the profit button

8/3/2019 The Profit Button

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Copyright Profits Run, Inc. Page 2 of 31 Rev #12-20080411

Table of Contents

Why Do You Invest Money? .................................................................................3

Investment Choices ..............................................................................................5

The Winning Edge ................................................................................................6

Definition ...........................................................................................................6

Impact on Portfolio Value ..................................................................................6

Impact on Risk ................................................................................................10

Conclusions.....................................................................................................14

Key Components.............................................................................................14

Money Management Guidelines .........................................................................15

Emotional Tolerance for Losses ..................................................................15

Financial Capability......................................................................................16

Sticking To Your Trading Methodology........................................................16

Selection Criteria.................................................................................................17

Specific Entry and Exit Rules ..............................................................................18

High Velocity Turnover........................................................................................19

The Perils of Forecasting ....................................................................................20

Summary ............................................................................................................20


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Introduction

Dear Trader,

Welcome to the The Profit Button:The 4 Simple Steps SuccessfulTraders Know That YOU DONT.Before you continue, I urge you to printout this report. Ive found that its mucheasier to read and re-read these digitalreports when theyre printed out andyou dont want to miss a word of whatIm about to reveal?

Why?

Because the information contained inthis report is profound. And Im not justsaying that because I wrote it. Seriously,I wish I had had the information in thisreport when I was a beginner at trading. It would have saved me years and yearsof study and mistakes. Im excited for you that youre reading this now.

Are your ready to begin? Lets get started

Are There Really 4 Simple Steps?Most people are not successful when it comes to investing and trading theirportfolio. At best, theyre gambling and hoping for that big win that will set themup for life.

Sure, that can happen, but you may as well go and buy a lottery ticket. Seriously.

But where most people fail at investing and trading, there areselect groups ofindividuals who have figured it out. They discovered long ago that you dont needto win every trade. They found out the hard way that its ludicrous to bet your

entire portfolio on a few blue chip stocks. They realized that you could, indeed,maximize your chances of success in the markets and put the odds in your favor,much like a casino has an eternal edge over its hapless and hopeful customers.

Ive been trading the markets since 1974, and over the past three decades Ivemade just about every mistake you can make in the markets. I paid my dues andlearned through experience the hard way. And what I discovered was that most


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successful traders followed a very specific set of rules when it came to trading orinvesting their portfolios.

These rules gave them a Winning Edge that they could use over and over againto tilt the odds in their favor. And after much trial and error, I discovered how to

apply this winning edge to my trading, too.

Specifically, I found that there are 4 steps, or components, to a winning edge.And when theyre used together, synergistically, its almost like having a big redProfit Button that you can press again and again, for the rest of your life; hencethe name of this report.

Now, you might think the idea of a big red Profit Button is a bit far-fetched, andyoure right. However, applying the 4 steps youll discover in this report to yourtrading is about as close as youll ever come to that mythical button, in myexperience.

Oh, and by the way these 4 steps dont just apply to trading the markets. Theycan apply to any type of investment real estate, businesses, even fine art.Theyre universal by nature.

So first, Ill dive in to how most people attempt to invest their money, and whyits a losers game. Then, Ill reveal the 4 steps to creating a Winning Edge withyour trading that can help you build your very own Profit Button.

Why Do You Invest Money?

Why do you invest money? This may seem like an obvious question, but its veryimportant to understand your motivation for investing money in order to besuccessful.

For some people, its the thrill of the game, but for most, its to grow your portfoliovalue and eventually provide you passive income. What to do with thispassive income is where most people differ. Some people are motivated toincrease their portfolio values in order to acquire things, like a second home or anew boat; others might want to pay for a college education; and still others mightwant to grow passive income to the point where it covers all living expenses,which can lead to financial freedom and early retirement.

Whatever your motivation is for investing money, its important to set clear,definable goals supported by a written plan of action with status updates on aregular basis. Having clearly focused goals and plans is a pre-requisite tochoosing the investment vehicles that are appropriate for you. Once your plan is


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in place, you can follow it through to achieve success.

