It’s business as usual in the markets, so too here at . There’s not a huge amount to cover this month so lets get to it.

NMi’s latest EA system update

Well the system is still firing on our forward testing demo account, and we’re seeing positive results at least on the 4 x major pairs. The major hurdle is slippage though and I feel that we need to explore alternative brokerage options to determine just how much difference there is, as I see a lot of success at some brokers and not at others for traders using a very similar system – the Million Dollar Pips system – which is pretty much the biggest thing in FX for years.

The Super Feed

This is a very exciting new option that will present itself very soon, I am told this month and it could be an absolute godsend for the Super Scalper system which relies critically on low spreads and low slippage.

We’ve recieved a rare invitation to the super feed using what is described as the most comprehensive ECN that exists. The spread structure really has to be seen to be believed and I have a screenshot I can pass over to provide interested parties with an idea ahead of time. Put simply, it makes all other brokers look less than competitive by compare, in fact there is just no comparison, it’s like night and day.

We expect to experience it this month and will report further pursuant to our success (or otherwise) with it.

NMi Managed Accounts Moving Forwards.

I’m anticipating that the Super Scalper EA will possibly be able to perform better on this new live feed than it does on the current demo fwd test – that uses much higher spread+commission structure. If so, then ’s long, hard haul in the business will have really been worth the journey, we may even move into the enviable position of closing our doors to new clients as the Super Feed comes with the bonus of a considerable sum of assets under management (AUM). Our current clients will of course be permitted entry though as a gesture of good faith, but any new inquiries will be directed to the company offering our system.

The Millennium account and its mixed portfolio of EA systems had a hard time of it this month, as I note did others using the same approach. In fact our Millennium account probably got hit the least hardest with a -3.57% January result to start with but that’s nothing to write home about – no one is interested in negative months. In time I expect the approach will pay dividends, so for now I remain optimistic about its chances of longer term success. It really does reinforce the reality of the fact it doesn’t matter how smart you think you are in FX, you can be immensely intelligent, have the best optimization procedures and statistical analysis ability, and yet still not produce a positive after a month of application.

As always, if you’ve any questions please feel free to ask by leaving a comment below, or via the contact form if you need to reach us directly on any of the above mentioned items. Either way we’ll always aim to give you a quality response by the next business day.

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Seasons greetings, we’re trusting that you all had a happy and safe Christmas and New Year’s break. What an eventful year 2011 was for everyone and I’m sure 2012 will be just as volatile and unpredictable.

As always we’re chipping away at some projects including primarily our in house EA that’s getting nearer to complete as well establishing a relationship with a promising new trading prospect. Without waffling on too much more, lets get into it.

NMi’s latest EA system update

Well we’ve completed near to 3 months of live fwd demo testing and can unequivocally state that it makes money consistently and with relatively limited drawdown. In short – it fires.

However the real money environment contains an element of slip, being the difference between what is submitted as a pending order and the price the order is actually passed at, and this has been the systems Nemesis so far. In a perfect world there would be no such thing as slip, and on many of the trades slippage is small, sometimes non existent. But very often when the system is stopped out for a loss it’s caused by this slippage, and consequently the trade doesn’t go on to make good pips as the demo account does even when the actual entries the EA places (on both demo and real money) are identical.

Very frustrating indeed – talk about being “pipped” at the post !

However, further testing and observation has revealed there’s some answers to address the affects of slip by allowing for it in the settings used, ie to anticipate the slippage versus running settings that perform well in a no slip environment (backtest and demo). Basically you’ve got to accept slip will occur, embrace it and and go with the flow. Some more time is needed to judge the affects of the improved settings over a larger test frame – but recent real money trades suggest a marked improvement and we remain quietly confident we’re very close.

NMi Managed Accounts Moving Forwards.

As outlined previously we are looking to move forward with offering our in house system as a managed account into the near term, most probably early in 2012 so keep an eye out for this space.

We’re also in the early stages of building a relationship with a new trader to provide with another in house managed account option for our valued clients. It’s an exciting prospect that I don’t wish to talk up too much as its very early days, but all that I have thus far is very impressive and proven on real money. Further to this I’ve seen this account evolve from just an idea to reality, which provides me with more confidence than I could otherwise ever expect to have.

The trader himself uses a portfolio of EA systems to manage 1 account, that is he uses various systems that have been carefully selected from a large sample of systems. The affect is that the account trades very often utilising a variety of methods and timeframes over a range of currency pairs, and this creates a natural smoothed hedging affect. As some systems experience poor performance, the systems that are experiencing a good run compensate and at times the system can have long term trending trades in one direction while a scalping EA carves out small gains against the trend.

The smoothness of the equity graph/results really does speak for itself and I’ll make them available upon request to any interested parties at this stage.

As always, if you’ve any questions please feel free to ask by leaving a comment below, or via the contact form if you need to reach us directly on any of the above mentioned items. Either way we’ll always aim to give you a quality response by the next business day.

If you have any friends or colleagues who might find our newsletter of interest, please forward them a copy of this post using the Email button below, or share it with your twitter, facebook and google+ networks using the other buttons if you’d prefer.

NMi’s latest EA system update

All good news. In short we’ve completed 5 successful weeks of intensive live FWD demo testing (using the same feed source as real money accounts) and currently have several VPS’s loaded with MT4′s running 6 different currency pairs each to further evaluate the effects of tweaks to the systems settings in a live forward testing environment. Results thus have been extremely favourable and details are available for interested parties.

For those reading this for the first time, this is an automated scalping trading EA that has the rare and almost unqiue combination of the following attributes;

· FIFO compliant · Runs on Multiple currencies · No GMT or Timezone trading restrictions · No new release contingencies required · No hedging · No minimum leverage requirements · Extremely low maximum relative drawdown versus monthly returns ratio · Positive risk to reward ratio on each trade · Frequent daily trader · Trades closed within 1-60 mins, no weekend holds. · All orders are pending and hard stopped, no @ market executions · Trailing stop loss feature · No Martingale or Cost Averaging

The results of all the testing has been documented and is updated on a weekly basis. Its more of a personal journal and record that I share with a small group of interested folks who also recieve a supplementary email dialogue. For those interested in the journal it can be found by clicking on title=” EA Journal” target=”_blank”>clicking here.

The results I am sure you will agree are very impressive and speak for themselves. They are a model of what a system with good money management should look like, and representaive of the old adage of “keeping your losses small and trail your winners”.

NMi Managed Account Introductions

This will very likely be the last time we review alternative managed account service providers for several reasons, aside from the more immediate simplification of our business;

1) Primarily that we are moving forwards with our own managed account business using our in house system directly and/or by contract to other service providers; 2) Secondarily that the nature of any particular account can change or be updated and it’s very hard to stay on top of all the developments, especially when you’re working on your own system; and 3) Lastly it seems that no matter how much research and due diligence you do on an account, there’s the unknown human element that can bring it all undone, whether it’s a manually traded account or a supervised EA system. This is a risk anyone that doesn’t trade their own account has to accept but as we are going the route of offering our services, then it’s a risk we intend to insulate the business of from.

Before I sign off from this area of our business, I’d like to say that I still hold both Cayoflow and FX PIG in high regard. I’d also say that it is on each of us to do our due diligence into such opportunities as not only do they represent great potential for reward they also have risk not always so readily apparent or easily forseen.

NMi Managed Accounts Moving Forwards.

As outlined above we are looking to move forward with offering our in house system as a managed account into the near term, most probably early in 2012 so keep an eye out for this space.

Expressions of interest are welcomed at this stage.

As always, if you’ve any questions please feel free to ask by leaving a comment below, or via the contact form if you need to reach us directly on any of the above mentioned items. Either way we’ll always aim to give you a quality response by the next business day.

If you have any friends or colleagues who might find our newsletter of interest, please forward them a copy of this post using the Email button below, or share it with your twitter, facebook and google+ networks using the other buttons if you’d prefer.

As we outlined in last months report, and for the benefit of new subscribers, our plan of action was to vastly simplify our whole approach, and focus entirely on much shorter term trading and trading systems where we can keep control of the risk and be in and out of each trade quickly before it is upset by the next violent swing in the other direction or some unexpected news event. This is the most sensible way forwards for all of us, because really, our forté should be technical based systems that aren’t at all reliant on fundamentals. If you want fundamentals based exposure in your portfolio, then load up on stocks or bonds or commodities and take your chances. We, however, feel entirely more confident in leveraging our skills, resources and contacts in the arena of scalping.

Before we expand on significant developments achieved towards our primary objectives this past month, lets first touch on our Managed FX introductions which have both had stellar months….yes, it’s good news all the way across the board this month.

Managed Account Introductions

Firstly, as you may be aware, we already support one service provider, Cayoflow, and the range of accounts they offer. As I outlined in last months report they’ve had their fair share of challenges to face recently, with more still to come, see Cayoflow blog. Despite the challenges they face I still believe that they hold much long-term promise and are well worthy of your consideration.

Well that’s been vindicated it seems this past month as they post a solid 10% result across the board for the month of October.

Moving on now to a stand-alone brokerage first created to access a direct feed for their own in-house scalper that was designed by a young maths-whizz and is supervised by an older and very experienced trader, with somewhere near 10 years in FX. They have proven this system beyond any doubt whatsoever, and further it runs on more than 10 currency pairs simultaneously for a much smoothed overall result. The fact that it runs on so many pairs is a real testament to the robustness of the system. And I should know, because I’ve designed and built several EA’s from scratch, so I can honestly say that what they’ve achieved here is really something. They are constantly looking to better the feed and improve their system, which they currently run with about a million dollars of their own money. Over and above this, they are bound by regulatory protocol and are actively working towards even more extensive compliance protocols and regimes.

Without further extolling many of the virtues I see in their company and system, how about I just tell you that they posted a result in excess of 20% this past month.

Usually, an opportunity of this calibre comes with a high minimum investment, but given their early stage of maturity and the fact they are looking to build their business, they are currently offering the very low minimum entry of just US$2,000.

As I said last month if you value my judgement for digging out a good opportunity, then please follow-up with a direct inquiry to enjoy the same benefits that some clients already are and I’ll personally introduce you to my points of contact.

If you choose to go with them, you can be sure they both genuinely work hard to provide the best outcome for their clients. If you let them know you found them via NMi, or better yet Cc: us in on your communications, we’ll do our best to grease the wheels for you.

Pendulum EA Project.

Well what a long story it’s been, so lets cut it short here. At the end of the day it just didn’t make the grade and I couldn’t bring myself to allow a system to be released if I didn’t have the required faith in it. It’s not ethical. I should know because I’m the designer and I’m an extremely harsh and critical judge of systems, and you need to be in forex. There’s no room for second best, or second place in FX – you’re either the winner, or the loser.

