VEGAS TRADES GOLD IMAGE

VEGAS TRADES GOLD IMAGE

Sunday, September 29, 2013

THE DATA HAS NO AGENDA



                                 What A Real ATM Looks Like

Instead of releasing a new file, I have decided to make the longer term “-vegas Big Bang Algorithm” available right here on the blog. The algo rules are exactly the same as found in the “-vegas For Life” file, with one major difference; instead of using the daily candlestick, we use a weekly candlestick chart.

The Monday opening is where the horizontal line is created and that is used for the entire weekly trade. For the 2 financial instruments I am going to recommend you trade [because they make you the most money], initial buy/sell positions are initiated at the +/- 35 PIPS from the horizontal opening line, respectively.

Strategy will be covered in the next few blog posts; the purpose of today is to introduce you to the data and get you to think about the bigger macro picture.

For some of you, this is going to come as a shock, but the absolute best market to trade for profitability is the CFD WTI Crude Oil. The best Forex pair is EURAUD, but it is not nearly as good as the WTI CFD. The probability of successful trading in WTI Crude Oil is simply astounding, if you follow the rules in the algo.

At Forex-Metal, 1 WTI Crude Oil CFD = 100 barrels; therefore each one cent move in the market = $1. Think of crude as THE ENERGY CURRENCY and each one cent move as a PIP.

The data I am presenting is from the start of 2010 through the week of September 15, 2013. This covers 194 weeks. If I had included the time period from approximately 2005 through the end of 2009, in the data, the results would have been EVEN BETTER than what I am going to show you. I took out this 5 year period because I didn’t want the run up to $150 oil, and subsequent fall, to skew the data in a favorable light.

If you would like the complete Microsoft Excel file used to generate the data, simply email me at vegasalgo@yahoo.com and I would be happy to send it to you [ditto for EURAUD as well].

Here is the data for WTI Crude Oil.

1)      The SHORTEST DISTANCE from the OPEN [in PIPS] to either the HIGH OR LOW of the WEEK IS LESS THAN 35 PIPS occurs approximately 20% of all weeks.
2)      The SHORTEST DISTANCE from the OPEN [in PIPS] to either the HIGH OR LOW of the WEEK IS BETWEEN  35 PIPS – 100 PIPS occurs approximately 27% of all weeks.
3)      The SHORTEST DISTANCE from the OPEN [in PIPS] to either the HIGH OR LOW of the WEEK IS GREATER THAN 100 PIPS occurs approximately 53% of all weeks.
4)      The GREATEST DISTANCE from the OPEN [in PIPS] to either the HIGH OR LOW of the WEEK IS LESS THAN 175  PIPS occurs approximately 6% of all weeks.
5)      The GREATEST DISTANCE from the OPEN [in PIPS] to either the HIGH OR LOW of the WEEK IS BETWEEN 175 PIPS – 250 PIPS occurs approximately 17% of all weeks.
6)      The GREATEST DISTANCE from the OPEN [in PIPS] to either the HIGH OR LOW of the WEEK IS BETWEEN 250 PIPS – 350 PIPS occurs approximately 25% of all weeks.
7)      The GREATEST DISTANCE from the OPEN [in PIPS] to either the HIGH OR LOW of the WEEK IS GREATER THAN 350 PIPS occurs approximately 52% of all weeks.

I also want to mention, as it pertains to #4 from above, that if the week has a high value less than 175 pips from either the high or low, it most likely will have a value of about 155 - 175 pips. There was only 1 week, out of 194 weeks, that this value was less than 140 pips.

I want to give you a couple of days to reflect on this data, as the information contained in it is explosive. The size of the pips and the high percentages should blow your mind; there isn’t another financial instrument that you can trade that comes close to these numbers.

Just as an example, to show you the difference in percentages, EURAUD [the best Forex pair according to the data] from the start of 2010 to the present, #7 value of greater than 300 pips [not 350] occurs approximately 23% of all weeks. Crude has about 2 ½ TIMES GREATER weeks AND a 50 PIP higher threshold!!

Starting next post, I’ll get into the strategy, and lay out the trading scenarios I think offer the very best approach to making money.

Until then, have a great day everyone.

-vegas

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