PowerTrendSystem – ES Futures Daytrading Software
Introduction to the Power Trend System Software
Hey, it’s Bill from Investing Systems,
First, let me welcome you to one of the most sophisticated trading systems in existence. While the Power Trend System software is brand-new, it has actually been in development for years. It’s predecessor software has been on the market for over 8-years and over that time we used the knowledge and experience gained from thousands of market sessions to craft this next-generation system.
This is a trend-reversal, trend-shift, trend-catching system.
The new Power Trend System software is available starting now. We consider this to be sort of a beta version initially, since there will be new features added as we go. For instance right out of the gate we are starting with ES / MES as the only symbol the system runs for. We’re doing this so we can make sure everything is optimized and the tolerances are perfected for ES before introducing other symbols. Each Futures instrument has its own inherent price behavior and requires different parameters and calibrations for the specific behavior of that instrument.
Another reason we want to call the current version a “beta” for now is that there is a long list of features we plan on introducing as we move forward. We are creating a “companion indicator” for various trading platforms that will plot everything on the charts in real-time automatically. The indicator will be available for NinjaTrader initially and included at no extra charge for current users.
Please note that the PTS Desktop Alert Software itself has already been thoroughly tested and is rock-solid. Any new updates to the software will only be necessary for cosmetic purposes or to add features to the current user interface.
System Components
The Power Trend System actually consists of 3 separate components.
1) The Desktop Alert Software – which is simply a “client software” receiver you install on your Windows PC.
2) The back-end server where the “algorithm” actually resides and the connection protocol that delivers the alerts to the Desktop software in real-time. (the reaction time of the software is in Milliseconds)
3) The logic of the algo – which consists of all the various functions, calculations and calibrations that determine how the system reacts to the price behavior.
Number 1 and 2 are air-tight and rock-solid right out of the gate. We’ve been developing software for 20 years and this new “client” is state-of-the-art. So is the back-end infrastructure that drives it.
The third component – the algorithm – is the one that makes the decisions for when to trade, where to enter, where to set stops and targets and when to trail the stops and close the trade. It controls every aspect of the actual signals. We’ve been testing and tweaking, calibrating and refining the logic for months before releasing the first version. It’s highly accurate right from the start. But with any system like this, there’s potentially room for improvement and we will continue to refine, enhance and optimize every aspect as we go.
With any sort of automated computer generated signals, one tiny change to any facet of the logic will have a cascading effect and change everything going forward. For instance if we reduced the distance to the Initial Stop ever so slightly, it would result in more frequent stop outs. Some of those would have gone on to hit both targets and we reduced performance by making the stop too tight. If we increased the distance to Target 1 a tiny bit, it would get hit less percentage of the time even though the gains would be larger. There are dozens of calculations and calibrations that can be tinkered with and each change would effect every alert / trade going forward. So the idea is that we are coming out of the box with the best “logic” we can right from the start.
But we are reserving the opportunity to incrementally tweak and enhance things that will improve performance as we move forward. That’s why we are releasing this first version 1.0 as a sort of beta – so we can forward-test, optimize and also get feedback and comments from users – and see what type of questions we might get that aren’t already covered in the Help.
This is very exciting stuff for us and we’re glad you are on board to participate and join us on this journey. The first phase of the rollout starts now and there will be a lot of enhancements and additional features added as we go.
Who is the Power Trend System For?
Phase 1 – At this initial launch stage, the system is best suited for experienced Futures day traders that are interested / fascinated by mechanical trading systems – algos. It’s actually ideal for traders that are in front of the screens during cash session market hours, maybe scalping or trading NQ or other symbols besides MES. That way you can add this system to your trading arsenal and monitor its activities while you are doing your normal thing.
Don’t get me wrong – you could start trading this system right out of the box, but the limitation of only receiving trade signals for ES / MES and the fact that it’s going to provide 0-3 trades per session might not make it suited for some traders who prefer more activity or are not in front of the screens most of the session. If you’re already actively trading during the cash session this may be the perfect addition to your arsenal for identifying additional trade setups.