It may sound shocking to many reading this that someone would invest over a year of their life and a 5 figure sum on coding only to walk away from it. Well I can tell you the choice was rather an easy one to make given that recently in the space of a 2 week period, I achieved more significant results than I was ever able to achieve with the Pendulum system by just following my gut on a new concept with many highly desirable attributes:

· FIFO compliant · Runs on Multiple currencies · No GMT or Timezone trading restrictions · No new release contingencies required · No hedging · No minimum leverage requirements · Extremely low maximum relative drawdown versus monthly returns ratio · Positive risk to reward ratio on each trade · Frequent daily trader · Trades closed within 1-60 mins, no weekend holds. · All orders are pending and hard stopped, no @ market executions · Trailing stop loss feature · No Martingale or Cost Averaging

Aside from the impressive overview on paper – we actually have this EA system running on a live FWD test demo account already. The first build of this EA out of the blocks has proven to be brutally effective and the right words are hard to find which would adequately convey the level of performance witnessed, and without much further developing seemingly required. But terms such as incredible, unbelieveable, insane and mind blowing have thus far been uttered.

I realise its early days, but all indications thus far are that this system has the potential to achieve in excess of 100% months consistently, and with relative limited drawdown. I realise that sounds just to good to be true and of course it remains to be seen, but right now we have a live FWD test going that has seen 28% up-spikes in a day and is projected to return several hundred percent ROI per month at the current rate of return. Keep in mind this account is being run on 7 currency pairs for thorough testing purposes, and the performance of the different pairs does vary considerably so when the best trading pairs are discovered even higher returns with lower drawdown is a natural consequence.

Purely and simply I have never ever seen a system or any managed account that shows as much potential as this system, it may well exceed performance levels of all that has come before it. Maybe I’ve stumbled upon the secret that others are onto, as I find it hard to believe that I’m the only one using this type of method because in retrospect it’s so obvious. I’m nearly pinching myself that fortunes can change so quickly though and am reminded of another famous saying:

“Success can be but one step away from failure”

And lets face it, if nothing positive was derived from the year invested into the Pendulum EA project that ultimately failed to make the grade, then certainly it would have been a failure. But I credit in no small part the lessons learnt from the Pendulum project as being an integral step in the evolution of this new system.

NMi Managed Accounts Moving Forwards.

Judging by what we have seen in the testing of this new system, most definitely our near term plans are to include the offering of this system as a managed account option for our clients, and most probably under contract to some other managed account service providers/asset management groups. The EA system will be retained in house and we have no plans of a public release, so as to best leverage the available liquidity in the market into the longer term.

We are very excited that possibly we may be amongst the few that can offer a managed account with a reliably achievable 100% month ROI potential. Really we just don’t know how well it works on a real money test until we do so, but that said the demo feed we are running is exactly the same as the live. The difference will be in what is achievable in a live real market, and yes we do expect some decrease in the performance over the demo, in fact our projections are based on achieving less than half the performance of the demo and still the indication reflects 100% plus months.

It may be that we quickly have to limit participation in order to ensure liquidity and continued level of performance, and naturally we seek to do this as soon as we can, on a first come first served basis with early investors given the priority and first right of refusal for additional placements. So at this point we welcome expressions of interests in what will almostly certainly become an official offering in the very near future. More to come soon!

As always, if you’ve any questions please feel free to ask by leaving a comment below, or via the contact form if you need to reach us directly on any of the above mentioned items. Either way we’ll always aim to give you a quality response by the next business day.

If you have any friends or colleagues who might find our investments or newsletters useful, please forward them a copy of this post using the Email button below, or share it with your twitter, facebook and google+ networks using the other buttons if you’d prefer.

• What the heck should I be doing?!?

When it comes to fundamental based trades like long gold & silver, and short the USD or stocks, I don’t think anyone really knows anymore. It’s become such a mess that what might be the answer in the short or medium term, could turn on its head at any moment care of one central bank manipulation or Government intervention into what would otherwise be a free market. Long-term is anyone’s guess; of course gold and metals will eventually triumph, but we may still have to wait some years for that. I tend to suspect not, but I wouldn’t bet my life on it either…

If anyone tells you that they have the answer, they are either kidding themselves, or selling you something – be it their reputation or some other business interest. Always beware the source of your information. Perhaps the only thing that you can be certain of is that, at least while the same folks are pulling the strings, things will keep heading in the current direction. I really do think that things will deteriorate much further before the drastic changes required to put things back in the right direction are looked at more seriously. At least part of that drastic change is for both governments and the people to stop reaching for their credit card to push the problem forward – otherwise the debt keeps building while nothing else worthwhile is achieved.

NMi Managed Accounts

Suffice to say, due to all this uncertainty and the other options open to us we’ve decided to do a complete about-face on the range of managed accounts we were in the process of releasing.

• The recent 20% revaluation on the Franc by the Swiss National Bank wiped 20% off our Swiss Account;
• Meanwhile gold tanked from north of US$1900 to below US$1600. Thank goodness we stepped aside, and even went short for a little while ensuring that the account is still ahead of even August’s high water mark!
• The Aussie dollar took the worst beating of its life (at least since 2008). Happily I stepped aside on trading this account too, so it is still ahead as well;
• Finally the Mirror system, which was the only non-fundamental based account we had, was discontinued due to the increasing volatility to which it is not well suited, and it ends the day a little down on its starting balance. When considering how extreme the volatility has been, I think we came out relatively unscathed.

All of which brings us to a point where I really no longer wish to be attached to the market, the news events and the goigns on by an umbilical cord – and so, I’m severing the connection!

Where to from here?

We’re going to vastly simplify our whole approach, and focus entirely on much shorter term trading and trading systems where we can keep control of the risk and be in and out of each trade quickly before it is upset by the next violent swing in the other direction or some unexpected news event. This is the most sensible way forwards for all of us, because really, our forté should be technicals based systems that aren’t so reliant on fundamentals. If you do want fundamentals based trades in your portfolio, then go load up on stocks or bonds or commodities and take your chances. We, however, feel entirely more confident in leveraging our skills, resources and contacts in the arena of scalping.

Refocusing ourselves on scalping now also fits perfectly with our NMi Pendulum release, which has itself evolved from a full-time gridding system, to a primarily scalping based approach that falls back to the 100%-win math grid, but more on that in the next post later in the week. Before that, lets touch on our Managed FX introductions…

Managed Account Introduction

Firstly, we already support one service provider, Cayoflow, and the range of accounts they offer. They’ve had their fair share of challenges to face recently, with more still to come. You can read all about these challenges and their future commitments at the Cayoflow blog, despite which I still believe that they hold much long-term promise and are worthy of your consideration. If you choose to go with them you can be sure they do genuinely work hard to provide the best outcome for their clients. If you let them know you found them via , or better yet Cc: us in on your communications, we’ll do our best to grease the wheels for you.

Moving on though, we have the good fortune of being blessed with a rather special Pendulum pre-release tester. I first came to know this fellow at the beginning of this year when he was considering a capital placement under our former Head Trader. And even then he wins the prize for the record amount of questions and due diligence. So, where am I going with this?

At that time, he mentioned his interest in a brokerage, of which he is now the CFO, but at that time we were facing the dilemmas surrounding Cayoflow and the issues they had been having with their own brokers, so I was extremely keen to use only fully regulated brokers based in well-respected financial jurisdictions (think: Alpari UK for example). Over the course of this year I’ve come to learn a lot more about what they do and how they do it…

The verdict? I’m very impressed! They have set up their own brokerage – not a white-label, but a stand-alone brokerage – to access a direct feed for their own in-house scalper that was designed by a young maths-whizz and is supervised by a very experienced trader, with somewhere near 10 years in FX. They have proven this system beyond any doubt whatsoever, and further it runs on more than 10 currency pairs simultaneously for a much smoothed overall result. The fact that it runs on so many pairs is a real testament to the robustness of the system. And I should know, because I’ve designed and built several EA’s from scratch, so I can honestly say that what they’ve achieved here is really something. They are constantly looking to better the feed and improve their system, which they currently run with about a million dollars of their own money. Over and above this, they are bound by regulatory protocol and are actively working towards even more extensive compliance protocols and regimes.

For the past 5 months they’ve offered this system to the public, and having taken a good long look and a lot of interaction with them, I am certainly looking to get my foot in the door! I believe early investors will enjoy stellar long-term results with a very reasonable entry minimum from this dedicated and focused small business. If you value my judgement for digging out a good opportunity, then please follow-up with a direct inquiry on this so that we can introduce you personally.

Usually, an opportunity of this calibre comes with a high minimum investment, but given their early stage of maturity and the fact they are looking to build their business, they are currently offering the very low minimum entry of just US$2,000. Further details to come in a separate post so that we can keep this update to a manageable size. One thing I can tell you with certainty is that the results are incredible, and you will be impressed. If you’re serious about having quality managed FX accounts in your portfolio, then you really do need to look at this – I will be opening an account and wiring funds there myself today.

Wrap Up

Please don’t forget to check back at our website regularly for additional breaking news on our Pendulum EA, which is about 2 weeks from official release finally! and various other news that isn’t posted out directly to subscribers.

As always, if you’ve any questions please feel free to ask by leaving a comment below, or via the contact form if you need to reach us directly on any of the above mentioned items. Either way we’ll always aim to give you a quality response by the next business day.

If you have any friends or colleagues who might find our investments or newsletters useful, please forward them a copy of this post using the Email button below, or share it with your twitter, facebook and google+ networks using the other buttons if you’d prefer.

• “What the heck should I be doing?!?“

Luckily, it’s part of our job to keep you informed of your options, particularly in looking for something outside of the box, for something that is not stocks, that is not denominated in the plunging EUR or USD currencies, and something that has both cash-flow and capital gains possibilities…

Unlike many of our competitors’ business models, can ONLY survive when we make money for you – we don’t sell subscriptions or signal services or advice. That’s good news for us both, because it ensures that our interests are perfectly aligned; after a lot of consideration, in the full knowledge that (as always) the future success of as well the continued growth of your investments with us is on the line, I think we’ve really nailed down what we have the most faith in to keep everything moving in exactly the right direction.

So here is our simple, but well-defined, plan of action to leverage the main trends in the currency markets. Write this down. Put it on a post-it note next to your computer. Stick it on your fridge with a magnet. There’s no rocket science involved, because simpler things generally tend to work a lot better:

• Short USD and EUR;
• Long Swiss Franc, Australian Dollar, and Gold.

NMi Managed FX Accounts Range

So far we’ve developed four core accounts to trade those trends to your advantage, and have already set each into motion over the last month on a real-money CHF5,000 account each. Here are the current equity positions at the end of just this first month:

• Managed FX Aussie: 11.2% balance gain - 0.25% open positions = +10.95% equity
• Managed FX Swissie: 16.6% balance gain - 17.6% open position = -1% equity
• Managed FX Gold: 11% balance gain + 4% open positions = +15% equity
• Managed FX Mirror: 7.25% balance gain - 3% open positions = 4.25% equity

Averaged across all four accounts, that’s a very healthy 7.3% in any market conditions, let alone the current climate. This is the current gross equity position prior to our 20% management fee.

