Coach for Traders, futures spreads, stocks, commodities spreads, traders coach, trading software, trading systems,spread trading, money, trading coach, coach for traders,Jesse Livermore, trading mentor, risk management, spread order, trader education, Andras Nagy

I have been trading and working with trading systems for 20-years. In 2004 I became interested in the Pivot Swing System originally developed by Jesse Livermore. How to Trade in Stocks, published in 1940, subtitled as "The Livermore Formula for Combining Time Element and Price". The book has a section giving some clues in Chapter VIII.

My research was mainly the programming and testing the market key on stocks, futures and ETF's (Exchange Traded Funds).
I used wealth-lab, Trade Station 2000i and Excel for coding and testing the market key. Additional platform conversion is available at $100 per hour.

The applicability of the system is demonstrated mainly for well trending ETF's and stocks. Certain parameters must be altered for futures to show promise.

Download the Swing Market Key whitepaper

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To illustrate the system here I use TIBX (NASDAQ), as it is a cheap, yet very tradable stock that shows significant minor trends.
Swing trading needs minor trends to pick sides (long/short).

I only highlight the major moves as some of the noise we also picked up and exited with minor losses are not worth mentioning but obviously they happen. The model went long TIBX on 10/6/2004 @ $8.68 and exited on 1/5/2005 @ 12.42 at approx. a 42-percent gain.


On 3/1/2005 the model went short on TIBX @ $9.64 and covered on 4/26/2005 @ 7.29 at approx. a 23-percent gain.

DISCLAIMER: THERE IS RISK OF LOSS IN STOCK, FUTURES AND OPTIONS TRADING. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.

DISCLAIMER: 'HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN."

DISCLAIMER: The use of stop loss order does not guarantee that your losses will be limited to the intended amount. Certain market conditions could make it impossible to execute such orders.

Copyright 2003. All rights reserved. Contact: TheCoach