Thanks for reading today’s review of TradingPriceActionOnFutures.Com
TradingPriceActionOnFutures.com is a day trading educational company the focuses primarily on crude oil futures contracts. The product offering includes a live day trading room priced at $299 per month, with an initial free trial period of 5 days. In addition to the live trading room, there is a video course priced at $499.
The live trading room is operational during the following hours:
– Monday 7.00 AM – 11.00 AM
– Tuesday 7.00 AM – 11.00 AM
– Wednesday 9.15 AM – 11.00 AM *Crude oil inventories
– Thursday 7.00 AM – 11.00 AM
– Friday 7.00 AM – 10.00 AM
My original contact with TradingPriceActionOnFutures.com began during the summer of 2015. This stressed me. Typically, I love to find the titles of whomever is supplying a product. And I love to find some type of compose that explains the prior trading adventures of those people offering the item. However, the site does have a functionality page which lists the monthly gain and loss for your trading signals. However, naturally, a functionality page doesn’t mention much, and many are simply composed baloney that can’t be trusted. Therefore, my next step was to register for a 5 day trial and start recording trades.
5 Day Trial
By August 2015, I assigned my assistant Reyna to begin recording the live trading room using Camtasia screen recording software. In addition, Reyna also did her best to replicate the live trades on a trading simulator from Trade Navigator. During the 5 day trial period, she averaged one trade per day and at the end of the 5 day trial period she had profited $450 on only 6 trades.
Typically, after a trial period, Reyna provides me with a spreadsheet of trades and a draft review of what she considers to be the pluses and minus.
The following is what Reyna liked:
- Trading DOM always present on screen
- Trades were given well in advance and very easy to replicate
- Trade management was simple. After entry, the exits appeared on the screen and they were static and easy to follow.
- The profit to loss ratio was very favorable. In other words, relatively small stops with larger targets.
The following is what Reyna did not like:
- The trading room moderator is not a native English speaker and Reyna is a Filipina that speaks primarily Tagalog. However, even though there was a bit of a language barrier, she was able to easily copy the trades from the DOM and the trade stops were easily seen on the trading charts.
- This is not a high energy trading room, with the typical “entertainment” factor.
- The moderator does not speak very often, or give a great deal of “why” he was taking a trade.
Contacting the owner
Several days after the trial period, I drafted a very direct message to whomever was the owner of TradingPriceActionOnFutures.com. I explained that my name was Emmett Moore with tradingschools.pro and that we had been secretly recording the live trading room and that a written review was pending. What I specifically wanted to know was whether the trading was real, and could the owner please provide me with trading records that verified the supposed performance of July 2015. The following is what the vendor claimed during the month of July 2015:
The owner introduced himself as Alexander Soares, a full time professional trader living in Portugal. He explained to me that he could not show his individual trading records because he was being employed by a European equity provider that had been backing his trades for the past two years. I was immediately suspicious. I explained that many charlatans also claim the same sort of ruse, and what I needed was actual proof. He next forwarded me the name of the London based equity partner, whom I next emailed and subsequently spoke with over the telephone. Everything appeared to be legitimate and I was also able to verify the broker that manages the consolidated investment fund for the equity partner. In addition, the equity provider also confirmed the performance returns listed on the website.
Next, I contacted Alex Soares and requested that he verify his individual credentials. In prior emails to me, he claimed to be an architectural engineer, fully licensed and certified in The Netherlands. Since I had prior dealings with another supposed Architect, that turned out to have never been an architect and a complete fraud, I explained that Alex needed to send me proof that he was indeed an Engineer and an Architect. He then sent me the following:
After I confirmed trading performance, and I confirmed the identity of the person running the trading room, I next asked Alex Soares to please write a short summary. I wanted to know more about himself, his basic philosophy regarding trading, his highs and lows, why and how he got involved in trading, and anything else that I might find useful. He responded with the following:
This will be a quick presentation of who I´am.