We’re staging the official launches of these new accounts, starting with the Managed FX Gold Account account you should have seen last month. The remainder will be officially launched over the rest of this month, with web pages and blog posts arriving as we go. However, everything but the press releases and web presentations is already in place, including tracking links to myfxbook for the live-money accounts that are generating the returns quoted above… so, if you already know that you want to be involved in some or all of these ahead of the forthcoming presentations, you’re in luck. We’ve saved a space for you! Just let us know via the contact form if you want to claim it before we give it away to the general public, and you miss your chance.

The minimum investment required to open these accounts is US$5,000 each, or the equivalent in your choice of EUR, CHF, JPY or GBP.

If you’re seriously interested, but still want to read through the presentations before committing any investment capital, now is the best time to establish accounts at Alpari UK (before you make a final decision to fund them) so that you can move immediately when you are ready to do so. It costs nothing to open the Alpari UK accounts, and will certainly save you from rushing things after you’ve decided to pull the trigger. Anyone who’s experienced it will attest to that there’s nothing more frustrating than making an investment decision while watching the market go your way, but not being ready to invest your money immediately. And then by the time you’re in, you’ve missed an entry point that would have given you a bigger return.

Investing is not only about making the decision to go ahead: It’s about being in the position to act on it immediately! Time is money and opportunity waits for no one.

I strongly recommend that you spread your investment equally across all four of these accounts, because at times we’ll take positions in one account to offset potentially losing positions in another. For example as the Swiss Franc was in decline, and thus Managed FX Swissie was pulling backwards, we added long AUD/CHF positions to Managed FX Aussie, in line with its bullish AUD position. The long AUD/CHF position was trailed and stopped out for a nice gain, and then as the Swiss Franc regained its strength, that too moved in favour of the Managed FX Swissie account.

New Accounts Moving Forward

In addition to the those four new accounts, later this month I will have finished the details of another two new accounts:

• NMi Managed FX Bear Euro: A purely short EUR focussed account. It will probably end up taking long positions against EUR with CAD and NZD, posibly other pairs yet to be detrmined, none of which we so far offer you exposure to with the earlier accounts.
• Managed FX Silver: A long silver versus USD focussed account in the spirit of Managed FX Gold.

Investing in all six of these different accounts will position you extremely well to take advantage of the medium- to long-term currency trends that I believe are clearly in play, with the risk evenly spread among several uncorrelated markets so that a disasterous month in one area can be recouped by the performance of most or all of the others.

Wrap Up

In keeping with our new philosophy of briefer, and more timely updates, that’s about all for this report. Except, to remind you to watch out for the upcoming account launches here on our blog. Or if you’d prefer that we email those to you instead, please sign up for our newsletter.

And don’t forget to check back at our website regularly for additional breaking news on our Pendulum EA and other news that isn’t posted out to subscribers.

As always, if you’ve any questions please feel free to ask by leaving a comment below, or via the contact form if you need to reach us directly on any of the above mentioned items. Either way we’ll always aim to give you a quality response by the next business day.

If you have any friends or colleagues who might find our investments or newsletters useful, please forward them a copy of this post using the Email button below, or share it with your twitter, facebook and google+ networks using the other buttons if you’d prefer.

Obviously this particular account is correlated with the price of gold, implemented with a directional EA trading system designed for the MetaTrader 4 platform. The trading system is actually quite straight-forward and easy to understand. It buys 1oz of gold (0.01 standard lots) each time the price dips sufficiently, but never holding on to more than 15 of those purchases at a time per US$5,000 of balance in your managed account. Each 1oz buy is held until the price is high enough to sell it back to the market at a good profit.

To protect you from market conditions that cause the price to drop quickly, rather than buying more orders at intervals on the way down as you might imagine (the normal way of cost averaging your combined position into that dip), instead the system waits for a price consolidation (that is, until it stops dropping so quickly) all the while trailing buy orders above the current price action. The objective being to retain money in the piggy-bank to buy at a lower price after the market has resumed its upward trend.

And similarly in the other direction, when the market condition rallies into favour and brings the selling price to 75% of the level where one of the earlier purchases can be sold for your target profit, a trailing sell order (a so called, and in this case misnamed, Stop Loss order) is placed to lock in some of your profit even if the market price starts heading down again before it reaches the full profit target.

Because of the cyclical nature of how this system buys and sells, unlike owning physical gold, it will turn an excellent profit for you during sideways markets – when the price is not in a clear up- or down-trend, but saw-toothing up and down between two price levels.

Another attractive aspect of investing in this account is that in percentage terms, the potential drawdown during a down-trend from a peak price drop of $200 is very similar to the potential on paper loss of still owning a purchase of physical gold made at the same price. So you really are able track the price of actual gold rather well indeed, even to the downside. And in the worst case, your maximum risk is capped by a hard stop loss against the buy orders, and you’ll preferably have a parallel investment in something that tends to perform well when gold takes a hit to offset any downside. Stay tuned with regards to some parallel accounts and find out more when we announce more of our new line of managed accounts…

Now, if the market price actually drops to your hard stop loss level, the simplest route is just to realise the loss immediately: you understood that there was risk that the price of gold could go down, but you’re only willing to see a 35% drop in account equity before you elect to call it a day. Generally, that’s what we suggest you do in this case; however, if you have a good grasp of trading with leverage, you could use it as a hedge level as an interim protective buffer while you further capitalize the account — assuming of course that you intend to further invest yourself into the gold market. We offer an option to automatically hedge your account in this situation instead of realising a loss immediately.

Summary

This is the perfect time to get invested in this account, because after the recent significant run up in the gold price, we should be due a better entry price soon with the inevitable next pull-back – exactly the situation the Managed Gold Account flourishes in.

The unique thing about the Managed Gold Account is its very close correlation with the price of gold as it rises and falls, while at the same time being equipped to perform well in a ranging market – something that no other speculative gold-based investment opportunity we are aware of can offer!

When you open a Managed Gold Account with us, according to the current market conditions we may actually limit the system to just 5 of the normal 15 maximum allocated positions, because of the case we see now with a rather over-extended nature present in the gold price. We don’t want you to be holding too many positions bought in what we believe to be an overbought market condition. All the same, we are still long and in the market, and even if the price continues to move higher without any significant pullback, the account will still do well, as it will if the market consolidates for a while at or around the current price. We’re holding back the remainder of the 15 allocated positions presently so that if the market does pull back significantly before resuming its relentless march upward as we’re anticipating, we’ll take that opportunity to establish some long-term positions – we can let the EA system generate monthly gains while holding the other gold positions bought close to the bottom of the next dip for longer in order to grow the equity position of your account.

Although we can never guarantee the success of this or any other account – we can guarantee that provided the price of gold continues to rise with anything like the vigor it’s been demonstrating since the last market bottom* for gold in 2008, then this account will perform admirably.

Gold Rush

In case you’re not already aware, once you’ve taken an hour or two to watch the instructional videos and read the manual that comes with Gold Rush, it takes only a few minutes a month to keep up. The Gold Rush trading system was specifically designed for regular people like yourself who have no desire to spend all of your time trading, but otherwise do make active decisions with regards to managing your investment portfolio. If you’re among the many who are investigating your options for allocating a (larger!) proportion of your portfolio into gold or a derivative thereof, then you should read on! Of course, Gold Rush also has a strong appeal if you are trading your portfolio daily, and already understand the enormous benefits of leveraged exposure providing more bang for your investment buck.

On revisiting the long-term returns, we realised now that we’ve actually been understating the returns drastically! We originally unleashed the Gold Rush system back in 2008, since when we’ve been keeping track of how it performs in comparison to a bullion buy-and-hold strategy. However, until now, we hadn’t actually applied compounding to those returns, which was grossly under-playing the results. If you revisit the tables of results you’ll see that we’ve overhauled the numbers to more accurately reflect the Gold Rush trading system’s effectiveness, and its correlation to the price of gold over time. Please Contact Us and ask us to email to you the detailed data we’ve compiled for review, so that you can satisfy yourself that everything is now precisely accurate.

If you haven’t already examined and been amazed by the latest tables of results, here is a summary of how well a US$10,000 Gold Rush investment has performed against an identical gold bullion purchase over time:

• The price of gold was US$875/oz in January 2008.
• 22 months later, gold fetched US$1025/oz in October 2009.

US$875 to US$1,025 represents a 17% appreciation in the overall price of physical gold over 22 months. This time-line begins just before the 2008 crash, through to a second test of the previous bull-market high in gold spot prices. During that timeframe, the price of gold first rose from US$875 to a new high of US$1032, and then dropped 34% to US$681, before recovering completely in October 2009.

Over the same period the Gold Rush system earned 100% appreciation, from the same initial US$10,000 investment, breaking through a US$20,000 balance in October 2009. Over the duration of the market crash, Gold Rush investors experienced some hefty drawdown when the system picked up 6 positions leveraged 6:1 to the market, and yet it did survive this worst case scenario – something few other investment strategies could boast in this time-frame. Even better, Gold Rush made a stellar return, doubling your account balance, while everything else was driving over the edge of a cliff.

• Another 19 months on, and the price of gold reached US$1525 by May 2011.

Between October 2009 and May 2011 the biggest peak to valley price difference was just US$120 in the largest price dip, which isn’t much even for a dedicated gold bug who would have used that chance to buy more metal near the bottom of that dip, but even so the overall price rise from US$1025 to US$1525 represents nearly a 50% gain – nice!

Once again, during that same time period the Gold Rush system earned another 100% appreciation, turning the earlier US$20,000 balance into something within a hair’s breadth of US$40,000. In total that represents quadrupling the initial capital in a little over 3 years, and amply demonstrates the awesome power of compounding returns over the long-term.

Quite seriously, it almost goes without saying that absolutely everyone should allocate a significant portion of their portfolio into gold based investments, and you owe it to yourself to give the Gold Rush method your immediate consideration. It shouldn’t take any longer than the time it takes for your next lunch break to investigate the relative advantages of Gold Rush when compared to other methods of leveraging gold.

It just might be the best investment you make this year. This system, ridiculously simple as it is, boasts a heritage few can match.

I ask you – isn’t this worth at least an “ounce” of your effort to check out the New Millennium Gold Rush?

From here on in, we want to bring you timely information, so two or three times a month you can expect to receive a bite-sized update of fresh breaking news that you’ll be able to read in just a few minutes. We hope you’ll prefer reading in this format as much as we’ll prefer posting this way. Either way, please let us know your thoughts in the comments!

This last long-form update introduces a brand new range of managed accounts that will be live in the next week or two, and then some more about our Pendulum EA project which will come to include a forum that we’ll be building on into the future. In the next update, scheduled for next week, we’ll give you something rather pressing about the Gold Rush system, while we work on revising the Black Label Offshore Package. And we’ve got another EA and forum coming down the pipeline very soon as well.

