The Big Tip

Finding a superior trading system can seem as difficult as creating one (until you actually try to create one!). There are hundreds of technical tools which can be modified in various ways and combined with other tools to produce millions of possible trading tool combinations.

Dig deep enough and you’ll become very familiar with terms such as indicators, oscillators, leading & lagging, time series, envelopes, bands, candlesticks, point & figure, and enough other terms to make your head hurt and your eyes cross.

A casual search of the internet can give the impression that almost everyone and their brother has a “super trading system” which they will teach you for the right price.

But the odds are, you don’t have the desire or time to become a technical analyst. You already have a job, a family and the little free time you do enjoy is spent either composing the “hunny-do” list or complaining about it.

You want a superior trading system which is consistent in performance and easy to follow.

But there are so many options available, how do you make the most critical trading decision you can make? How do you decide upon which trading system you are going to entrust your money and possibly your financial future?

Is there one single thing you can look for in a system presentation which will exclude 99% of the “purely hype” programs from the few which truly do offer a logical and proven trading approach?

Thankfully, there is!!

The single most critical piece of information which you should look for in a system presentation is the…

System Back Test!

“What the heck is a system back test?”

A system back test answers the question,

"If I made a trade EVERY time a trade signal was given, what would be the result?"

Using computer programming, the back test identifies each time a signal was given in the past and exactly what the result would be were that signal traded.

Any trading program which follows a specific set of trading rules can be back tested, although the formulas needed to perform the test may be quite complex.

The back test is important because the only way to judge the potential performance of any trading method is to evaluate how it has performed in the past. Past performance is the only reliable indicator of future performance.

For this reason, if a system was highly profitable (or unprofitable) in the past, it should be highly profitable (or unprofitable) in the future.

Back testing is the ONLY statistically valid method of evaluating the performance of a trading system, because it is the only way to confidently evaluate EVERY trading signal which the system produces.

If a trading system has been back tested, then the concepts found in the first 5 tips will be covered in this section. Only by back testing the system can one determine the profit / loss expectation.

So here’s the big tip which will separate the gold from the garbage…

When you review a system presentation, the first item to look for is the system back test data!!!

If there is no mention of a back test OR if you are not able to examine the test results, eliminate that system from your consideration. You simply don’t know what you’re getting!

Many people have spent thousands of dollars trying one system after another, always falling for the latest and greatest pitch. The sad truth is, you can save all that time, money and effort while avoiding all the frustration by simply making 1 firm rule:

Without a system back test, I won’t even consider your program!

One additional point should be made about the back test...

Any test should cover a period of time long enough to produce reliable results. A back test covering the past 6 months simply doesn’t provide enough data to make a long term evaluation.

The back test should cover at least a 5 year period. This assures that virtually every type of market condition will be included within the test period.

There is a site which provides an incredibly powerful trading system and the back test data to support it. That’s the Logical Trades Signal Service.

In addition to a powerful system proven by extensive back testing, the Logical Trades Signal Service has been designed with every trader in mind, no matter what your level of experience may be.

You don’t have to be a technical analyst because you won’t have to learn some complicated system or buy an expensive computer program, they do ALL the work for you!

With the Logical Trades Signal Service you receive a daily Trading Email Notice which provides everything you need to successfully use this powerful program. You’re given step-by-step instructions for every single trade, from entry to exit, as well as individual back test information on every stock signal.

You can literally do your trading in just 10 minutes each day!

Afterall, the "hunny-do" list never seems to get done, does it?

Daily market analysis, stock picks, position management and a lot more can be found with the Logical Trades Signal Service. Examine this truly powerful program for yourself by clicking on the following link.

I know you’ll find everything you’re looking for, and MORE!

Thank You for your time, attention and consideration. If you have any questions, comments or suggestions, please do not hesitate to contact me: