ProAct Traders™ FAQs and TIPS Page
Frequently Asked Questions
Q: What’s the basic premise you use to trade and are depicted in
the PA Charts to maximize gains and
minimize losses?
A: Our founding members created these
charts to capture the heart of a
currency pair movement. That movement
may equate to as little as 5 pips or
greater than 100 pips. We enter a little
late, exit a little early and bank
profits. While no trading system can
guarantee 100% success, this is the
closest we’ve found. After years of
searching we found a way to measure
MOMENTUM – the pulses in the market that
indicate the Big Boys are entering. A
simple confirmation process of using the
240 minute candle, our proprietary PAT
O’s (ProAct Oscillators) and entry on
the MOMENTUM candle of the Wild Card
Trade gives us a unique edge in the
market …and you need an edge!
Q: Do you use trades other than what
the PA Charts indicate?
A: No, when we back tested our system it
ran over 90%. We are not a real fan of
back testing because it is not realistic
in the real world, but all of our trades
were tested using REAL money (not demo)
in a live environment so we stick to
them. We are rules based and we adhere
strictly to the rules of the trade. We
also trade our own money as well as a
corporate account using these same
techniques, charts and trades, so we put
our money where our mouth is. We have
found (the hard way) that we need
NOTHING else!
Q: May be a little bit of information overload here, but looking at 3 min / 10/ 60 and 240 charts, the white dots seem to be oposing in many instances.
Which chart should I base my trading opinions on - is it the 60 minute? And which one should I put the HSI's on for maximum accuracy?
A: In the WC tutorial you will find EXACTLY the answer to this question!
The Wild card white dot on the 10 min chart is from the 60. YOU DO NOT CHANGE THE CHART to the 60 it is already down for you. You can then EASE into your trade by using the 3 min but we do NOT need white dots etc. on this chart - they just help the confidence thing.
The white dot on any chart but the 10 min WC screen is irrelevant!
HSI's are used at a top or a bottom of a "leg". It does not matter which chart compression you find it on - only that you find it. A 60 minute usually shows it very clearly.
Q: When I get a demo, do I have the
ability to put trend lines etc. on the
demo charts?
A: YES. You will not however, be able to
add studies to the Demo or the
Subscription charts because we have
“locked” those charts so all members
would experience identical trading
conditions as they occur, real-time. We
spent thousands of hours and thousands
of dollars developing the proprietary
indicators that we use and the specific
code written only for us. The Demo
Charts are limited to only a few
currencies, designed as they are, they
are EXTREMELY EFFECTIVE “as is” showing
high probability trades. However, if
after the trial period, a trader chooses
to become a subscriber, then they have
“full access” to all the Major currency
combinations as well as drawing tools,
Fibonacci’s, etc. to further customize
the charts to their personal settings.
Q: What currency pairs are available
on the ProAct Charts?
A: All the majors: EURUSD, GBPUSD,
USDCHF, USDJPY, USDCAD, EURJPY, GBPJPY,
NZDUSD, AUDUSD. These are the ones we
use the most. Others are available and
you may email us on how to access them.
Q: Can I run more than one copy of
the program to facilitate viewing
multiple currencies?
A: There is no need to run multiple
copies of the software in order to see
multiple currencies. New pages can be
built in order to facilitate this.
Q. Why do you have two separate sets
of charts (V1 and V2)
A: Since every broker uses a different
feed to create his Bid and Ask price we
have two so that you can find the one
that most closely matches your Broker.
Our Broker (the BEST we have found so
far) is close to the V1 feed (you may
email us on how to access them for a
free demo). Also the servers for these
data feeds are on different internet
backbones so if one goes down you simply
pull up the other.
Q: Can I run one copy of the program
at my office and one at home?
A: YES, but you cannot have more
than two running at a time.
Q: What internet connection speed is
the minimum necessary to have accurate
data feed?
A: All internet data feed is “lagged” a
few microseconds even if it’s broadband
or a T-1. The faster the speed, the
quicker you get the data. Your
experience will dictate what you’re
comfortable with. We have members who
use ordinary dialup speed connections
and find that more than adequate (it
does take longer to load the first time
you load the charts for the day since we
are loading 5000 candle per chart per
currency pair).
