Comments on: SmartStops introduces new services http://newrulesofinvesting.com/2008/07/17/smartstops-introduces-new-services/ helping investors make better investment decisions Thu, 29 Jul 2010 10:43:58 -0500 http://wordpress.org/?v=2.8.4 hourly 1 By: Inching towards an investing app store | Tradestreaming http://newrulesofinvesting.com/2008/07/17/smartstops-introduces-new-services/comment-page-1/#comment-1004 Inching towards an investing app store | Tradestreaming Tue, 06 Jul 2010 11:22:24 +0000 http://newrulesofinvesting.wordpress.com/?p=16#comment-1004 [...] been completely lost on the incumbent online brokers (but boy, do they move slowly!).  I’ve riffed previously on how everything is moving towards the creation of investment app stores.  Much like [...] [...] been completely lost on the incumbent online brokers (but boy, do they move slowly!).  I’ve riffed previously on how everything is moving towards the creation of investment app stores.  Much like [...]

]]> By: SmartStops rolls out BrokerLink with TDAmeritrade « New Rules of Investing http://newrulesofinvesting.com/2008/07/17/smartstops-introduces-new-services/comment-page-1/#comment-16 SmartStops rolls out BrokerLink with TDAmeritrade « New Rules of Investing Thu, 14 Aug 2008 20:34:33 +0000 http://newrulesofinvesting.wordpress.com/?p=16#comment-16 [...] 14, 2008 · No Comments As a follow up to my post on July 17th where I profiled SmartStops and the firm’s innovative way of handling trading exit [...] [...] 14, 2008 · No Comments As a follow up to my post on July 17th where I profiled SmartStops and the firm’s innovative way of handling trading exit [...]

]]> By: Chuck LeBeau http://newrulesofinvesting.com/2008/07/17/smartstops-introduces-new-services/comment-page-1/#comment-15 Chuck LeBeau Mon, 21 Jul 2008 02:13:35 +0000 http://newrulesofinvesting.wordpress.com/?p=16#comment-15 Thank you for looking at our service. Our analytics are based on years of experience of our Director , Chuck LeBeau. What is quite unique about our approach is that we have deployed a multiple-switching exit strategy based on numerous conditions in order to determine the optimal exit point for the following day's market. As you have noted, we cannot disclose our trade secret but we can tell you the following: With our SmartStops methodology stops or exits will adjust up and down and tighten or widen based upon daily sophisticated analytics of market and stock behavior. With the normal fluctuation of stocks moving up and down over various periods of time, our SmartStops are carefully designed to be triggered only by abnormal weakness during these periods. We automatically adjust the exits each day to keep the exits outside of normal back and forth price action. When the volatility of the daily price changes increases our definition of "normal" also increases. This is when the exits are moved further away to prevent them from being triggered by any negative price action that is merely random. To sum things up: when the volatility is decreasing the exits will move closer and when volatility is increasing the exits will move further away. This is one of the many features that make SmartStops unique and we hope that once you have watched them adjust back and forth you will gain confidence in the logic behind these adjustments. We want to let profits run and we want to avoid "whipsaws" that are caused by getting out on insignificant declines. In general when prices are rising our exits will be farther away than when the prices are declining. We hope that helps in answering how SmartStops methodology works, but do feel free to contact us anytime at support@smartstops.net. Best regards, Chuck LeBeau Director of Analytics Thank you for looking at our service. Our analytics are based on years of experience of our Director , Chuck LeBeau. What is quite unique about our approach is that we have deployed a multiple-switching exit strategy based on numerous conditions in order to determine the optimal exit point for the following day’s market.

As you have noted, we cannot disclose our trade secret but we can tell you the following:

With our SmartStops methodology stops or exits will adjust up and down and tighten or widen based upon daily sophisticated analytics of market and stock behavior. With the normal fluctuation of stocks moving up and down over various periods of time, our SmartStops are carefully designed to be triggered only by abnormal weakness during these periods. We automatically adjust the exits each day to keep the exits outside of normal back and forth price action. When the volatility of the daily price changes increases our definition of “normal” also increases. This is when the exits are moved further away to prevent them from being triggered by any negative price action that is merely random.

To sum things up: when the volatility is decreasing the exits will move closer and when volatility is increasing the exits will move further away. This is one of the many features that make SmartStops unique and we hope that once you have watched them adjust back and forth you will gain confidence in the logic behind these adjustments. We want to let profits run and we want to avoid “whipsaws” that are caused by getting out on insignificant declines. In general when prices are rising our exits will be farther away than when the prices are declining.

We hope that helps in answering how SmartStops methodology works, but do feel free to contact us anytime at support@smartstops.net.

Best regards,
Chuck LeBeau
Director of Analytics

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