I follow simple rules for all my trades:

(1) Chaos Indicator was designed for day trading.

For options, I trade at the money or in the money QQQ/SPY/IWM options when there is Chaos signal in futures (RTY/NQ/ES). Take profits at 20-40% and let small runners run until end of the day.

(2) I do not trade before market moving data (a few days a month before 10AM, ET.)

(3) I only trade during regular trading session because of high liquidity is needed.

(4) No automated trading on day of FOMC/CPI/Monthly OPEX (Every 3rd Friday).

(5) If 1st trade is profitable, I take the profit and end trading in that market.

(6) GOLDEN RULE: the more you trade, the less you make.

(7) If I am going to trade 2nd signal in the same market, I use partial profits from 1st trade/signal as my stop loss, and often use options on futures or index options.

(8) Learn to trade one market well before adding more markets to trading.

(9) For each market, I have a set stop loss of no more then 8-10 points, take profits on half of the position at 4pts and move the rest at breakeven stop loss. Trail up stop loss until next resistance.

(10) Money Management in #9 above is what differentiates consistent winning vs. loosing and chasing. NO EXCEPTION to money management in #9 above.

(11) If markets are very volatile, I will use options and options spread to trade Chaos Indicator signal rather then futures. Keep and eye on volatility, VIX, VXN, RVX, GVZ

(12) Average trader takes 1-2 months to become familiar and confident in trading Chaos Signals. You trade at your own risks. Nothing on this website is investment advise.