Q. I am having trouble loading the
charts the first time?
A: Firewalls are 99% of the time the
issue here. We do not use JAVA since we
are web based so most firewalls
(especially AOL, Norton and McAfee)
think we might be a Trojan. We can
usually get you up in a few minutes– go
to the TECH SUPPORT page on our website
and follow ALL THE PROMPTS if you have
difficulty. You can also simply go into
your firewall and tell it to allow
PATRADERS.exe
Q: Are there times of day that are
more conducive to trading and / or times
of day to avoid trading?
A: Forex is a 24 hour market. We like to
have volume in the market, which
translates into movement and momentum.
All the major markets (London, New York,
Tokyo) provide that. A lot of volume
comes into the market during Fundamental
Announcements (FA’s). It’s the best and
also the worst time to trade. No matter
what time of day, in all honesty, we let
the PA Charts guide us into and out of
trading opportunities. We avoid trading
after 11 am because we’ve found
afternoon trading here in the US
generally becomes a low volume market
and laborious. We’ll start looking at
the market again around 7:30 p.m.
Central. The Best TRADING for MOMENTUM
TRADERS (that is us) is in the first 2 ½
hours of each session. Download the
tutorials so you know how to enter a
trade in the early session for 55
PIPS!
Q: Is a candle an indicator?
A: Pretty much everything other than the
chart back screen is an indicator on the
PA Trader Charts. Each candle, its
color, body and wick length provide
visual feedback. Our task is to wait
until all the indicators are in
“harmony” as taught in the tutorials,
and then enter accordingly.
Q: When do you exit a trade?
A: We’ve found that when the price
action hits a T30 (the horizontal lines
posted on your chart) it is the best
indicator to guide us through the
majority of the move and still keep us
from giving back a lot of earned pips.
When you hit one of these lines and the
charts gives signs of weakening, (i.e.,
smaller candles, indicators closing up
in the extreme area and crossed over the
opposite direction, color change or any
combination of this) move your stop in
tight and be prepared to exit. The
earlier in the session the more likely
that the T30 is just a stalling point.
The latter in the session the more
likely it is the end of the run.
Q: When the 6 Aces line indicator on
the 240 turns black (small horizontal
line at the top of this indicator), is
that considered a break, or do you wait
for it to turn green/red to act on it?
A: It means that (at least temporarily)
the indicators are now NOT in harmony
with the candle movements. Stay out of
any currency that has TWO BLACK lines –
there is nobody trading it for the
moment. Also stay out of any currency
where the Candles are the opposite color
of the two HMI’s on the 240 min chart.
More than likely it is transitioning for
a reversal.
Q: What are the colored solid lines
on the bottom of the Charts mean?
A. They represent the market session
times i.e. London, New York, Asian and
Australian. THEY ARE NOT AN INDICATOR.
Q: Is any one indicator more
important than another?
A: No. We’re looking for “harmony”. The
array of charts, with all their embedded
indicators, were designed to give the
trader’s brain a
“multi-time-dimensional”, visually
graphical representation of trend
strength and momentum. When everything,
all candles, all indicators, arrows,
diamonds are the same color, we make our
ideal entry. FOR BEST RESULTS – trade
only in the direction of the trend on
the 240 chart (change the 6 Aces 15 min
to a 240 to find and then change BACK to
a 15 minute).
Q. What does the Green/Red diamond
mean on the Royal Flush?
A: It is an early warning sign that the
movement is slowing. It means to move
your stop and protect your profit but
stay in the trade because many trades
are only pausing and will continue on.
A diamond and a wick in the
opposite direction is a SERIOUS signal
to move your stop or exit the trade.
Q. What trades are good for what?
A: The 6 Aces is
the BEST trade to spot breakouts for
the first movements of the session
as well as reversals. It is the
INITIAL TRADE for a
movement.
The 10 min Wild
Card is used when you have a move
underway and you are looking for
multiple entries without many false
positives – see tutorial for the
best way to trade it. It is the
CONTINUATION TRADE
of a movement.
The Royal Flush is
used to manage a trade after all
entries are made and/or trade as a
swing/position trade. You trade the
Royal Flush for 100-1000 pips. It
is the LONG TERM TRADE
of a movement.
