The Mechanical Day Trader

Da Truth as of Fall, 2010...

2010-09-27T10:32:00.000-04:00

George Steinbrenner Will Be Missed....

2010-07-14T09:37:00.014-04:00

George Steinbrenner, owner of the New York Yankees died yesterday....George touched many lives, including mine...I knew of him in the 1980's when I lived and worked in Tampa; and did some work directly for him in 1985. I have fond memories of visiting Tampa Bay Downs while employed by George A. Levy, Inc. when I was in my 20's.

Here's a link to a tribute video of George Steinbrenner. @ 970WFLA
The Tampa Tribune has the most thorough tribute to George
Some testimonials from locals in Tampa

"Steinbrenner founded the Gold Shield Foundation to help families of police and firefighters who died in the line of duty. He gave a million dollars to St. Joseph’s Children’s Hospital in Tampa. He was a major supporter of the Boys and Girls Clubs. But a longtime friend says much of George Steinbrenner’s charity took place out of the limelight."

George A. Levy knew Mr. Steinbrenner for many years (as a vendor and friend) and offered these words, care of 970WFLA.com. George A. Levy also has done much work for charities, sports (especially the swim team at U of F in Gainesville) and was instrumental in Tampa hosting the NFL Superbowl. Both George's help put Tampa on the big city map!

"George Levy owned and managed a trophy shop in Tampa until his retirement. He served on the board of Gold Shield and other charitable groups with ties to Steinbrenner. “(He’d help) people who were sick, pay for kids educations. (help out) a waitress at a restaurant who was having a hard time… he just did so many things that people will never know how much he did.”

"Levy says that some of Steinbrenner’s charity was predictable, especially when it came to youth sports and activities. “If he read in the newspaper that a Little League had been broken in (and robbed), you knew he was ready to pay, you knew George would bail it out. A band that was trying to raise money to go to Washington and was thirty thousand dollars short, you knew George would call them. He would respond so quickly.”

Levy recalls another incident at St. Joseph’s, when Steinbrenner noticed a child had been waiting in a wheelchair for an hour. “He asked somebody why they’d been sitting there… (and was told) they had to wait for a van to come because the child’s grandparents didn’t have any way to transport him… and (Steinbrenner) ended up buying that family a van.”

“We’ve lost a great citizen today.”

God Bless you George Steinbrenner; your love of family, youth sports and community have helped make this World a better place! Rest in Peace.

portions of this post are quoted from 970wfla.com

Dow Repeats Great Depression Technical Patterns

2010-07-10T00:44:00.005-04:00

Not looking "pretty" folks....
Click image of this video for a technical analysis of important World Markets as of July, 2010. The 4th Quarter of this year is looking pretty ugly on the equity side...

David Rosenberg Calls DOW 5,000 #$%!

2010-06-27T13:24:00.013-04:00

"Even a dead cat will bounce when dropped from a great height."

NEW YORK (Fortune) -- Back in 2007, David Rosenberg was one of the first economists to warn investors of the Great Recession. Looking ahead, his outlook has not improved much.....

David Rosenberg calls Dow 5000 (just LOVELY for daytraders of the One Minute Methodology!)

.....CNBC guest 'rattles' Joe Kernan.....Excellent analysis by Damon Vickers of Nine Points Capital , imo

S&P 500 at "Death Cross"
Click image of Rick Santelli to hear his take on current economics of the USA as of the Summer of 2010.

Confused about tax cuts? Read this, a clear synopsis of how Reagan's tax policy created wealth, and raised government revenue. Democrats always spend more than they collect, that's why there were deficits folks!

Anatomy of Two Mechanical Trades

2010-06-25T08:26:00.009-04:00

The One Minute Methodology requires some memorization, BUT the CYCLEDAYTRADER software makes many trades very obvious - since the E-mini Dow trades around the clock, you can too. Here's a 70 point long entry today, followed by a decent short entry (you're reversing direction) that ultimately goes 50+ points down (NET of 120 points in about 3 hours of trading).

The Green line along with the Blue/Yellow dots show the support levels and reversal rule (RHS is the reversal formation) after Code GL occurs - which is a retrace of yesterday's Code 3. This is a slam dunk trade since the right side of the RHS formation has the proprietary ONE MIN TRIX greater than the neutral line (the one min trix is below the price chart).

