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Fred,
To celebrate Indigo's continued survival despite marketing an
overpriced, mediocre product, here's a pat on the back (*pat**pat*) and
an Indigo FYI of my own.
For those who are wondering what exactly Indigo is, take a moment to
envision a trading software product with the following
characteristics...
- Imagine software that runs on windows, but has such a poorly designed,
clunky interface that it might as well be MS DOS based.
- Imagine TradeStation with no charting capability (seriously, this
thing does not display charts, period), no PowerEditor, no indicators,
no paint bars, & no showme's, just a brief list of 'about' 7 very basic
"canned" systems. "Canned" meaning you can optimize the system
parameters, but you don't get to see (much less change) the detailed
logic behind the signals you're supposed to risk your money on. Here are
four examples of systems included with Indigo.
(By reading information in the 'support' section of Indigo's website
(which has since been removed), and by chatting on Yahoo groups I was
able to learn many of the specifics behind Indigo's systems.)
MSX: This is the most popular and widely traded system included in
the original product. What is it? A simple % based reversal system that
uses a one day look-back Rate of Change calculation. You get to optimize
the % levels necessary to generate trades. It's typically used to
generate trades on individual stocks based on the movement of an index.
VSX: This is a simple Larry Williams type volatility breakout system
that was recently added to the product. Can Indigo handle intra-day data
so you can tell if your historical EOD day performance results are
closer to reality or fantasy? Nope, you'll just have to step out on
faith.
RSX: This is a relative strength rotational type system. Feed it a
list of 5-15 or so stocks and it will position itself in the top x# of
stocks based on a simple RS measurement calculation that uses two
separate look-back calculations (optimizeable). If it's mid 1999 and you
feed this baby a handful of rocketing internet issues it sure makes for
a great marketing campaign. Just hope that when the phones start ringing
nobody asks any hard questions.
TrendID: This is the long term trend following system included with
Indigo, it's basically a dual moving average crossover system that you
can optimize to death if desired. If it was 1950, you'd be on the
cutting edge of technical analysis with this baby.
If Indigo cost $400.00 it might be a great way to get an introductory
start into system trading. The fact that it costs approximately $4000.00
makes it the most spectacularly overpriced beginner trading product I'm
currently aware of.
To top it all off, there is no money back grace period. This is from a
company that has been investigated (and I believe fined) by the FTC for
making unsubstantiated ad claims. When it arrives in the mail, it's
yours, all $4000.00 of it. If, a few days after your purchase, you
suddenly become enlightened and decide you don't want to risk your money
on simplistic canned systems, you're out of luck.
Bottom line, any Trade Station owner with a lick of sense and a few
afternoons to spare can duplicate, and improve on, any system included
with Indigo. For those who are interested, drop me an e-mail, I'd be
happy to share the info I came up with while investigating this product.
FWIW
-Lance
-----Original Message-----
From: Fred [mailto:srqblue@xxxxxxxxxxx]
Sent: Sunday, March 31, 2002 9:58 AM
To: omega-list@xxxxxxxxxx
Subject: Indigo trading software FYI
This is from the local paper (Sarasota).
ARTICLE:
Indigo still standing Despite complaints, lawsuits and cutbacks, the
company vows a comeback
View this story at:
http://www.heraldtribune.com/frontpage/story.cfm?id=65634
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