Investment Choices

There are many different investment vehicles to choose from. The key tomaking the right choice is to select an investment vehicle along with aninvestment methodology that has the potential to deliver the financial returnsnecessary to meet your goals.

For example, if your goal requires a 20% per year rate of return, buying highgrade bonds yielding 6% per year would not be appropriate. On the otherhand, if low risk is more important to achieving your goal than high returns,high grade bonds may be just the thing for you.

Real estate has proven to be an excellent long term investment capable ofproducing passive income along the way. Through rental properties,rehabbing, and land development, there are a variety of ways to invest in realestate, but these are only good choices if they align with your investmentgoals. And of course, there are down cycles as well, making real estateinvesting from being risk-free.

Then there are stocks: small caps, mid caps, large caps, techs, etc. Withstocks, you can tailor your investment strategy to align with your goals adiversified portfolio of high to low risk stocks, a short-term oriented stocktrading portfolio, or a buy and hold long-term mutual fund portfolio just toname a few.

There are probably as many strategies to investing and trading the stockmarket as there are stocks to invest in. Whether your investment choicesinclude bonds, real estate, or stocks, in order to be successful in the long runyou must have a Winning Edge that you can leverage over and over again.

In this report, youll learn in detail what it means to have a Winning Edge,including a comprehensive definition, the implications of returns versus risk,and its key components. The discussion will focus on the Winning Edge as it

applies to stock trading, and hopefully will assist you in determining if youcurrently have a Winning Edge in your own personal stock trading strategy.


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The Winning Edge

Definition

An investor that is able to follow an investment methodology that has thepotential to produces net profits or positive returns over time can be said tohave a Winning Edge. For example, a stock investor that has a Winning Edgecan expect to achieve more winners than losers, or average winning tradesthat are higher than average losing trades, or both. In other words, the oddsare in your favor, so the more trades that are made, the probability of being anet winner increases dramatically. Casinos use the concept of a WinningEdge to great effect they know that while they will suffer losses on occasion,they will be net winners because they have a Winning Edge. As thousands ofbets are placed, the probability of a casino being a net winner becomes anear certainty. That, of course, is why they are so happy to see you come totheir establishment.

Impact on Portfolio ValueLets look at the impact of aWinning Edge on portfolio value.Figure 1a shows an ideal graph ofportfolio value increasing steadilyover time through the consistentapplication of a Winning Edge.

Figure 1b shows the same thing,except it reflects the reality thateven with a Winning Edge,portfolio value does not gostraight up there are occasionaldrawdowns. Figure 1c is a variantof 1b. Instead of several smalldrawdowns, Figure 1c depictsone significant long-lastingdrawdown followed by theportfolio value recovering to newhighs. While the portfolio valuesfluctuated differently, all threecharts show net positive gainsthat you would expect through theconsistent application of aWinning Edge.

Figure 1


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Now lets examine a chart of the S&P500 from 1950 to 2001 (Figure 2). Asyou can see, if your strategy was to buy and hold the basket of S&P500stocks from 1950, your portfolio could show a net gain of about 9% per year.Therefore, this strategy exhibits characteristics of a Winning Edge.

$

S&P500

1950 2002

Average Return = 9% / year

Figure 2

Likewise, if you look at a chart of the Dow Jones Industrial Average from 1900to 2001 (Figure 3), you see again that if your strategy was to buy and hold theDow Jones stocks from 1900, your portfolio could show a net gain of about6% per year. This, too, exhibits Winning Edge characteristics.


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$

Dow Jones Industrial Average

1900 2001


Figure 3

Here is a look at the NASDAQ composite from 1978 to 2001 (Figure 4).Again, a buy and hold strategy exhibits Winning Edge characteristics.

$

NASDAQ

1978 2002


Figure 4


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While a buy and hold strategy could have produced approximately 6 to 13%per year return in the previous examples, this strategy requires that you neversell while somehow replicating the index performance in your portfolio.Neither of those factors is very likely to occur in the real world, which calls intoquestion the robustness of a buy and hold strategy.