The trade exit is known, since the orange rectangles display the retrace to resistance level (70 pts from your entry) and the ONE MIN TRIX shows a sell setup which traders reversed direction at. Since the move up is an RR, you don't need dow behaviors, you're just piggybacking the mechanical systems that are repeating Institutional Stops.

You've now witnessed 100% technical trading......trade entries with known exits and known stop losses. Follow the habits of the big mechanical systems that control this index contract and enjoy the ride!

....GO TO BANK..WITHDRAW $$$$$$$$.....

Training Outline of the One Minute Methodology

2010-06-23T08:45:00.001-04:00

NOTE: There are training videos that address most of these concepts, so the student can easily review and refresh their knowledge. Training is self-paced; a two month time period is projected before the student makes consistent, above-average daily income.

> The two variables, Time, Price
> Cycles
> Market Conditions and elementary trading rules
> Retracements
> The 3 Reversal Rules
> Identifying Market Conditions
> Using Paintbars to determine Market Conditions
> Using 'Deviation' to determine precise low risk trade entries
> Defining & Identifying Institutional Stops
> The 4th Reversal Rule
> Market Open Scenarios
> Dow Behaviors
> Decision-Making BEFORE Trading

> Application of Methodology to the Cycledaytrader charts

> Paper Trading
> Live Trading
> Analyzing missed or wrong trades

Another Latina "No Longer Available" ...

2010-06-20T08:49:00.001-04:00

Penelope's L'Oreal billboards in Costa Rica are the best! she has awesome hair!!

Penelope announced she was married in July of 2010. There is also talk that Penelope is "with child", maybe twins. No doubt the baby(ies) will be BEAUTIFUL ! (great genes!).

It can be said that Penelope has fully recovered since dating Tom Cruise, ya think?

Black Swan, Second Edition...MUST reading!

2010-06-05T08:31:00.000-04:00

Here's the link to Amazon.com

The Black Swan, Second Edition

Latina 'Snake Eyes'

2010-05-20T08:06:00.003-04:00

Latina Selma Hayek overreacts to the sight of a snake near her (screams + "somebody do something!")....If ONLY I was there to comfort her she would have felt SO MUCH better... lol!

Too Much Government Debt!

2010-05-16T17:35:00.001-04:00

Double Bottom!

2010-05-07T08:02:00.004-04:00

Retest of lows is in the cards; Bear markets typically exhibit a brief higher high or complete a Head & Shoulders pattern before the long term downtrend starts. The thick blue line shows the clear Double Bottom.

From this day forward, look if the Dow takes out the previous day's low, if it does then look for rapid short covering toward the end of the day; this means that daytraders are playing both sides of the market - otherwise the mechanicals and the daytraders are cherry picking tops throughout the day and avoiding large long positions at daily lows.

What the Hell Happened?

2010-05-07T07:50:00.007-04:00

This clip (click image to view) opens with a clear explanation of the types of computertized trading that moves the NYSE and NASDAQ markets. Then, Rick Santelli explains what/why happened and how yesterday's 1,000 point drop was a result of out of control mechanical trading programs. This interview is also proof that Maria Bartiromo has no idea what she's talking about, lol.

Circuit breakers are needed within the actual computerized programs - the regulators don't need to get involved except to encourage the computerized programs to disclose how each program analyzes the "spread" between bid and ask and when to stop executing when the spread gets too large.

As usual, the solution is simple; hopefully, the Feds will stay out of it and let the private market fix it themselves.

Dow At Decision Point.....?

2010-05-05T07:25:00.005-04:00

MAY 5, 2010: How the Dow treats the 50 day moving average (green line) will tell us the probability of a continued roar upward or if a downtrending trading range is in the cards. If the 50 day moving average fails to support future lows, then a retracement down to 10,719 is the next major support level for a continued Uptrend.

If the 10,719 support is violated by a low daily close, the rally is over. Once this support failure occurs, a significant market retracement (even if a higher high occurs after this support failure) may occur -- let's say in the 4th quarter this year. History is on the side of this analysis.

Watch the 50 day moving average and 10,719.