NMi Managed Accounts Moving Forward

We’ve taken the lessons learned from the past 6-8 months of live forward testing, and in combination with ongoing market trends we’re bringing you a selection of complementary new managed accounts that we think deserve the undivided attention of anyone who seriously plans to take advantage of the potentially once-in-a-lifetime opportunities available in the current market!

Acknowledging fundamental market trends is an important aspect of investing in any asset class, and currencies are no exception to this rule. My own manual trading has been primarily based on what I view as the fundamental trends – short USD, short EUR, long CHF, GOLD, and AUD. At times like this, it’s not rocket science!

However, what we’ve noticed is that there are precious few investment opportunities for everyday investors that provide access to specifically correlated currency trades – with very few exceptions, such as gold and silver ETFs. Here at , we’ve decided help you to change that, by combining the power of leverage available through a forex broker, with the automation of a directional EA trading system in a virtual environment designed to trade the cyclical nature of a given long trend direction. This very much represents a long-term position trading type approach. We’re anticipating a huge surge of interest the moment we open these accounts up, so if you’d like to be at the front of the queue when that happens, please get in touch using any of the methods described at the bottom of this post.

NMi Managed FX Gold

Gold, of course, needs no introduction. You’re either bullish, or bearish on the metal. If you’re wondering which camp you’re in, just make an audit of your investment portfolio. Do you believe in paper as money, or gold? Do you have faith that the system won’t excessively further debase paper money?

In the face of this, many investment advisors are suggesting allocations of 20%, some even higher. Some folks have gone “all in” such is their belief in the inevitability of the outcome.

So, here you have a way to take part in the long gold trade. This is via our proprietary gridder EA, and it provides a correlation to the gold price with the added advantage of generating returns even in sideways, and possibly even slowly declining, markets!

NMi Managed FX Aussie

Considered to be “ol’ faithful“, the demo account we’ve been running since last year has proven the merit of the long Australian Dollar concept, and proved beyond any doubt the strength of the AUD versus USD, EUR, GBP – and to a lesser degree even JPY.

Think about this: Australia has a 7% debt to GDP ratio compared to the USA and Europe’s 100% plus. Japan also way beyond 100%. Australia has the highest interest rate of 4.75% which shows in the open position the system holds, with its nearest rival being its Trans-Tasman partner of New Zealand at 2.5%. Australia has a strong fiscal position, almost entirely due to the resources boom feeding off the developing nations’ boom. When you also factor in what’s considered to be a stable political environment, then there are many reasons to be long the AUD.

With the forecast of going much higher into the future, it’s one trade we intend to stay in for quite a while. By participating in this managed account offering, you can get in on it too.

NMi Managed FX Swissie

The Swiss Franc is always pitched against all of USD, EUR and GBP. A quick glance at the charts and it’s immediately obvious that there’s a run on those currencies to the Swiss Franc.

Ask yourself: If there was a million dollars equivalent of USD, EUR, GBP or CHF on the table in front of you and you could pick one and walk away with it – which pile would you pick?

The common denominator of USD, EUR and GBP is massive debt and debasement of the currencies via quantitative easing policies, care of backwards facing economic policies that have scant regard for the realities of income versus liabilities. At least the Swiss can keep their books, and with a large part of the entire worlds wealth contained within the border of the legendary Swiss jurisdiction there will be strong demand for their currency – and doubly so in the current times, with the ongoing economic mismanagement of biblical proportions.

You too can profit from the continuing stratospheric rise of the Swiss Franc with this new managed account offering.

NMi Managed FX Mirror

Based on our live forward test of this account, I’ve re-tweaked this system for improved upside with virtually no increase on the downside. The Mirror is not a fundamental-trend trader in the same way as the other three accounts mentioned above: Rather, it is a medium-term cost-averaging system that is traded by an EA.

Trades occur in either direction due to the flexibility and robustness of this system. It is only executed on EUR/USD, primarily because we believe the USD and EUR won’t stray too far from one another and this is a favourable factor towards the success of the approach. Although, even in a strongly trending market this system is still very capable – and, of course, with some well-timed manual intervention the system’s robustness can be even further improved upon.

This account provides you with a non-correlated account option and good diversification from the others.

Summary of new account offers

I spent some time last month developing SET files on our proprietary NMi Gridder EA. We can now run them all essentially hands-free on each of these managed accounts, such that we know in advance how much downside tolerance we have so that there is always a fixed maximum-risk attached to the trade.

One of ’s main goals with managed forex is to maintain a mixed portfolio of uncorrelated accounts and EA systems, and we’re sure we’ve made some good inroads towards providing you with exactly that with these four new managed accounts. Keep an eye out for the upcoming post and please check our website regularly for the arrival of new account pages to learn how we’re taking a bit of a unique approach to the business of managed forex and let us know what you think!

Pendulum EA Development

The Never Ending Story continues!

Nothing too much out of the ordinary to report in this section. We’re still full steam ahead, and we are edging closer to the inevitable launch. Two of three recent changes are still to come, but in percentage terms the EA is 95% complete.

In the past month of testing it hit one loser, but being a scalper configuration, the size of that loser consumed all the gains (3% to date) and then drew down further to be about 7% underwater. But,today the time it’s back out of the hole and moving forwards again already. I’ve already reconfigured it slightly using already existing functionality to avoid falling foul of this type of loser again. In addition, one of the new code modifications will fully deal with such market scenarios into the future. This has pretty much become the Pendulum development path now: It runs faultlessly and exactly as designed, all that remains is to put it through its paces in a live forward environment to see where, when and how it loses so that we can make the very final tweaks.

As soon as we have a version that produces no losses in testing, and with every required piece functionality in place and tested, we will be more than ready for live money trading. And, as we said, we’re about 95% of the way there right now.

Of course, even then I expect we’ll see losses from time to time – and it’s from these that future and ongoing modifications will be made, in order that we stay as far ahead of the curve as possible. In our experience, if you don’t continually develop an EA system then they progressively become more out of tune with new market conditions. That’s the secret to EA design and trading, if there is such a thing.

We periodically make dedicated Pendulum EA updates on our blog so be sure to check in from time to time if you’d like to keep an eye on the progress. We’re hoping that the next Pendulum EA update will end by announcing its completion, and some exciting release details! We’re planning to do another small pre-release first, not only to test the final version of our EA, but also the manual and forum support that comes with it, so be sure to keep an eye out.

That’s all for this month’s report, except to remind you to watch out for the upcoming posts as mentioned in the introduction. And to remind you to check back at our website regularly for breaking news on our Pendulum EA and other new developments.

As always, if you’ve any questions please feel free to ask by leaving a comment below, or via the contact form if you need to reach us directly on any of the above mentioned items. Either way we’ll always aim to give you a quality response by the next business day.

Just what the right thing to do seems to be changes on nearly a daily basis and is one of the primary factors that drives managed FX as an alternative investment vehicle, typically aimed at achieving positive returns irrespective of the bull, bear markets or the currently rather sideways nature of the stock market for some time now.

In this post, we’ll again be mostly covering our in-house project accounts and then a review of the pre-release programme of our Pendulum EA. We decided not to post out a review of the accounts in our Managed FX Introductions Portfolio last month for reasons that will become more obvious upon a review of the managed FX intros page – yes they had one of their toughest months yet after a somewhat stellar run.

NMi Managed Accounts Moving Forward

Behind-the-scenes R+D on several promising managed accounts and EA systems continues as always: Please keep in mind that none of these are official Managed Account offerings as yet; we just want to provide you with a look see of the front-runners ahead of time for when and if they do make it to that stage. It looks like they may well make the grade very soon though with some strong performances this past month, albeit with just a little refinement required.

NMi Gridder EA Review

• Live AUD forward-test demo

  This month posted 10.73% ROI on balance (keep in mind this system runs continuous open positions)

Now considered as our ol’ faithful, this is a medium-risk fundamentals-based grid-trader swapping USD, EUR’s, JPY and some GBP’s for AUD’s. I was running my own live account at reduced-risk to keep a little more reserve “in the bank” to buy and hold the big dips, BUT it so rarely sees a significant pull-back and the opportunity to do that, so I’ve actually increased the risk on my live account. When the market turns against my position I have two options – hedging or else simply adding more money to the account. More money simply being Swiss Francs ready to be deployed if necessary.

Currently the AUD remains a resilient currency and that continues to play into this systems favour, but I’m always on the lookout for the start of the next rot, so to speak. On the subject of rot – during the last bout of EUR weakness and Greek debt woes the AUD/USD posted a signifciant low – just below the lowest swing low of recent times and right about where I had a protective hedge in the waiting which unfortunately was picked up by about 12 pips (or just over 1/10th of cent) which I am still carrying until I see an opportunity to dump it a better price or else wait for the AUD/USD to come back down again. The rest of the pairs trade didn’t pick up any hedges (although the AUD/JPY came close) and this serves to offset the negative overall affect of the hedge on the AUD/USD.

In review I didn’t really need to hedge and I outsmarted myself a little, I still had more gas in the tank ready for a bigger fall but just misjudged by a small fraction where the bottom should be. With an official offering of such an account, a more robust longer term trade setup would be employed which would have negated the need to even consider hedging so soon. Anyhow this is why we run project accounts for a good long while first so that any faults and deficiencies can be addressed well ahead of any official offering.

Total cumulative return has been 83% since November 2010, and of that 14% is overnight interest on open positions. This is also inclusive of an earlier $1100 hit, care of the Japanese earthquake which brought a big EUR/AUD rally, tripping 2 big stops.

NMi Mirror Account Review

This was very nearly a much better month again than we finally saw, but for a mistimed manual hedge release, it’s the story of my life sometimes but thankfully it didn’t cost much except the gains generated by the practice in the first instance. I stepped aside from any further manual intervention and let the EA do its thing to post a 2% return for the month, now currently running with just under a -2% open position and poised for the next move.

• Live MIRROR forward-test real money

  This month posted 2.01% ROI on balance (keep in mind this system runs continuously open positions)

As mentioned previously this is a trend-following grid-based EA, currently running at low risk on LIVE real money accounts. As I’ve always stated – it won’t set any records in the ROI department traded in the manner it does – but it’s a very easy to live with account (for account holder and trader!) in that drawdowns are very low and of that I’ve made certain. It’s extremely unlikely the system will ever see a significant negative month nor high volatility/drawdown, but the trade off is a lesser return.

NMi Pendulum EA Development

While the Never Ending Story continues. I was and still am at my limit, running and testing the following three separate configurations as outlined last month:

1. The original concept, which we’re now calling the Micro Configuration;
2. The second concept, which we’re calling the Nano Configuration;
3. And, finally the latest Scalper Configuration, which has backtested at 100%+ monthly ROI when trading just one pair, the highest return of these configurations.

