We use the same technical analysis principles used by professional traders -- volatility breakout filtered with momentum, cycles, and Fibonacci-time relationships. We then combine these techniques into a mechanical system.

These are all standard technical analysis tools. The volatility breakout can be a complete trading system all by itself. It provides the method of calculating the entry price and the stop and reverse price. This system in its basic form is always in the market and trades frequently. Applied to a daily chart of data the results are profitable swing trades. This method was very popular in the 1980's. Later due possibly to overuse and increasing market efficiencies, the profit per trade deteriorated until the profits were too small to support commissions and slippage. The users were now losing money.

Now with the volatility breakout system there are numerous trades. Some of the trades are profitable and some are not. The key is to try to select out the trades that are more likely to result in a profit and avoid taking some of the losing trades. There are several technical analysis tools that can identify likely times for market turns (short-term trend changes). The ones we use are momentum, cycles, and Fibonacci-time relationships. Our program filters the volatility breakout signals to select only those trades more likely to be winners. This improves the profit per trade and typically makes more than enough per trade to pay the slippage and commissions. Another way these tools help is to warn that the technical condition has deteriorated for a trade already in place.

At last there is one more tool we use. Sometimes the market can move very quickly where the moves are too far, too fast. We use the systems technology to establish objectives just in case of large quick moves. These are excellent times to snag a quick profit by placing a limit order to exit at the objective. Simultaneously we place stop orders in order to prevent a huge loss.

All the subscriber has to do or know is to use the trading recommendations with the trading instructions. All the knowledge and logic is built into the computer programs. Our system allows you to make professional unemotional trades day after day