Salma Hayek - Fulfilling Your Latina Appetite

2010-04-24T11:43:00.000-04:00

Introducing CYCLEDAYTRADER

2010-04-11T15:59:00.007-04:00

Watch the YouTube videos to see how the One Minute Methodology and Dow Behaviors find low trading opportunities. In this and in future videos, notice how accurate the support and resistance levels are (right to the tick!) on the One Minute Methodology chart.

This software has 100% trade entry setups, clear, simple trading rules that give you multiple low risk trade entries per day and easy to follow streaming training that students can access 24/7 where ever they are.

The software leases via quarterly payments (like ULTRA) but at significantly lower cost, since the training requires much less interaction between you and the instructor. A couple PDF's of terms (about 20 terms) are required to be memorized by the student.

CYCLEDAYTRADER leases for $350 per month, paid quarterly, with a mandatory training invoice of $500 for 5 hours. The training includes access to the FTP server which has high quality Windows Media format videos covering 100% buy and 100% sell mechanical setups, market condition illustrations, and Dow Behavior examples.

After the initial quarterly invoice, no further training invoices are required to be paid, so your renewal will be $1050 per quarter via PayPal.

Weekly Training updates will be also on the FTP server in easy to access "WebEx" format. The WebEx software required is minimal and easily downloaded from the FTP Server.

Services Offered

2009-11-08T10:42:00.005-05:00

Request a One on One webinar with MechanicalTrader.com via email. Audio communication via Skype or USA telephone number, webinar via GoToMeeting (no account needed, you will use MechanicalTrader.com's account)

Trade with a known stop loss
Trade with a known profit objective before you enter
Never adjust your stop loss, take the small loss (if there is one) then set up for the next trade entry/reversal
There are Six to Twelve substantial reversal trades per 6.5 hour trading day
Have EXACT trading rules for the four market conditions that occur in the daytrading market. If you know the market condition, you know the trade direction, entry and likely exit
Follow CLEAR video & PDF examples of each of the four market conditions - every time the market condition changes, there is one or more trade entries.
Use the One Minute Methodology chart for precise trade entries (right to the tick!) when a recognized chart formation and Dow Behavior occurs.

CYCLEDAYTRADER is billed via a Monthly Lease and must be paid quarterly in advance.

$350 monthly lease
$1,050 payable Quarterly via PayPal

CHART TRAINING for CYCLEDAYTRADER
in prepaid 5 Hour increments of $500 via PayPal. Free access to FTP Server to download training videos from the Trainer

Clients must have Tradestation installed at their expense before starting training or installation. Client will get a free tour of Tradestation, it's tips, tricks and configuration that is optimal for CYCLEDAYTRADER.

Tradestation New Account Sign Up
Tradestation Subscription $259 per month, no brokerage account needed. Pro Rata billing for
mid-month startup)

Scam Epilogue

2009-07-20T13:08:00.013-04:00

Well, they've tried throwing their best shot; I've given them about 2 months...and their punches have barely touched the threads of my silk shirt (lol). Each of their specifics on the 'scamblog' has been categorically nuked - with no response to my factual rebuttals posted on the 'scamblog'. They remain 'mute' when subscribers document profitable experiences and trades.

What is so hard about taking reponsibility for identifying "positive deviation" (pictured immediately below) for closing short positions or initiating long positions? "Positive Deviation" at two or more Dow Behaviors represent a high probability long entry/exit short position. It occurs time and time again, most every day. Pictured below is a typical 'Positive Deviation' in DayRaider 2.2 with 2 Dow Behaviors TODAY!

What is so hard about taking responsibility for identifying "negative devation" (pictured immediately below) for closing long positions or initiating short positions? "Negative Deviation" at two more Dow Behaviors represent a high probability short entry/exit long position. It occurs time and time again, most every day, LIKE TODAY! Pictured below is a typical 'Negative Deviation' with 2 Dow Behaviors as represented by DayRaider 2.2.

Nuking Every Claim of "Scam"

2009-07-16T22:41:00.005-04:00

Here are three posts from the subscriber that never did any homework...I critiqued his charts which he was so kind to publish...each of his charts shows that he does not understand Kindergarten Trades (so easy a 5th grader could do it!) and he misses easy Dow Behaviors.

