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IT Signals (These Signals are no longer offered)Once introduced to FX Swing Traders by a member of the group, these IT signals have been modified in an effort to try and get a higher rate of success. At its basic core, these signals are all about classic support and resistance. If we break one of these levels we will go with the trend and hope to bank 30-100 pips along the way. Let me give you an example, say GBP/USD is at 2.0600 right now, we know from the charts that there is known resistance at 2.0660, I will enter a limit order to BUY GBP/USD AT 2.0670. The reasoning behind this action is that if we can clear resistance of 2.0660 it should hit 2.0720 where my take profit level will be. If GBP/USD does hit 2.0670 my limit order would be filled and I would hope 2.0720 would be hit first before my stop loss would be initiated. Usually the stop loss for this type of trade would be between 30-60 pips and the take profit level from 30-100 pips. Note to members: IT Signals (intra-day trading) will only be given for GBP/USD pair. IT Signals are all LIMIT ORDER trades, with a validity of 12 hours. I will send out these signals daily, Monday thru Thursday at 12.01am EST. The following is an example on how I would send out these orders: 1) LONG GBP/USD AT 2.0670 WITH S/L AT 2.0620 AND T/P AT
2.0720. I will usually send out a long and short order. If one position is triggered, DO NOT CANCEL the other order unless the 12 hour validity period has passed. These signals will be sent via email and will be posted in the forum areas on my website. As these positions are limit orders, you will an ample amount of time to get these orders in your system or to your broker. For this reason, I will not be sending these signals via SMS and you should not be surprised for it takes a few hours before these orders get filled. Quite often we will have days with “no fills” if the price level is not hit. Many of my members have different platforms with different spreads, for these signals we will use the OANDA platform as our standard. Oanda has a 2.8 pip spread on this pair, so if your platform has a higher spread you might want to adjust these orders slightly to reflect this. I have been testing these signals with the group for about 4 weeks. The good news is that they have yielded a net profit of +385 pips over this time. The bad news is that we are still in a very early stage of these signals. By next year I will have a much better feel for the reliability of these signals, which comes to the next question: How much is wise to risk trading these signals? These signals have a stop loss, so the argument can be made to risk a bigger amount without worrying too much about the leverage required. However I must stress, the mainstay of my service is the ART signals, so you do not want the IT Signals to impact your account more than the ART does. I think of the IT signals as “pocket money” whereby you risk a little and try and bank a few bucks along the way. I would personally recommend a maximum of 0.3 lots on these signals for now. If they prove to be reliable over a longer period, we could increase the amount going forward but for the moment let us see how they perform for the month of November 2007.
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