It becomes apparent that some level of stock or mutual fund trading may berequired in the real world if you are to attempt to increase the value of yourstock portfolio over time. Lets look at a few scenarios.

Figure 5a shows the portfolio value over time of a short-term stock trader whohas occasional successes, but ends up giving back profits in subsequenttrades with no net profit when all is said and done. This tends to be theexperience of traders who trade without discipline and without rules in otherwords, without a Winning Edge. Of course, such a trader could do even worseby consistently losing money over time as shown in Figure 5b.

Figure 1, on the other hand, shows the kind of results you would expect froma trader using a strategy with a Winning Edge.

Short-Term Trading:No Discipline - No Rules

$

Time

$

Time

0% / yr

-xx% / yr

a.

b.

Figure 5


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Impact on RiskThere are many ways to define risk from highly technical statistics to verysimplistic statements. I prefer to define risk in terms of what happens to mytrading position that I dont like. For example, I dont like it when my portfoliosuffers a drawdown (loses money), and I dont like waiting to recover my

losses so I can break even. Both of those occurrences represent risk to meand my portfolio. So it should not be surprising that my definition of riskincludes both of those elements (Figure 6).

$

Time

time to breakeven

% drawdown

Risk

Figure 6

Percent drawdown: The amount lost from the previous peak portfoliovalue.

Time to break even: The opportunity cost of lost trading opportunities.

With this straightforward definition, it becomes easy to evaluate the level ofrisk inherent in various strategies.

Take a look at Figure 7, which shows the S&P500 from 1950 to 2001. Whatwould be the level of risk for the buy and hold strategy discussed earlier? Bysimply examining the graph, you can see that the time to break even took 7years from 1973 to 1980, and during that period, the percent drawdown was48%. Since 1956, there were five other drawdown periods ranging from oneand half to four years. While not as severe as 1973 to 1980, the percentdrawdown was still very significant, from a low of 16% to a high of 39%.


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$

S&P500

1950 2002


f.

e.

d.

c.b.

a.

Figure 7

S&P 500 Risk Assessment

Period Time to Break EvenPercentDrawdown

a. 1956 1958 2 years 16%

b. 1969 1973 4 years 35%c. 1973 1980 7 years 48%

d. 1981 1982 1.5 years 29%

e. 1987 1989 2 years 36%

f. 2000 2007 7 years 51%

g. 2007 ? 1 year & counting 20% so far

A key question you should ask is how long will it take the most recent bearmarket to break even? As of this writing, the time to break even is one yearand counting. The answer will only be known over time it could be within thenext year or could be as long as 7 years as was the case from 1973 to 1980,and again from 2000 to 2007.

Reviewing Figure 8 for the Dow Jones Industrial Average, from 1900 to 2001the following risk assessment for a buy and hold strategy can be made:


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$

Dow Jones Industrial Average

1900 2001


e.

d.

c.

b.a.

Figure 8

DJIA Risk Assessment

Period Time to Break Even PercentDrawdowna. 1904 1919 15 years 48%

b. 1920 1925 5 years 36%

c. 1929 1954 25 years 89%

d. 1965 1983 18 years 37%

e. 2000 - 2006 5 years 39%

f. 2007 ? 1 year & counting 18% so far

As you can see from this data, time to break even was extensive in the firsthalf of the Twentieth Century.

Likewise, a review of Figure 9 for the NASDAQ index from 1978 to 2001indicates the following risk levels for a buy and hold strategy:


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$

NASDAQ

1978 2002


d.

c.

b.

a.

Figure 9

NASDAQ Risk Assessment

Period Time to Break EvenPercentDrawdown

a. 1981 1982 1.5 years 29%

b. 1983 1985 2 years 32%

c. 1987 1991 4.5 years 37%

d. 2000 - ? 8 years and counting 83% so far

While the buy and hold strategy technically has a Winning Edge, thepreceding analysis shows that adhering to this strategy would have requireduncommon resolve and patience to endure years, sometimes decades, oftime to break even and near-catastrophic percent drawdowns.