Here they are, click on each of the graphics to read my comment below each of his rants;

Millions of Hits / Revenge Is SO Sweet!

2009-07-11T12:34:00.002-04:00

Is This A Scam? (Do Your Homework Ken...)

2009-06-09T07:48:00.000-04:00

Hey, Ken, if you put the time into doing your homework instead of writing a blog ranting about how you feel cheated, you would definitely be ahead of the game. See the email below that I sent February, 2009 notifying Ken he was scamming me.

For a guy that only paid $1,200 for a special deal because he was broke and this was his last chance at making a go at daytrading, Ken received all the materials and homework and streaming videos needed to learn how the Mini Dow is manipulated, how institutional tops are created and retraced and how to follow 2 or 3 trade rules and take "Kindergarten Trades" and make a nice living the rest of your life.

Ken didn't want to accept ANY responsibility for learning anything. What I teach is a METHOD. Like developing good penmanship or riding a bicycle. It takes study and practice.

Once you start doing the homework, that's where the unlimited support comes in. The student can contact me every day for a meeting to go over homework issues and concepts - it usually takes 2 to 3 weeks to go through the training, then you are ready to apply the mechanical concepts to a live chart. It usually takes people YEARS to get this far - you've accomplished this in 2 or 3 weeks. Not bad!

Within 90 days there is no excuse - you should be making a nice 6 figure living. I even provide a free paper trading/charting engine that has the best trading pad in the industry, with brackets, scale in/scale out of multi-contract positions. Unlimited Support is provided - but ya gotta apply what is taught and show me your homework.

The methodology of trading these reversals can be backtested days, weeks, years and is proven correct every day. None of this is hard..but if you're from California (like Ken) and somebody does you a favor by cutting the price in half.... (see paypal transaction below) it really is too much to accept responsibility for learning a technical trading method. Maybe Arnold, Governor of Kalifornia has a special welfare program for you Ken. Hurry on down to the Kalifornia welfare office and fill out a form!

To: Ken Cassorla

From: Stuart Kidney, MechanicalTrader.com

RE: Failure to Perform

Ken Casorla became a DayRaider subscriber on January 15, 2009. To date, subscriber Cassorla has not done required homework as specified in Training Module I, Module II, or Module III. Doing this homework demonstrates proficiency in finding trade reversals realtime and taking the requisite long or short entry in DayRaider.

The One Minute Methodology, Yesterday's Trade and RHS, DT, DB, HS trades shown in Module III (and subsequent training videos) can be replicated real time. The "Kindergarten Trades" are mechanical, which have been documented for the past 3 weeks. The Kindergarten Trade rules are extremely simple and require the subscriber to have successfully completed Module I, Module II homework and understand Module III, all of which has been done by countless subscribers, except you.

I have been consistent with ALL subscribers and have documented EVERYTHING that is specified in the www.MechanicalTrader.com Shopping Cart.

You stated today that you want me to trade with you "realtime". That's not what this subscription is about, nowhwere is that documented that I provide that service. It is about training and providing for you mechanical trading tools and knowledge that should lead you to taking low risk, known profit objective trades a dozen or more times per day. You need to KNOW the information I disseminate, UNDERSTAND what is taught by completing the Module I, and Module II homework. After understanding and replicating trades in the past, you will then acquire the skill to make realtime trading decisions using the the Paper Trading software provided in Module III training.

Unless you know this information I present, realtime trading would be of no value to you anyway, since you don't know and are UNWILLING TO LEARN how and why Institutions reverse positions.

Attached, find documentation showing 3,500 Mini Dow Points of trading profits following the simple Kindergarten Trade Rules and the Dow Behaviors of Price and Time to guide the subscriber as to WHEN to exit their profitable trade for maximum profit.

Ken, you have been TOTALLY UNWILLING to follow any learning path - I have dispensed "diamonds" of knowledge that can used to take many profitable trades in the Mini Dow and the tools you have access to as a subscriber prove it day in and day out. That's why was promised in my website and shopping cart and that is what is clearly delivered.

A realtime trading advisor is not what was sold, not what was represented by me and not what you agreed to. Period.

