Signal Generation Criteria
Based Upon The Powerful Double Thrust Chart Pattern

The following is the criteria or condition requirements that stocks must meet in order to produce a trade signal.  While the scan criteria follows the guidelines of The Double Thrust Stock Trading System, it goes beyond simply locating stocks forming a Double Thrust pattern.  Our more stringent criteria helps to obtain the highest quality signals. 

The Double Thrust Signal Service provides you with a professional level scan process.  You'll receive much more information than just the name of a spike producing stock.  Our rigid selection process reveals only the highest quality signals and our Double Thrust Signal Generation Report provides the detailed information you'll need to begin making informed trade decisions.

The Double Thrust Signal Service is different from any other trade service available.  And the differences begin right here... where we disclose the Double Thrust signal generation criteria and back test information.

An explanation is provided along with each criteria element to convey the basis and reasoning for the technical requirement.  You will know what conditions must exist to generate a signal and why each element of the criteria is important to trade success. 

Unlike other programs, we don't hide critical information from our customers.  See why our program is a cut above the rest.

   We disclose the full criteria. 

   Each criteria element effects trade success.
       We don't apply needless requirements.

   We explain the reasoning behind each
       criteria element & how it effects trade
       performance.

   Our database consist of over 8,000 stocks.

   Our database is updated and scans are
       performed every day the market is open.

   No need to invest hard earned money on
       charting software and data services.

   No need to waste countless hours learning
       software language and developing scan
       formulas.

   You can sit back & relax...
       We do all the work for you!

There's nothing like the confidence and enjoyment of having a rock solid trade system.  And there's nothing easier than having the highest quality trade signals delivered to your computer each evening.  The savings in time, money and frustration is invaluable.

 

SUMMARY OF CRITERIA

Here is a summary of the signal criteria.  These are the conditions and requirements which must exist in order for a stock to generate a Double Thrust trade signal.

There are seven general criteria elements.  Each is presented and is followed by a brief explanation of the reasoning behind the requirement.

Criteria #1:  An Initial Thrust & Pullback Occurs

Explanation:  The stock has made at least one thrust move, either up or down.  It has also made a pullback which falls within the defined distance of a "normal" pullback. 

 

Criteria #2:  The Stock is Beginning The Next Thrust

Explanation:  The stock has made a reversal of the pullback and is beginning to make the next thrust move.  This is the optimal time to enter the trade since the action is at or very near the beginning of the thrust.

 

Criteria #3:  Minimum Average Daily Volume of
                     100,000

Explanation:  Being able to quickly and easily enter and exit your trade is critical to success.  This is trade liquidity.  Trading stocks with low volume presents the risk of being unable to enter a position when desired or, even worse, being unable to exit a position when desired.

For this reason we have established a minimum average daily volume requirement of 100,000 shares.  While you may elect a higher minimum requirement, this volume level has shown to meet the goal of assuring easy and quick entry and exit.  The minimum average daily volume requirement is determined by applying a 50 day moving average to the volume.

 

Criteria #4:  Stock Price between $5 and $25

Explanation:  For short term trading purposes, this price range is optimal.  Stocks below $5 are often far more volatile, easily subject to manipulation and difficult or impossible to margin.  Stocks over $25 require too much price movement to generate an acceptable rate of return.  The best return to movement rate is obtained with stocks that fall within the $5 - $25 price range.

 

A Back Test is ran on each Trade Candidate.  The test covers a period of five years from the date of signal.  The following information & criteria is obtained from the back test data.

 

Criteria #5:  Average Days in Trade

Explanation:  If the stock has produced prior qualified **similar signals, we can determine the average number of days which the trades lasted.  This is based upon using a trailing stop as specified in The Double Thrust Stock Trading System.

** Note:  Similar signals mean that if the stock is producing a trade signal for a long position (a Double Thrust up move), the back test data reflects only prior Double Thrust long trades.  This is done because many stocks may perform very well on long trades, but perform poorly on short trades (or vice versa).  If the signal being generated is a long trade, for example, it doesn't matter how the stock performs on short trades.  The central issue is how the stock has performed on trades that are similar to the signal being generated.

The daily Double Thrust Signal Generation Report  will display the average number of days in trade on the prior signals for each stock.

 

Criteria #6:  Average Profitable Move

Explanation:  If the stock has produced prior similar trades, the system will display the average profit made on previous profitable trades.  Losses are always limited by the proper use of a stop loss, but here we can see how well the trades have historically performed.

 

Criteria #7:  Average Profitable Daily Move

Explanation:  By knowing historically how long an average trade last and the average profit made on profitable trades, we can calculate the average profit made per day in trade.  This can be useful since some stocks may not produce unusually high profit levels, but they earn their money very quickly.  You may feel that, based upon the historical performance, earning 10% in just 3 days is much better than earning 20% in 15 days.