More recently I developed another configuration which is based on a much bigger grid size, the trades of which play out over days and sometimes weeks somtimes in the hundreds of pips- which I refer to as the MACRO Configuration – versus the typcially intraday nature of the EA development thus far. It provides added confirmation that no doubt this EA has plenty of potential. At the same time it consumes so much time to fully test and develop each SET file for each new version in each configuration on multiple currencies, that I’ve decided to just focus on finishing the EA to its final level of functionality (for now!) before developing further SETs.

Each month I expect that this should be it, but one thing tends to lead to another – so now I have drawn a line in the sand and listed down on a document which the coder and I share between us, all that’s required to finish the EA. We have been working harder than ever this past month – and are very close now – but no sense in rushing anything at this late stage.

We periodically do dedicated Pendulum EA updates on our blog so be sure to check in from time to time if you’d like to keep an eye on the progress. I sure hope my next update is one where I can announce a completion and some exciting release details – we are planning to do another small pre-release to test the final version of not only our EA, but also the manual and forum support that comes with it so keep an eye out.

That’s all for this months report, except to remind you to keep an eye out for our Managed FX introductions update to follow in a week or so, and to check back at our website for breaking news on our Pendulum EA or other new account options. And to say that, as always, if you’ve any questions please feel free to ask by leaving a comment below, or via the contact form if you need to reach us directly on any of the above mentioned items. Either way we’ll always aim to give you a quality response by the next business day.

In this post, we’ll mostly be covering our in-house project accounts; two of which are actually positioned to benefit from the ongoing USD weakness (the Gold Rush Trading System and the long AUD account); and then a review of the pre-release programme of our Pendulum EA.

We’ll leave the review of the accounts in our Managed FX Introductions Portfolio for a separate post for later in the month, once all the results are in.

NMi Managed Accounts Moving Forward

Behind-the-scenes R+D on several promising managed accounts and EA systems continues as always: Please keep in mind that none of these are official Managed Account offerings as yet; we just want to provide you with a look see of the front-runners ahead of time for when and if they do make it to that stage.

PA Grid Account Review

As noted in last month’s report, we also have a link to the trader’s live account as a taster for one of the prospective options that’s lining up well. The system he’s running is a modified version of the same EA that trades the Mirror account – only this flavour is special. Designed to turn $500 into $17,000 over 4 years with a maximum DD of 50%, the trader tells me that he already has some concrete ideas on how to improve it even further.

Expanding again on a note from the last report.. Don’t be fooled by that rather misleading drawdown figure, this account has seen 15-20% open position swings, because it is setup very aggressively. That being said, the trader’s position is that he can handle a $250 risk per $500 down for a chance at $17,000 over 4 years. Of course this is only his outlook, and obviously he trades the system himself with a little bit more than US$500. The purpose of the account is to demonstrate with how little investment such things can be done! But, most likely, when it becomes available, the minimum entry will be in the order of US$2,500.

• Live PA GRID forward-test real money

  This month posted 4.92% ROI.

NMi Gridder EA Review

• Live AUD forward-test demo

  This month posted 7.01% ROI.

Almost considered as our ol’ faithful, this is a medium-risk fundamentals-based grid-trader swapping USD, EUR’s, JPY and some GBP’s for AUD’s. I was running my own live account at reduced-risk to keep a little more reserve “in the bank” to buy and hold the big dips, BUT it so rarely sees a significant pull-back and the opportunity to do that, so I’ve actually increased the risk on my live account. When the market turns against my position I have two options – hedging or else simply adding more money to the account. More money simply being Swiss Francs ready to be deployed if necessary.

Currently the AUD remains a resilient currency and that continues to play into this systems favour, but I’m always on the lookout for the start of the next rot, so to speak.

Total cumulative return has been 74% since November 2010, and of that 14% is overnight interest on open positions. This is also inclusive of an earlier $1100 hit, care of the Japanese earthquake which brought a big EUR/AUD rally, tripping 2 big stops.

NMi Mirror Account Review

This was very nearly a much better month than we finally saw, but for a single trade that only just stopped out for break even at the very bottom of the EUR/USD down move. Had the stop been left in the original placement for just a short while longer, the results would have been closer to 4%, but instead banked a smmall profit and we now sit at around 1% in open trades, positioned for the next clear directional movement.

• Live MIRROR forward-test real money

  This month posted 1.34% ROI.

As mentioned previously this is a trend-following grid-based EA, currently running at low risk on LIVE real money accounts. As I’ve always stated – it won’t set any records in the ROI department traded in the manner it does – but it’s a very easy to live with account (for account holder and trader!) in that drawdowns are very low and of that I’ve made certain. It’s extremely unlikely the system will ever see a significant negative month nor high volatility/drawdown, but the trade off is a lesser return. Maybe we should rename this one the Turtle account, because it is a bit of a slow but steady plodder.

NMi Pendulum EA Development

While you might call this a Never Ending Story, every new function we add results in an exponential increase in new possibilities and configurations. I am at my limit now, running the following three separate configurations:

1. The original concept, which we’re now calling the Micro Configuration;
2. The second concept, which we’re calling the Nano Configuration;
3. And, finally the latest Scalper Configuration, which has backtested at 100%+ monthly ROI when trading just one pair, the highest return of these configurations.

The different configurations all have their pros and their cons, and although last month we said that it should be complete by now, we’ve had another couple of ideas (for example, the new trend/momentum based indicators) that are just too good not to be introduced. I expect a version with these enhancements in my hot little hands by this coming weekend… but, in the meantime we have commenced live FWD test (Demo) accounts for all three of the configurations above with the current latest version of the EA. We’ll cover all of this in a separate, dedicated blog post, so be sure to check our website often if you are interested in these details.

We’re already getting 100% monthly ROI on some pairs with the Scalper Configuration, even at such an early stage in its development. Although it’s unrealistic to expect nearly as much ROI with more realistic risk settings used on real money, it does reveal what looks to be a fairly potent edge. We’re all quietly excited at what it will produce once it knows how to hold its position when the new indicator trigger features are implemented. You can be sure we’ll keep you posted on all of this.

NMi Gold Rush

Gold and silver seem to be treading water very nicely, despite their reputation of being volatile to the downside. It seems that folks just aren’t yet willing to swap their paper for metals these days – even with all the bad press about the excessive money printing around the world. Meanwhile, the slow-but-steady long-only Gold Rush system ticks over quietly and just as soon as we make some time, we’ll open some example accounts using our Gridder EA programmed to run the Gold Rush System to exploit the ongoing long side of gold.

Upon reflection (and the benefit of hindsight always being 20/20) it’s been a disappointment for us to not see more folks take up this simple system – it truly has been one of the most robust systems we provide over these past years. Trying to pick your way through the turns of the market is a very hard thing indeed and there’s a lot to be said for having a long term outlook, especially when trading this system or holding a long gold position – it’s all too easy to be shaken out if you listen to the noise and ignore the core fundamental drivers of the gold market!

This system has produced around 100% annualized since 2008 and has outstripped just about every gold and silver stock and the specialist gold and silver ETF – which do less for the bottom line than the Gold Rush system and take a fat % of your money while doing so. I’m not certain I understand the virtues of investing into a gold and silver ETF when you can do better yourself. It’s akin to letting a 401k manager make you less in your retirement fund than the stock index itself does. Historically, gold and silver stocks have more correlation to falling stock markets* than to the spot price of gold and silver. If your objective is to invest with correlation to the price of gold, then hot gold stocks are not necessarily the answer, because they too will fall whenever the stock market plunges! Gold Rush is solidly correlated with the actual price of the metal.

Very few people that purchase the system ever request a refund because its success cannot be disputed, and rarely do I see any trading history with a better track record, yet it is so simple a 6 year old could manage the monthly management in less time than it takes to do up their shoe laces. That’s why it gets overlooked, even by myself sometimes!

As I write this, Ben Bernanke’s upcoming speech is being keenly anticipated for any indications of QE3, any statement to the effect of “if it looks like the economy is falling apart again, but the Fed will come to the rescue” (or otherwise). You will very likely see at least the short term effect of that announcement in gold and silver prices today, or by the time you read this.

That’s all for today, except to remind you to keep an eye out for our Managed FX introductions update to follow in a week or so, and to check back at our website for breaking news on our Pendulum EA. And to say that, as always, if you’ve any questions please feel free to ask by leaving a comment below, or via the contact form if you need to reach us directly on any of the above mentioned items. Either way we’ll always aim to give you a quality response by the next business day.

• Sparrow 8.6%

  Somehow, we missed this in the April Results update too!

  As mentioned in that report, the brokerage that offers the Sparrow Managed Account programme is currently undergoing restructuring as they move away from the retail arm of their business. If you are interested in opening a Sparrow account, we recommend that you sit on the sidelines a while longer until the restructuring process is successfully completed.

• McLaren 13.91%
• Precision 3.41%

• Vega 0.47%

  The traders of these accounts are also affected by the same brokerage issues as the Sparrow account, but they have already established relationships with two other brokers, one in Panama and the other in the UK. Considering their unbroken run of reportable month-to-month trading results, you can certainly open, fund and have your account traded without issue at your choice of those two brokerages.

  The McLaren account has been the standout performer of these 3 accounts, thanks to some big strong moves in the market place of late, which that system thrives on. Currently, we’re recommending McLaren if you’d like some very good diversification away from the predominantly scalping strategies they run otherwise (such as the Precision account).

Big News

The Vega account was originally offered as a high-end specialist managed arbitrage account, and expectations were high with this nigh infallible system – provided they could obtain the US$5 million minimum requirement that their brokerage stipulated. But then, before it was properly underway, the brokerage deemed it too predatorial and banned it.

The good news is that it’s back, just quietly; they have shown the broker how they’ll also profit from the system and now the deal is back on in earnest. The projected ROI on this less aggressive version of the arbitrage system is still pegged at a phenomenal 50% monthly – and they believe they can easily run that with a maximum drawdown of 10%!

Currently, the minimum entry is US$100,000, and with a reduced management fee of 35% (from the previous level of 50%), with no volume based commission involved. Provided that it continues to perform as it has been recently on client accounts this past week, and that May finishes strongly, the concept will have been proven beyond any reasonable doubt – I suspect that we’ll see restrictions on further entry and participation soon after that. Big money will find its way into the system shortly thereafter, and maximum capitalisation limits will be reached. Despite what you might hear to the contrary, with very large trades it becomes harder to find the liquidity to pass the trades, even in a 3 trillion dollar turnover market such as FX.

If this account interests you, then let us know even if you can’t meet the US$100,000 mark, because I may be able to negotiate a lower direct entry if I can find sufficient interest at some more affordable minimum entry.

Pendulum EA Development

This is a great time to update you on this project. As we have mentioned in previous updates, this system benefits from continual development behind the scenes, and the only reason you might not hear much from me about it, is because it commands and receives a lot of my time already.

The latest iteration is proving to be a rather exciting prospect, bolstered by some revised thinking on the best way to approach the market with this particular system. I know it’s a very potent system, but it’s a bit like a nuclear power station in that it can produce a lot of energy (ROI) in a very short space of time with very minimal resources – but it can also get out of control fast. The trick is in having every possible factor as much in your favour as possible, and we’re close to being satisfied with where it’s at now, after nearly a year from when the pen first hit paper.