Another consideration is the timing of the initial release of the software. Experienced traders know that July and August tend to be dull months in the market. So our plan is to release the software to a small group of “charter users” beginning now and then use the July-August “Summer Doldrums” to build out additional documentation, optimize and fine-tune the logic, analyze the statistical data and develop the “companion indicator”. We will use that time to prepare for the next Phase of the roll-out and see if the typical slow market conditions expose any weakness in our system.
Phase 2 – We will introduce the “companion indicator” that plots all the details of the Alerts on the charts automatically. Initially the indicator will be for NinjaTrader, but we will consider porting it over to other various platforms based on demand. The indicator will automatically display everything from the software on the NinjaTrader charts in real-time and automatically adjust the Trailing Stop. The “companion indicator” will make it even easier to trade along with the Alerts because you will see all the levels on the charts and can just drag your orders to the appropriate levels.
Phase 3 – We will test other symbols with the system and potentially add other instruments. Each instrument has its own inherent behavior and the system will need to be set-up separately for each potential symbol. Some symbols may or may not possess the qualities that make it a good trading candidate for the system. It makes sense to start with just one symbol and fine-tune everything as much as possible and forward-test it for a period of time through various market conditions. We are laser-focused on system performance for ES initially.
Also, we will be exploring the idea of using the system logic on various timeframes and settings to see if the system can be forked into a “scalping” mode. Another idea we’re considering is having the system run into two different modes – conservative and aggressive. These modes could be self-adjusting based on market conditions or user preference. Tighter calibrations and tolerances of the logic that drives the stops and targets, and working with different timeframes could be used for either of these potential enhancements.
Back Testing – Forward Testing – and Statistics
We have rigorously back-tested the system over various market sessions, but here’s the thing – the logic of the system can not be duplicated using standard indicators. This means to back-test we have to pick a specific day and run the price data through the system to see the results. This limitation means that we can’t simply test it on say a years worth of market sessions with a few clicks. So the idea is that we will be forward-testing and analyzing the results based on multiple “contract scaling configurations”.
We have created automated stats tracking and the initial results are extremely impressive.
But as the saying goes, “Past performance is no guarantee…” and you know the rest. From past experience over two decades of developing trading systems, I know for a fact that market conditions are one of the main factors that affect the performance of a system – especially an intraday trading system. We think that using the initial 3-month June-August Summer months to forward-test, optimize and analyze the results is the best course of action.
Then, things should really heat up in the market. I expect significantly increased action and volatility in the market this Fall – mainly due to the Election. At that point we’ll already have a state-of-the-art institutional-grade trading system that thrives in fast market conditions.
So Do You Want to Get In On the Ground Floor?
Here’s the deal. Charter Users (which could be you) can get the software NOW for $99/month and you will be Grandfathered-in at that price for as long as you wish to use the software. Cancel at anytime and you will not get billed again.
Phase 2 the price goes to $199/month and Phase 3 will likely be $299/month or more.
Keep in mind that the profit or loss in any one single trading session is likely to fluctuate more than the monthly cost of receiving the Alerts. At today’s price of $99/month, the cost is nominal and practically irrelevant. What’s important is how the system performs over the month and if it’s profitable when all is said and done. If things work as planned going forward, the planned $299 price might be ridiculously low. We might have to re-think that down the road.
So if you are interested, and this all sounds intriguing to you – take a few minutes to read through the “sales site” and see what you think.
Check out this quick video and see the software in action
PS. We have already created extensive documentation for the software and everything you need to get started right away is already in place. You can have this software running on your machine in a matter of minutes and get the trade signals for tomorrow’s session.
PowerTrendSystem – Automated Trade Signals for ES Futures
A Product of Investing Systems, Inc. – in business over 24 years