Wednesday, August 24, 2011

Trading Algorithm Review - PTP 5

Excellent market call, followed by an excellent Rally!! (by the grace of God) 
This behavior again proves the accuracy of the Understand, Survive and Thrive's trading methodology. UST's Inflection Point Model predicted, on August 4, 2011, that markets will bottom on August 23, 2011 (+/- 4 days). On August 22, 2011, Trading Algorithm generated a bottom signal coupled with a risk-management strategy. Long behold, markets rallied strongly yesterday. At this point, I would like to emphasize that risk-management should remain the key.

UST's TRADING ALGORITHM RECAP (For detailed market timing, visit: Market Timing)

  1. Trading Algorithm generated a sell signal at 1322 (SP500), on July 27, 2011, saving followers 17% in 2 weeks and avoiding the mini-crash. 
  2. On August 18, 2011, UST's Trading Algorithm shorted the market at 1195 (SP500) and covered at 1124, for a 4.5% profit in 4 days. 

UST PERFORMANCE (July 24, 2011 to August 24, 2011):

SP500: -13.6%     vs     UST Model: +3.2%     =>     UST Net Gain = +16.8%

UST Trading Algorithm has beaten SP500 by 16.8% over the last month alone. 

After reading various articles in the news and analyzing the performance of several fund managers, Trading Algorithm's 95% accuracy, in today's dangerous markets, is a pure blessing of God. A blessing which UST team has been sharing with its readers for the past 8 months, and will continue to do so.

Yesterday we received very bad economic data and a 5.9 magnitude earthquake which rocked the East Coast. Although such an event could have easily resulted in a significant sell-off because East Coast is the financial and political hub of the nation, it did not result in any panic. Instead, market continued to rally. This shows that the markets are governed by human mass psychology. Once this psychology turns bullish/optimistic not even bad events can derail the market.
     Since financial markets are the best barometer of the collective human psychology, understanding the structure of the financial markets can be very useful and rewarding. It can help predict and identify various social trends. This identification would lead to better business decisions and creative investment opportunities.

At some point in future, I would like to initiate a stock market analysis based small/new business consulting service, helping individuals identify the best business potentials and enacting appropriate business strategies.

Although markets did bounce within the turn window, they are in a downtrend. In order for this trend to reverse, markets will need to do a lot of work. Over the next few weeks, we will see sharp rallies and declines. As long as 1204 (SP500) level is not broken to the upside, we should remain cautious of a potential downside reversal. Therefore, one should have tight trading stops to preserve profits. In the next post, we will analyze the latest Inflection Point Model results.

It has been finalized that subscription will only be opened to 60 individuals, either in October or November 2011. Right now we only have 42 subscription spots left, as several individuals have already booked a subscription spot by sending a request to Initial subscribers will pay introductory rates (mentioned in subscription section) for the next 6 months. After initial subscription phase is complete, subscription will be closed till at least April 2012.
     Subscription details (Payment Method, Trial Period, and other details) will be mailed to interested individuals in mid September 2011. If you want to subscribe or want to book your subscription spot, please contact UST team at:

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