Stuart D. Kidney

...Just Do It.....

2009-04-17T09:35:00.006-04:00

April 17th 2009 testimonial post at T2W quoted below (as displayed above - editor has added paragraph breaks to ease eyestrain):
Day Raider Review

I thought I would write a review as I feel it is warranted to make known how good this method is. I said method not SYSTEM. As a fulltime trader, I am continually looking to improve my trading arsenal with new methods and markets and I have been drawn recently to futures from US Stocks because:

Focusing on one instrument day in day out is less complicated and more productive. I’d rather be a master of one than a jack of all trades.
Each individual stock has it's own characteristics of price movement and it's character can change from day to day, making it either a good or bad choice to trade at any given time.
Market liquidity. Futures are always liquid enough. Market orders are instant. No strange fills or jumps in price.
Share size allocation easier
Spreads remain constant and are not jumping about
No risk of random company news
Less stressful – finding and juggling stocks, analysing the futures, analysing sectors
No market maker games
No routing decisions
Taxes less complicated

The list goes on…..

My due diligence of mentors led me to a shortlist of three top futures traders/trainers. Stuart came out on tops after an initial chat as the other 2 S&P traders focussed more on scalping the order book with big size. This did not appeal to me, but Stuart’s method of catching every reversal and staying in the trend for 90% suited me.

Stuart knows the Dow like the back of his hand after 12years watching and trading the same market day in day out. Potential students must be serious about trading and earning v.good money as Stuart does not want time wasters. The most important part of Stuart is his teaching and his passion of how good the method is, he literally has it cracked! What he describes is, in my eyes, complex and extremely technical but he makes sure you don't move onto the next part until it is fully understood.

You do have to do your homework and start thinking for yourself and not just having it handed to you on a plate. Some people would disagree with this, but in my experience, a lazy trader who cant think for themselves or take the initiative and back test the theory, will IMO not be successful. It does take 3-4 weeks to memorize and back test the theory.

Stuarts method starts at the ground roots, how to read a chart, even this opened my eyes, then you learn about the reversals specific to the Dow. Then you learn about institutional mechanical systems and 5 day money flow and where they take positions to hold overnight. Yes you can even trade with the institutions overnight. Then you learn to identify every reversal that happens, you can describe a whole days worth of trading and explain why it reversed. Lastly there are behaviors that are only exhibited by the Dow. After you’ve worked out if the mechanicals are long or short, you wait for your reversal rule, which has to coincide with 2+ Dow behaviors, then you learn about how to take low risk entries in Dayraider.

Dayraider has proprietary indicators that graphically display optimum entry and exit points. It is not a signal system, be careful here, it is a methodology that still requires some discretion and judgment. The learning materials are awesome, there are many streaming videos and you have unlimited support for a whole year, none of this 1-2 months support that some mentors offer, you can just skype Stuart whenever which is really handy.

I used to believe that the indices had no movement, well if you catch every reversal which I am 70% there, then you got yourself, 10-18 low risk reversals ranging from 30-200 points each. Yesterday we had a 100 point downtrend, with 2 20-30 point pullbacks, then a 100 point uptrend with 3 20-30 point pullbacks. By my calculations that’s 350 points average. Already this week, 3 days, I have made 800+ points.

Regards
Lee

Testimonials From Subscribers

2009-01-07T20:08:00.004-05:00

(click image above to enlarge)

Richard M. netted 100 MiniDow points ($5 per point) in one trade early in the morning...There were 5 more hours left to trade BTW....

Ferrari vs Dodge Hemi Challenger

2008-12-27T18:54:00.005-05:00

PLUG IN the surround sound speakers, crank up the bass...160 mph in a heartbeat...Dodge Challenger gets on the tail of Ferrari @ 2:30 - doors blown off Ferrari @ 5:50...listen to that HEMI ..American Ingeniuty crushes Italian Finesse!

500+ Horsepower - Not Your Typical Subaru

2008-11-25T19:13:00.004-05:00

...did he burn up 4 sets of tires in 4 minutes?...I THINK so! More Videos of Ken Block racing

Contact Us

2008-05-22T13:02:00.000-04:00

For Further Info Contact:

mechanicaltrader@gmail.com