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Mark Ansel has been trading professionally since 1995. After trading options in his first three years, he moved to commodities and developed systems for other professional traders.
Mark's been in the same situation as you have been. He never liked trying to guess what he was supposed to do when he was trading other people's systems.
Night Owl™ is something Mark developed initially for himself so he wouldn't need to deal with these kinds of questions.
Mark started developing Night Owl™ in 2011. His motivation was to find a better strategy than what he was using at the time. He wanted a model that would seek short-term profits by using techniques such as momentum bursts, cycle reversals and pullbacks to known support and resistance levels.
All of Mark's Night Owl™ trades are in the direction of the underlying market trend. "Predominant move" is the term Mark uses.
On a nightly basis, Mark's Night Owl™ model predicts a market's likely predominant move for the next day with high accuracy.
Mark prefers using a strategy for day trading purposes. Mark is flat every day no later than 4:00 PM Eastern.
Most Night Owl™ entries occur between 6:00 and 8:00 PM Eastern.
When you're a professional trader, the most critical element for trading is not profit. It's risk management. That's the name of the game.
All Night Owl™ entries show suggested protective stop loss and target profit prices.
Traders can enter a bracket order which means you don't have to watch the markets. If your trade is filled, the stop and profit target orders are set automatically. When you are stopped out or filled on your profit target, the remaining open order is automatically closed.
Mark's Night Owl™ system identifies all prices in advance.
There's no guesswork involved.
I’ve been getting used to Night Owl and have been enjoying great results. Thank you for your work and these great calls.
-Paul J. Thailand.
Not at all. In fact, it's quite old.
Mark bases his analysis on the Egyptian Square of Nine concepts. W.D. Gann investigated the Square of Nine almost a century ago. Murrey Math is also based on the Square of Nine mathematics.
One Aeromir member still has a seat at the CME and has confirmed that many floor traders know and use the Square of Nine.
Mark calculates the Square of Nine values from zero to 156,000. Mark uses these number to base the prices in all trading markets.
Mark has used Square of Nine prices for 22 years and remains amazed by how frequently any market will stop on Square of Nine prices.
Mark's Night Owl™ model identifies directional trends by evaluating exponential moving averages in four different time frames. The model then confirms those time frames with three additional time frames calculated with simple moving averages.
Night Owl™ compares the position of those seven moving averages with respect to each other. Using that information in conjunction with Market Profile® Points of Control®, from the past two to six months. This enables the strategy to precisely calculate the depths of retracements that we can expect to see.
Night Owl™ was about a year old when Mark was taught how to use Market Profile®.
Market Profile®, as with most technical indicators, was developed for a specific purpose.
Mark's Night Owl™ uses Market Profile® in a completely different way.
Mark found a use for Market Profile® that, to the best of his knowledge, nobody else is doing. He never has taught or revealed his techniques of using Market Profile® in Night Owl™.
Market Profile® is phenomenally accurate in the way Mark's Night Owl™ uses it. For example, it lets Mark know when to take a reversal trade versus when to stay with the Night Owl™'s original determination of direction.
While I am still building proficiency in the Night Owl™ trades, the results are phenomenal. I just want to mention that I thoroughly enjoy the system.
-David Z. in Palm Desert, CA
Night Owl™ works well in any market in which the volatility is strong, and the market offers excellent liquidity.
Mark's favorite market is Crude Oil futures.
The big Crude Oil contract (CL) is the most heavily traded and the most liquid commodity market there is.
Mark also trades the E-Mini Crude Oil Futures (QM) contract and Micro WTI Crude Oil futures contract (MCL).
Mark posts his nightly array of entry and exit prices in the Night Owl™ class planning notes page. Subscribers can opt into an email notification and/or a Slack notification when the price arrays are posted.
Here is what one looks like.
Mark always uses the line with the ampersand (@) for his initial entry. In this case, Mark would intend a SHORT entry at a limit price of 82.575 and a BUY STOP at 83.150.
The letters A, B, C, D and E are profit targets.
Mark was in the military and refers to the targets as ALPHA, BRAVO, CHARLIE, DELTA and ECHO.
Once the market reaches his BRAVO target ( 81.825 in this example), Mark closes the trade.
Markets tend to reach the BRAVO profit target more than half of the time.
In this example, Night Owl™ is risking $0.575 or $575 on a full CL contract. The BRAVO (B) profit target is $0.75 or $750.
To place the trade in your broker platform, set up a Bracket Order as follows:
Bracket orders are available on most broker platforms as they have been around for a long time.
Once your order is placed, you can walk away from the computer. If you are filled, you'll either hit your stop or your profit target. When either is filled, the other open order is automatically canceled.
While you certainly can watch the markets, you don't have to.
Since Night Owl™ has been with Aeromir, win percentage is above 80%.
Roughly four of every five trades were profitable.
NOTE: Night Owl™'s Reward/Risk is greater than 1:1.
Whether you're evaluating Night Owl™ or any other system, don't get hung up on the accuracy percentage.
Sure, 80% is great, but if you're risking $6 to make $1, such as with a credit spread, 80% is not going to cut it.
On the other hand, if you're trading Crude Oil, and you're risking 60 cents to make 60 cents, and you're winning more than half the time, you're going to make money.
The point is, accuracy percentage by itself, while important, is not the critical element. It's the combination of your accuracy percentage with your reward to risk ratio that is critically important.
Expected Return is the win percentage times the yield plus lose percentage times the negative yield (loss). If you add them together and it's positive, you'll make money.
In this example 80% times $0.60 = $.48 plus -20% (loss percentage) * $0.60 = -$0.12. $0.48 - $0.12 = +$0.36. This shows a positive Expected Return for Night Owl™ in this example.
Start with a small account and trade Night Owl™ until you are consistently profitable.
There are several proprietary trading firms (prop trading firms) that you use once you are consistently profitable.
Many prop firms have fees to trade with them, but if you can make money, they are a great way to leverage your skills.
Most prop firms let you keep most of the trading profits you generate.
The purpose of the Night Owl™ Trade Advisories is to show you the information Mark Ansel uses for his own trades.
The Night Owl™ price arrays are provided to subscribers on as "as is" basis for educational purposes.
You are responsible for all trading decisions if you use the Night Owl™ price arrays for your trades.
Get Mark's daily Night Owl™ trade advisories. When you sign up, you get:
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