In-Depth Performance Analysis of GATS Trading Strategy #4 for EURCAD as of April 22, 2023
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In-Depth Performance Analysis of GATS Trading Strategy #4 for EURCAD as of April 22, 2023

Title: In-Depth Performance Analysis of GATS Trading Strategy #4 for EURCAD as of April 22, 2023

Subtitle: A Comprehensive Review for Global Intra-Day Traders, Global Swing Traders, and Global Position Traders

Introduction

The Global Algorithmic Trading Software (GATS) has become an indispensable tool for traders worldwide. This article provides a detailed analysis of the performance of GATS Trading Strategy #4 for the EURCAD currency pair as of April 22, 2023. This review is tailored for a special group of Global Intra-Day Traders, Global Swing Traders, and Global Position Traders at the Global Financial Engineering and Global Accountancy Institute. In addition, we will discuss valuable insights from Dr. Glen Brown, the President & CEO of Global Financial Engineering and Global Accountancy Institute.

Understanding EURCAD in the Forex Market

The EURCAD currency pair represents the exchange rate between the Euro (EUR) and the Canadian Dollar (CAD). This pair is commonly traded in the forex market as a means of gaining exposure to the European and Canadian economies. The Euro, as the official currency of the European Union, is the second most traded currency globally, while the Canadian Dollar, being a commodity currency, is sensitive to fluctuations in oil prices. Consequently, the EURCAD pair’s movements can be influenced by various economic, political, and environmental factors in both regions.

Trading Timeframe and Risk Management

For Trading Strategy #4, the trading timeframe is M30. Traders are risking 0.04% of free equity with an adaptive trailing stop loss of 18 times the Average True Range (ATR) using a period of 200. The position size is calculated automatically by GATS using this data.

Deeper Trend Analysis and Trade Entry

Our proprietary trading system’s in-depth trend analysis for EURCAD reveals the following:

  • The Primary Trend (PT), given by the Global Monthly TIME BAR (GMTB), is currently Bullish. This indicates a long-term uptrend in the EURCAD pair, suggesting a potential increase of the Euro against the Canadian Dollar.
  • The Secondary Trend (ST), given by the Global Weekly TIME BAR (GWTB), is currently Bullish. This suggests a temporary reversal of the long-term downtrend, providing traders with short-term buying opportunities.
  • The Medium Term Trend (MTT), given by the Global Daily TIME BAR (GDTB), is currently Bullish. This further confirms the secondary trend’s strength, providing additional support for a bullish trade.
  • The Short Term Trend (STT), given by the Global Four Hour TIME BAR (GFHTB), is currently Bullish. This short-term trend alignment with the medium and secondary trends strengthens the case for entering a bullish trade.

Given the comprehensive trend analysis, a bullish trade for EURCAD has been entered using Global Trading Strategy #4 on the Global Automated Trading Software (GATS).

Trade Details and Management Strategy

The Global Entry Signal for EURCAD was to buy 18.61 lots at 1.47876. As of April 22, 2023, the current Global Trailing Stop Loss for EURCAD is 1.48233, with a Global Target Profit set at 1.49523. The current price for EURCAD is 1.48779, translating to an unrealized profit of $12,411.7.

For trade management, we applied the Global Adaptive Trailing Stop System for Global Trading Strategy #4, combined with a normal trailing stop of 60 pips.

Expert Insights from Dr. Glen Brown

Dr. Glen Brown, President & CEO of Global Financial Engineering and Global Accountancy Institute, emphasizes the importance of adapting to market trends and utilizing algorithmic trading software. He states, “GATS has revolutionized

the trading landscape by allowing traders to react quickly to market changes and identify optimal entry and exit points. By embracing cutting-edge technology and risk management strategies, our traders can consistently achieve profitable results.”

Conclusion

The performance of GATS Trading Strategy #4 for EURCAD as of April 22, 2023, showcases the effectiveness of algorithmic trading and the significance of adapting to market trends. By using sophisticated software and advanced risk management strategies, traders can maximize their profits and minimize potential losses.

The comprehensive trend analysis indicates that the bullish trade for EURCAD is well-supported by the alignment of the short, medium, and secondary trends. This provides traders with a strong foundation for entering a profitable trade, as demonstrated by the current unrealized profit of $12,411.7.