The stock trader who trades without a Winning Edge fairs even worse, as youcan see from Figure 5a where the time to break even and percentdrawdown are in a repetitive pattern that lead nowhere. Worse still is Figure5b, where the time to break even is infinite with percent drawdownsapproaching 100%.


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Contrast that level of risk with a stock trader who trades with a Winning Edgemethodology. As Figure 1 shows, ideally he experiences relatively short timeto break even periods with modest drawdowns. This trader is obviously theone to emulate!

Conclusions

The conclusion from reviewing this information suggests that in order to besuccessful, your strategy must indeed have a Winning Edge. Furthermore,your strategy must exhibit risk levels within your risk tolerance and beconsistent with your goals, and why you are investing money.

Key Components

You should now have a good understanding of how a Winning Edge impactsreturns and risk. Its now time to dive deeper into how to potentially achieve aWinning Edge.

Remember, I defined a WinningEdge as an investment methodologythat has the potential to produce netprofits or positive returns over time.Here are the four key steps that arerequired:

1. Money Management Guidelines

2. Selection Criteria

3. Specific Entry and Exit Rules

4. High Velocity Turnover

The absence of any one of thesecomponents will dramatically reduce,or even eliminate, your chances of achieving a Winning Edge. Now that yousee what steps make up our Profit Button, lets have a look at each one of

these components in detail.


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Money Management Guidelines

Money management is about

balancing risk with reward. Given therisk inherent in any investmentmethodology, you need to havesufficient funds and personal resolveto cover that risk so you can continueto enjoy the rewards without beingknocked out of the game.

The number one rule of moneymanagement and the most effectivething you can do is to reduce your

methodologys risk in the first place.For stock traders, you do this by onlytrading with the predominant trend.That is, you take mostly longpositions in bull markets and mostly short positions in bear markets. Thereason being is that three out of four stocks will follow the predominant trend.

The second rule is to ensure that the risk (drawdown percentage and time tobreak even) does not exceed:

Your emotional tolerance for losses

Your financial capability to live through those losses

Your ability to stick to your trading methodology

Emotional Tolerance for Losses

For example, if your methodology is to buy and hold an index basket ofstocks, then you must be comfortable with the multi-year time to break evenand drawdowns of 20% to 50% or higher that are inherent with thismethodology. Otherwise, you may fall victim to selling at precisely the wrong

time.

On the other hand, if your methodology produces minimal drawdowns andtime to break even as is potentially the case for the trader with a WinningEdge, it is much easier emotionally to stay committed to your plan.


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Selection Criteria

The second component to a Winning

Edge system is to develop a set ofcriteria that mustbe met in order toconsider taking a position in anygiven investment vehicle. For stocktrading, this would be your criteria forselecting which stocks to consider forlong or short positions. If the criteriaare not met in any way, you shouldsimply pass on that stock and go onto the next.

Stock selection criteria can typicallybe based on fundamental analysis(earnings performance, industrygroup strength, etc.), technicalanalysis (price patterns, support and resistance levels, etc.), or both.Whatever the basis, the criteria should be very demanding so that only thebest trading opportunities emerge. For example, for every 2000 stocks, 100could be selected by using fundamental criteria. Then, by applying technicalanalysis, orders for two stock trades could actually placed, expecting only oneof those to following through with market action that triggers the order. Theratios look like this:

StocksScanned

StocksSelected

OrdersPlaced

OrdersFilled

2000 100 2 1

By using a very demanding set of criteria, you could potentially increase theodds of having a winning trade.

For fundamental criteria, I highly recommend Investors Business Dailysfundamental data which is available for every stock traded on the major

exchanges.

Remember, just because a stock meets demanding fundamental criteriadoesnt mean its a good stock to trade. Rather, you must be patient and waitfor market conditions to align consistent with your trading system rules beforepulling the trigger.


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Specific Entry and Exit Rules

A good trading system will utilize

specific entry and exit rules that haveproven to work effectively in the pastunder varying market conditions.These rules are essential to ensuringthat the odds of winning are high,and are also essential to having aWinning Edge.

Good entry rules will typicallydemand a low-risk entry point andalso require short term confirming

market action to trigger the order.

