Most traders have had the painful experience of setting their risk stops only to have the price retrace to their stop and take them out before continuing in the trend. Although some traders swear that other traders are "running the stops," actually what happened is the trader placed the stop too tight. Note: At times some Hedge Funds do "run stops" and my monthly webinar teaches you how to avoid that most of the time.

You must remember that stops are there for one simple reason; to preserve your capital in case the market goes against you. If you are placing your stops too close, chances are you are consistently being stopped out and not consistently taking money out of the market.

For example, a tight stop would have taken you out multiple times within the three separate trends. However, with the ETF Trend Trading stops, Channel Exits and Swing Trailing Stop Strategies; most of the time you actually stay in the trend, enabling you to take your profits near the end of the trend.

By allowing your stops to breathe with the market, you stay in your trade longer, thereby profiting from the bigger moves. Because we combine technical stops with a percentage risk stop it does not matter if some of the stops are larger to give it more breathing room because it's still the same percentage risk.

I also teach a threshold level where the trade is not to be taken because the stop would be too far away. The great thing is that when the stop is tight we get to load up on the number of shares with still only risking the same amount.

For example if I was to sell the SPY at $100.10 and the technical stop in this case was tight at only $101.10 I would only be risking $1 per share. If I had a $20,000 account and wanted to risk only 2% that would be a total risk of $400. So I divided 400 by $1 RPS (risk per share) = 400 shares. So if price drops to a target of $95.10 I would make $5 per share times 400 = $2,000. That is a 10% rate of return while risking only 2%.

On the other end if my technical stop had to be $110.10 I would be risking $10 per share (almost the threshold of too high) and still be risking 2%. I would only be able to sell 40 shares ($400 divided by $10). So if I exited at the same target of $95.10 I would still make $5 per share, but only times it by 40 shares = $200. Still a 1% rate of return for the same risk of 2%.

That is why if the RPS (risk per share) is too high we don't take the trade. I share that threshold with my members. That is why many times on my free daily videos I say "we were able to load up on the shares in this trade because the RPS was so low!" Those are my favorite trades because they have the best risk vs. reward ratio. Note: If you don't like doing the math above don't worry because I have an excel sheet for member's that does all of it for you.

Yes we still get stopped out from time to time, but a lot fewer times than traders who are scared and place their stops way too tight.

The other end of the spectrum is what many average investors are doing right now with their mutual funds. That is to trade with no stops at all. Let me be blunt; this is the dumbest investment strategy around. Only financial advisors who only care about their management fee recommend this strategy. I call it the buy, hold and pray method. Stop and ask yourself this: "What has the buy, hold and pray method really done for me so far?" 

The sad thing is that many average investors have fallen for it. Yes the market might turn around, but you've got to admit it also might not! If your mutual funds are down 20-30% how much more can you take? The financial advisors are hiding the fact from you that you can learn to trade for yourself and do it better than them with proper training.

There is an easy way to become a superior trader or investor "working" only 10 minutes per night. I am a former fund manager and used to trade 50 million plus at a time. After leaving the money management business and trading only for myself, I got disgusted with the pathetic trading strategies are being pushed on the internet. 

Most of them have no idea how to place proper technical stops let alone how to combine it with a low risk percentage stop. Most of them have purely discretionary systems leaving you open to a gambit of contradictory trading decisions. To succeed long term you need to use technical stops combined with a max percentage loss stop. Using this tip alone will put you ahead of 99% of the "trading gurus" and it did not cost you a penny to learn. 

Most of them DO NOT trade in the live market like I do every night setting up my EXACT trade entries and sharing them with my advanced members the day before the market opens. Lastly most of them require a whole lot more than 10 minutes per night.

Cheaper does not cost less. Even if you never join my one year mentorship program, please don't waste your time and money on some cheap $99 or $499 course. You always get what you pay for. If it sounds too good to be true, guess what, it's not true.

Yes you will have losing trades in my system.

Yes we don't make as much in flat or sideways markets.

Yes you can't have dangerous 100 to 1 leverage trading ETFs.

Yes as your coach I will hammer you if you go outside the risk controls my system has in place.

Yes I have live webinars where I will hold your hand until you learn the system.

Yes you can day trade my system if you want.

Yes my system works on any time frame.

Yes my system works on ANYTHING that produces a chart.

Yes if you are a member you will receive unlimited email support for 6 full months.

Yes you will be learning from a real trader instead of an infomercial marketing genius or an incompetent salesman financial advisor. Why am I so harsh? It's because we are talking about your retirement and life. This is not to be taken lightly with a pat on the back and an "it will be ok" attitude.

Yes I have a no questions asked 90 day money back guarantee according to the simple terms on my homepage.

Yes my system can be learned by people with no trading experience.

Yes you can trade using the f.r.e.e charts at http://www.thinkorswim.com and have no other out of pocket expenses. Or you can use the paid http://www.tradestation.com charts like I do. The f.r.e.e charts have 99% of everything you need. Note: All my member's get two f.r.e.e months of charts with Trade Station. 

If that doesn't cover all your question please call or email my office today.

Please call or email my office anytime.

Helping you retire on time,

Big A
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Toll Free: 1-800-743-0385 (International calls welcome)

Member testimonials:

- If you are seriously considering managing your own money you should look into using the information provided in Big A's course.

WT - Colorado

- I appreciate you taking the time to teach by example through the daily videos and weekly webinars. They are very effective tools for training folks. Email support and blogs are very good too. Also appreciate your no fluff or hype and to the point stuff. Great job coach. Thanks for the mentoring too. Never took a course like it, one of a kind.

Jacob. V

- Great program, but be prepared to spend some time to learn it.

Bob H. - Financial Advisor

 

All trading involves risk. Please read full risk disclosure here:
http://www.etftrendtrading.com/risk-disclosure.html

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