Q: Will it be possible to back test?
A: Yes. First, maximize each chart by
moving your cursor over the “maximize”
icon in the upper right corner of the
chart. Left click the icon. Next, use
your computer’s “left / right”
directional scroll arrow to move the
charts left or right to make your
historical study. It is easiest to back
test the Wild Card since it has only one
chart.
Q: How about trading the 3 for 5
pips?
A: Fact is: During certain moves, the 3
minute chart alone can show yields of 5
pips and more. But the ProAct Wild Card
and 6 Aces Array is designed to work
together as a composite for a powerful
repetitive depiction of dominant trend
and momentum. REMEMBER: YOU CANNOT BE
SUCCESSFUL SCALPING THE FOREX LONG
TERM! This is because you must
overcome the spread. The deck is
stacked against you in scalping and to
scalp 5 pips each trade means that to be
successful long term you must be right
90% of the time! This is why we teach
to trade to a T30 (30 pips) and your
first trade of the session is 55 pips!
Will you get it? Who know but it is
better than 5 pips. At 31 pips average
profit you only need to be right 50% of
the time to have an increase in your
margin account. At 55 pips average
profit you only need to be right 40% of
the time to have an increase in your
margin account.
Q: Does trend make much of a
difference?
A: Any experienced trader will tell you
an established monthly trend supersedes
a daily. A 4 hour trend supersedes a 30.
But there are also potentially eight 30
minute sub-trends within a 4 hour chart.
Our experience has proved to us that
when our indicators in harmony, they are
more than sufficient to make high
probability winning trades time and time
again because they are demonstrating
harmony which occurs inside the current
dominant trend. And whether the market
is trending 400 pips on a 4 hr chart or
ranging, say 100 pips as it has of the
time of this writing, we’ve found that
when the charts are in harmony with the
240, our proprietary indicators gives us
more consistently winning trades at a
risk appetite comfort level we can live
with day after day. If you want to trade
higher time compression trends, be
prepared to use larger stops and risk
larger losses on any one trade.
Q: If you are trading this system
with the London and NY sessions, what
time EST are you beginning to get
serious with watching things?
A: It has been moving lately at 3 am EST
for the London and 8:30 am EST for the
NY. Watch the “head fake” from the
Frankfort market at 2 AM – it usually is
going the opposite way of the major
move.
Q: Okay.... Well, then other than the
obvious 60-90 pip run-up that has
already occurred - and/or a pending
economic announcement within the next 30
minutes - are there any other
"hesitations" I would at least give a
little thought to with this system?
A: If I'm ever in a state of hesitation,
I do not trade. It's that simple. I
constantly check the news on my Dealing
Station or go to www.forexfactory for
the best calendar for the news.
Q: Does the time of the day/trading
session also have some impact?
A: Definitely! Volume comes into the
market during the both the London and NY
sessions. If you've traded the NY
session for long, you know they like to
take out stops in both directions for
20-30 pips, maybe a couple of times,
before a definite direction can be
confirmed. That means the potential for
whipsaws, exhaustions and imminent
reversals. When this happens, I like to
plot out the major support or resistance
level on the 30 min chart, pay close
attention to the T30 levels, be patient
and wait for the ProAct Charts to
confirm a breakout or reversal (the Wild
Card has all the currencies side by side
and will signal the Breakouts and the 6
aces will catch the reversal – View the
6 Aces tutorial multiple times before
attempting reversals.
Q: Stops... what about these with
this system?
A: If I've made a good entry by waiting
for the 3, 10 (wild Card trade only) ,
15, and 240 to go all green or red. I
very simply place my stops 5-7 pips
above a T30 if I’m trading south and 5-7
pips below a T30 if I’m trading north. I
know I can always re-enter after taking
a small loss after I see price stall and
the indicators confirm that.. I'll put
no more than 5% of my margin at risk on
any one of these trades. Trading is not
an exercise in perfection. It's a lot of
waiting, putting smaller amounts of
margin at risk at times and being
persistent. If a move starts and is
approaching the next T30 I pull my stop
up halfway through to the approaching
T30 and if I get a break of that I move
to the T30 that has just been violated.