Good exit rules will typically includeboth a profit target point and a stoploss point, with adjustments along the way.

In the absence of these rules, youre more than likely to find trouble and beunable to achieve a Winning Edge (see Figure 5).

The most common example of a stock trader that trades without specific entryand exit rules is one who trades on the basis of the news networks, thecommentary of the day, analyst reports, and other hot tips. This type ofinvestor trades stocks based on free advice available to the unwary public.The assumption here is that somehow you can profit from this hodgepodge ofrecommendations. (Where were they in March of 2000 when the bear marketbegan, generally recommending buys all the way down, as those thatfollowed this advice saw their portfolios lose significantly?) Most of the timethey will issue buy recommendations, but seldom do they issue sellrecommendations. This approach offers no Winning Edge at all and illustratesthe importance of having specific entry and exit rules.


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High Velocity Turnover

Velocity is the rate of travel in a

particular direction. Another way tothink of velocity is to ask how long itwill take to get your money back witha reasonable rate of return once youplace a trade.

With this general definition in mind,remember that the object of investingis to make money on your moneyconsistent with your goals withinstrict risk control parameters. More

specifically, the objective is to profitover time. The rate at which youprofit depends on the percent returnand the time it takes to achieve thatreturn.

For example, a 10% return thattakes one year will yield a 10%annualized rate of return. On theother hand, a 10% return thattakes one month will yield a120% annualized rate of return.In the first case, it takes oneyear to get your money back,whereas in the second case itonly takes a month. Both casesreturn your money with a 10%return, but the second case hasa dramatically higher velocity(120% annualized rate of return).

This is why high velocity andshort-term trading can be such important components of a Winning Edge andwhy significantly higher rates of return can potentially be achieved comparedto traditional buy and hold strategies. Figure 10 shows the power of highvelocity trading.*

Time

Short-Term Gains vs. Long-Term Gains

80

70

60

50

40

30

20

10

1 year

10%

46%

77%

10%every12months

10%every6m

onths

10%eve

ry3mo

nths

10%

every

2mo

nths

Figure 10


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The Perils of Forecasting

It is important to note that forecasting market direction is nota key component

of a Winning Edge. There are two reasons for this. First, it is impossible toaccurately forecast market moves on a consistent basis. Second, thankfully, itis not necessary to be able to do so. But what do most people do? They listento the forecasters for a clue on what strategy they should follow and how theirinvestments will perform in the coming year. I believe this is potentially alosing strategy and inconsistent with a Winning Edge method.

This should be a great relief to all who have struggled with this issue. Instead,stick to the key components of the Winning Edge, and leave forecasting to theforecasters.

Summary

Lets do a brief review of what was discussed. I talked about the importanceof understanding why you invest money and what your goals are in thatregard. I noted that there are several investment vehicles to choose from suchas stocks, bonds, and real estate. Then, a powerful concept called theWinning Edge was introduced. The performance of a buy and hold approachwas looked at by analyzing the historical stock index charts in terms of rate ofreturn and risk as defined by time to break even and percent drawdown.And finally you saw how I believe the short-term stock trader with a WinningEdge had the potential to outperform the buy and hold strategy in both rate ofreturn and assumed risk.

Most trading methods do NOT have a Winning Edge. However, all of thetrading methods I teach my students DO have a Winning Edge, and a wholelot more.

So now you should have a basic understanding of how to construct your ownProfit Button, made up of the 4 key steps or components of a Winning Edge.

You can do what I did, and spend the better part of your life trying invent yourown or, you can test drive a step-by-step home study course that alreadyhas all the components discussed in this report built-inand practically set toauto-pilotonce you master the method.Keep reading to learn more


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Announcing Instant Profits

This is the home study course thats the culmination of my lifes work trading the

markets. I am extremely proud of this product. In it, I reveal the step-by-stepmethods and techniques you can use to potentially pull profits out of any market,and any time frame.

That means that you can use it to trade stocks, futures, forex whatever youlike! And, you can use it to trade after the market closes, or during market hoursin whatever time frame you desire 5 minute bars, 30 minute bars, 1 hour barswhatever you like! Its so flexible some traders like to call it their Market MonkeyWrench.