I’m tentatively posting a link for you to review this latest setup. It’s been running only for the past week, and even then on as-yet unoptimised sets (SETs are the input values used to run the EA). We started this one just to see what would happen when we changed the input parameters quite considerably, making everything run with much lower values and tighter tolerances than before. And this has proven to make the EA much more nimble than it has been previously.

MyFXBook NMi Pendulum Performance

As you can see, it’s piled on 26% of gains in 4 days of trading, and this is excluding the 14.3%+ equivalent also racked up in volume rebates. This is a huge bonus when trading with such a high volume system as this. Due to the tight tolerances the EA actually missed some of the action too – so results should have been even better. At this rate, it accumulates nearly 10% every day in overall gains, taking into account both the trade gains and the volume rebates. Naturally, I can concede that this is not sustainable long-term, but even so it goes a long way towards proving that the concept has merit, and an edge in the market.

Aside from the projected earnings at the current rate of gains being in excess of 200% per month as generated by myfxbook, another interesting and quite amazing statistic, is that over just these 4 days of trade the system has traded in excess of US$1.43 million worth of currency – with only a US$1,000 account! Truly, I can say that I know of no other system that remotely comes close to that.

Incase you missed it, here are a few more details about recent developments with Pendulum at the blog.

Future Managed Account Offer

As touched upon previously, I am in talks with traders behind the scenes, and I’ve posted this link before, aiming at moving forwards on this account offering. It has strong year-to-date numbers, and a projected monthly ROI of 8.4% based on the trading to date, as calculated by myfxbook.

MyFXBook Managed Account Results

I expect to be able to offer this as a managed account introduction possibly as early as June 1st – so keep your eye out for our end of month report, due the first Monday following the end of each month.

We think that we made a real break-through last week, with a completely revised setup that was tested in live FWD conditions first, and then we spent about 50 hours more optimising the SETs required for it to run on 7 different currency pairs. We know this is a more robust setup, if only because it now runs successfully on 7 currency pairs simultaneously – where we’ve struggled before to get it to run on anything more than 4 pairs for any extended period in backtesting.

Let’s examine some numbers generated from the latest testing:

• we started with just a US$1,000 account, which is very small for the aggressiveness of this setup;
• in just 4 days of trading it made 26% in realized gains, with all positions successfully closed on Thursday evening;
• over that 4 day period, Pendulum traded 14.3 full 100k lots, or the equivalent of US$1.43 million worth of currency;
• it generated 14.3% in trading volume rebates on that US$1.43 million traded;
• the total net profit to trader, inclusive of the trading volume rebates, was just over 40%. That’s 10% per day.

It’s hard to believe that’s possible, but it is and here’s the proof:

MyFXBook Pendulum Results

Please be sure to keep in mind that the above demo was made by running Pendulum extremely hot – nuclear hot! It will not be a surprise to see this test account margin called, and it is not what I recommend to traders of the EA do unless they fully understand the risk involved. A much more sensible option would be to trade it on a USD5k account with a 2k drawdown limit, and with that exact same setup you could still see 20% a month alone in trading gains, plus around half that again in volume rebates based on the live FWD testing. By the time it becomes a commercial release I suspect that compromises aimed at improving the EA’s robustness in the market will peg that back some – but I trust this blog reveals some of the potential I see in this system, one that is absolutely unique to and we’re proud to be able to claim that.

In this post we’ll briefly cover the pre-release programme of our Pendulum EA; touch on one of the previously mentioned potential new Managed accounts, as well as a brief review of the top performing accounts in our Managed FX Introductions Portfolio: We’ll expand on all these further below. The service provider for some of our Managed Accounts have not yet posted their monthly results, but rather than keep you waiting we’ll update our website as soon as the figures are made available. And in the mean while, there’s plenty of other news here to be going on with.

The entire current range of managed FX intro’s and up-to-date results can always be found on the Managed FX Account Introductions section of our website. Bear in mind that we quote gross figures on that page, whereas the account links we provide in these updates reflect lower figures because they are calculated after performance fees have been applied.

Managed FX Introductions

The Sparrow rates as the top performer in terms of trading performance, chalking up another consecutive profitable month (bringing its no losing month tally to 10 consecutives on this tracking account):

• Sparrow Account for April: 8.62% in realized gains over 5 trades with 1 loser of less than 0.5%.

The Sparrow account live real money link refreshed for the month of April:

• Live Sparrow account performance

Important News on the Sparrow account: Presently there are some outstanding issues regarding the Broker that offers this account and until the issues are resolved to the full satisfaction of all parties concerned I am suggesting that prospective clients do not invest. Those seeking further information on this matter are welcome to contact me directly.

NMi Pendulum EA Development

Continues in earnest! There have been some new developments this past month, which have been shared with our development group: I’ve discovered another currency pair that runs very well with Pendulum, bringing the total to 5 pairs. There’s still a couple more tweaks required to bring it to the stage where we will be entirely comfortable about live trading, and I expect to be able to tick those boxes this month – provided, of course, that I don’t encounter any unexpected curveballs between now and then!

NMi Managed Accounts Moving Forward

Behind the scenes R+D on several promising managed accounts and EA systems continues as always, and this time we also have a link to the trader’s live account as a taster for one of the prospective options that’s lining up well. The system he’s running is modified version of the same EA that trades the Mirror account – only this flavour is his special $500 in 17k over 4k years (with max DD of 50%) model:

• Live PA GRID forward-test real money

Don’t be fooled by the rather misleading drawdown figure, this account has seen 15-20% open position swings, because it is setup very aggressively. That being said, the trader’s position is that he can handle a $250 risk per $500 down for a chance at 17k over years, this is his outlook though and obviously he trades it himself with a bit more than $500. The purpose of the account is to demonstrate with how little investment it can be done – but most likely, when it becomes available, the minimum entry will be in the order of US$2,500.

Here’s a brief review of the system we run:

• Live AUD forward-test demo

  Almost considered “ol faithful” this is a medium risk fundamentals based grid trader. We’re running this reduced on a LIVE real-money account, and keep a little more reserve “in the bank” to buy and hold the big dips.

• Live MIRROR forward-test real money

  This is a low risk trend-following grid-based trader, run at low risk on LIVE real money accounts. It won’t set any records in the ROI department but it’s a very easy to live with account in that drawdowns are very low. Probably it has set a record for minimal drawdown of late but there will come a time I am certain when the system gets pushed a bit harder then it has been more recently.

We’ve named this one the Mirror account, because it’s run with a unique tweak: It’s actually two EA’s set to run identically, except that one instance takes long-only trades and the other instance takes short-only trades. As one side goes into drawdown, the other side acrues balance gains and over time gradually the edge plays out.

As always, if you’ve any questions please feel free to ask by leaving a comment below, or you can use the contact form to reach us directly on any of the above mentioned items. Either way we’ll always aim to give you a quality response by the next business day.

This month we’ll cover the pre-release programme of our Pendulum EA; the previously mentioned potential new Managed accounts, and a review of the top 2 performing accounts in our Managed FX Introductions Portfolio: We’ll expand on all these further below.

The entire current range of managed FX intro’s and up-to-date results can always be found on the Managed FX Account Introductions section of our website. Bear in mind that we quote gross figures on that page, whereas the account links we provide in these updates reflect lower figures because they are calculated after performance fees have been applied.

Managed FX Introductions

We’ve been providing introductions to several accounts for some time already and, as we announced last month, we’ve more recently discovered a real gem: This provides a very exciting account option for you, especially now that we’ve been observing performance and conducting due diligence for some time. Of course, I’m referring to the Sparrow, which just chalked up another consecutive profitable month (bringing its no losing month tally to 10 consecutives on this tracking account):

• Sparrow Account for March: 5.95% in realized gains over 7 trades, 100% winning trades.

The Sparrow account is one of the best, if not the best managed account program that has passed over my desk in a very long while. Cutting straight to the chase, so to speak, here’s a live real money account link refreshed for the month of March:

• Live Sparrow account performance

  The REAL highlights are:

  • 4.4% drawdown – this is stunning and very few accounts can even come remotely close to this number;
  • Self imposed maximum drawdown limit of 11.5%;
  • Principle guaranteed by the broker – not to be confused with a claim that the trading system cannot lose, but they are confident enough in the system that they will undertake to cover any loss of principle (which to date has not occured)!

  As outlined previously, the system itself is the product of years of development with the private traders involved prior to the official offering to clients, which commenced some 2 years ago. If you’re genuine about long-term income from FX, then this is an account that deserves your immediate and most serious attention. The one catch, if you can call it that, is that it requires a US$25,000 minimum investment.

Another standout of all the offerings for March was the McLaren account, which chalked up an impressive 10.01% as the Scalper systems struggled by compare.

• McLaren Account for March 10.05%

  McLaren is a trend-following EA system managed by an experienced designer and trader, which can do really well in strongly-defined trends as was the flavour in March, often prospering during times that scalping systems struggle, which provides for great measure of diversifcation.

  The minimum initial investment for this account is currently US$10,000.

NMi Pendulum EA development

Continues in earnest! This is my biggest focus presently.

Our main live FWD test demo account peformed very well during March, with relatively limited maximum open position drawdown (under 20%) and posting a 9.35% month. This was entirely hands free and goes a very long way to proving the concept and possibly this month I’ll recommence real money trading with the recently selected broker with the most favorable overall package. All of this and much more has been the topic of communication directly with the development group this past month, so an official launch may not be so far away now!

Just one slight blemish on the live FWD test demo needs to be clarified – overly keen as I was to apply a recently developed EUR/USD SET file (newly developed settings for EA), I mistakenly left the lot size 10X the size it should have been, and this was on the day of the ECB rate hike decision which was a day of much whipsawing before the market broke free of its range. It didn’t take long to get into a make or break final roll of the dice, the account needed the EUR/USD to dive to save the day, instead it rallied and turned the 4k demo plus all its gains into a $563 account. So be warned… and make sure you have your money management (MM) set up correctly!

This week however I’ll be cranking up a new live FWD tester that will be the mirror of a live real money account to be setup shortly thereafter. All of the lessons learned from the previous account, as well as all of the most recent developments and EA upgrades will be applied to this account (and be made available to the pre-release group).

NMi Managed accounts moving forward

The behind the scenes R+D on several promising managed accounts and EA systems continues, which as previously undertaken we’ll expand upon more in a future blog post whereupon you can better judge the long-term performance. As part and parcel of an official managed account service offering, we can also more fully explain the other performance characteristics. Discussions are also still underway with a trader previously mentioned that has 2 extremely promising systems that are performing very impressively.

The long AUD account saw quite a bit of action this month and provided some real food for thought. The Japanese earthquake + nuclear disaster caused a rapid liquidation of AUD positions in the market versus a range of currencies, including all the ones that this account was short! It was truly a “black swan” event.