PROTECT YOURSELF AT ALL TIMES. NEVER
TRADE WITHOUT A STOP!
NOTE: since we are MOMENTUM traders do a
study on the 3 or 10 minute Wild Card
and notice that if you stop that
MOMENTUM candle (the one that has both
Moving averages the same color, an arrow
and a painted candle in the direction of
the trend you will rarely get stopped
out unless it is a reversal and at which
case you want to be stopped out since
you are going the wrong way.
Q: Can I get on the chat room with my
charts?
A: You can't. You now have a copy set of
"stand alone" charts. But you can log
into the ProAct Traders™ chat room as
long as you have a HotComm Demo or
subscription. This Trading room is
monitored during the NY session by one
of our trained traders/Mentors. He will
NOT call a trade but WILL enforce the
trade rules.
Q: BTW: the target lines (T-30) on
the charts are "killer" in their
accuracy.... Congratulations on whoever
worked that one out... I just need to
figure out and/or better understand when
things might go from one T30 level on to
another level or when things more than
likely are going to stop at a certain
T30 level... Any insight here?
A: My advice here is: DON'T OVER-ANALYZE
THIS; WE’VE ALREADY DONE THIS FOR YOU!!
What we provide for our subscribers is
SIMPLE. When all indicators and candles
turn the same color, we enter. We place
our stops accordingly as stated in one
of the above-answered questions, we then
watch price to move from current level
to a T30. Then we re-check all our
indicators to see if the momentum will
continue. If we see price stalling, we
exit with a profit. We wait, then
re-enter, ONLY when all the indicators
and candles are identically colored and
in harmony. We’ve found that trading
with these rules consistently nets us
more pips per day than trying to make
“guess” or “feel” trades. Those types of
trades will usually wipe out any gains
you’ve made using the ProAct Traders™
System.
Q. What kind of training do you
provide?
A: These charts were created by traders
FOR traders. But it doesn’t stop there.
• Every week we have two online meetings
that teach our setups, FREE!
• We have a traders room where you can
see other experienced traders call their
calls (be careful – after a while you
will learn those who are good at it and
those who THINK they are good at it.
• We have one of our founding members
who for a nominal fee, trades 2 nights a
month LIVE, acting as a coach with
traders during 4 live trading sessions
as they happen. He does not call trades
- but rather forces those on the call to
think through the trade and set it up
properly.
• For those wishing to go to the next
level and really understand the market
and the “why” behind the movements we
have professional Mentoring programs
available (fee based).
Q. I notice that when I get my signal
on the WC (sell) to trade, and drop down
to a 10 min WC, that it often retraces
back into the desert at the 10 min
level. Do I as long as the top moving
average stays RED just stay in?
It is a call you have to make based on
your trading style. Longer traders who
trade to the bigger HSI targets stay in.
Fore example: a GBPJPY could retrace 150
pips....do you want to ride that out?
The AUD$ might only go 23 pips....that
one is rideable. It is important to
understand that the red/green is ONLY
telling you POTENTIAL SUSTAINABLITY-
momentum in that direction is still
showing up. Price movement convinces
people to trade the wrong way. This is
why we don't chase price but follow
momentum. Having a sustainable red/green
candle however, is not a rule that says
this is definitely going to keep going.
POTENTIAL is the key word here.
Q. I would like to know the rules on
what to do when the 10 min desert
happens. Do we get out when we enter the
desert? then get back in on next arrow
out of desert? at the 10 min level.. or
should we toggle to the big picture (60
minWC) and stay in and ignore the 10 min
desert?
Go to the 6 aces and WAIT for the 6A out
of the desert...either way. There is a
tutorial on this. Once you are in the
desert you are NO LONGER a WC
trader...you can only trade the rules of
the 6 Aces. If it continues BACK in the
same direction then your previous 60 min
WC is still in effect and you can trader
the WC immediately after you are out of
the desert as long as you are not near a
T30 or HSI target. If it continues the
reversal you are a 6 Aces trader UNTIL
you get a NEW 60 min WC.
This is a FAQ work in process so if you
have questions that need to be addressed
here, please let us know. |