In the ever-changing forex market, it is crucial for traders to stay informed about economic, political, and environmental factors that may impact currency pairs such as EURCAD. By doing so, they can better anticipate market movements and make informed trading decisions.

Disclaimer: The analysis in this material is provided for information only and is not and should not be construed as an offer to sell or the solicitation of an offer to buy any security. To the extent that this material discusses general market activity, industry or sector trends, or other broad-based economic or political conditions, it should not be construed as research or investment advice. To the extent that it includes references to specific securities, commodities, currencies, or other instruments, those references do not constitute a recommendation by Global Financial Engineering, Inc. to buy, sell, or hold such investments. This material does not and is not intended to take into account the particular financial conditions, investment objectives, or requirements of individual customers. Before acting on this material, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.

The New Era of Trading: How Global Accountancy Institute and Global Financial Engineering Revolutionize the World of Finance, Investment, and Technology
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The New Era of Trading: How Global Accountancy Institute and Global Financial Engineering Revolutionize the World of Finance, Investment, and Technology

Introduction

As we enter a new era of financial innovation, the Global Accountancy Institute and Global Financial Engineering (GAI & GFE) are leading the charge to transform the world of accountancy, finance, investments, trading, and technology. By developing a global multi-asset class professional proprietary trading firm powered by Global Algorithmic Trading Software (GATS), they aim to revolutionize the industry for a special group of Global Intra-Day Traders, Global Swing Traders, and Global Position Traders. Dr. Glen Brown, the President and CEO of GAI & GFE, has been instrumental in guiding these changes and advocating for a more integrated and technologically advanced trading landscape.

Bridging the Gap: Accountancy, Finance, Investments, Trading, and Technology

Under Dr. Brown’s leadership, GAI & GFE have been successful in creating a unique ecosystem that merges the worlds of accountancy, finance, investments, trading, and technology. This collaborative environment is designed to provide traders with cutting-edge tools and resources that enable them to excel in a rapidly changing global market.

Dr. Brown emphasizes the importance of this integration: “By bridging the gap between these critical areas, we are empowering traders to make informed decisions, manage risk effectively, and ultimately, maximize their returns in the global marketplace.”

The Power of GATS: Unlocking the Potential of Algorithmic Trading

The core component of GAI & GFE’s revolutionary approach to trading is the Global Algorithmic Trading Software (GATS). This advanced platform leverages machine learning, artificial intelligence, and big data analytics to streamline the trading process, allowing traders to make more informed decisions and execute trades with greater speed and accuracy.

Dr. Brown elaborates on the value of GATS: “Our cutting-edge Global Algorithmic Trading Software enables traders to harness the full potential of technology, taking their trading strategies to new heights. GATS not only improves efficiency, but also provides traders with valuable insights and analysis that can significantly impact their trading performance.”

Creating a New Breed of Global Multi-Asset Class Traders

The combined expertise of GAI & GFE has fostered the development of a new breed of traders, skilled in navigating the complexities of multiple asset classes. These Global Intra-Day Traders, Global Swing Traders, and Global Position Traders are equipped to handle the challenges of an increasingly interconnected and dynamic financial landscape.

As Dr. Brown states, “Our goal is to develop well-rounded traders who can adapt to shifting market conditions, capitalize on emerging opportunities, and thrive in the world of multi-asset class trading.”

Conclusion

The collaboration between the Global Accountancy Institute and Global Financial Engineering has proven to be a game-changer in the world of finance, investments, trading, and technology. Their innovative approach, led by Dr. Glen Brown, has successfully bridged the gap between these disciplines, creating an ecosystem in which traders can excel. With the help of GATS and a focus on multi-asset class trading, GAI & GFE are ushering in a new era of financial innovation that will undoubtedly shape the future of trading.

Position Sizing: The Key to Consistent Trading Success
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Position Sizing: The Key to Consistent Trading Success

Introduction

Position sizing, a crucial aspect of trading strategy, is often overlooked by novice and experienced traders alike. It is the process of determining the number of shares or contracts to trade, taking into account your account size, risk tolerance, and trade setup. In this article, we delve into the importance of position sizing and explore insights from Dr. Glen Brown, a renowned expert in trading psychology and risk management.

