3/9/2010 4:26:46 PM
TrendProphecy
Professional DayTrading
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Example
To get a better understanding of the potential and how to use TrendProphecy
for Day Trading we
show a part of an actual trading day, February 18th. 2009, Trend Trading the SP 500
Index.
The Profit is without deduction of Trading fee. The shown trading Methods are
only meant as examples that should give you inspiration to shape your trading
strategy to suit your personal trading habits. These examples also illustrates
that everything is not lost even if you get caught in a position and start
loosing money. Just follow the signal and change position with it, and you will
find that almost all the time you will return into a positive trading profit. By
following the Trend Signal closely a very experienced trader should be able to
execute the optimal exit trade almost every time.
As the examples shows, TrendProphecy has Tremendous Upside Potential with a Limited
Downside.
Exchange Data: Price
Graph with Sound Alert On:
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2/18/09 from the trading start to 12:01:19.
As it shows there have been two Short positions (Red Graph), two Long positions
(Cyan Graph) and Alert have been called five times (Yellow Horizontal Line).
The Grid to the left shows the prices received from the Exchange, which
TrendProphecy use to calculate the Entry and Alert points during the day.
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Each position shows the profit for One E-Mini Contract where 1 point = US$ 50. |
 Trade Info Grid: |
The Short position taken 4:10:22 had Max Profit Potential at 4.50 points or $
225.00.
The Long position taken 5:24:41 had Max Profit Potential at 7.75 points
or $ 387.50.
The Short position taken 9:31:09 had Max Profit Potential at 13.25 points or $
662.50.
The Long position taken 10:31:50 had Max Profit Potential at 6.50 points
or $ 325.00
and went even 2 points higher before the Trend Changed to a short. |
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Below we show in more details what could have been done both as a
Scalp Trader and a more Conservative trader by analyzing the last 3 Alert Signals, which
were called during the trading until to Noon. |
9:10:45 the Alert
is shown on the Graph Display, a '*' (Asterisk) is placed after the Timestamp,
and a yellow line starts to be drawn. These visual alerts together with an audio
alert will stay on until the Trend again becomes Stable.
At this time the Max Profit has been at 7.75 points, and the actual current
profit (Last Profit column) is 5.25 point. If the position still is open the
Trader should close the position here and wait until there either is a Trend
Change or until the Trend again is Stable. |
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The Scalp Trader can use the Trend Unstable Signal to take a Short position
against the Main Trend (Long), which is still active. Remember an Alert is not
the same as a confirmed Trend Change.
9:31:09 The Trend now Change to Short and the Alert go back to
 - see also the Trade
Info Grid above. The Scalp Trader as well as the Conservative trader should now
enter the new trend trade. |
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The Short position @ 791.50 keeps the Trend Stable signal until 10:20:49.
At this time the Max Profit has been as high as 13.25 points, and the actual
current profit is 8.75 point. If the position still is open the Trader
should close the position here and wait until there either is a Trend Change or
until the Trend again is Stable.
Again the Scalp Trader can use the Trend Unstable Signal to take a Long position
against the Main Trend (Short), which is still active. |
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10:31:50 The Trend Change to Long @ 786.25 and Alert goes back to Trend Stable.
The Scalp Trader as well as the Conservative trader should now enter the new
trend trade.
The Long position keeps the Trend Stable signal until 10:56:31. At this time the
Max Profit already has been 1.75 points, and the actual current profit is - 3.25
point! If the position is still open and no profit has been taken, the
Conservative trader can close with a loss but more correct wait for a Trend
Change as the Main Trend still is Long. |
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The Scalp Trader which should have taken profit already (Max Profit1.75) and
Wait for either a new confirmed Trend or a Trend Stable to enter again, can also
chose to go short against the Long Main Trend which is still active. A short
position turns out to have a 1 point Max Profit. 11:10:51 the Trend return to be
Stable, and the Scalp Trader should go long again if he has stopped or is short.
The Max Profit goes on to reach 8.50 points around noon. |
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