Relax, This Is Painless
Whoaaaaaa, did I accidentally wander into a math class by mistake, or are we still trading gold?
Back in the day, when pit trading ruled the world and masters of the universe roamed the trading floor, I discovered “vector spaces” firsthand. Now, for those of you that need a refresher, vectors are defined as a “force” [F] times “mass” [M].
Fleecing The West One Trade At A Time
In “The Forex Newbie Blueprint” available at the “Download Link”, I describe in detail the times the old Soviet KGB would come into the gold market and wreck havoc. Force being the amount of money at their collective disposal and mass being the number of gold contracts they would buy/sell. The “vector space” they created for themselves was a bank account fatter by 8 digits.
Today, although I’m sure in some way the KGB is still around markets, you have 26 year-old fund managers with $5 billion in monopoly money, shoving markets looking for yield. Welcome to the new “vector paradigm”, same as the old vector paradigm. The game is the same, only the players have changed.
I hear almost every day in forums and chat rooms about “rigged markets” or the casino mentality that permeates today’s market action. Trust me; it wasn’t any different 30 years ago. What you really are seeing, is the reaction to vector space trading [A large mass (money) muscling a market (force).]
Thunderstorm About To Commence In 5…4…3…
“The Vegas BFSG Algorithm” is designed and coded for these paradigms. In today’s trading world, we have enormous amounts of money slogging around the trading swimming pool. Do you think they can come off the diving board and into the water without making some waves?
Information More Valuable Than The Gold We Trade
In a metaphorical sense, the algorithm rests on the surface of the pool, waiting for that very first ripple [vector space], and then jumps into action. While the rest of the world waits for the tsunami that’s coming, we are already positioned to give it back to them at higher prices if we are buying, or lower prices if we sold it to them first. What kind of price tag can you put on this kind of information streaming to you in real time?
Are you getting this in the algorithm you are trading now? Or, is Hope & Change your trading reality?
Today’s Action & Weekly Wrap Up
Another casino crap shoot at NFP time. Thank you, I’ll sit on the sidelines with my profit for the day and watch the carnage.
The algo came into the day in buy mode, and almost as if on cue, we got our first buy signal at 1:35 AM [Chicago time] at 1745.50. There was a very minor correction within the hour, but it did not threaten my stop down at 1741.90. The market then moved higher and we got a confirmation top [discussed in the manual] at 1752.50. A net gain on the day of $ 7 / oz.
Now, the market moved higher still, and we got into the 1760’s with the NFP before breaking off this level rather sharply. Do I care? Do I have to answer this?
Ka-Chingggggggggggggg !! [again and again]
Weekly Wrap Up
Monday $ 9 / oz.,
Tuesday $ 9 / oz.,
Wednesday $ 9 / oz.,
Thursday $ 7 / oz.,
Friday $ 7 / oz.
Total for Week $ 41 / oz.
Running Total Since Website Created
11/02/2011 – 11/04/2011 $ 25.00 / oz.,
11/07/2011 – 11/11/2011 $ 86.00 / oz.,
11/14/2011 – 11/18/2011 $ 49.00 / oz.,
11/21/2011 – 11/25/2011 $ 11.00 / oz.
11/28/2011 – 12/02/2011 $ 41.00 / oz.
Total Since Started $ 212.00 / oz.
Using leverage of between 10:1 and 20: 1, the amount of money this means to your account is staggering. Oh, and there isn’t a losing day [2 wash days of about $0] yet contained in the numbers. Congrats to those wise enough to follow the algorithm.
So, howya doin’ following MACD and the other stuff?
Have a nice weekend everyone.