The Importance of Position Sizing

  1. Risk management: “Position sizing is the cornerstone of successful risk management,” says Dr. Glen Brown. By controlling the size of your trades, you can manage potential losses and prevent devastating drawdowns in your trading account. By employing proper position sizing techniques, you can preserve your trading capital and stay in the game longer.
  2. Consistency: Dr. Brown emphasizes the importance of consistency in trading, stating, “Consistent position sizing is essential for consistent results.” This is particularly true for traders who follow a systematic approach. By maintaining a consistent position size, you can better evaluate your trading system’s performance and make necessary adjustments.
  3. Emotional stability: Trading can be an emotional rollercoaster, and proper position sizing helps to maintain emotional equilibrium. “When traders use appropriate position sizing, they’re less likely to experience emotional extremes,” explains Dr. Brown. By keeping your trade sizes in check, you can avoid the emotional pitfalls of overconfidence or fear, which can negatively impact your decision-making.
  4. Longevity: Position sizing contributes to trading longevity by reducing the likelihood of significant losses that can lead to account depletion. Dr. Brown cautions, “Ignoring position sizing increases the chances of encountering the dreaded ‘death spiral,’ where one large loss leads to a series of even larger losses, eventually wiping out a trading account.”

Position Sizing Techniques

  1. Fixed dollar amount: Dr. Brown suggests that one way to approach position sizing is to set a fixed dollar amount per trade. This approach is simple and easy to implement, but may not be the most suitable for all traders, as it doesn’t consider the specific risks associated with each trade.
  2. Percent of account: Another method is to risk a fixed percentage of your trading account on each trade. Dr. Brown states, “This method ensures that as your account grows, so does your position size, while a decrease in your account size will lead to smaller position sizes, keeping risk in check.”
  3. Volatility-based sizing: This technique involves adjusting position size based on the volatility of the asset being traded. Dr. Brown notes, “By factoring in volatility, traders can better account for the inherent risks associated with each trade.”

Conclusion

Position sizing is a critical aspect of trading success that should not be underestimated. As Dr. Glen Brown emphasizes, it helps traders manage risk, achieve consistency, maintain emotional stability, and promote longevity in the markets. By employing a suitable position sizing technique, you can better safeguard your trading capital and enhance your chances of long-term success.

The Power of Accepting Total Responsibility: The Trader's Path to Success
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The Power of Accepting Total Responsibility: The Trader’s Path to Success

Introduction

In the fast-paced world of trading, it is crucial for every trader to understand the importance of taking responsibility for their actions. The pressure to make quick decisions, along with the volatility of the market, can sometimes lead to unfavorable outcomes. However, it is only by acknowledging and learning from these experiences that a trader can progress and succeed in the long run. As Dr. Glen Brown, an esteemed Financial Engineer and trading expert, once said, “Taking total responsibility for your actions is the key to unlocking your true potential in trading.”

The Importance of Taking Responsibility

Dr. Glen Brown’s words underscore the significance of accepting responsibility for one’s actions, especially in the field of trading. By doing so, a trader can:

  1. Develop a strong sense of accountability: When traders take complete responsibility for their actions, they cultivate a mindset of accountability. This, in turn, helps them make well-informed decisions and exercise better risk management strategies.
  2. Learn from mistakes: Trading mistakes are inevitable. However, acknowledging these errors and understanding the reasons behind them can help traders make better decisions in the future. As Dr. Brown aptly puts it, “Mistakes are not failures; they are valuable lessons that pave the way for growth.”
  3. Gain confidence: Accepting responsibility for one’s actions allows traders to develop a sense of self-reliance, which is essential for making decisions in the face of uncertainty. This self-assurance can lead to more confident and effective trading practices.
  4. Cultivate emotional resilience: Emotional resilience is crucial in trading, as it allows traders to maintain composure and mental clarity during turbulent market conditions. Accepting total responsibility helps traders develop this resilience by encouraging them to take control of their emotions and remain focused on their goals.

