Market’Timing’ - meforexexpo.commeforexexpo.com/forex2012/pdf/spkr-presentations/OTA.pdf ·...
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Market Timing To Achieve Short Term Income and Long Term Wealth Trading Skills… Your Most Valuable Form of Capital
Transcript of Market’Timing’ - meforexexpo.commeforexexpo.com/forex2012/pdf/spkr-presentations/OTA.pdf ·...
Market Timing To Achieve Short Term Income and Long Term Wealth
Trading Skills… Your Most Valuable Form of Capital
Educa&on Mission
We reveal the truth about profitable trading and invesCng: You can learn to accurately idenCfy market moves before they happen
Only by learning how to Cme the market with accuracy can consistent
profits be possible
Investor Uncertainty
61% of investors realize they need to improve their understanding of income investing.
Just a 3% inflation rate over 25 years can reduce their purchasing power by half…
46% of investors are considering a later retirement, up 30% from a year ago…
USA Today June 13, 2012
Why brokers are leaving….
The transaction Wall Street gets paid to facilitate – are not in their clients best interests.
When times are good and people are making money, the inherent conflicts in the business are "masked," he says. But when the tide goes out, you find out who is swimming naked, Brown says, quoting Warren Buffett
He was hurting clients by selling them stocks he didn’t think they should buy
Yahoo Finance August 31, 2012
The New Normal Markets
Can you buy and hold in this market? Do you need to be educated in this market? Do you need to acCvely manage this market?
5
The ins&tu&ons are playing a game to which the novices don't even know the rules; and most don't even know the
game exists
The Illusion of News…..
How Money is Really Made and Lost in the Markets
The financial markets consist of buying and selling among and between two groups…
InsCtuCons/Banks (very profitable)
& Retail Traders/Investors (Struggle for Profits or Lose)
Learn To Think and Act Like an Ins5tu5on
InsCtuConal 10K Filing
Goldman Sachs own 10K filing for 2011, released in May of 2012
Goldman's Trading Losses only reached close to their limit one day in 2011 without breaking the limit…
2011 Results 237 Profitable days
15 Losing days
54 days (21%) of the time they
made over 100 Million Dollars
InsCtuConal Trading Profits
Goldman Sachs generated 57% of revenue from trading in the first quarter and had only one day of loss in that quarter, down from 17 during the preceding 3 months.
Morgan Stanley said its traders lost money 4 days in the period. Bank of America reported that it had trading profits every day of the period
Goldman's Trading Losses never exceeded its value at risk limit…
Bloomberg May 10, 2012
How InsCtuCons handle risk
Institutions take on more risk in a down
market. Retail trader panic and
take less risk S&P 500
2011 VaR (Value at Risk)
Our Students Learn to think like
an institution
Who Really Makes Money
Conven&onal Thinking OR REAL Profitable Thinking
This is how you make money buying and selling anything.
Supply (retail)
Demand (wholesale)
Profit: $5,918.42
Bought
Sold
Head and Shoulders Top Double BoYom Earnings Report Trend Lines Support and Resistance News Indicators Cup and Handle
RSI Pivot Points Stochas&cs Broker Upgrade MACD Bollinger Bands Dow Theory Fibonacci
Online Trading Academy 2012©
Technical Analysis
Support
Old support becomes new resistance
Tradi&onal technical analysis says to sell at resistance and place a stop above resistance. Once price crosses above, the stop is hit and those traders that sold are now buying.
Breakout traders using tradi&onal TA are wai&ng for price to break above resistance to buy. They place their stop below old resistance because it is now new support
By understanding Supply and Demand ins&tu&ons are able to take advantage of the support and resistance trader by se^ng traps for them. These traps are profit for pros and ins&tu&ons.
Why Technical Analysis is a losing strategy
Support?
Support and Resistance are too subjective
True Levels of Supply and Demand are more easily qualified objectively
The key to trading in any and all markets is to find the markets turning points in advance
Why Technical Analysis is a losing strategy
The Result of buying in a level where Demand exceeds Supply
An entry as close as possible to the point you are proven wrong means that losing on a trade costs less money.
