By institutional investors dominating all financial markets, our computers and programs help us to identify price constellations, which lead to a price continuation patterns and we differentiate two major trade patterns:
- Momentum Trades: Frequent trading for smaller price move increments.
- Trend Trades: Focusing on following a trend by staying in the trade for a longer period of time.
The first documentations of price constellations, which formulate a pre-stage of a price move, were found in Japanese Candle Stick Patterns: Three white soldiers, harami, Doji constellations.
By our base hypothesis, high probability trade setups are found when a rate of performance above 63% is achieved over a longer set of data and for multiple time frames. When programming and testing candle stick constellations, they lead to a positive expectation but not to the required significant statistical evidence for high probability trade setups and thus did not get considered in our concepts.
The introductory high probability trading concept in the NeverLossTrading series is TradeColors.com:
By a sequence of two same color candles, a price threshold is formulated and when it is surpassed in the third candle, a high probability setup for a price continuation pattern is reached.
The momentum target for this trade is formulated by the Price Move Approximation, which formulates the expected price move from entry.
The stop is set at the high/low of the trade initiation candle (second same color candle).
The entry price level is the high/low of the trade initiation candle ± 2% of the Price Move Approximation. A trade setup is reached, when this threshold is surpassed in the third candle.
For following a trend move, you stay in the trade by trailing the stop below the low of two candles back or until the second opposite color facing candle occurs.
SPY Daily Chart with TradeColors.com Constellations, January – April 2014
The chart shows and measures momentum price developments. In the period between January 15 and April 15, 2014 we had:
- 6-Winning trades setups (86%).
- 1-Losing trade setup (14%).
No doubt about it, this is high probability trading.
To support you in finding stocks with two same color candle setups, we developed the NLT Continuation Pattern Alert, where we report those to you at least three times per week. Here is an example of the April 7 report and the stocks that were listed:
The TradeColors.com concept shows you how to short such market constellations out of IRA or other cash accounts.
For today, April 15, 2014 the following stocks produced a two candle color constellation:
- SO: Up for $0.56 or 1.3%
- COP: Up for $1.06 or 1.5%
- SBAC: Down for $1.94 or2.2%
When TradeColors.com produces such high probability trade setups, why would one use a different NeverLossTrading concept?
NLT Top-Line and NLT HF-Concepts have a higher productivity rate by giving you earlier entries and a higher participation rate for trades and thus allow for higher and more frequent returns.
With our current TradeColors.com promotion, we first of all give you a $500 discount until the end of April and in addition allow for an easy upgrade to a NeverLossTrading system by discounting the tuition you already paid.
For more information:
Call: +1 866 455 4520 or contact@NeverLossTrading.com
Sign up for our trading tips: http://neverlosstrading.com/Reports/FreeReports.html
Lately, I was listening at some multi-speaker events to the presentation of several trading strategies and no wonder that many of you are doubtful in the application of any.
Well known presenters showed strategies, which are very easy to follow and administer: When a certain asset goes comes down 16-ticks, you go long for 32 and you risk five. Charts and an actual trade proofed that this is right and works.
Another one was, when gold moves up or down that much at 6 p.m., you go long or short and then overnight you are making money.
Those are billionaire strategies if they would work and they sell for just $97 from normally $197. It is a must buy for everybody who believes this is doable.
When trading is that easy, we would have already produced an indicator and auto trader which does this all the time for us while we are hanging out at the beach and come home rich.
What will actually happen: You will find out in your account statement what a $97 investment can cost you.
A pro makes money with what the person does. Which profession is there, where you can be a pro by watching one DVD?
Think about what determines the value of a product or service?
- Some are raw material related, when little work is done to them, like simple jewelry.
- Many others define their value by the cost of labor involved and skilled labor can drive those prices high, like a car.
- Others have their value based on the productivity they bring and pay for themselves in either replacing other cost elements or by increasing productivity (throughput) and by that shorten the payback time.
When you consider this, and when you risk $500 per trade, and it does not work out twenty times, you invested $10,000; while you wanted to spend just $97.
The issue is:
“You paid the market and you still have no tools on hand that help your next trade to be more successful”.
Do you want to make a change to your trading?
Consider a NeverLossTrading Mentorship; you will be coached, supported with indicators, concepts, in individual training sessions were we are caring about your trading success.
If you like to experience this in action:
Call: +1 866 455 4520 or contact@NeverLossTrading.com
AAPL Daily Chart:
Learn to use this indicators; trade strategies for stocks, options, futures, Forex;
Position sizing, hedging and leveraging, continues improvement and so much more.
Schedule a Personal Consultation
Call: +1 866 455 4520 or contact@NeverLosstrading.com
1. You are Invited to the Festival of Traders
Lean powerful trading techniques used by professional traders:
Tuesday April 8 and Wednesday April 9, 2014
4:00 – 7:00 p.m. Eastern Time each day. Use one sign up to enjoy the entire event totally free:
The NeverLossTrading presentation is on April 9 at 6:15 p.m. ET
2. Making Complicated Matters Simple
What does the Google stock split mean for your trading?
With the stock split on March 27th, the Google share price was roughly halved and from now on, we have two trading tickers with roughly the same numbers of shares exchanged per day.
GOOG: Even so the prior ticker symbol was carried forward; GOOG represents the newly issued Class-C share with no voting rights. As a result, historic data are only reaching back to 3/27/2014.So far, this symbol does not carry weekly options; however, at the basis of monthly options , at our preferred strike prices, GOOG had a 5-times higher option volume than GOOGL this far.
GOOGL: The new issued symbol relates to the prior existing Class-A share with voting rights, which carries all historic data, reaching back to August 2004. Weekly options are issued. So far GOOGL had the lower option volume.
GOOGL 4-Hour NeverLossTrading HF Chart
If you are a Google shareholder, your account was updated as follows:
Say you held 100 Class-A Google shares. At one vote per share, that entitles you to 100 votes. After the stock split, you now hold 100 Class-A shares with the symbol GOOGL and 100 Class-C shares with the Symbol GOOG. Class-A shares keep their one vote, while Class-C shares have none. So while your number of shares doubled to 200, you still have 100 votes.
A super-voting Google Class B share also exists, however, it does not represent a stock we have to worry about as traders: The Class-B shares secure the control of the Google founders who hold 56% of the voting rights. By now being in the position from now on to only issue Class-C shares with no voting rights, the Google founders basically put a floor to keep the control of the company.
In the trading days since March 27, 2014, both shares showed a unilateral share price development, when we assume this continues, we are acting as follows:
- For day trading weekly options use GOOGL (all history).
- For position trading, use monthly options use GOOG (historic date from March 27, 2014 forward).
Sign up for our Trading Tips: http://neverlosstrading.com/Reports/FreeReports.html
Why to pair a high probability trading system with mind preparation?
Check this YouTube link to see what a high probability trading system can do for you:
The following YouTube link helps you to understand how critical mind preparation is for your trading success:
One of our key slogans is: Trade what you see, we put the trade entries and exits right on the chart for you; however, it takes a change in mind: To feel, think and trade in probabilities, where the individual win does not matter as much as the cross average gain over multiple trades (20 for example).
AAPL Chart with NeverLossTrading Signals: Only trade if the spelled out price threshold is surpassed: Can you hold this discipline?
Check out our offering and sign up for our trading tips: http://NeverLossTrading.com