace, what I believe may happen next and all of the methodologies that I am using to come to those conclusions.
This information is educational and is intended for independently minded people who already have some practical working knowledge of the markets and already have an understanding of the risks involved in trading, and want to take themselves to the next level with confidence.
MEMBERSHIP FEE & LIMIT
I believe that this service will enhance your trading confidence and your ability to read the market and profit from it.
It is my intention to provide a high quality personal service and I intend to close the membership when I have a maximum of 500 Members.
Subscription rate guarantee:
The price that you join at will be the rate that you continue to enjoy for the foreseeable future, and if you would like to recommend your colleagues you may do so at the same rate that you join at.
This is the current Rate:
Monthly $75
Annually $695
Here is what one of my subscribers wrote:
I wanted to reach out and share some exciting personal news.
Yesterday I closed on my first home! And it would not have been possible without your service. I joined in December 2018, and my trading has evolved tremendously since then, I have even applied your system in other markets with great success!
I just want to say thank you and let you know that you are changing lives out here! I look forward to being a member for years to come.
GK, August, 2020
Still not sure?
If you would like to take a look at a couple of recent copies of my daily observations before you sign up (or just have a few questions) then please write to me at [email protected]
