2021 Optimum Strategy changes
Optimum strategy targets are being revised upward from 30% targets to 40% targets based on the back testing results of the 2020 case study. The text alerts will now contain 40% targets. True Optimum strategy in terms of ROI would have been 40% targets with 25% position sizing based on back testing. However, there is a psychological aspect with the win rate. Some would rather exchange a higher win rate for lower ROI, I.e. 60% win-rate and 204% ROI in lieu of 55% win-rate with 312% ROI. This comes down to personal preference. Therefore, we have decided to let you choose your own strategy based on the above risk table. However, alerts from now on will have 40% price targets so you may need to calculate your own targets if you stray from the Optimum strategy.
We are also advising not to take any market actions until you have a full understanding of possible outcomes. This is the basis of our new market education course High Stakes Trading. Once you feel confident with your understanding, we then recommend choosing a particular strategy above and testing it in a simulated market to ensure it works. Once you have confidence and conviction with the simulated returns, only then should you continue to experiment with real money.
Positions will ONLY be closed at the end of the week instead of daily monitoring of close prices. The reason for closing won’t change (ANY daily close price more than 15% off the mark lower). The time of the alert is the only thing that changed. The variable proved to be negligible when compared to end of week close prices during back testing. Sell alerts will only come between 3 PM and 4 PM EST on Friday from now on.
No target alerts will be sent as targets vary now (see chart).
*Expected ROI’s, hold times and win rates are approximate and based on TIP’s Text Alert case study 2020.
Do not expect to gain these returns without a step-by-step model, plan, system and checklist for business operations. Also, don’t attempt this without a full understanding of how the markets work. Have a plan. Use science to form your own opinions and market theories. Practice trading is a simulated market to prove you can do it. See our High Stakes Trading course to learn more.
See 2020 track record for data. All data published and all data contained herein was extrapolated and combined with market theory and should be carefully inspected and questioned before you decide to make any moves of any kind.
Inflection Point Inc. shall in no way – including legal fees – be held liable for any and all negative outcomes resulting from the use of this educational content. We are merely presenting finding in good faith as to educate our audience while attempting to fulfill our vision of building great Investors. Everything herein and associated with Inflection Point Inc. is for educational purposes only. We are a market education company. Thank you.