Why Is It Called Instant Profits?I decided to name my groundbreaking course Instant Profits because once youmaster my methods, winning trades have the potential to occur quickly within 2 to8 trading days (or bars, if youre trading during the day).

Here are just a few of the benefits youll enjoy when you add Instant Profits toyour own trading toolkit:


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Trade the stock, futures, and forex markets like a seasoned professionalby controlling risk and keeping losses to a minimum.

Use a step-by-step, technical analysis method to consistently trade with

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There's no second guessing entry and exit points, because my methodmakes this AUTOMATIC, which should give you PEACE OF MIND.

Create a regular, systematic trading routine that you can follow WITHCONFIDENCE.

Shatter the self-sabotaging trading myths, dogma, and just plain CRAPthat I believe 95% of traders in the world blindly follow... and emerge withclarity about trading you never thought was possible.

Enjoy peace-of-mind knowing that you have a trading course that mystudents have called, "too unbelievable, a tremendous service, a realisticapproach, great teaching, disciplined, and an affordable price", just toname a few.

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For many years, I was in my "mad scientist" phase. I would get home fromworking 10 hours a day as an executive at General Motors, and disappear intomy "trading lair", where even my family wouldn't dare to tread. I was like analchemist trying to turn lead into gold!

One of the SECRETS that I discovered was that no method wins on every trade.You're always going to have losers, so get over it and instead focus oncontrolling risk with sound money management principles. This concept alone isa BREAKTHROUGH for many traders.

I don't know how Thomas Edison must have felt when he finally invented aworking light bulb, but I bet it was a BREAKTHROUGH moment for him. I believethat as a trader you need to have at least one big BREAKTHROUGH moment inorder to be successful.

I learned the hard way that while it is possible to profit from the markets tradingcorrectly, it is a near certainty that you will lose money trading incorrectly. I


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discovered that most traders sabotage their own success by falsely believing insome commonly-held "myths".

Keep reading to find out how you, too, can learn my TRADING SECRETS, andpossibly have your own BREAKTHROUGH moment.

But first, here are the Top 5 Myths that are getting in the way of YOUR success.If you truly understand these, you'll be FAR ahead of everyone else.

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This is a big deal because most trading methods are limited to a single timeframe or a single market. And most trading methods are written for experiencedtraders that leaves the beginners out in the cold wondering what's going on

I honestly don't want you to purchase Instant Profits if you're not going to besuccessful with it. That's why I included a section for beginners that may help getyou up to speed quickly. That's why I include LOTS OF EXAMPLES. That's whythere are PLENTY OF ACTION EXERCISES so you can practice what you learn.

Instant Profits:

Your Step-By-Step Personal Coach

If you can plot a chart, you have the potential to become a successful trader withInstant Profits. I break down everything in an easy-to-follow 5 point process thatyou can apply over and over again. Here are the 5 steps

1. PLOT THE CHART. I reveal exactly how to plot the chart for yourtimeframe and market. Then you learn specifically which indicators toapply. You only need to do this once and save the chart as a templatewhich you can use over and over again for all your trades.

2. SETUP CONDITIONS. Next, I divulge some of my biggest secrets thesetup conditions that you'll look for before you enter a trade. There are 4


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specific setup conditions that are easy to spot once you know the secrets.

3. ENTRY POINT. Once the setup conditions have been met, you'll learn asimple formula that reveals how to place the specific entry order.

4. STOP LOSS POINT. After you enter a trade, the first thing you need to dois protect your position with a stop loss order. This is extremely easy to do,but also extremely important.

5. PROFIT TARGET POINT. After you place the stop loss order, you'll learnto place the profit target order.

That's it! I told you it was easy! But I'm sure you're probably asking yourself, OK,so how does this method actually perform? Keep reading to find out. You'll beamazed.

Here's How Professional TradersEvaluate A Good Trading Method...

