Thursday September 4, 2025

Q: What is the significance of 'small losses happen, large losses are created' in the context of trading?

This highlights the importance of self-control in trading. Small losses are natural, but large losses result from a lack of discipline and failing to follow a trade plan. Micros Trader emphasizes that no proper plan accounts for catastrophic losses—they are preventable through discipline.

Q: What is the 'Walls of Self-Control' devotional, and how does it relate to trading?

The 'Walls of Self-Control' devotional is a daily reflection and prayer project at microtrader.com, blending scripture with trading discipline. Using Proverbs 25:28, it illustrates how a lack of self-control leaves traders vulnerable, while daily study and prayer encourage wisdom and patience.

Q: How does Micros Trader’s trading strategy incorporate 'Strong Levels' and a 'Battle Plan'?

Strong Levels are key price points where markets often react, provided as a member indicator. The Battle Plan outlines specific trades around these levels, ranked by priority. This structured approach helps identify optimal entries and manage trades consistently.

Q: What is the 'Range Rules' concept, and why is it important for trading?

Range Rules stress buying near the bottom of a price range and selling near the top. Attempting to short at lows or long at highs is discouraged. The goal is to capture price moves within the range boundaries.

Q: What are 'Friday rules,' and how do they impact trading decisions, especially before Non-Farm Payroll (NFP)?

'Friday rules' encourage traders to protect weekly gains ahead of the volatile NFP release. If up small, stop and secure profits. If up big, decide in advance how much of those profits to risk.

Q: Why did Micros Trader favour long positions on Tuesday and Wednesday, even after missing an earlier long opportunity?

He remained bullish due to a missed Tuesday long that ran 80 points, which he considered the trade of the week. Mentally continuing that bias, he viewed subsequent setups as extensions of that play.

Q: What market indicators and instruments does Micros Trader monitor for overall market direction?

He monitors ES, NQ, Russell, and Dow futures. ES is leading above prior highs; NQ shows bullish VWAPs; Russell is flat; Dow is consolidating tightly with an imminent breakout likely. All-time highs are within reach for Dow and NQ.

Q: What spiritual and practical disciplines are integrated into Micros Trader’s trading philosophy?

Spiritually, daily devotionals, prayer, and scripture guide discipline and focus. Practically, he emphasizes self-control, patience, journaling, adherence to the battle plan, humility, and careful planning around events like NFP.

In Thursday’s AM Briefing, Micros Trader underscored the importance of self-control in trading, noting that “small losses happen, large losses are created” through emotional decision-making. He introduced a new devotional series at microstrader.com, designed to combine biblical wisdom with trading discipline. Strategically, attention turned to Friday’s Non-Farm Payroll release, with traders advised to lock in weekly gains under “Friday rules.” While markets remain range-bound, bias favors long positions, particularly in the E-mini S&P 500, as indices like the Dow approach breakout levels.

☀️ AM BRIEFING

Opening Remarks

Micros Trader opened the Thursday AM Briefing by stressing the dual importance of trading discipline and personal growth. He noted that while markets present opportunities, true success flows from wisdom, not emotion.

Trading Discipline & Personal Growth

A central principle highlighted was: “Small losses happen, large losses are created.” Micros Trader explained that losses are not inherently caused by markets but by a lack of self-control. Emotions that override discipline can turn a manageable setback into a damaging result.

He also introduced a new passion project available at microstrader.com—a daily devotional and prayer specifically designed for traders. The devotionals combine biblical wisdom with trading discipline, calm focus, and spiritual growth. Each entry includes scripture (such as “A person without self-control is like a city with broken down walls”), a reflection applying the verse to trading, a prayer for self-control and patience, and additional passages for deeper study.

The goal of the project is to provide “daily bread” for traders, offering both spiritual nourishment and practical decision-making guidance. The message is clear: trading decisions grounded in wisdom and faithful obedience will be stronger than those driven by fear or greed.

Market Analysis & Strategy

Looking ahead, Micros Trader reminded everyone that tomorrow is Non-Farm Payroll (NFP) day. Because of this, “Friday rules start today.” Traders were advised to carefully manage weekly gains:

If up small, consider closing the week early to stay green.
If up big, decide in advance how much to risk going into Friday.

He also announced a live “NFP watch party” on YouTube.

As for today, unemployment claims and services PMI data were set to release in seven minutes, likely producing only small reactions.

Micros Trader emphasized the value of the “Strong Levels” indicator, describing it as worth the membership alone, and reminded traders that the daily battle plan provides structured setups around those levels.

Review of Recent Trades

Tuesday’s Missed Long: A strong level was mapped out after an overnight sell-off. The long trade was not taken, but if it had been, it would be up 80 points—possibly the missed trade of the week.
Wednesday’s Plays: A short and a preferred long were both identified, though Micros Trader admitted he mentally stayed focused on Tuesday’s long as the key play.
Last Night’s Long: Using battle plan number one, he entered a long and captured part of the move, finishing green on the day.

Range Rules & Market Context

The market remains in a well-established range discussed last week. As Micros Trader stated: “Range rules rule.” That means longs are preferable near the bottom of the range and shorts near the top.

