Having been asked frequently about resouces for the swing traders, we reviewed many and had our attention captured by two very interesting programs, TRADEMINER and NEWSMINER by Gecko Software, Inc. To be sure, they offer much more than these two under their Track'N Trade program, but we will leave it to you to explore further. Let us show the basics of what these two programs can do for you.
What this program basically does is, it finds out for you how stocks (it's also available for futures and currencies) perform historically during time period you are interested in, and filters them so you can pick your trading candidates. Or, it shows you how the stock you re interested in performed throughout the year, for many years back, so you can pick the best time for trading it. In other words, it scans for historically profitable trends and cycles. If a certain pattern has repeatedly shown up in the past, you can use it as a starting point in search for your trading candidates.
Let's see how it's done in the program.
The part we outlined in red is where you instruct the program about the the scanning criteria. In this case, we asked it to look for all stocks that during the month of April win 90% of the time, both long and short side, with trades lasting from 3 to 15 days, backtested for at least 10 years (of course you can set your own criteria). Having set that, you click "Dig Now!" button, and dig it does. A list of stocks appears (outlined by green), with whole lot of information for each of them. They are assigned a score, proprietary value that sorts the list by the the most amount of money made in the least amount of time, with the least amount of risk. Click on any of the stocks, and the graph in the bottom part (oulined in blue) shows you how the stock performed year by year within your criteria. Now, before we move further, one more pretty cool thing. Look at the upper part in red rectangle again; see where it says "Month?" Well, change it to "Symbol," pick one from the list and the program will look how your chosen stock historically behaved within the time frame you are interested in, then show you the best dates to buy and sell it. If that's not cool, cool should be redefined.
Now, let's move to the next step. You pick the stocks that you want to add to your portfolio and click the tab Step 2: Portolio. This takes you here:
Here you tell the program how many stocks you want to trade at the same time etc, and it shows you the performance of your portfolio and sorts the stocks so you get your highest probability trades. There are more cool features in the program but you will have a chance to explore them for yourself. Just one more additional comment; TradeMiner is available for the following markets:
Stocks Version: S&P500, NASDAQ 100, the DOW Industrials, and many popular ETF’s. Futures Version: Almost every single commodity you can imagine, from all the major US exchanges. Forex Version: The top 24 commonly traded currency pairs.
Now, let us make one very important comment. This program is NOT a trading robot. It's a research tool. It gives you information that increases your odds of finding a good trade. It's still up to you to look at the chart, decide whether you like the trade and execute it in a discplined fashion. This program finds consistent patterns and trends in the past, so you can use them to your advantage.