While the Holy Grail is thankfully not required to succeed in the markets, aWinning Methodology, risk management, and discipline are absolutely required.Without them, you will lose. Professional traders understand this. They do not getlost in endless analysis of the myriad of indicators, patterns, and methods. Theyfind or develop a winning methodology and trade it over and over again, adheringto strict risk management principles.

What is a winning methodology? Well, it's a set of rules that tells you preciselyhow to enter the market, exit the market, and how much to allocate to each tradeso that you end up with a Profit Factor greater than 1.00. Whoa! What's a ProfitFactor?

Stay with me because I'm going to reveal what 95% of traders just don't take thetime to understand. This concept is so simple yet most people make trades thatdamage their portfolio all day long because they trade methods with abysmalprofit factors. True professional traders understand this concept, and after youread the following paragraphs, you'll already be in the 5% minority of traders thatunderstand how to find a good trading method.

Let's look at the formula of the Profit Factor:


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From the above formula, if the average winning trade equaled the average losingtrade and the method wins 50% of the time, the Profit Factor would be 1.00 (seeMethod A, below). It should be self-evident that no money could be made withthis method.

The average winning trade must be greater than the average losing trade, the %winners must be greater than the % losers, or both must occur to make money.

A method that generates 50% winners and an average winning trade 1.5 timesthe average losing trade (including commissions and slippage) would have aprofit factor of 1.5 (Method B). Or better yet, a method that generates 66%

winners and an average winning trade 1.5 times the average losing trade wouldhave a Profit Factor of 3.0 (Method C).

Any trader that can consistently achieve a Profit Factor of 1.5 or greater will enjoygreat success. A trader that can operate at a Profit Factor of 3.0 could becomevery wealthy.

Method A B C

Average WinningTrade

$1000 $1500 $1500

Average LosingTrade

$1000 $1000 $1000

% Winners 50% 50% 66%

% Losers 50% 50% 34%

Profit Factor 1.00 1.50 3.00


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Now You're "In The Know" And One

Of The Elite 5% Of Traders...

Does the above information make sense? If not, go back and read thatparagraph again because as soon as you understand it you will be part of the 5%of traders that know how to find a good trading method.

Don't be surprised if most traders don't know what you're talking about if youmention Profit Factor. Remember, most traders are amateurs that don't have aclue. I want to change that! And if you've read this far, you've just jumped aheadof the competition!

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And A Really Long Letter

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Additionally, I wrote a really long letter that describes exactly what you get whenyou become a student of Instant Profits. I didnt intend for it to be as long as it is,but I got on a roll and didnt want to hold back any information about this course.

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If you have any interest in securing a copy of Instant Profits, I urge you to just goto that page RIGHT NOW.

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I cant promise that Instant Profits will be available when you get there, becauseit may not always be for sale.

You see, as a student of Instant Profits, you get one year of unlimited emailsupport, so I want to make sure my staff and I are able to answer your questionsquickly and accurately. I just dont think it would be fair to sell, say, 5,000 copiesof Instant Profits when I know in my heart I couldnt support that many students.

So if you go to the web page above, you might see this message:


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If you see that, go ahead and put your name on the waiting list, and Ill notify youwhen Instant Profits is available again.

However, if you DONT see that message, then I urge you to grab a copy ofInstant Profits right away, while its still available.

PROOF! Success Stories From My Students

Its really gratifying to hear success stories from all my Instant Profits students. Itseems like I get one almost every day. Of course, youll need to see if InstantProfits is right for you, and thats why I give you a money-back guarantee.

But check out what some of my existing students have said about theirexperience and success with Instant Profits.

"The results of your method are not as you claimed. They

are much better. In a computer simulation of nearly 2000

NYSE & NASDAQ stocks, using daily historical data from

Jan 2000 to Nov 2004, I had over200% of linear (un-

compounded) capital gain per year. The compounded gain is

too unbelievable to mention!

It also works intraday. I have been actively trading for

more than 10 years, and your method produces the

smoothest upward-moving equity curve I have ever seen.

You really should not be giving your method away for this

low price (or publicly disclosing it, for that matter). I

am glad I bought it before you realize you no longer want

to reveal it."

