Trading Forex Signals – The Difference Between Traders and Analysts

Dec 11th, 2010Comments Off

I get a lot of email every week.  Much of this email is a list of questions regarding my performance.  I have answered all of these questions on my performance page, so I can’t figure out why the question is being asked.  However, I think it is important here to make a distinction.  I wear several hats as a forex signal provider.  One of these hats is that of a financial analyst.  I do both technical and fundamental analysis, so I’m not going to get into which is better.  They are both good.

As an analyst, my job is to identify a setup that has a small positive edge.  That is to say that (Average Win * Probability of a win) – (Average Loss * Probability of a loss) has a positive outcome.  Every win and every loss that goes into that equation is simply data.

As a trader, my responsibility is to act on the setup that was identified by the analyst.  And to do so in such a way as to make maximum profits.  In short, the trader’s job is to manage money.  The size of the wins and losses are nothing but noise.  As a trader, I understand and accept losses.  Many people say that they accept losses, but very few REALLY accept them as part of the game.  The majority of people trading forex today will change systems a few times per year.  They’ll also keep losing money.

As the person sending you your signals, it is my responsibility to identify a setup with a positive edge, then to act on that setup each time it presents itself, then provide you with enough information so that you can act on it, and make the same profit that I do year to year.

I provide simple to follow signals.  I explain the entry, the stop loss, and the amount of your leverage.  I manage the trade, and tell you when to exit, or build onto the position as well.  The setup that I use generally offers you several days to enter the trade, and provides a very attractive edge.  The edge of the Helix system, given the Forex portfolio, has been 201 – 275 pips per trade for nine years as of the close of the 2010 trading year.  That edge indicates the expected payoff per trade that the system has generated in the past.  Can you profit from that kind of an edge?  I certainly hope so.

Forex Signals