Dr. Brown’s Insights on Responsibility

Dr. Glen Brown has long emphasized the power of taking responsibility in trading, offering insights on how traders can harness this principle to achieve success. Some of his most notable quotes include:

  1. “The more you embrace responsibility, the more control you have over your trading journey. It’s not about blaming external factors, but about understanding how your decisions shape your outcomes.”
  2. “Responsibility is the foundation of self-improvement in trading. You cannot progress without first acknowledging your role in both your successes and setbacks.”
  3. “When you accept total responsibility for your actions, you empower yourself to become the master of your own trading destiny.”

Conclusion

In the world of trading, accepting total responsibility for one’s actions is vital for growth, success, and personal development. By acknowledging their role in every decision and outcome, traders can foster a sense of accountability, learn from their mistakes, and build emotional resilience. By heeding Dr. Glen Brown’s wisdom, traders can unlock their true potential and achieve the success they strive for in the ever-evolving financial markets.

Proprietary Trading: The Engine of Financial Innovation
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Proprietary Trading: The Engine of Financial Innovation

Introduction

Proprietary trading, a critical aspect of financial markets, often drives innovation and growth. Financial institutions engage in proprietary trading to capitalize on market inefficiencies and generate profits. In this article, we will explore the concept of proprietary trading, its benefits, and the role it plays in the global financial landscape. We will also incorporate insights from Dr. Glen Brown, President & CEO of Global Financial Engineering and Global Accountancy Institute, to understand the importance of this trading strategy.

Defining Proprietary Trading

Proprietary trading, often referred to as “prop trading,” involves a financial institution trading stocks, bonds, currencies, commodities, or other financial instruments with its own funds, rather than on behalf of its clients. The goal of proprietary trading is to generate direct profits for the institution through speculative activities, while managing risk effectively.

Dr. Glen Brown explains, “Proprietary trading is the backbone of financial innovation. It drives competition and fosters advancements in trading strategies and technologies. It allows financial institutions to capitalize on their expertise and generate substantial returns.”

Benefits of Proprietary Trading

  1. Profit Potential: Proprietary trading can lead to substantial profits for financial institutions. Dr. Brown states, “The profit potential in proprietary trading is immense, as institutions can leverage their knowledge, skills, and proprietary technology to capture market opportunities.”
  2. Risk Diversification: Engaging in proprietary trading allows financial institutions to diversify their risk exposure. Dr. Brown points out, “Proprietary trading activities can act as a natural hedge against the risks associated with client-based activities, improving the overall stability of the institution.”
  3. Innovation and Technology: Proprietary trading drives the development of advanced trading technologies and strategies. According to Dr. Brown, “Competition in the proprietary trading space encourages firms to develop cutting-edge technology and innovative trading strategies, which ultimately benefit the entire market.”

Challenges in Proprietary Trading

Despite the benefits, proprietary trading also poses certain challenges. Dr. Glen Brown highlights the primary concerns:

  1. Regulatory Scrutiny: “Regulatory authorities have increased their focus on proprietary trading activities, primarily due to concerns about systemic risk and potential conflicts of interest. It’s crucial for financial institutions to navigate this regulatory landscape carefully.”
  2. Risk Management: “Effective risk management is a cornerstone of successful proprietary trading. Firms must strike a balance between maximizing profits and minimizing risk exposure.”
  3. Ethical Considerations: “Proprietary trading can sometimes lead to conflicts of interest between a firm’s proprietary trading desk and its client-focused operations. Institutions must ensure that ethical standards are maintained to protect clients and the integrity of the financial markets.”

Conclusion

Proprietary trading is a vital component of the financial landscape, driving innovation and providing opportunities for financial institutions to generate significant profits. As Dr. Glen Brown emphasizes, “Proprietary trading is a powerful force in the financial industry, shaping market dynamics and fostering the development of new trading strategies and technologies. It’s essential for institutions to navigate the regulatory environment, manage risk effectively, and maintain high ethical standards to harness the full potential of proprietary trading.”

