Many people are wondering that our Operator Analysis is good. But how good is it?
The common questions are always :
1. What is the probability?
2. What is the percentage of the winning rate?
3. How effective is your method?
4. Can make profit or Not?
Our operator analysis can definitely gives you a satisfy answer for the above questions.
Normally we think probability is not reliable. The reason is because you can have 9 out of 10 trades are making profit of RM 100 each, total profit RM 900. But the 1 trades that make you lose RM 1000, you will end up in a losses of – RM 100.
The probability is 90% of winning rate but you are still losing money because of 1 trade.
But because everyone always ask about probability, we did some calculation and our probability of winning rate is 67%. But with this 67% of probability we are able to achieve 45.69% from our initial capital in 11 months & most of the time we are able to outperform the market and even at some time where the market drop to negative but our returns are positive!
Legend : R&S TRADING FUND | FBMKLCI | FBMACE | FBMSCAP
We are different
The method and analysis you have tried before it doesn’t work, but why our analysis works?
1 reason, we analyse the market data very different from the rest.
For example, often technical analysis look at charts, so do we. But we analyse it further in 5 mins chart to track the big boys intention to push higher or they just want to attract buyers to buy theirs shares ( we call it distribution.). In the daily chart it may show the candlestick looks very bullish with high volume and closed at the highest point of that day (white marubozu or resistance breakout ). But when you look into details, it shows that the big boy is pushing up the share price with high volume created to attract buyers to buy their shares. Then next day the price fall and you got trapped inside don’t know what to do, because the price haven’t hit your cut loss point or profit target.
Buy Queue More than sell queue means more buyer?
Many traders thought buy queue more volume are better. Because you will think there are many buyers in this stock or strong support.
In fact is not true. All of the volume at the buy or sell queue are just order that is not transacted. So you can’t say this are the real buyers! These orders can be cancel any time and throw the price down to you! You might feel happy because you get to buy shares at cheaper price but in fact you just get yourself trapped in big boy distribution.
What You really need
Now you understand why we can do better with our Operator Analysis. Don’t let the past drag you down, change your mindset and move to the right direction. As a small retailers the right way is to follow the big boys. With our past record and our expertise, we are confident to achieve success in trading together.