The live FWD test demo saw hefty open drawdown, and even took a couple of losses. Then inside of the month and more so to date, the AUD bounced back against all the currencies and then some more (so too this account) – it was an extraordinary buying opportunity in hindsight but at the time the market was crashing, you’d be a brave person to stand long in the face of it with leverage. The live FWD test account prospered in end, even with some trades that hit their stops included while I elected to take a live 20% (approx) loss versus chancing where the bottom may be.

• Live AUD forward-test demo

  This is a medium risk fundamentals based grid trader and risk is reduced on LIVE real money account.

• Live MIRROR forward-test real money

  This is a low risk trend-following grid-based trader, run at low risk on LIVE real money accounts. It won’t set any records in the ROI department but it’s a very easy to live with account in that drawdowns are very low. Named the Mirror account because it’s run with a unique tweak, it’s two EA’s set to run identically except that one instance takes long-only trades and the other instance takes short-only trades. As one side goes into drawdown, the other side acrues balance gains and over time gradually the edge plays out.

As always, if you’ve any questions please feel free to ask by leaving a comment below, or you can use the contact form to reach us directly on any of the above mentioned items. Either way we’ll always aim to give you a quality response by the next business day.

In this update we cover the still running the pre-release programme of our long awaited Pendulum EA, with the help of some lucky traders who are helping us to fine-tune the last details, after some 8 months – I lose count – of development. And you’ll find a link to view the progress on a live forward-test Pendulum account. Also in this update, we consider the possibility of introducing a new managed account programme (or two!), as well a closer review of two of what we believe to be the cream of the crop in our Managed FX Introductions Portfolio: I’ll expand on all this further below, but if you’re impatient then you can hop over to the Managed FX Account Introductions section of our website now. Bear in mind that we quote the gross figures on that page, whereas the account links we provide in these updates reflect lower figures because they are calculated after performance fees have been applied. I’ll wait while you peek.

…And now that you’re back, let’s get down to the nitty gritty of our Guardian accounts.

Official January Results

• NMi Guardian Account: -1.9%

  This is for the standard-leverage option, which is otherwise still building to 1.5% base-risk per trade, while at times half-risk trades are also applied.

• Guardian Account: -3.8%

  For the double-leverage option with 3% base-risk per trade, while at times half-risk trades are also applied. Some accounts saw -5% depending on changeover to 2X accounts portfolio.

The bottom line department for the Guardian account portfolio has been disappointing for the past 6 months – but still far from a disaster, with accounts living to trade another day with most of their equity intact. From a personal perspective, as I’ve said all along, I remain very confident with Laurence’s trading, and I view him as one of the best long term prospects I can name, and have staked a large part of ’s own managed account success on his continued good trading. That being said, there’s no looking past 6 months of rather sideways performance, during which Laurie has been prevented from being as profitable as he could have due to a combination of factors: the market being different; the approach itself going through a lean patch; some overly adverse risk aversion tactics; as well as some technical limitations. In all, this results in a less than acceptable performance. Suffice to say, we have currently ceased trading on the Guardian accounts portfolio, and suggest exploring the other options available in our managed FX account offerings.

Managed FX Introductions

We’ve been providing introductions to several accounts for some time already and, as we announced last month, we’ve more recently discovered a real gem: This provides a very exciting account option for you, especially now that we’ve been observing performance and conducting due diligence for some time. Of course, I’m referring to the Sparrow, which just chalked up another profitable month:

• Sparrow Account: 8.84%

The Sparrow account is one of the best, if not the best managed account program that has passed over my desk in a very long while. Cutting straight to the chase, so to speak, here’s a live real money account link refreshed for the month of February:

• Live Sparrow account performance

The REAL highlights are:

• 4.4% drawdown – this is stunning and very few accounts can even come remotely close to this number;
• Self imposed maximum drawdown limit of 11.5%;
• Principle guaranteed by the broker – not to be confused with a claim that the trading system cannot lose, but they are confident enough in the system that they will undertake to cover any loss of principle (which to date has not occured)!

The system itself is the product of years of development with the private traders involved prior to the official offering to clients, which commenced some 2 years ago. If you’re genuine about long-term income from FX, then this is an account that deserves your immediate and most serious attention. The one catch, if you can call it that, is that it requires a US$25,000 minimum investment.

Another standout, that also deserves your attention is the Precision account.

• Live Precision account performance

A high frequency, heavy trader, this account has, to date, been the standout of all four accounts offered by this particular service provider. Primarily, it is a scalping-based managed account running a diversified strategy, where the gains can come in thick and fast, although this comes with the inevitable drawdowns along the way. If you are blessed with a long-term outlook and own a healthy risk appetite then I’m certain that you will find this one appealing as it’s one the best live money peforming accounts of its sort.

Precision has achieved a average monthly ROI (after performance fees) of over 6%, which equates to a better than 100% annualized real return. The minimum initial investment for this account is currently US$10,000.

NMi Pendulum EA development

Continues in earnest!

A separate and more complete update will follow soon, but to whet your appetite, here is a link for a low risk/conservatiive live forward test demo account starting from a US$4,000 initial investment:

• Live Pendulum account forward test demo

NMi Managed accounts moving forward

As always, the order of the day is business as usual. Despite the “time-out” for ’s Guardian trading services, the development of our current managed Guardian account programme continues apace, and we are already exploring some new options on that front.

The behind the scenes R+D on several promising managed accounts and EA systems also continues, which I’ll expand upon more in a future blog post whereupon you can better judge the long-term performance, and the other performance characteristics can also be more fully explained as part and parcel of an official managed account service offering.

For now, here are the links to a pair of live forward-test demo accounts that is running, upon which 2 x real money CHF4,500 accounts are now modeled and in live trade (and we’ll post the live account links as soon as they accrue some more substantial history):

• Live AUD forward-test demo

  This is a medium risk fundamentals based grid trader and risk is slightly reduced on LIVE real money account.

• Live MULTICURRENCY forward-test demo

  This is a low risk trend-following grid-based trader, with risk reduced on LIVE real money account to easily avoid the losing trade basket shown in the demo test account. Run with a unique tweak on best performing currency pair, mirror applications of identical EA system set to seperately run long-only and short-only. As one side goes into drawdown, the other side acrues balance gains.

As always, if you’ve any questions please feel free to ask by leaving a comment below, or you can use the contact form to reach us directly on any of the above mentioned items. Either way we’ll always aim to give you a quality response by the next business day.

Because I am absolutely convinced that this is the best business in the world!

But why you might ask… well, let’s compare it to a typical business:

1. There is no outlay for office rental, or reason to otherwise tie up considerable capital (unless it provides a decent return), or for paying a mortgage on the office. Forget the inventory costs usually associated with setting up an office – all that’s absolutely required is a computer, and perhaps occasional access to a scanner and a fax machine.

2. There’s absolutely no dealings with Realtors, Lawyers, and other government departments (phew!!).

3. No staff are required in most people’s FOREX business, which means: no superannuation of 401′s/retirements fund to pay into; no tax submissions; no quarterly activity statements.

4. Setting up in a zero corporation-tax low regulatory jurisdiction, operation of a FOREX business becomes even simpler, with absolutely no reporting requirement associated with the company (aside form your personal interest, of course).

5. Vast scope for auomation and efficiencies of scale.

6. No inventory, stock or produce to buy, store and deliver. This means: no wastage; no theft of stock; no slow moving items clogging up a warehouse; no funds tied up in inventory; and no issues with shelf-life of product.

7. You can “borrow” as much as you want (by increasing your leverage), whenever you want. (Try running a big business and going to the bank for a short term loan for US$10 million… it will take a month at the minimum, even you can even get the loan at all). At our trading volume runs into the mIllions of dollars, but this is effectively loaded from the broker and it’s available instantly at the click of button.

8. If the business becomes a hassle for whatever reason, you can shut it down – that is, close all open positions, turn off your robots and automated trading system, and withdraw your account from being actively managed on the same day you make that decision.

9. You can also very easily re-open your business – turn back on your robots and automated trading system and assign PoA to your account managers whenever you want to.

10. You can scale your business to whatever size you want, simply by increasing/decreasing your positions and or by adding to or withdrawing capital from the business account.

11. Absolutely minimal paperwork. Simply send your 12 month summary Profit and Loss Statement to your Financial Accountant for tax payment purposes.

12. You can trade from anywhere in the world. You and your family can travel for most of the year. Just take your laptop or PDA and conduct the business of FX while sipping on a Pina Colada in Tahiti.

I could keep telling you more of the benefits of this business, but absolutely without any doubt… we believe this is the best “business” in the world. The team at , who reside in locations scattered across the Globe (Australia, Thailand and Belgium) run a multi-multi-million dollar business almost entirely from our laptops.

It has been debugged for some time already, and by now has been running on live FWD test accounts for months; and then more recently a live real-money testing account. I have confidence in the EA’s execution and I fire it up on my live account regulary between testing each new version that arrives into my inbox.

Points of relevance:

• It is designed to run entirely as a hands-free auto-trader;
• 2010 backtest shows close to 20%/month with a 35% relative drawdown (down from 47%);
• It requires USD1000 minimum investment, and the ROI figures I quote are based on that with starting lot size of 0.01;
• It’s based on a 100%-win-math hedging grid-system;
• It is extremely aggressive in the way it goes about its business, trading every day, it is not designed to be a slow-and-steady trader, rather it’s specifically designed for the “Casino Win”.

20% monthly ROI may or may knock your socks off, but what will is the extremely low average drawdown in terms of occasionality and duration. This absolutely begs the use of multiple currencies simultaneously (I have 4 sets for EUR, CHF, GBP and JPY X USD crosses) set to run at 15-20% a month each, which gives rise to tremendous potential ROI (cumulative potential return of 50%+/month).

It will become a commercial release through Clickbank in February and the options with regards using it will be either a monthly subscription plan, or a more expensive one-off unlimited license. And, of course, all users will receive dedicated forum support through our website.

My special pre-release one time limited offer for, which Ive extended to 2 other groups that I post to is 20 unlimited advanced version copies for a genuinely low one off cost of USD$100. This offer will also come with the option to chat with the developer (me) 1-1 via skype which will not be offered with the commercial release.

Additional Technical Considerations:

• Aggressive Martingale component;
• Must run with 400-500:1, hedging, 0.01 lot size increments with no upper lot size limitations;
• Ideally a 4 digit fixed spread versus a 5 digit floating spread;
• The #1 broker choice for this system is without doubt Tradeview FX because it offers a rare combination of all the above and increments its micro (0.01) lots into the nano lots (0.001) which provides for a more immediate and effective compounding effect (Tradeview FX unfortunately cannot accept US or Canadian residents, but we are currently exploring and testing options for you).

Further details:

• Backtest data link;
• System design outline;
• A Trade Day.

Shortly after receipt of payment (email me for the payment link), I will send you a zipped folder complete with the EA and Library file, SETS I have developed for the EUR/USD, GBP/USD, USD/CHF and USD/JPY pairs along with complete detailed 2010 backtests for each.