Financial Engineering: The Science of Engineering Financial Success
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Financial Engineering: The Science of Engineering Financial Success

Introduction

Financial engineering, a multidisciplinary field combining finance, mathematics, and computer science, has experienced exponential growth in recent years. With the rapid development of technology, financial engineering has become an indispensable tool in the world of finance, enabling market participants to optimize their portfolios, manage risks, and design innovative financial products. Dr. Glen Brown, the President & CEO of Global Financial Engineering and Global Accountancy Institute, is an authority in the field. He has graciously shared his insights on the significance and the future of financial engineering.

Financial Engineering: An Overview

At its core, financial engineering applies mathematical and computational methods to solve complex financial problems. Dr. Brown emphasizes the importance of the field, stating, “Financial engineering is the backbone of modern finance. It enables us to design innovative financial products and create more efficient markets.” The field’s primary focus is on the creation of financial instruments, risk management, and portfolio optimization.

Creating Financial Instruments

Financial engineers are responsible for designing and creating new financial instruments. These instruments may include derivatives, structured products, and other complex securities. “The development of new financial instruments is essential for the growth and stability of financial markets. Financial engineers play a crucial role in this process, creating products that cater to the needs of various market participants,” Dr. Brown explains.

Risk Management

One of the most critical aspects of financial engineering is risk management. Financial engineers develop and implement strategies to identify, measure, and manage financial risks. Dr. Brown emphasizes the importance of this aspect, stating, “In an increasingly uncertain world, effective risk management is more important than ever. Financial engineering provides us with the tools and techniques to navigate these uncertainties and make more informed decisions.”

Portfolio Optimization

Financial engineers employ advanced mathematical models and algorithms to optimize investment portfolios. Dr. Brown elaborates, “Portfolio optimization is an essential component of financial engineering. It allows investors to achieve the best possible return on their investments while minimizing risks.”

The Future of Financial Engineering

As the world of finance continues to evolve, financial engineering’s role will only grow in importance. Dr. Brown envisions an exciting future for the field, stating, “Financial engineering will continue to drive innovation in finance, creating new opportunities for growth and diversification. As technology advances, financial engineers will develop increasingly sophisticated models and tools to help market participants make better decisions.”

Conclusion

Financial engineering has become an integral part of the modern financial landscape. By designing innovative financial instruments, managing risks, and optimizing portfolios, financial engineers contribute to the growth and stability of financial markets. As Dr. Glen Brown asserts, financial engineering will continue to be a driving force in the world of finance, helping individuals and institutions navigate the complexities of the financial markets and achieve their financial goals.

Global financial markets
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Overview of global financial markets

These markets consist of various interconnected financial systems where individuals, businesses such as Global Financial Engineering, and governments can buy and sell financial assets, such as stocks, bonds, and currencies. They play a crucial role in the global economy, allowing for the efficient allocation of resources and risk management. Here are some key components of global financial markets:

  1. Stock Markets: These are markets where shares of publicly traded companies are bought and sold. Stock markets allow companies to raise capital by issuing shares and provide a platform for investors to trade these shares. Examples of major stock exchanges include the New York Stock Exchange (NYSE), the NASDAQ, the London Stock Exchange (LSE), and the Tokyo Stock Exchange (TSE).
  2. Bond Markets: Bonds are debt securities issued by governments or corporations to raise capital. Investors lend money to the issuer in exchange for periodic interest payments and the repayment of the principal amount at maturity. The bond market is divided into two segments: the primary market, where new bonds are issued, and the secondary market, where existing bonds are traded. Some of the largest bond markets are the U.S. Treasury market, the European government bond market, and the corporate bond market.
  3. Foreign Exchange (Forex) Market: The forex market is where currencies are traded. It’s the largest and most liquid financial market in the world, with a daily trading volume of over $6 trillion. Participants in the forex market include banks, corporations, institutional investors, and individual traders. The market operates 24 hours a day, 5 days a week, and is decentralized, meaning transactions occur directly between participants without the need for a centralized exchange.
  4. Commodity Markets: These markets involve the trading of raw materials, such as oil, gold, agricultural products, and metals. Commodity trading can be conducted through spot markets, where commodities are traded for immediate delivery, or through futures markets, where contracts are made for the future delivery of a commodity at a specified price.
  5. Derivative Markets: Derivatives are financial instruments whose value is derived from an underlying asset, such as stocks, bonds, or commodities. Derivatives can be used for various purposes, including hedging, speculation, and arbitrage. Common types of derivatives include options, futures, and swaps. Major derivative exchanges include the Chicago Mercantile Exchange (CME), the Intercontinental Exchange (ICE), and Eurex.
  6. Money Markets: These are short-term debt markets where financial instruments with high liquidity and short maturities are traded. Participants in the money market include banks, financial institutions, and governments. Common money market instruments include treasury bills, commercial paper, and repurchase agreements.
  7. Private Equity and Venture Capital: These are sources of financing for private companies or startups, generally in exchange for an ownership stake. Private equity firms invest in more mature companies, while venture capital firms focus on early-stage startups with high growth potential.

