FP/HRFP Question

Hello all! I am fairly new to this forum and I have a big question to ask. I have been using the FP/HRFP scanner when trading a certain strategy I found here on these forums as I have found a huge success rate. That being said, I don't know the mechanics and as someone that loves trading, I want to learn.



Edited 1 time(s). Last edit at 10/26/2018 09:04AM by AcquireCurrency.

Technically I could answer your question as the NDA many of us signed covering FP/HRFP methodology has expired. There is a newer method that extends FP/HRFP called SLI. Very similar but there are some slight, subjective tweaks. The NDAs signed for the SLI changes plus time, effort and cost of learning prevents me from providing details. I'm sure someone will be glad to throw it out there but that person won't be me.

All of that said, I assume whatever script you got your hands on that signals FP/HRFP was written similar to the ones I've done that simply provide a clear, basic, black and white signal. The signal is an aggregation of 3 or 4 well known indicators all providing signals at the same time. Some of the indicators focus on momentum, some are oscillators, and at least one is comprised of moving averages. Very important not to have all indicators monitoring the same thing. The FP/HRFP tells you when a few of them all providing a possible trading signal at the same time. In stead of watching 4 or 5 green lights to say "GO', you have one green light that says a minimum number of green lights across several indicators are possibly signaling. I say "possible" because every signal is not create equal. If you watch moving average crossovers as an example, a limp across the line is not the same as an aggressive cross. Same holds true with FP/HRFP - each signal does not have equal weight. That's where knowing the system benefits the trader. FP/HRFP indicators were only intended to force a trader to look at their charts, look at each indicator that creates the signal and decide if it's a trade or not. Even if I provided the names of said indicators, there are program specific settings that make the indicators unique.

On a side note, there is more to the program than just a signal. Contrary to what many folks took away from the classes, the signal alone was never supposed to be the holy grail or to signal a trade by itself. The ability to read the charts and see a high probable trade setting up is a precursor to using the indicator. If a high probability trade sets up and you get the signal. then the odds are more in your favor. From a pure technical perspective, I ran countless back tests roughly 10 years ago looking at what would happen if I set up automated trading to trade every signal mechanically with predefined targets and stop loss levels that could be measured. The pure signal worked about 85% of the time but was never intended to be used like that. By being disciplined/selective on what you want to trade and being able to objectively read the charts, the goal is to eventually be in the low 90% range if doing as instructed. That low 90% represents that all trades will not work - you expect the 90% to include a few small losses, a few break evens, a few profitable, and maybe a few extra profitable. Good money management will keep you on top. The profitable and extra profitable more than offset the small losses. The remaining <10%, well, stuff happens as the market is unpredictable. You have to get over it and move on. All about good money management. Many folks expected the 90% to mean they would be Warren Buffet 90%+ of the time with huge gains and then some losses on the remaining 10%. No, the 90%+ figure represents the number of trades that will do as expected. "As expected" means that you expect to have some small losses, break evens, profitable, and really profitable trades. The remaining amount you can't control.

Best of luck!

NCT

What is this SLI system you are speaking of, and what does SLI stands for?

Not to sound dismissive, but if ya wanna know you'll need to go to the source. Sorry!

The source would be Gary.

What many here are referring to is the non-compete and non-disclosure agreement that Gary requires you to sign, that being said many here have spent thousands of dollars to attend Gary’s classes and to do the work just to blurt it out would be wrong. It has also been said that it is not a black box thing. If you listen to Darcy carefully you see the many hours she has spent working using 1-5 and adding in the E-trade she uses from the reading she has done. She is gifted and gracious and generous. But I will bet she will tell you the harder she works the luckier she gets.

Thank You GameOver. Been studying this entire thing and how to trade for 14 years. Put in the time. Find what works for you AcquireCurrency and stick to what works for you. There is no easy path but once you find it, keep it. I use small charts. I like to get my money PDQ and I don't want anyone else to hang on to it. I was NEVER successful trading larger charts. I had a hard time sleeping. I use them to buy stock and then VERY small purchases and those stocks that pay dividends. And no I am not a day trader...whew now that is some work.