The principal requisite of a trading system is that it be profitable overall. This does not mean that every trade need be a winner. Rather, the relative size and frequency of losses and gains must be such that, over time, a net profit results. For example, assume that only half of the trades of an Emini trading system are profitable. If the average profit exceeds the average loss, then overall trading will be profitable.

An Emini trading system can be discretionary or systematic. Discretionary systems rely solely on the "gut feeling" of the trader. For a variety of reasons, most Emini traders have gravitated to using some type of computerized or quantitative system.

Quantitative trading systems quantify the conditions or criteria for a trade signal to be generated with the intent of eliminating the discretionary element from the trading decision. In many cases, the system builds upon the study of technical analysis with the goal of identifying a proprietary trade indicator that gives an edge over other traders. Many such trading systems are programmed via computer to run continuously and automatically generate a buy or sell signal for the trader. In some cases, it may even be possible to interface the trading system directly with the trading platform so that trades are executed without even requiring the trader's intervention.

You can learn an Emini trading system from an experienced Emini day trader. The Emini Trading Professor, a 20-year veteran trader, will teach you high-probability Emini day trading and scalping strategies in a real-live trading environment. As they say, live trading doesn't lie. Get an idea of how it works by spending one full week in a live trading room free.

Whatever type of trading system is used and regardless of its origin, it should be first tested under simulated but real-life conditions prior to risking actual dollars. This will also enable the Emini trader to develop some skill in implementing the system. While the profitability and consistency of a discretionary system depends entirely on the trader, a quantitative system can be back-tested on historical data to provide an indication of performance. It can then be amended, if necessary, in an attempt to improve overall profitability.

There are no guarantees of profitability in the world of futures trading, but the discipline of a trading system goes a long way toward making a trader successful. For more information on trading systems and their importance, request our free brochure, How to Invest. If you need help in programming your online trading system, contact our custom trade system programmer.