Global financial markets are interconnected, and events in one market can often have ripple effects on others. Investors and policymakers monitor these markets closely to identify trends, assess risks, and make informed decisions.

Cost-push inflation occurs when the overall price level increases due to higher production costs, such as increased costs of raw materials or labor. An increase in interest rates can contribute to cost-push inflation under certain conditions.
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What are the conditions for an increase in Interest rate to cause cost push inflation

Cost-push inflation occurs when the overall price level increases due to higher production costs, such as increased costs of raw materials or labor. An increase in interest rates can contribute to cost-push inflation under certain conditions. Here are some of the conditions that might lead to cost-push inflation caused by an increase in interest rates:

  1. Higher borrowing costs: When central banks raise interest rates, borrowing money becomes more expensive for businesses. This higher cost of borrowing can lead to increased production costs, as companies may need to take on more expensive loans to finance their operations or invest in new projects. In turn, businesses may pass these increased costs onto consumers, resulting in cost-push inflation.
  2. Increased debt servicing costs: Higher interest rates can also lead to increased debt servicing costs for companies that have already taken on debt. As their interest expenses rise, they may need to raise prices to maintain profitability, which can contribute to cost-push inflation.
  3. Currency appreciation: An increase in interest rates can lead to currency appreciation, as higher rates can attract foreign investment. This can make imports cheaper and exports more expensive, potentially leading to a decline in domestic production. If the decline in domestic production is significant enough, it can result in supply-side constraints, causing prices to rise and contributing to cost-push inflation.
  4. Input costs: If businesses rely heavily on credit to finance the purchase of raw materials or other inputs, an increase in interest rates can lead to higher input costs. As businesses pass these increased costs on to consumers, cost-push inflation may result.

It’s important to note that the relationship between interest rates and cost-push inflation is complex, and the impact of higher interest rates on inflation can vary depending on various factors, such as the overall economic environment, fiscal policy, and the structure of the economy.

What are the consequences of a continuous rise in interest rate

A continuous rise in interest rates can have several consequences on the economy, businesses, and consumers. Here are some of the potential effects:

  1. Slower economic growth: Higher interest rates can lead to a decrease in consumer spending and business investment, as borrowing becomes more expensive. This can result in slower economic growth or even a recession in some cases.
  2. Tighter credit conditions: As interest rates rise, banks may become more cautious in their lending practices, leading to tighter credit conditions. This can make it more difficult for individuals and businesses to obtain loans, further slowing down economic activity.
  3. Increased debt burden: Higher interest rates can lead to an increased debt burden for both consumers and businesses, as the cost of servicing existing debt increases. This can lead to financial strain and may result in higher default rates.
  4. Lower asset prices: Rising interest rates can put downward pressure on asset prices, such as stocks, bonds, and real estate. This is because higher interest rates can decrease the present value of future cash flows, making these assets less attractive to investors.
  5. Currency appreciation: As mentioned earlier, an increase in interest rates can attract foreign capital, leading to an appreciation of the domestic currency. While this can have some benefits, such as making imports cheaper, it can also hurt export-oriented industries, as their products become more expensive for foreign consumers.
  6. Income redistribution: Higher interest rates can lead to a redistribution of income from borrowers to savers. Borrowers face higher interest costs, while savers earn more interest on their deposits. This can exacerbate income inequality if the distribution of debt and savings is uneven across the population.
  7. Potential inflationary effects: While higher interest rates are often used as a tool to combat inflation, they can also contribute to cost-push inflation, as explained in the previous answer.