I was born and raised in Holland, studied Architectural and Construction Engineering. Ended my studies is 2002, you will find a copy of my Certificate in the attachment. After I finished my studies I emigrated to Portugal, my parents are from there but they are still living in Holland. I ran a company called JS Architecture and Engineering from 2002-2008. In the beginning I liked the work that I did but here in Portugal there is a lot of corruption. I have worked for almost all of the town hall´s employees that included Engineers, Architects and Construction Supervisors that are in duty for the state. With so much corruption, it made it difficult to build a legitimate business when everyone was looking for a kickback.
Regarding my trading:
I always had a strong interest in trading, I began working with my father in the weekends and on the holidays when I was 15. At 21 years of age I realized that I did not want to have the same boring life my father had. His daily routine was working hard for 12 hours a day 6 days a week and on Sunday working in the morning. I had already some money at the age of 21 and I needed to do something with it, not spending it, but putting it to work for me. I began with stocks and then options and then finally futures.
From 2008 onward, I only concentrated on my trading, I even threw away my cellphone to cut off all my relations that I had build up from the construction and engineering world. Oh man I did get some negative feedback from family and friends by doing that. But I had to do it to focus 100% on becoming a trader, and not get distracted by anything. I traded DAX, 6E, CL and GC. I hated the CL at the time and you will see this a lot on online forums. CL is not for beginners, and I believed that you had to trade other markets like ES or 6E. But this is all an excuse. Those markets are slow moving so you are only extending your dead penalty. The market has to move to earn something. The main problem is not the instrument but the trader that is not able to analyze the market correctly. Today I love to trade CL, it moves every day, is not news driven and the only news that can move it is crude inventories, non-farm numbers and Opec meetings. If you look at the other markets there is a lot more news and other factors that can move it without respecting support or resistance.
At the time I was trading from a tick chart and not from the system I trade right now. The main problem that I had was that it was not mechanical. I needed a system that would give me the same trade no mater when or where I traded it.
In 2012, after years of struggling, and barely making a profit, I finally turned a corner and developed my own approach that is unique to me. Once I was able to display some consistency and actual proof of profits, this opened up additional opportunities to trade with several equity partners and meet people that managed equity funds. Its been a rough journey to profitability.
Now back to my trading approach, there are a lot more things involved in trading than the actual execution of the trade. The problem I see with other people is that they are focused on the small picture, trying to get 10 or 15 ticks, but they have to do their homework and look at what these small trades do to their outcome statistics. They look at win% instead of looking at win/loss ratios. They do not practice, I practice every week. I will trade the market in market replay and will look at the outcome live and in market replay. A football player trains before he is going to play a match! A great example is from last Friday, if I did not break my rules and did take every trade per the rules I would have made:
1 short +60 ticks
1 short +120 ticks
1 short +120 ticks
Instead of this I did:
1 short BE
1 short passed with the excuse of large stop loss
1 short +120 ticks
So instead of taking 120 ticks I would have made 300 ticks. Just because the day was up, it will not mean that it went OK.
So a lot of work is involved with effective and consistent trading.
Worst period I think was not being able to trade, I was simply too afraid to trade. I have overcome this by taking a break. The worst drawdown is about 5k, I never blown up an account but was close to it when I had the bad habit to raise my stop just to not get stopped out. Best month is about 10k, but remember that I´am still trading 3 contracts and will not add contracts until I´am following my rules without mistakes regarding money management.
With regards to the video course I have made an active account for you so you can have access to the material. I have to say that the course material will not teach you how to trade, it is like buying your school books and not going to the classes. The vast majority of people that are buying the course think that they can learn it in one or 2 months but the reality is that they will have to study the material, understanding what a setup looks like on the trading chart, and also come into the trading room and follow me in real time. There are things in trading that you only will see after a good amount of time, and I would say that they will need at least one full year as well as follow me in the trading room. One thing is looking at a chart and seeing things in hindsight, and another thing is having to identify it in real time. The market will only give you a few opportunities per day if there is any opportunity at all, and that is why trading is so boring. You have to stay focused for a large amount of time just to take action in a few seconds.
