UNIVERSAL SIGNAL
The lazy man's way to stock market wealth.
 
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UNIVERSAL SIGNAL FOR ETFs, QQQQ, GOLD and WORLDWIDE 
STOCKS TRADING

I am not a professional money manager or a stock broker. I am just a regular guy who got lucky by 'accidentally' finding a stock market system that seems to work like a clockwork regardless of the market conditions. 

I have been investing (with varying success) for the past 15 years. I have subscribed to many stock picking newsletters out there just like most investors have done, and after spending thousands of dollars on them I have been disappointed by most of them. Some of them have been profitable, but with most of them there is always something that makes them too risky, unpractical or difficult to implement in real life. That is why I wanted to develop my own system that is easy to use, as risk free as possible and still profitable; a good system for a lazy man :-) Actually I am not lazy, but I don't want to spend my time glued to a computer screen and worrying about my savings. 

I have a great passion to be as free and independent as possible, and also to be able to travel and do the things I truly want to do. So in order to be able to do that I have been developing and refining my own trading system that would give me reasonable returns with little risk and stress. 

I got lucky and 'cracked the code'  and now my system enables me to combine my passions; travel, writing, investing and helping people. My system has been surprisingly profitable even though I would be happy with a lot smaller returns too. 

My system/technical analysis (TA) is based on a set of indicators and an internet based trading software. It is 90% mechanical. I use slightly different indicators for PM stocks and for my long term system. It's designed so that by default it will protect us from huge losses. Every system creates some whipsaw losses and so does my system too. 

My signal is based on Nasdaq. QQQQ is an ETF (Exchange Traded Fund) that has the 100 largest Nasdaq companies in it. The QQQQ is my main trading vehicle and that's why I refer to it constantly. QLD and QID are so called ultra ETFs funds that based on QQQQ and I also trade them simply because they match QQQQ very well. 

My old system seemed to work better in bull market conditions, so I have refined my system to fit better to the bear market. If I have learned anything that is that; no system will work all the time and we must always stay on top of things and be ready to change our way of trading. My system is great because it is flexible and can be changed really fast if and when the markets change. 

The new system would have produced the following back tested trades 2008 with a profit/loss if you traded QQQQ long and short according to these signals:

Sell: 12.12.07
Buy: 24.2.08 + 13.4%
Sell: 10.6.08 + 8.9%
Buy: 5.8.08 + 5.4%
Sell: 2.9.08 -1%
Buy: 12.9.08 + 34.8%

This is not too bad and I feel very confident that I can produce like results 2009 too. The only thing that can ruin these results is months and months of whip saw action, but that would ruin everybody’s game. Now during bear market it's very critical that you also short or trade reverse ETFs.

My system in all its simplicity; if a stock, EFT, fund or an index follows Nasdaq and or QQQQ closely  it can be traded with my system. On the 'What to Trade' page there are many ETFs and stocks that you can check whether they currently follow QQQQ.

One of the most important benefits my stock system can give you is a peace of mind. Stock trading can be very nerve-wracking and as an old saying so eloquently puts it: “Trading doesn’t take a good head, but a stomach”. It’s very difficult to sleep well if you are constantly worried about your investments. 

That is why having a system that will protect your principal is utmost important. You will sleep well and can be stress free if you know that your capital is safe. My system is designed so that you will only have small losses that are a part of trading. (No system can guard against a sudden market drop in case of a terrorist act or some other catastrophe.)

How I discovered this system? One day after spending many hours on the net back testing different scripts I got frustrated and just pretty much randomly clicked some indicators and values and hit back test button and voila… the results were pretty good. By now I have refined this system for several years and now it's finally ready for You too. 

All in all I try to keep my system as simple and stress free as possible. I don't trade during the day because even if my system creates a signal during the day it can reverse by the close. The close is always much more final sentiment of  what the smart money is feeling at  any given day. I run my script after the market close and if warranted I place a market sell or buy order for the next day's open. This way I don't have to constantly worry about the markets. 

Believe me; worrying about the markets can drain you energy and even affect your heath. If you worry about every penny by doing limit orders and waiting all day long to place an order; yes you may make few extra dollars, but also you may lose some because one never knows how the market is going to behave any particular day. Especially if you are an novice trader you are far better off by placing market orders. The results will often even out at the end anyway. And if nothing else, you will have less to worry about, and that alone is worth a lot of money, isn’t it? 

The beauty of my signal is that even though it tracks mainly Nasdaq it seems to work universally in many different markets, ETFs, funds and even many individual stocks. If you are more accomplished trader go to the results page and compare/back test your favorite trading vehicle against the signal dates. Bear in mind that of course it can not work with every single stock in the world.  

Also the signal is great because novice traders can safely trade QQQQ with it, and more accomplished traders can trade more complicated investment vehicles with it. Once you subscribe to my letter I will provide you with easy to follow Lazy man's portfolio. This portfolio is great for beginners! Or you can create your own portfolio from the symbol list on 'What to Trade' page.  

So far my new system has produced a signal on average once every two to three months so it could be called (long term) swing trading system. So you don't have to be trading in and out the market all the time. Actually I think that this is pretty close to a ideal trading time frame. I am not a lazy person, but I would rather be writing books on emotional wealth or reading one at the beach than worry about stock markets every day. Life is way too short to spend it doing things you don't like; I like stocks and making money, but I don't like worrying about stocks or money. 

Stock market is just about the best and the only way to make money while sitting in an internet coffee shop on a tropical island. If you have some savings, good trading system and are willing to learn, you may too be able to do what you really desire not too far in the future, or you can make more money for your retirement. 

Now that I got stared to talk about the good life... I can not emphasize this enough; you must start putting your financial situation together if you want to enjoy your life. If your financial situation is in shambles it's very difficult to be happy or content with yourself or your life in today's materialistic world. I am not saying that one can not be happy without money, but it takes a special person to be content penniless or while deeply in dept. A huge dept can run and ruin your life. It can create stress and a lot of sleepless nights. Keeping up with the Jones, which is the MAIN reason why 90% of us buy to expensive cars, boats and houses is not worth it. 

I want my service to be more that just an investment letter. I want to help you to grow to be financially and emotionally secure. If you already are emotionally and financially secure, my congratulations to you. In that case you must already know that the real wealth is so much more than just having dollars in your bank account or a big house. 

 

 

 

 

 

© 2007 - 2009 Timo Yla-Soininmaki