The Trend Reversal Pro (our newest free software bonus) in Action ...
"I am very impressed with your product, and am so amazed with the Trend Reversal Pro! It is becoming a key ingredient to my trading, and is a real confirmation indicator.
The best thing is that there is no delay, since the showme dots arrive on the current bar, before the close. Great job!"
- Steve J (new KC Collection trader), Sarasota, FL
Today's profit from four trades: approx. $675/contract in the e-Mini SP
The Market: We chose today's e-Mini S&P 500 action to illustrate the unique effectiveness of our latest software bonus, which we include free with the purchase of the KC Collection. Today is the day that we introduced the Trend Reversal Pro, so what better trading day than today to illustrate just how well this works? Please study the following trade analysis, which references the above live screen capture of today's action:
The above chart uses just four elements of the KC Collection:
a) The Keltner Pro: Our proprietary Keltner Channel (shown as the three white horizontal lines)
b) The P/V Oscillator: Our powerful trend confirming/divergence indicator (labeled on the chart)
c) The Trend Reversal Pro: Our newest Free software bonus (shown as a yellow dot under the bars -- for a bullish reversal -- and a yellow dot on top of the bars -- for a bearish reversal)
d) The Pivot System: Our consistently-profitable strategy, represented by the blue Buy arrows and red Sell arrows. The results of our Pivot System are shown on our Performance Summaries)
First we will explain the High Priority Trades that are shown circled in red (the recommended trades). Here were today's results:
03/02/05, 10:50AM (High Priority Buy #1): The Pivot System gives a buy signal, perfectly positioned just above the middle Keltner Pro band. It is also confirmed by a higher peak on the P/V Oscillator, just before we get the signal. Perfect. We take it. Knowing that our confirmed Pivot System entry signals are especially powerful, we ignore the scalp (trailing stop) exit on the next bar, understanding that we will capture many times more profit if we exit using the other precision elements of the KC Collection. We stay in the trade.
11:19 AM (Exit #1): We exit at the top of the trend, where it reverses, using our new Trend Reversal Pro indicator (yellow dot above bar).
Profit from Trade #1: approx. $300/contract.
12:40 PM (No Confirm Pivot System Sell - Not Taken): We include this just to show how well the KC Collection filters out poorly performing trades, before you get into them. This signal was not confirmed by a lower valley on the P/V Oscillator, which should have occurred just before the signal. Although the signal still wound up making a little money, it was not confirmed. Therefore we don't take it, and so we completely avoid all the drawdown anxiety that later happened to that trade. When you use the KC Collection, two things happen: (1) you can actually trade with piece of mind, and (2) you save your precious energy (and equity) to take only the High Priority/High Profit trades!
1:35 PM (13:35 - High Priority Sell #2):
We get a Trend Reversal Pro sell signal showing a major bearish reversal is at hand, and it occurs on the same bar that closes just below the top Keltner Pro band (perfect). In addition, we have confirmation of a lower valley on the P/V oscillator happening just before the sell signal. All is perfectly positioned and confirmed, so we definitely take this signal.
2:00 PM (14:00 - Exit #2): As happens over and over again, the price action travels from one side of our special Keltner Pro channel to the other. Here we have the perfect exit, at the opposite (lower) Keltner band, signaled by a bullish reversal signal from our new Trend Reversal Pro indicator. We take the exit signal.
Profit from Trade #2: approx. $200/contract.
2:28 PM (14:28 - High Priority Sell #3): We get a Bearish reversal signal positioned just below the middle Keltner band, confirmed by a lower valley on the P/V oscillator. We take the signal.
2:43 (14:43 - Exit #3): We get the perfect exit indication for this trade, positioned right at the bottom Keltner band. We take the exit.
Profit from Trade #3: approx. $100/contract.
2:53 (14:53 - Divergence Buy #4): This trade illustrates the divergence aspect of our powerful leading indicator, the P/V Oscillator (illustrated several more times on this website). Here we see the two valleys strongly diverging upwards from the price (illustrated by the upward trend line connecting the valleys). This is a perfect leading indication of a bullish reversal about to happen, and there is no better place for this to happen than when the price is at the bottom Keltner band. We buy one of the bars that closed just above the bottom Keltner band.
3:16 PM (15:16 - Exit #4): We get our sell signal right at the middle Keltner band, and exit the trade.
Profit from Trade #4: approx. $75/contract.
Like what you see?
TODAY'S RESULTS: Wins:4 Losses:0 Total Profit: approx. $675/contract in the e-Mini SP. Considering that you risk only $50/point with the e-Mini, you are probably aware that is quite common for a small trader to trade five contracts (a five lot) or more per side (Note: a five lot of the emini SP = a single full-size SP contract). Trading a five lot today in this market returned a profit of approx. $3375. We make this point just to illustrate that you can be a profitable KC Collection trader, even if you decide not to take advantage of every trading opportunity that our software offers each trading day.
One Last Note: Regarding the other Trend Reversal Pro signals (yellow dots), we ignored them because they did not meet our simple yet rigid trading requirements. We want to trade only the highest priority, confirmed trades. However, you can see that almost all of those ignored signals still made a little money anyway (this happens a lot). Since our Trend Reversal Pro indicator works so well with the rest of the KC Collection, we are including it as a Free bonus with the purchase of our KC Collection software.
© 1995-2005 The Futures Group, Inc. All Rights Reserved.