Another thing is when there are some bad days and this subject is really important, we cannot eliminate this in trading, you will have bad days. What I see is that people tend to lose faith, they begin to come late in the room or even not coming into the room for a couple of days just to miss the good days or the good trades. If you have a bad day at work you don´t stay at home the next day because you will get fired, this will be the same in trading. You must be committed to the task and be determined that success is your only option.
An honest trader
After interacting with Alex and getting the above response, I could sense that this guy was different. There is no puffery or ego to this guy. He is very much an engineer and is very “normal”. He does not claim to drive a convertible ferrari and throw lavish parties on a yacht. He does not date super models or claim to own a mansion. There are no claims of turning $5k into $500k in only three days. Instead, what I believe we are witnessing is a dude that is scrambling and hustling for every single winning trade. In my opinion, he represents more of the realities of actual trading, instead of the fantasies that the educational community has been selling us for years.
When I asked Alex why is he offering this service, he simply explained that has a new baby and is a stay at home dad. He could use the extra monthly income. He hopes that it will round out the bad months and give him a bit more income stability. This is a really honest answer, and I really like it. I also like knowing that for every trade that he loses, he is losing real money. This changes everything.
“The Robot” test pilot
This past December 2015, I asked Alex if he would be interested in being the crash test dummy for a trading robot that I was developing for the day trading educational community. The idea behind “The Robot” was that it would provide a tracking mechanism for trading educators, trading signal providers, live trading rooms, and trading systems. The signals and trading results would be collected into a central database that would be displayed on the tradingschools.pro website. The end result would be a 3rd party tracking mechanism that could not be gamed and readers could trust the trading results of the trading educator. Alex agreed to have all of his trades tracked. Initially, the Robot was simply a program that attempted to collect trades and in real time, email the trades into a database repository. It was a disaster. Many of the retail trading platforms are filled with bugs and constant updates which would render the Robot quickly obsolete.
After this initial disaster, and wasting poor Alex’s time, we went back to square one and built a real time tracking engine that is now (mostly) working correctly. In short, we have been collecting and refining the trade tracking capabilities using the live performance that Alex was generating on his retail trading platform.
Though the graphical interface for “The Robot” is still being built out. I can report that the results on Alex’s website for January, February, and March 2016 do in fact match the results that we were able to accumulate using The Robot. In short, you can trust the results that Alex is reporting on his performance page. During the month of March 2016, we added more robust performance metrics and I can report that The Robot gave the following results by copying all of the trades from within the TradingPriceActionsOnFutures.com trading room for the month of March 2016:
- Total Gross Profit: $4,500
- Estimated Net Profit after commissions paid: $3804
- Profit Factor: 1.39
- Max Drawdown: -$1,980 (three contracts traded)
- Contracts Traded: 174
- Averages Trader Per Day: 5.61
- Largest Winning Trade: $600 per contract
- Largest Losing Trade: -$180 per contract
- Average Time In Trade: 13.5 minutes
Sorry that I don’t have a fancy graphical display for this data. But the software developer is currently building this for “The Robot”. But these results are accurate and what we were able to generate using a simulator that required a pass through for all limit orders.
Wrapping Things Up
In the coming weeks, you will be able to soon visit the tradingschools.pro blog and see actual results that will be updated daily. These cannot be gamed or manipulated in any way. These results will also largely negate the need for “professional reviewers” like myself. And the truth is that being a professional reviewer for trading services is really not the best solution for trading products. The Robot should simply display performance metrics that are beyond fraud, and a person can evaluate whether the risk is worth it.
Recently, I read a quote from a film critique at the Star-News, out of Pasadena California. He wrote, “Most critics are educated beyond their intelligence”. This really made me laugh because its so true. Sometimes I think that I am really clever and that people should care about my opinion, but it reality what is more important is actual performance metrics. Hopefully The Robot turns my opinion into nothing more than a simple description and maybe an interesting jab at a trading fraudster.
At the end of the day, what we all want is to make trading profits. My goal is to continue to weed out the charlatans, fakes and frauds. And lift up the people that are committed to the craft of profitable trading. And most importantly are committed to long term transparency.
Don’t forget to write your comments below. Thanks for reading.