I would venture to say that 99% of all traders, no matter what type of trading discipline they practice use some type of indicator. If I’m not mistaken, something like 95-97% of traders fail! Why is that? I think “mainstream” would argue discipline and controlling emotions is to blame. I mean heck! Dozens of books have been written about the psychology of trading and that “if you just keep focused and your mind in tact, you’ll do well at trading”. Although I agree with a fair amount of what has been written about the topic, I completely disagree that psychology is the reason why so many people fail at this game. My experience and the experience I have observed from others over the years is that beyond the mental aspects of the game, the tools they use to play the game provide far more anecdotal evidence that it is indeed NOT the psychology factor at all.
At some point in the future I will provide you with a thesis of sorts of my argument supporting this view. But for now, entertain the possibility that the tools most (97%) traders use are simply ineffective, distractive and do nothing more than give the individual a false sense of reality – hence the overwhelming lack of results.
My personal biggest gripe with the myriad of BS (you know what that stands for) indicators out there are their LAGGING qualities… or dare I saw flaws! I mean seriously… how easy is it to drive forward while looking in your rear view mirror?! And yet this is what people do when they use lagging indicators to then risk precious capital on. It is an impossibility to effectively and properly manage risk with lagging information. You simply cannot do it long term and is why I believe the majority fails.
Beyond the predictive modeling type of analytics I practice that produce what have been proven time and time again to be perhaps the most accurate at detecting intraday market movement – the exact turning points down to the tick that the market is most likely to react to; an indicator unlike anything you have probably seen has been “born” out of sheer genius. I’m sorry, but it’s hard to be humble when you’re so good.
What you’re looking at below is a NON-LAGGING indicator developed by one of PPT’s MASTERMIND traders we’ll call “John” to protect his identity. It’s called the “PPT Box”. Unfortunately due to it’s proprietary nature I cannot go into the details of the genius behind this incredible indicator. But even if I did, it wouldn’t serve you as it’s complexity is far beyond the understanding capacity of most people – no offense.
This PPT Box is simple. When the market meets certain REAL-TIME criteria (NOT lagging, mind you), a box will form. Once price breaks through and closes below or above the box the color of the bar will change and an arrow indicating what type of entry is best suited will appear. Targets are automatically given in the form of beautifully colored dotted lines. I would go on, but that’s it! There’s not much more to it than that.
When “John” sent this over to me to test out and use, I wanted to see from a NON-trader’s perspective how simple it really was and if they could understand it and duplicate my instruction on how to use it. So I asked my wife to come into my office and (NO EXAGGERATION) in less than 3 minutes she got it and said “I want to do that!… you need to open a trading account for me right away”. You need to understand this is coming from someone who over the years has wanted nothing to do with the market (other than cashing my checks!! LOL).
The PPT Box as of January 16th 2013 will be available soon. It has been formatted to work with NinjaTrader only. If you are not a NinjaTrader user, you can get a free trial here http://predictionpointtrading.com/ninjatrader.html. If you would like to be one of the first to get your hands on this INSANELY ACCURATE EMOTIONLESS NON-LAGGING INDICATOR, send us a message here http://support.predictionpointtrading.com/anonymous_requests/new and we’ll send you detailed instructions on how to get it.