Elite E Services December 2006 Newsletter

Intelligence disclaimer: Reading and thinking on an intelligent level carries a high level of risk, and may not be suitable for all humans. A high degree of intelligence can work against you as well as for you. Before deciding to read this article you should carefully consider your objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial knowledge and therefore you should not invest time that you cannot afford to lose. You should be aware of all the risks associated with intelligence, and seek advice from an independent advisor if you have any doubts.
Forex Disclaimer: WARNING! Foreign exchange is risky! There is a very high probability that you could lose some or all of your investment. Therefore, forex should be taken with a grain of salt, by only the elite, sophistocated investor. See Risk Disclosure

Hot Systems for 2007

This has been an action-packed month of coding, partnering, plotting and planning, thinking, and getting ready for 07. We wish everyone a happy holiday season and ready to make money in 07.

CHAOS - is a short term - high frequency model. It looks for very specific conditions in the market and takes advantage of them. It has small stoploss which keeps the risk low. It might trade frequently and takes profit fast. Thus the exposure is kept low. The trades are high probability with hit rate more than 90%.

Multi Carry is a longer term system that calculates holding positions for a longer time frames and has a longer track record than Chaos, but they are part of the same family.

Multicarry, Multistep, and Chaos will be offered as managed systems through Meta Trader.

Intrepidus is being renovated for new rules and deployment in Strategy Runner and Trade Robot.

Random Access Money Management - This system tries to prove the following: The signal you trade is not important, what is important is how many lots you trade. It takes a near random signal (using an algorithm so simple it is 50/50 to win, such as if the close of the previous bar is higher than the current bar, then buy) and then it activates a complex fibonacci money management module, that advances the contract size until it reaches its desired profit level. So far, the results are superb:

The Microsoft Partner Program recognizes your expertise. Rewards you for the total impact you have in the technology marketplace. And delivers tools and resources to help your business succeed, regardless of its size or focus. Three levels of membership — with increasing benefits at each successive level — mean you can join at a level that aligns with your business strategies.

Although you may be interested in the vast benefits of foreign currency trading, you may not have the time or knowledge to trade for yourself. Through our managed accounts division, Metro Forex, Inc., we cater to busy investors who prefer to rely on our expertise to maximize their potential success in this market.

Based in New York, London, and other major financial centers, Metro Forex’s Senior Traders bring more than 20 years of solid trading experience to benefit our client base. Our foreign currency professionals have successfully traded for some of the world’s premier financial institutions such as Societe Generale, Merrill Lynch, Bank Indo-Suez, UBS, Swiss Volksbank and others. Let their expertise and experience benefit your portfolio, and share the success.

Think about it - A great deal of analytic energy is spent on price - which is by default not analysis but actually a history of what happened in the market history, by no means an indication of what will happen in the future. How can you analyze price, with a derivitive of price, such as Linear Regression or Moving Average? It is not logical to analyze price and make decisions about price. Bollinger bands are at least a deviation, not a derivative, giving an additional level of significance. Therefore, we have created an indicator that analyzes the Bollinger Bands Convergence Divergence called BACD, which uses the same calculation of MACD only using BB instead of MA.

BACD - EES has been developing Bollinger Bands systems that generate buy / sell signals on bollinger analysis. This indicator is simply a MACD of 2 Bollinger Bands.

JPMorgan, the US investment bank, has launched two indices it hopes will become the benchmarks for tracking volatility in currencies in the same way that the CBOE Volatility Index, or Vix, does for equities.

The indices launched yesterday track currencies from the leading industrialised nations and from emerging market countries. The bank will offer investors access through forward contracts that will settle against a daily fixing level.

The VXY index measures volatility in a basket of G7 currencies and the EM-VXY tracks volatility in emerging market currencies. They will fill a gap in the market at a time of increased interest in investing in currencies as an asset class among a broader range of fund managers. They could also help form trading strategies.

“Even after last month’s spike, currency volatility remains low by historical standards,” said John Normand, global currency and fixed income strategist at JPMorgan. “Yet for all the focus on this issue, there is no benchmark for tracking aggregate volatility in currencies.” The indices could also inform currency trading styles, such as carry trades.

Both indices are based on three-month at-the-money forward options, weighted by market turnover.

The weightings of different currencies within the indices are based on option turnover taken from the Bank for International Settlements’ Triennial Central Bank Survey of the foreign exchange and derivatives markets.

JPMorgan said that the weightings were fixed and would not be adjusted in future, although this could change for EM currencies which have a greater likelihood of seeing significant changes in liquidity.

U.S. Bankers Herald Financial Breakdown

This newsletter can be accessed in its entirety from this link:
http://ees.net.nz/info/ees-newsletter/12-2006-newsletter.htm

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

We have contacted you because you have at some point corresponded with Elite E Services or signed up for our newsletter. This message is an informational newsletter, not a commercial advertisement. It is compliant with all federal and state laws regarding e-mail messages including the California Business and Professionals Code, . We have provided (mailto:info@ees.net.nz?subject=REMOVE) e-mail contact so you can be deleted from our mailing list. Elite E Services USA mailing address is Po Box 1436 Swansea, SC and our website address is www.eliteeservices.net eliteeservices.net

Hot Systems for 2007

JPMorgan launches currency indices

U.S. Bankers Herald Financial Breakdown