Personally I think their results are unachievable as they calculate them using the maximum possible points gained on each day. In practice, this is not possible, unless you know the high and low of the day before trading. If you knew that, you wouldn't need a trading system!
I also think it would be hard to trade this system using a spread better, as the minimum gain of 10 points would be taken up by the spread and any quote bias.
Just had an email advert trying to flog me this system. Is there a place where I can complain about these people? It is clear to see that their results are not possible and all they are doing is selling pivot points plus a fixed factor that they add on.
Big Business is 100% correct in his analysis in that they use S1 and P1 pivot points and add or subtract a fixed factor.
I followed them for 3 weeks and simulated trades on Tradindex with a dummy account (nothing like trading with real hard cash though). Results were pretty random and the kind of trading style they advocate is implausible in the extreme. They also state maximum point gains even when the opening gapped above their buy price. Misleading some would say.
> I don't particularly fancy paying you for what amounts to pivot points
> with an arbitrary number added on (+2 and +16 perhaps?) when I can find
> them out for myself free. Your system seems to be unrealistically
> optimised and I think you should not be selling it in its present form.
Hope you don't mind me asking, but I've been desperately trying to correlate the numbers between the pivot points and what Paul sends out but I can't seem to get your pattern between R1 & S1 on the DOW.
Am I using the correct formula's:-
Pivot Point = (H+L+C)/3
R1 = (2*PP) - L
S1 = (2*PP) - H