OVERVIEW

Another one of those make a tidy sum while you munch your cornflakes trading systems.  Unique Selling Point here is "come the end of the week you could be GBP660 better off for about 15 minutes effort each morning".

"Regular tax free profits are generated by placing one simple 'trade' on the FTSE each morning and another on Wall Street".

The Strategy has shown a profit of GBP70 to GBP660 every week over an 11 week period during May and August 2010 based on stakes of GBP10 a point.  In other words a GBP100 risk per trade based on the implementation of a fixed 10 point stop.  There was not a single losing week during the above period.

WHATS IT ALL ABOUT?

The instruction manual is 74 pages long.  Alan Milton, the vendor, compares the method to fishing in a lake, laying out 2 nets to catch the fish no matter which way they (the fish/markets) move.

Entries are well defined as are Stops, because they are fixed (at 10 points).

The Exit strategy though is not so unambiguous, conditions such as "Judgement call", "to take what you are happy with" and "rely on your gut instinct" are mentioned.

Trading time is around 08:00 UK Local time.

SUMMARY

Unusual for us is that we didn't even trade this strategy, we had our reasons:

-  The author refers to a PIP for the movement of an Index, a PIP is a term used in Forex trading only.

-  The logic of the system doesn't seem sound enough to us, why trade 2 different, supposedly correlated instruments, when one can just as easily be traded.

-  Exit strategy is just far too ambiguous.

-  If operated at the recommended time, the spread on the FTSE is typically so big that it doesn't really make sense to be anywhere near it, especially if trading it with a 10 point Stop.

We ending up lacking confidence in this strategy, in particular the Exit strategy and the sheer logic of it.

We welcome everyone to read and comment on all our reviews and join in our free Forex Trading System Review Forum.Tatiana is a Full-time trader with over 10 years experience in trading the Forex markets.  She is a member of the ReviewTeam at Systems For Traders, renowned for its independent Forex Trading System Reviews.