It’s important to note that the effects of a continuous rise in interest rates can depend on various factors, such as the overall economic environment, the pace of the increase, and the starting level of interest rates. Central banks typically adjust interest rates to strike a balance between promoting economic growth and maintaining price stability, so they closely monitor the potential consequences of their actions.

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Global Financial Engineering Weekly Commentary for Gold Futures by Dr. Glen Brown

Gold futures are standardized, exchange-traded contracts in which the contract buyer agrees to take delivery, from the seller, a specific quantity of gold at a predetermined price on future delivery date. Gold futures give companies involved in the precious metals industry a way to hedge their gold price risk on an expected future purchase or sale of gold. They also allow investors to participate in an easy and convenient alternative to traditional means of investing in gold. Gold can be considered the ultimate store of value. Buying gold futures contracts as an anti-inflation hedge may be their primary use. The liquidity of the gold futures contract often makes it easier to take advantage of opportunities in nearly all market conditions. (Source: https://www.schwab.com/futures/gold)

At Global Financial Engineering, Inc. we believe that each trade should have a name. Hence within our trading models, we have four (4) types of trades that we execute daily.

These are:

  • Global Micro-Trend Trades
  • Global Short-Term Trend Trades
  • Global Medium-Term Trend Trades
  • Global Long-Term Trend Trades.

The Global Micro-Trend Trades are executed by our Proprietary Global Algorithmic Trading Software (GATS) using Sub-Systems: GATS1, GATS5, GATS15, and GATS30.

The Global Short-Term Trend Trades are executed by our Proprietary Global Algorithmic Trading Software (GATS) using Sub-System: GATS60.

The Global Medium-Term Trend Trades are executed by our Proprietary Global Algorithmic Trading Software (GATS) using Sub-System: GATS240.

The Global Long-Term Trend Trades are executed by our Proprietary Global Algorithmic Trading Software(GATS) using Sub-Systems: GATS1440, GATS10080 and GATS43200.

Our Global Algorithmic Trading Software (GATS240) on January 21, 2023, indicates the following for Gold Futures

These are:

  • Gold Futures Long Term Trend (LTT): Bullish
  • Gold Futures Medium Term Trend (MTT): Bullish
  • Gold Futures Short Term Trend (STT): Bullish
  • Gold Futures Micro Trend (MT): Bullish

The bullish micro trend was able to able to found support at Global Support 25, Global Support 50 and Global Support 89 on GATS240. However, further analysis reveals a bullish market structure on GATS240. Our preference is to maintain a bullish bias on Gold Futures within the short term and execute a Bullish Short Term trades.

Potential Trade Entry:

  • Global Buy Entry Signal for Gold Futures: 1931.00
  • Global Trailing Stop Distance for Gold Futures: 1931.00 – (9 x 8.9536) =80.5824
  • Global Target Profit for Gold Futures: 1931.00 + (3 x 9 x 8.9536) = 2172.7472
  • Current Price for Gold Futures: 1926.63

It is important to monitor price action when price reaches $2000 and act upon any 58 Reversal Signals.

We are considering the high of $2075.21 on August 02, 2020, and $2070.40 on March 06,2022 to be a major resistance zone.

For many years traders and investors use gold as an inflation hedge. However the aggressive interest rate hikes by central bankers around the world is having a negative effect on gold price.

RISK WARNING!

There is a substantial risk of loss in futures and Forex trading. Online trading of stocks and options is extremely risky. Assume you will lose money. Don’t trade with money you cannot afford to lose.

The analysis in this material is provided for information only and is not and should not be construed as an offer to sell or the solicitation of an offer to buy any security. To the extent that this material discusses general market activity, industry or sector trends, or other broad-based economic or political conditions, it should not be construed as research or investment advice. To the extent that it includes references to specific securities, commodities, currencies, or other instruments, those references do not constitute a recommendation by Global Accountancy Institute, Inc. or Global Financial Engineering, Inc. to buy, sell or hold such investments. This material does not and is not intended to take into account the particular financial conditions, investment objectives, or requirements of individual customers. Before acting on this material, you should consider whether it is suitable for your particular circumstances

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 Global Hybrid Forex Trading Strategy(GHFTS) executed on the Global Algorithmic Trading Software(GATS)-System#0-#8

The Global Hybrid Forex Trading Strategy(GHFTS) is a trend following strategy that was developed by Dr. Glen Brown. The strategy is executed on the  Global Algorithmic Trading Software(GATS) using its nine(9) sub-systems from the Based system to system #8. 

