Friday, September 01, 2006

August Performance Review

We have decided to post our results for every month, and what better way to start (in the spirit of humility) than with our worst month. First, an explanation of the results. These are daytrade results split into either a loss (maximum 1%), a draw (meaning stock did not give either 1% profit or 1% loss), and a win (minimum 1% to a maximum 5%). But take note of two important clarifications concerning the way we log our trades, and which we feel is much more realistic (not to mention honest) than any other method.

Our system is simple -- once a trade is triggered (meaning it hits the exact number that we have supplied our subscribers with, an automatic 1% stop is entered. If the stock triggers, hits the 1% stop loss, and then reverses to rally 5%, it will still be considered a LOSS since it hit the stop loss before yielding profits. The only way the trade will be logged as a profit is if it hits the 1% minimum profit BEFORE any losses are potentially incurred. The majority of our successful trades during the last 3 months have yielded 2-3% day trade profit.

Second, these trades are logged automatically without regard to the intraday conditions, market trend, volume, et cetera. We believe that individual traders could do even better if they take the latter into consideration before entering a position.

So without further ado, here are our August results, which, though still satisfactory, are the worst results we have had since starting up our service 3 months ago. Why were this month's results weaker than previous months? We are break-out traders, and low-volume August whipsaw action, devoid of trend days, does not bode well for momentum traders.


11 losses of 1% maximum
7 draws
16 wins of 1% minimum (including 7 wins of 2%-5%)

Our Historical Performance Page is updated daily with the date, ticker, alert price, day price range, and of course loss/profit information. We're looking forward to the challenges of Fall and hope that we can continue to contribute a constructive profitable service to the trading community.