Going Forward

A Note About Using This Site

The past few weeks have had considerable impact on my feelings regarding the use of this site. As you all know, I do not charge a fee for this information, and have no intention to do so. The reason I share this information is primarily to share in any potential success. With this in mind, you should use discretion in making trades as there is no guarantee that this system will continue to be successful. All trades should be made with discretionary income or funds that you are completely comfortable with losing (or at least a portion). If this is not the case, do not trade the market!

Lessons Learned

The recent wild market swings have in some ways been a learning experience. The following are some of the lessons learned that you may want to consider:

* Use discretion when opening and exiting trades. It is not always best to buy at market open. Consider waiting to open a trade if there is considerable negative pressure. Consider closing a position after a certain percent loss. There is always next week to reset and reconsider the market influence. Of course, there is no way to accurately time the market under every circumstance but caution should be used to preserve capital especially in rough economic periods.

* Never make a trade unless you feel comfortable losing the money you are trading. The market is inherently risky.

* More to come...

Current Status

The market this month has been disastrous! This sort of loss hasn't been seen in years. With that said, the system has still out-performed the market over 30%. We are looking at a current return of circa 17% (depending on Monday open).

One down side of the system was Gold was not used as a hedge (only TLT). Going forward, I have added GLD and improved the models with new algorithms. Even with these additions, there is no way to predict news or other disasters. It may take time for the market to calm down. I suggest those who don't feel comfortable with the market to sit out for a while until the market returns to more of a trending state.