 

Criteria #8:  Right Trades vs. Wrong Trades

Explanation:  Of all the similar trades produced over the five year test period, what percentage of the trades were profitable (right trades) compared to those which were unprofitable (wrong trades)?

Not only do we tell you, we automatically eliminate any signal that has historically produced more unprofitable trades than profitable trades.

 

 

The level of information provided on each trade signal is nothing less than amazing.  Using the back test data, we are able to provide a ranking of each signal.  The rank is not made by comparing one signal to another, but by evaluating the historical performance of the stock itself.  It is very possible for several stocks to have the same or similar rankings.

Many traders skip most of the back test data we provide and go directly to the ranking, since it reduces all of the historical performance into a single number.  In general, a ranking of 1% or better is a preferred signal.  This is a logical and effective initial trade selection method.

The daily Double Thrust Signal Generation Report  will give you a lot of valuable information.  Each copy will include a brief explanation of the data fields.  The following is an example of how the information will appear:

NEW SIGNALS:

Close:  Closing price on the day the signal occurred (today) 

Stop:  Enter position at opening the trading day following signal and place stop
           loss at this level (recommended).

Avg. Days:  If this stock has prior trades, this is the average number of days in a            profitable trade.

Avg. Mv +:  If this stock has prior trades, this is the average move or profit on
          
profitable trades.

Daily Mv.:  If this stock has prior trades, this is the average move made PER DAY

R vs. W:  If this stock has prior trades, this compares the number of right (profitable)
           trades to all prior trades.  50% would mean that an equal
number of trades
           were profitable as were unprofitable (7 profitable to 7
unprofitable for
           example).  Any number below 50% means more trades
were unprofitable
           than profitable.  Any number above 50% means more
trades were profitable
           than unprofitable.  So the higher the %, the better. 
Do not trade any stock
           that’s less than 50% (we try to exclude these, but
just in case we miss one).

 

Box #2  (Sorted by their Rank)

 

Total Trades:  If this stock has prior trades, this is the total number of prior trades
           the stock produced.

# Right:  If this stock has prior trades, this is the total number of right or profitable
           trades the stock produced.

# Wrong:  If this stock has prior trades, this is the total number of wrong or
           unprofitable trades the stock produced.

Rank:  This is a logical method of sorting the signals by rank.  It takes into account
           the accuracy rate, the average amount of prior moves & the amount of time
           required to make the move.  It is determined as follows: 
           Daily Move x Accuracy Rate.  The higher the rank percentage, the better.

 

NEW BUY LONG SIGNALS            
    Avg. Avg. Daily    
Security Name Close Stop Days Mv + Mv R vs W Symbol
*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=
             
APROPOS TECH 6.25 5.857 N/A N/A N/A N/A APRS
BENTLEY PHARM 12.49 12.152 N/A N/A N/A N/A BNT
LA JOLLA PHARM 3.02 2.8508 6.5 23.68% 3.64% 66.67% LJPC
LEXICON GENETIC 6.59 6.31 4 5.58% 1.40% 50.00% LEXG
TIER TECHNOLOGIE STK B 11.02 10.671 13 8.84% 0.68% 50.00% TIER
ULTIMATE SOFTWR 14.13 13.532 12 2.07% 0.17% 100.00% ULTI

 

Total # #    
Security Name Trades Right Wrong Rank Symb
*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=*=
         
LA JOLLA PHARM 6 4 2 2.43% LJPC
LEXICON GENETIC 2 1 1 0.70% LEXG
TIER TECHNOLOGIE STK B 4 2 2 0.34% TIER
ULTIMATE SOFTWR 1 1 0 0.17% ULTI
APROPOS TECH N/A N/A N/A N/A APRS
BENTLEY PHARM N/A N/A N/A N/A BNT

 

 

As a subscriber to The Double Thrust Signal Service our staff is available to answer any questions you may have.

The Double Thrust is a remarkable and powerful chart pattern to trade.  And our program is designed to provide optimal trade signals.

In addition to the detailed Double Thrust information, the Double Thrust Signal Generation Report also provides a Market Status summary.  The single greatest factor to success is trading in harmony with the broad market.  And the Double Thrust Signal Generation Report will display the current condition of the broad market.

You'll know whether the market is in a confirmed up trend, confirmed down trend or in a state of divergence.  You'll know the direction of the dominant and subordinate trend.

You'll know whether the market favors long trades or short trades.

Gain a substantial edge over the market and begin making consistent profits today with The Double Thrust Signal Service.

For a very limited time only, we are going to slash our already ridiculously low subscription fee!   But this special subscription rate won't last, so...
Act NOW!!

If you act now you can become a member and receive all the exclusive benefits of The Double Thrust Signal Service.

 

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