--Kean F.*

"I followed the Instant Profits setup conditions on the

$SPX and placed an order to buy on Friday. I got filled

onMonday. I then placed another order to sell the

option, got filled onWednesday, and made $3,000. Merry

Christmas! Thanks for sharing your knowledge with

others."

--Keith Thompson*


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"Instant Profits allows me to look at the markets through

a microscope with great accuracy to consistently make

profits. I know to expect losses as a fact, but as of

writing this, I'm currently in my 7th profitable trade in

a row. Now that's consistency! I would gladly pay fivetimes its current value and I highly recommend it to

anyone who is serious about trading."

--Ivan Moore*

"Your CD tutorial and your website resources are

absolutely magnificent. I am very impressed by your

entire process and genuine sincerity to make sure I get

it. Thank you for your wonderful program."

--Richard Ender*

"I finished reading Instant Profits today. Just let me

tell you that I could hardly sleep last night (the light

bulbs inside my head kept flashing). I have been looking

in vain for a good trading method for the past year (and

read all the right books) and for the first time I am

sure I can make your method work for me on a consistent

basis. Thank you so much for sharing your invaluable

experience and knowledge."

--Al Baeza*

"I've been looking for a structured approach for a long

time. This is it!"

--Bryan Peloquin*

"Thanks for an excellent set of instruction materials

that I am nowprofitably applying to all my trading

activities."

--John Tudor*

"I would like to take this occasion to congratulate you

on the excellent quality of your manual and CD-ROM.

Instant Profits is really a step-by-step, detailedmethod. Your blueprints are tremendously useful and keep

emotions out of the process. The examples are excellent

and the whole package is easy to learn with very little


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effort (I'm a beginner with 1 year of trading). Great

job, and thanks again."

--Stphane Theodoracopoulos*

"I honestly think your whole package is the very best.

Anyone can use your method for two reasons. One, it

works; and two, you give the absolutely best explanations

I have seen and the video support is fantastic."

--Mike Lombardo*

"Thank you for making your technique publically

available. It's a tremendous service to the trading

community to provide your techniques for sale at an

affordable price. In my opinion, doing so requires a

generous and trusting spirit."

--Rod Armour*

"First of all I want to thank you for your honesty,

sincerity and for sharing all your knowledge and giving

your students so many resources at such a low price!

Before I bought Instant Profits, I spent at least $15,000

on all kinds of seminars but I was still losing money!

I've lost at least $30,000 trying all what I've learned

at the seminars. But after one month from receiving your

course I started making money from your method! I madeabout $2,500 on my first month trading stocks on a daily

chart! Isn't that great to make money after all those

losses?!"

--Yousef Bajjali*

"I bought your Instant Profits course and am using your

method to trade theMalaysian stock market as well as the

Malaysian crude palm oil futures contract. Your method

works very well. Profit factor for KLSE shares is 1.6

while for crude palm oil is 1.4."

--Bill Wermine*


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"I want to thank you for your course and I'm happy to say

that it has more than paid for itself on my first day of

trading. It has given me some set patterns and rules to

follow now that I did not have before. Thank you for this

great teaching, and I'm finally excited about tradingagain."

--Dana Anthony*

"Thank you for Instant Profits! It is a very well thought

out, disciplined, realistic approach that suits my own

trading style very well."

--David Butler*

*No representation is being made that these results can or will be obtained in the future, or that losses were not

incurred subsequent to the date on which the testimonial was provided. There is a substantial risk of loss associatedwith trading futures, forex, stocks, and options. Only risk capital should be used.

Well, thats it for this report, the 4 Easy Steps to Winning Edge Trading. Dontforget to watch the video examples from my Instant Profits course and check outthe long letter I wrote for you. Heres the web page again:

www.instantprofitstoday.com/ revealed

Good Trading,

Disclaimer: Stock, forex, Futures, and options trading is not appropriate for everyone. There is asubstantial risk of loss associated with trading these markets. Losses can and will occur. Nosystem or methodology has ever been developed that can guarantee profits or ensure freedomfrom losses. No representation or implication is being made that using the information in thisspecial report will generate profits or ensure freedom from losses.

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