This offer will expire as soon as these 20 copies are taken up, so this is your chance to now to obtain an unlimited advanced version free of any future monthly subscription fees and be in the inner circle, so to speak.

Official January Results

• NMi Guardian Account: +1.14%

  This is for the standard-leverage option, which is otherwise still building to 1.5% base-risk per trade, while at times half-risk trades are also applied.

• Guardian Account: +2.44%

  For the double-leverage option with 3% base-risk per trade, while at times half-risk trades are also applied.

  From a personal perspective, as I outlined in the previous end of month report, I remain very confident with Laurence’s trading of the Guardian account portfolio, and I view him as one of the best long term prospects I can name and have staked a large part of ’s own managed program account success on his continued good trading. He trades sensibly and I have little doubt that year to year accounts will grow – maybe not as fast in some periods as others but then I doubt you’ll ever hear of a significant bad loss either and that’s why I have no hesitation in suggesting his 2X leverage option. Like any trader though, they are measured by performance and to date Laurence’s results haven’t quite measured up, which he fully concedes as well. I have noticed from my observation that he very often gets stopped out for a small loss or at break even before trades go on to be winners, and that the direction he sets his pending order is very often in the right direction, but the market doesn’t come back far enough to engage the pending orders he has waiting.

  If you have a healthier risk appetite and you’re looking for alternatives I can certainly point you in the right direction, with multiple options available through our Managed FX Account Introductions program ranging from high frequency scalpers to medium trend following styles of trading.

• New Millennium Gold Rush

  We’d like to continue to remind you of this very simple, long-only gold trading system; designed with non-traders in mind, but who would still like to make direct investment decisions. If you’re a gold bug, then you should see what this has to offer, in short: gold with leverage. And in this current market, it can’t fail to be successful!

  Recently we’ve been receiving some inquiries on why the more recent results haven’t been posted and quite simply it’s because we’ve been a bit slack in that department while focusing our efforts in other areas. However, I undertake to post an update on this system soon by running a simulated backtest of the system from the period that the last results were posted – which will be almost entirely and 100% indicative of exactly how the system would have performed with a live real money account. I also undertake to commence a live forward testing demo account funded with USD10k and provide login details so that you can see for yourself exactly how the system works to better judge its merit.

Managed FX Introductions

Aside from the 3 accounts we’ve been referring business to for some time, there’s a new and very exciting option that I’ve been observing and conducting due diligence on for some time. A select few of you have already received a heads up on this, but it’s performed so well already that today I’m making the official announcement so that you can get on board too!

We refer to it as the Sparrow account and it’s one of the best, if not the best managed account program that has passed over my desk in a very long while. Cutting straight to the chase, so to speak, here’s a live real money account link for your review:

• live Sparrow account performance

Given that trading on this account didn’t commence until the 22nd day in July 2010, it can comfortably be said that the monthly results to date are in excess of 10% monthly. As good as 10% monthly is in its own right, the REAL highlights are:

• 4.4% drawdown – this is stunning and very few accounts can even come remotely close to this number;
• Self imposed maximum drawdown limit of 11.5%;
• Principle guaranteed by the broker – not to be confused with a claim that the trading system cannot lose, but they are confident enough in the system that they will undertake to cover any loss of principle (which to date has not occured)!

The system itself is the product of years of development with the private traders involved prior to the official offering of it to clients, which commenced some 2 years ago. If you’re genuine about long term income from FX, then this is an account which deserves your immediate and most serious attention. The one catch, if you can call it that, is that it requires a USD25k minimum.

I know this rules out a lot of investors, especially given that our offical policy here at is to diversify your funds across the entire range of of accounts listed at , but in response to the demand that I know exists for this pedigree of account from folks that can’t meet the minimum – including family members and some friends, I will be making a private offer with regards participation in it. The short story is that a company of mine will accept loans to it, at 5k minimum, to be placed into a group deposit to participate in it.

Don’t be mistaken about this and presume that it’s something I want to turn into a big project, because that’s not my intention and as soon as I/the company has secured the minimum loan capital to participate (plus some), which I expect within the next week or two, then the offer will be closed off to future particpants. As I said, this is primarily to allow friends and family to participate that would otherwise be precluded due to minimum USD25k requirement.

NMi Pendulum EA development

This project has made much progress, being my pet project, and we have conducted a small pre-release of the system to some folks in a forum I regularly post on (Sovereign Life). This past week has been a bit of a shakedown prior to the official release of this system – which will probably find it’s way into your inboxes soon, care of the efforts of our affiliate promoters (sorry folks!!).

That being said, I still have some pre-release copies left and I’ll post out the pre-release offer as a separate communication so that this update is not overly large, as there’s a few significant details to cover.

Keep an eye out for this, it is truly your chance to become part of the inner circle, so to speak. It will require a bit more effort on your behalf given as it’s in the pre-release stage but you’ll also receive a special deal for the life of the product that those awaiting it’s release through the usual avenues will not receive. These are valuable benefits for itself with the pre-release version in advance of the official release and that’s why I’m doing it.

The offical release via the usual terms you’ll see the EA system offered is expected to commence some time during February 2011.

NMi FX Forum

We still plan on opening our forum to the public with details as outlined in my previous December post out but after much deliberation it’s been decided to hold back the full release so that we can focus our attention on using it to provide the required dedicated support for the Pendulum EA, which as outlined above, we expect to get the green light on some time during the course of this month of February.

NMi Managed accounts moving forward

Business as usual is the order of the day. Aside from the development of our current managed Guardian account program, we’re continually working away behind the scenes doing some R+D on several promising EA systems which I’ll expand upon more in next months post out.

As always, if you’ve any questions please feel free to ask by leaving a comment below, or you can use the contact form to reach us directly on any of the above mentioned items. Either way we’ll always aim to give you a quality response by the next business day.

It’s been a decent start to the Guardian managed program, with our Head Trader having posted three-out-of-four positive months to date, and all four with superbly consistent risk management practices. Your results could have been improved even more with often just a pip or two separating a good entry from a missed entry opportunity, or with stop loss orders being tripped just prior to good trades, as well as multiple break-even trades being tripped out just before going on to be great trades. Laurence himself is rather disappointed, knowing how much better his results have been previously, due in part to his being too risk adverse, and not taking some trades on client accounts that he did take on his own account. He’s only human though and understands what must change and has undertaken to do as much; there can be no doubt that he is an excellent trader, and just needs to ensure that he trades client accounts just the same way he does his own – with 100% confidence.

From a personal perspective, I have to say that I remain very confident with Laurence, and I view him as one of the best long term prospects I can name and have staked a large part part of ’s success on his continued good trading. He trades sensibly and I have little doubt that year to year accounts will grow – maybe not as fast in some periods as others but then I doubt you’ll ever hear of a significant bad loss either and that’s why I have no hesitation in suggesting his 2X leverage option. For those with a healthier risk appetite I can certainly point you in the right direction, with multiple aggressive scalping options available through our Managed FX Account Introductions program.

Official December Results

• NMi Guardian Account: +0.6%

  This is for the standard-leverage option, which is otherwise still building to 1.5% base-risk per trade, while at times half-risk trades are also applied.

• Guardian Account: +1.9%

  For the double-leverage option with 3% base-risk per trade, while at times half-risk trades are also applied.

• New Millennium Gold Rush

  We’d like to continue to remind you of this very simple, long-only gold trading system; designed with non-traders in mind, but who would still like to make direct investment decisions. If you’re a gold bug, then you should see what this has to offer, in short: gold with leverage. And in this current market, it can’t fail to be successful!

  The system is enormous value to the right individual at the current price of $99. When applied to an account funded with $10,000, the very first trade will net you $500 profit. This system is so straight forward that it will take less than an hour of your time to understand and setup.

  As a gesture of ’s support of the Sea Shepherd Organisation, who save thousands of Ocean creatures each year from unlawful and inhumane deaths, we donate 50% of the revenues generated from this product to their cause. If you still haven’t taken advantage of this system, click the heading above to learn how it is that you can buy 10k worth of Gold and and 10k worth Silver with just a 10k deposit AND do your bit for the Oceans and its creatures.

Pendulum EA development

The never ending story of our Pendulum EA continues relatively unabated (aside from some well-deserved time taken out over the Christmas and New Year holidays). Being as confident as I could possibly be at this stage with the final recent shakedown proving that this version is good to go, the setup of a live account for trading got underway over the past 2 days and pleased as I can be to say it posted 2% both days, all flat to the market.

The long lingering extremely hard to crack bug has finally been cracked thanks to the diligent efforts of the coder and countless hours.

With only some small refinements outstanding before the official release, the transition from the original concept to this end product is now almost complete. There is still much more future development in planning too, for which I’ll release further details in due course.

NMi Managed accounts moving forward

Business as usual is the order of the day. Laurence will be recommencing trading this week, and we’ll also be putting the final touches on a new brokerage arrangement with Sparen FX, allowing him to trade a MAM account that will offer you a new brokerage option.

We’re continually working away behind the scenes, and have been doing some R+D on several promising EA systems. The highlights so far have been the directionally biased long AUD account, and a Multi-currency account, which have both shown fantastic performance – particularly when used on the EUR/USD pair.

1. Australian Dollar Account – based on fundamental carry/swap trade and strength of resource/China boom;
2. Multicurrency Account – multi-currency trend following EA;

The Multi-currency EA system is so good that we’re compelled to working towards the establishment of a MAM account at Sparen FX for this one – more details to follow. The long AUD account is a bit more controversial, with some folks becoming increasingly bearish on China and with that having doubts about the continued strength of the AUD. However, while this trend continues the account’s performance speaks for it itself, and is really something that I should have been running for some time already. Of course, no one can know for sure how much longer the trend can go on, but for now the AUD continues to make higher highs on both USD and EUR.

NMi FX Forum

We still plan on opening our forum to the public early in 2011, but are currently deliberating on how to synchronise it with the release of our Pendulum EA which seems to have “arrived” at about the same point in time!

If you haven’t been following these monthly newsletters, I should reiterate that our forum will contain in depth information on some interesting EA project accounts we run, as well as additional insider details about those accounts. In fact, we’ll be disclosing the EA’s that we use, along with extra insiders’ information on best practices for their optimal use, and where and how to obtain them. In due course, our plan is also to work the best of these systems into the managed account offerings, and especially to cater for individal needs. Bonuses will include a free EA or two of our own design as well as leads on some of the best how to trade mentors, signal accounts and even some interesting “off the shelf” options that you won’t usually hear about. Ultimately this forum will become the culmination of anything and everything that’s passed our desks, or come through our network of connections, and that we think has seriously good merit for anyone interested or who is already invested in the FX market.

As always, if you’ve any questions please feel free to ask leaving a comment below, or you can use the contact form to reach us directly. Either way we’ll always aim to give you a quality response by the next business day.