Chuck Le Beau's System Traders Club Announces Two New Systems

We are pleased to announce the release of two new trading system for the Swiss Franc. We are offering the new systems at our usual price of $250 each. Members who wish to purchase both systems as a package may deduct $50 from the total cost so that both systems would be only $450. This will be a limited time discount that is only available for the month of October.


Here is a capsule summary of each system followed by more details. For complete information, equity charts and trade by trade listings please go to our web site http://www.traderclub.com/systems.htm


The STRATEGIC SWISS System:
http://www.traderclub.com/systems_strategic.htm

The Swiss Franc remains one of the worlds most tradeable currencies and an excellent market for traders and particularly trend followers. The Strategic Swiss System is an excellent trend following system designed to follow breakouts. In our historical testing it has proven to be highly profitable and has many outstanding characteristics, especially in terms of the high percentage of winning trades and the large size of those winning trades.

The Strategic Swiss System is the first system we have published that uses the Commodity Channel Index for entries. We have also designed a new exit for this system that employs some of our most promising research in using the ADX. We think this exciting new exit will be getting us out of many trades surprisingly near their peak.

The CROSSBOW SWISS System:
http://www.traderclub.com/systems_crossbow.htm

The Crossbow System is a highly accurate trend following system designed to enter long on dips and sell short on rallies. We have also designed a simple set of exits that are able to let profits run without giving back too much of the open profits. This quick to enter and quick to exit system should be able to trade the intermediate swings extremely well. The system testing results have clearly demonstrated that this system is capable of achieving a high percentage of winning trades with relatively low drawdowns. These characteristics make the equity curve very steep and unusually smooth. The simple logic behind the entries and exits is easily understood and the strategy should prove very easy to trade in real time.


As of today these systems will become part of the Traders Club Signals Service. Subscribers to the service will receive signals for these systems along with all the rest of our systems. If you would like more information about our daily Signals Service go to: http://www.traderclub.com/signals.htm


STRATEGIC SWISS SYSTEM

Trend Following Long and Short - 78% Winning Trades - Profit Factor of 4.95

BACKGROUND: The Swiss Franc or "Suisse" remains one of the worlds most tradable currencies and one of the few remaining European currencies that has a large following of traders. Now that the Mark is no longer traded the interest in the Swiss should grow. This appears to be an excellent market for traders and particularly trend followers. There are many steep and long lasting trends that have presented excellent trading opportunities throughout many years of data. We can think of no reason why there should not be many more of these trading opportunities in the future.

STRENGTHS OF THE SYSTEM: The Strategic Swiss System has many interesting features in both its entries and exits. It is the first system we have published that uses the Commodity Channel Index for entries. We have also designed a new exit that employs some of our most promising research in using the ADX and we think this exciting new exit will be getting us out of many trades surprisingly near their peak.

Trading one contract since 10/17/88 would have resulted in a hypothetical gain of $125,300 with a maximum drawdown of $7,487.50. The system is surprisingly accurate with 78 percent winning trades (42 winners out of 54 trades), and the winning trades were larger than losing trades by a factor of 1.41 to one. The average trade (win and loss) was $2,320 which is a very respectable number. There were 11 consecutive winners and the maximum consecutive losers in the test period was only 2.

WEAKNESSES OF THE SYSTEM: Because the Strategic System requires entering after big breakouts the system is not going to be easy to trade for anyone lacking in discipline. Hopefully the unusually high winning percentage will help to bolster the courage required to follow the system and buy near the highest high point or sell short near the lowest low point. Like most trend following strategies the System is highly dependent on big trends for its big profits and it doesn't trade very often. We would also caution that the initial stops are large so any series of whipsaws could prove to be very costly.

SUMMARY: The Strategic Swiss System is an excellent trend following system designed to follow breakouts. In our historical testing it has proven to be highly profitable and has many outstanding characteristics, especially in terms of the high percentage of winning trades and the unusually large size of those winning trades. Most importantly we think the logic behind the simple entries and the very sophisticated exits is sound. The various parameters we selected appear to be robust and have a wide margin for error.

To view and equity chart, system report and trade by trade report for this system go to: http://www.traderclub.com/systems_strategic.htm


CROSSBOW SWISS SYSTEM

Buys Dips and Sells Rallies - 78% Winning Trades - Smooth Equity Curve

BACKGROUND: The Crossbow System identifies the direction of the primary trend in the Swiss Francs and then enters only on dips or sells short only on rallies. This highly accurate system was carefully designed to complement our Strategic Swiss System which is a breakout style trend following system.

STRENGTHS OF THE SYSTEM: The Crossbow Swiss System has been carefully designed to allow it to quickly recognize the direction of the prevailing trend and then to search for accurate low-risk entry points. We have also designed a simple set of exits that are able to let profits run without giving back too much of the open profits. The Crossbow System was designed to be much quicker to exit than the Strategic System and should therefore be less dependent on the length of the trends. This quick to enter and quick to exit system should be able to trade the intermediate swings extremely well.

Trading one contract since 10/17/88 would have resulted in a hypothetical gain of $101,300 with a maximum drawdown of only $5,500. The system is extremely accurate with 78 percent winning trades (52 winners out of 67 trades), and the winning trades were larger than losing trades by a factor of 1.3 to one. There were 11 consecutive winners and the maximum consecutive losers in the test period was only 2.

WEAKNESSES OF THE SYSTEM: This system relies on spotting temporary corrections within the framework of a trend. However, the risk of waiting for corrections to enter is that we might someday miss a big trend that moves a great distance without a correction. In this system we need frequent counter-trend dips and rallies to provide low risk entry opportunities. To make sure we capture those rare but very profitable trends that have very few corrections we would recommend simultaneously trading a breakout system like our Strategic Swiss System. The entry and exit techniques of these two systems were carefully designed to complement each other.

SUMMARY: The Crossbow System is intended to be a highly accurate trend following system designed to enter long on dips and sell short on rallies. Because the system holds winning positions for an average of 16 days and the winning trades average $2500, each day spent in the market is very rewarding. The system testing results have clearly demonstrated that this system is capable of having a very high percentage of winning trades with relatively low drawdowns. These characteristics make the equity curve very steep and unusually smooth. The simple logic behind the entries and exits is easily understood and the strategy should prove easy to trade in real time.

To view and equity chart, system report and trade by trade report for this system go to: http://www.traderclub.com/systems_crossbow.htm


We have produced a portfolio report for these new Swiss Franc systems with an equity chart which can be seen at http://traderclub.com/systems_combined_swiss.htm


HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN.

PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.

These new Swiss Franc systems are priced at $250.00 each and come with complete documentation, fully disclosed rules and ELA code for TradeStation and SuperCharts 4.0. If you order the systems together before the end of October 1999 you can deduct $50.00 from the price of the systems so the cost of both systems together is only $450.00 To purchase these systems using your credit card phone 310-265-9776 or send by fax to 310 265-9556. Members may also use our online order form on the web site at:
http://www.traderclub.com/systems_order.htm

Chuck Le Beau's System Traders Club
http://www.traderclub.com
mailto:[email protected]
ph 310-265-9776
fax 310-265-9556