Global Hybrid Forex Trading Strategy  trade in the direction of the Micro, Short, Medium, and Long Term trends using Global Algorithmic Trading Systems(GATS)#0, #1, #2, #3, #4, #5, 6, #7, and #8.
This account is for research purposes and hence should not be deemed as investment advice.

Global Algorithmic Trading is a method of executing orders using automated pre-programmed trading instructions accounting for variables such as time, price, and volume. This type of trading attempts to leverage the speed and computational resources of computers relative to human traders.

Global Algorithmic Trading Software(GATS)-System #0 to System #8 uses computer codes and chart analysis to enter and exit trades according to to set parameters such as price movements or volatility levels. Once the current market conditions match any predetermined criteria within the software, the trading algorithms will execute a buy or sell order on our behalf.

Global Algorithmic Trading Software(GATS)-System #0 to System #8 runs on MetaTrader 4, the most popular trading platform in the world. MetaTrader 4 is an advanced trading platform that gives you access to a range of tools and features to help you carry out analysis and customize your trading experience.

Main Features of the Global Algorithmic Trading Software(GATS)

**Global Algorithmic Trading Software(GATS)-System #0 to #8 is used to execute our trading decisions in over 60 countries worldwide
**Global Algorithmic Trading Software(GATS)-Systems #0 to #8 can be used for Equities, Futures, Commodities, Options, Bonds, Currencies, and mutual funds
**Volatility Based Risk Management System
**Volatility-Based Position Sizing Management System

In this research, we will combine all nine(9) subsystems and apply the strategy to 7 major forex currency pairs. Majors are generally the most popular type of currency pair to trade.

The most traded forex pairs at Global Financial Engineering and Global Accountancy Institute.

*EUR/USD (euro/US dollar)
*GBP/USD (British pound/US dollar)
*USD/JPY (US dollar/Japanese yen)
*USD/CHF (US dollar/Swiss franc)
*USD/CAD (US dollar/Canadian dollar)
*AUD/USD (Australian dollar/US dollar)
*NZD/USD (New Zealand Dollar/US dollar)

Let us track our trades for the Global Hybrid Forex Trading Strategy(GHFTS) and analyze them in order to create a  successful transition and operational excellence using the above currency pairs.

As at December 21, 2022, We have decided to use a Hard Stop Loss and an initial trailing stop given by one to 8 times the Daily Average True range(DATR) with a risk of 0.1 % to 0.8% per trade. We will also activate a normal trailing stop given by 12.5% of the initial risk. Our profit target is three times the initial risk.

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Trading Risk Disclaimer

Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

Futures trading involves the potential for a substantial risk of loss as well as substantial gains and is not suitable for every investor. The highly leveraged nature of futures trading means that small market movements will have a great impact on your trading account and this can work against you, leading to large losses, or can work for you, leading to large gains. If the market moves against you, you may sustain a total loss greater than the amount you deposited into your account.

You are responsible for all the risks and financial resources you use and for the chosen trading system. You should not engage in trading unless you fully understand the nature of the transactions you are entering into and the extent of your exposure to loss. If you do not fully understand these risks you must seek independent advice from your financial advisor. All trading strategies are used at your own risk. It is your responsibility to confirm and decide which trades to make. Trade only with risk capital; that is, trade with money that, if lost, will not adversely impact your lifestyle and your ability to meet your financial obligations.

U.S. Government Required Disclaimer – Commodity Futures Trading Commission. Futures and options trading has large potential rewards, but also large potential risks. You must be aware of the risks and be willing to accept them in order to invest in the futures and options markets. Don’t trade with money you can’t afford to lose. This is neither a solicitation nor an offer to Buy/Sell futures. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this website. The past performance of any trading system or methodology is not necessarily indicative of future results.

CFTC RULE 4.41 – HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT 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 PROFIT OR LOSSES SIMILAR TO THOSE SHOWN

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