SIGNAL S&P 500 Trading System Update #5

[John Cappello <jvc689@xxxxxxx>]

To Lists:

I have several items to update:

1.I decided to name this thing SIGNAL.So if you see it in the subject heading and it is not of interest to you, just delete.

2.I have data from various time frames collated and would present them as follows:

100 trades--50 Wins--47 Losses--3 Washouts

Profitable $132,475

Losing     $ 77,175

Net        $ 55,300

Largest Drawdown $6000.

Longest Losing Streak--3

There is no allowance for slippage or commission.I will also say I have vendors try to sell me systems with the same or less data than this and I would not buy it.But I have nothing to sell and am doing this for possible joint learning.

The "system" gave a sell signal today.I sold at 1119.20 and covered at 1117.50 for a 1.70 profit or $425 less commissions.I did this quick flip because the SIGNAL tends to give good opening direction so far.

Had I stayed in the trade end of day I would have had a loss of $2000.
I figure this is a good way to test the system real time with the least risk.So far the real time trades are:

Trade 1.Mini -$ 400
Trade 2.Mini -$ 400
Trade 3.Full +$1175
Trade 4.Full +& 425
Profit to now+$ 800

Had the system been followed totally end of day the first 2 trades would be the same ,the third the $1000 and the fourth -$2000 for a loss of -$1800 to date.These results are in keeping with the hypothetical so far.2 losses in a row ,a win and a loss.In the hypothetical the SIGNAL seems to strike some awesome wins in between the miner ones. 

I am working on 4 new equations to mathematize parameters I have never seen discussed.Likewise there is a strong suggestion this may have merit in other day trading markets.But this is enough work already.

The SIGNAL for 5/15/98 is 1121.10.I will buy 1 contract if the market opens above 1121.10 Stop loss 800 points from point of entry.ExitM.O.C.

I will sell 1 contract if the market opens below 1121.10.Stop loss 800 points from the point of entry. Exit M.O.C.

If I get a quick flip I will take it and go back in or decline.

I know there are many of you with tons more knowledge than I.If any of you would like to share your results and/or reveal technique without giving up something proprietary,I know many would welcome it.As an example I always enjoy Proffitack's posts and some others.

Thank you for all of your wonderful feedback,

John