We use three models (Aggressive Model, Moderate Model, and Conservative Model), each designed based on the frequency of trades and tolerance of risk. The model you select should reflect the amount of risk you are comfortable with and how often you would like to trade. We strongly encourage members not to switch between models. Choose one that fits your style of investing.
Our service is purely mechanical with no interpretation of charts. Our methodology uses proprietary algorithms and gathers statistical and time-sensitive information from trading activity to forecast the price direction of QQQ.
The Aggressive Model produces the most signals (+20 signals per year) and has the highest returns (+25% per year). This model is designed for an Aggressive style investor who is comforable with placing about 3 trades a month. This style of trading values maximizing returns, and is willing to accept more risk and endure volatility. Gains will normally be more substantial than losses when the market is trending. The average trading period gain is +2.7%. The average trading period loss is -0.8%.
The Moderate Model produces a low to moderate amount of signals (approx. 7 signals per year) with a very decent return (+18% per year). This model is designed for a Moderate to Moderate Growth style investor who values long-term returns equally proportional to risk. This investor is comfortable with moderate-term fluctuations in exchange for seeking long-term appreciation. Like the aggressive model, gains will normally be substantial when the market is trending.
The Conservative Model produces the least amount of signals (approx. 2 signals per year) with the lowest return of our 3 models (+13% per year). Though, the model still outperformed the buy-and-hold strategy of +11% per year. A Conservative investor values protecting principal and is comfortable accepting lower returns and/or stability, while seeking to minimize risk.
Refer to our Statistics page for more information and detail.