To do this we teach you a very unique method of Technical Analysis that combines the Elliott Wave Theory with certain Fibonacci ratios to identify key turning points for a stock or any other liquid market.
Our utilization of Elliott Wave and Fibonacci analysis gives you clear cut rules and guidelines that must be met in order for a trade set-up to qualify. This allows you to focus in on one key market set-up that identifies the most dynamic moves in the market regardless of market direction or time frame.
Below are several hypothetical examples of this key set-up and the market action that followed
Average reward to risk ratio of these three trades is 8.4 to 1.
That's a $8,400 profit on a $1,000 risk.
In addition to learning the Elliot Wave and Fibonacci analysis methods along with our key market set-up you'll also learn several other technical indicators to help you perfect both trade entry and trade exit. These indicators include:
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- Head and Shoulder Tops and Bottoms
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- Sentimental Indicators (VIX, Put/call ratios)
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Step 2.
Understanding and applying proper money management and risk/reward ratios
Even the most successful analysis method will lose money if not coupled with proper money management. And a below average analysis method will make money if used in conjunction with proper money management. We can not stress this point enough.
Examples of two hypothetical trading accounts:
| Hypothetical trading account A. |
Makes 10 trades with 7 winners and 3 losers. The average gain per trade is $1,000 and the average loss per trade is ($1,000).
- 7 winning trades X $1,000 = $7,000 in profits.
- 3 losing trades X $1,000 = ($3,000) in losses
Net result is a $4,000 gain in the account. |
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| Hypothetical trading account B. |
Makes 10 trades with 3 winners and 7 losers. The average gain per trade is $8,400 and the average loss per trade is ($1,000) as in our example charts above.
- 3 winning trades X $8,400 = $25,200 in profits.
- 7 losing trades X $1,000 = ($7,000) in losses.
Net result is a $18,200 profit in the account. |
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Which account would you rather have?
Imagine what would happen if you could get to the point where you were right on even 4 out of 10 trades the profit would jump from 18,200 in our example to $27,600.
This should illustrate that successful trading is not about being right more than you are wrong. It's about proper money management and risk/reward ratios. Even with 30% to 40% winners you can make a lot of money as a trader.
Key aspects of money management, risk.reward ratios, entry and exit techniques, and placing stops are covered in-depth in the mentoring classes.
Step 3.
Selecting the proper strategy to take advantage of the coming market move.
Strategies you'll learn include:
Many traders may choose to use option strategies as part of their trading game plan, especially if they are starting with a smaller account and want to leverage their investment dollar. Proper money management should still be used when trading options.
Example of option leverage:
One of our recent newsletter recommendations was to buy TASR in August at 17.41. We sold it 37 trading days later at 26.68 for a nice 53% move in the stock.
At the same time we recommended to buy the November 20 strike call option for 1.65. In the same time the stock increased 53% the option increased in value 379%.
When you understand these 3 Steps
| Step 1. Proper Analysis |
| Step 2. Proper Money Management |
| Step 3. Proper Strategy Selection |
You can consistently make great money in the market and create the wealth and financial independence you deserve. Below are several testimonials from some of our Executive Mentoring graduates. You can read a brief excerpt of what they had to say or listen to what they had to say by clicking on the appropriate link for your Internet connection speed.
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I targeted two stocks in August that looked to me like they might break out. I purchased an August 18th call option for FWHT with a strike price of 22.50 at an average price of $0.96/share. I sold them yesterday at $4.30/share for a 345% return in 21 days.
The profit I earned was $11,500 after commissions. This was my first trade, so after one trade, needless to say, I paid for the course materials and the executive mentoring program. My second option position is with LEND and it is also in the money and is up 750% as of right now. Of course things can change quickly, but right now it's up $5,500. Anyway, I will write to you when I close out this second position too. I wanted to say thank you for your mentoring, and feel free to share this success story with your co-workers and students, etc.
Eric K.
Carol Stream, IL |
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In the last five months I'm up over 53% on my entire portfolio. My daily average is $351 dollars and this month I've already made just under $12,000, and the month is only half over. At this pace, I'll easily make over $100,000 this year from trading. I couldn't have done it without your mentoring program.
Donald S.
Napean, Ontario Canada |
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I've been practicing using the tools you've been teaching us on spread trading, on paper trades. I finally decided to start actually using these tools to buy and sell stocks, stock options, and commoditiy options. Over the last month in commodities I have seen an original investment of $20,000 grow to almost $60,000. I've cashed in and am selecting more trades to make.
What you have taught me is truly amazing, and your absolutely right about doing the proper due diligence. The time it takes makes you thousands of dollars an hour. Please feel free to share this story with anyone who may be interested. Thank you so much.
Scott J .
Sarasota, FL |
If you would like to find out if you qualify to work with one of our mentors please call us toll free at 888-686-6886 and ask to speak with one of our Program Directors
Important Notice: Except where otherwise specifically stated, all trades are based on hypothetical or simulated trading. Hypothetical or simulated performance results have certain inherent limitations. Unlike an actual performance record, simulated results do not represent actual trading. Also, since the trades have not actually been executed, the results may have under-or-over-compensated for the impact, if any, of certain market factors, such as lack of liquidity. Simulated trading programs in general are also subject to the fact that they are designed with the benefit of hindsight. No representation is being made that any account will or is likely to achieve profits or losses similar to those shown. Commissions, fees, and slippage have not been included. This is neither a solicitation to buy/sell securites or listed options
Copyright © 2005 Vision Investing Group
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