Resistance levels remain significant, especially as the market previously struggled to get under current price. A trend line connecting Tuesday’s and Wednesday’s lows may offer additional long opportunities if retested.

Market Leaders and Indices

ES (E-mini S&P 500): Currently leading, trading above the previous day’s high.
ENQ (E-mini NASDAQ 100): Tried and failed multiple times to move higher, but VWAPs show upward momentum.
Russell: Flat.
Dow: Trading in a tight range with equal highs and lows for six sessions, suggesting an imminent breakout. All-time highs are within sight.

Overall, Micros Trader emphasized that the market is not bearish. His bias remains toward long setups, particularly the primary “battle plan trade number one.”

Practical Advice & Resources

The tip of the day reinforced the earlier message: “Small losses happen; large losses are created.”

Resources mentioned include:

The AM Briefing and battle plan link at microstrader.com.
A free foundations course for traders.
The new daily devotional project.
The “Get tomorrow’s trades tonight” feature with the battle plan.
A reminder to check YouTube for videos on “range rules,” which may be highlighted as featured content.

Closing Thoughts

The Thursday AM Briefing closed with the reminder that disciplined execution, grounded in self-control, remains the foundation of trading success. The markets may deliver volatility into NFP, but Micros Trader remains focused on long opportunities, with “Strong Levels” and the battle plan providing the roadmap.

❓ FREQUENTLY ASKED QUESTIONS

Frequently Asked Questions – Micros Trader AM Briefing

1. What is the significance of "small losses happen, large losses are created" in the context of trading?

This statement highlights the crucial role of self-control in managing trading losses. Small, inevitable losses are a natural part of trading, but large, catastrophic losses are typically a result of a lack of discipline and the failure to adhere to a predefined trading plan. Micros Trader emphasizes that a well-structured trade plan should never account for a "monster loss," implying that such losses are preventable through self-regulation.

2. What is the "Walls of Self-Control" devotional, and how does it relate to trading?

The "Walls of Self-Control" is a daily devotional and prayer for traders, part of a new "passion project" on microtrader.com. It blends biblical wisdom with trading discipline, aiming to foster calm focus and spiritual growth. The devotional uses the scripture "A person without self-control is like a city with broken down walls" to illustrate the importance of self-control in trading. It includes reflections on how the verse relates to trading, a specific prayer for the topic, practical applications, and further scriptural study. The analogy of broken walls suggests that a lack of self-control leaves a trader vulnerable, much like a city without proper defences.

3. How does Micros Trader’s trading strategy incorporate "Strong Levels" and a "Battle Plan"?

"Strong Levels" are a proprietary indicator provided to members, represented by horizontal lines on a chart, which indicate key price points where the market is likely to react. The "Battle Plan" is a strategy document that outlines specific trades around these strong levels. Trades are often ranked visually (1 to 5), with lower numbers representing closer engagement points. The Battle Plan identifies optimal entry/exit points and trade direction, helping traders structure decisions consistently. Even missed trades are mentally tracked to maintain a consistent market perspective.

4. What is the "Range Rules" concept, and why is it important for trading?

"Range Rules" emphasize effective trading within a defined price range. The idea is to look for long positions near the bottom of the range and short positions near the top. Attempting to short at the bottom or long at the top is considered an incorrect play. The goal is to capture the movement from one side of the range to the other, maximizing probability within the bracketed price structure.

5. What are "Friday rules," and how do they impact trading decisions, especially before Non-Farm Payroll (NFP)?

"Friday rules" are guidelines for risk management ahead of Non-Farm Payroll (NFP). The principle is "don’t give your week back." If up small, it may be best to stop trading and lock in gains. If up big, traders should decide in advance how much of those profits they’re willing to risk, since NFP often produces volatile swings. Micros Trader also hosts live NFP watch parties to help traders navigate the event.

6. Why did Micros Trader favour long positions on Tuesday and Wednesday, even after missing an earlier long opportunity?

Micros Trader maintained a bullish bias because he was still mentally trading the significant Tuesday long that was missed but had run 80 points. He considered it the "proper play of the week" and viewed subsequent setups as continuations of that trade. Even without perfect follow-through, his focus on longs reflected his interpretation of overall market structure.

7. What market indicators and instruments does Micros Trader monitor for overall market direction?

He tracks multiple futures indices to gauge sentiment:

ES (E-mini S&P 500): Current market leader, above prior day’s high.
NQ (E-mini NASDAQ 100): Tested resistance repeatedly but shows bullish VWAP slope.
Russell: Flat, showing limited directional bias.
Dow: Trading in a tight six-session consolidation with equal highs and lows, suggesting an imminent breakout. All-time highs are in sight.

8. What spiritual and practical disciplines are integrated into Micros Trader’s trading philosophy?

Spiritually, Micros Trader emphasizes daily reflection, biblical wisdom, and prayer as sources of discipline and calm focus. Scriptures like “Test all things; hold on to what is good” are woven into his approach. Practically, he highlights self-control, strict adherence to a battle plan, journaling, patience for mapped-out trades, forward planning, and humility in accepting small losses or missed opportunities.