You can Either have Confirma&on or the Lowest Risk Possible, having both is Impossible.
Why Technical Analysis is a losing strategy
The Principals of Supply and Demand
Market Price is controlled by insCtuConal Supply and Demand.
Where they have buy and sell orders determines where price will turn and where it will move to.
Our core strategy shows us where those orders are
in any and all markets.
This is KEY informaCon for the short term trader and longer term investor…
Trading Market
Demand
Bought
Samsung 55’’ LED TV
How you make
money buying and selling anything in
life is EXACTLY how you make money
trading!
Would You Buy Here?
• No, price is crashing
• No, this is a downtrend
• No, the news is bad
• No, buying is too high risk
• No, I am scared, nervous!
Would You Buy Here?
• Yes, the TV is on sale
• Yes, quickly before price goes up
• Yes, I would buy a few of them at these prices!
Buying and Selling in Markets
Market Timing
1) Where do market prices turn?
Demand (support): A price level in a market where willing demand exceeds willing supply.
Supply (resistance): A price level in a market where willing supply exceeds willing demand.
2) Who is on the other side of your trade, a Pro or Novice trader?
Human Emotion: The emotions of fear and greed are clearly seen on a price chart, if you know what your looking for.
Two Most Important Components To Trading
Supply and Demand Human Emotion
Why did price have to decline?
Why did price have to rise?
Supply
Demand
Where and why do market prices change direc&on?
The Logic: The origin of mo&on / change in price is an equa&on where one of two compe&ng forces (buyers and sellers) becomes zero at a specific price. The origin of a move in price is where supply and demand are “out of balance”. This is where we find low risk / high reward / high probability entry points into markets.
Who is buying here?
Who is selling here?
Supply (retail)
Demand (wholesale)
Presenta&on is property of Online Trading Academy
Who is on the other side of your trade?
The Logic: The amateur/novice trader buys at retail prices and sells at wholesale prices. The professional trader simply trades with amateurs Think Like A Pro!
1) Buying AFTER a rally in price 2) Buying at a price level where objecBvely supply EXCEEDS demand.
Buyers are buying AFTER a rally in price and at a price level where supply EXCEEDS demand.
Supply
The Two Master Errors
Mistake #1 and #2 when buying
1) Selling AFTER a decline in price 2) Selling at a price level where objecBvely
demand EXCEEDS supply
Sellers are selling AFTER a decline in price and at a price level where demand EXCEEDS supply.
Demand
The Two Master Errors
Mistake #1 and #2 when buying
Market Timing – 25th Oct 2012
The Result
Market Timing – 8th Nov 2012
The Result
Trade Confirma&on
Market Timing – 14th Nov 2012
The Result
Student Success – 4/10/12
April 10, 2012 Create Your Own Income and Future
Earns at least $4,000 per week
Student Success 10/1/2012
Sep. 2012 Realized Gain:
$173,000 Sep. 2012
Unrealized Gain: $125,000
Puang OTA Tools To Work
OTA Market Timing + OTA OpCons Consistent Short Term Income and Long Term Wealth
Account Size: $721,521.50. Gain: 24% in one month
Many people believe that picking tops and boYoms in markets is impossible…..
March 2009 Performance
• Foreclosures at all time highs • 651,000 jobs lost in Feb 2009 • Annual job losses worst since 1945 • AIG disaster
2009 Market Bottom Called Live by Sam Seiden
S&P Monthly Chart – The Bottom
S&P Rallies over 600 points.
Rule Based Market Timing
S&P Monthly Chart – The Rally
March 2009 Performance
March 2009 Performance
Sam Seiden
Real Market Timing
Real Market Timing Special 3 Day Class with Sam Seiden
Dates: 3 -‐ 5th December 2012 Time: 6 – 11pm
Please come to Stand No. 39 or visit www.tradingacademy.com/dubai
for RegistraCon
