FREQUENTLY ASKED QUESTIONS

1) What is Reverse Motion?
RM is a fully-automated trading system that is designed specifically for today's top trading platforms. When you subscribe you will be given the contact information of a representative at an available platform that will help you to set-up a new futures account to have the trading software activated. All new subscribers will only need to pay a one-time $250 Licensing Fee to have the software installed to their trading platform. The recurring monthly subscription fee takes effect 30 days thereafter.

2) What separates the RM system from any other trading system available today in the global investment community?
RM has had only one losing year since we began tracking the system starting in March 2001 to present. In 2003 the loss was just under 3k for the year or 6% on a 50k starting balance.

3) What is the minimum amount of money required to trade the RM strategy?
A minimum of $5,000 is required to open a futures trading account and to start trading RM. The RM strategy is programmed to initialize trading with a 2 Lot entry and then trade a 1 Lot thereafter regardless of account size. 

4) Do you recommend opening a futures account to trade the RM system with more than the $5,000 minimum requirement?
Yes, we recommend $50,000 for the following factual reason: Based on historical data for the RM system since March 8, 2001, the more available funds in the trading account the more time is provided for the RM trading system to reconsolidate potential drawdowns and return to previous profitable levels. Past performance is not indicative of future results.

5) Which trading platform is RM currently available for?
RM is currently available for the Tradestation platform. Additional platforms are now in development.

6) Does RM utilize a stop-loss?
Yes. When trading the RM system there are two stop-loss systems pre-programmed to protect profits and minimize losses. As soon as the session begins trading you will be able to immediately view on your screen the exact price levels where a stop-loss is positioned for the day. For very extreme cases a second stop-loss preventative measure is also always in place to automatically kill the system and trigger a break from trading until end of session.

7) How do I get billed for the RM system? Can I cancel at any time?
The RM system is billed monthly on a credit card until you decide to cancel. There is no long-term contract and you are free to cancel at any time. New subscribers are only required to initially pay a $250 Licensing Fee which covers installation of the RM system. The monthly subscription fee automatically begins 30 days after purchase.

8) What is a fully-automated trading system?
The RM system is designed to run with no manual input required from the user. In the software package there is a box to check that will set the program to automatic. This means all trades will be executed according to the strategy without you having to approve each trade. You can uncheck the box at any time and disengage the system. By unchecking the box you can also view the system live in real-time on your screen without having to actually trade the system.

9) How many lots does the strategy trade? Can I modify this? The E-mini strategy trades 2 Lots for the first trade of the day and then trades in 1 Lot increments for the remainder of the day.  We can modify the program to meet your needs.

10) If I choose to modify the program to increase the number of contracts traded, will my monthly subscription fee increase? Yes. See our fee schedule and terms on the License Agreement page which is found on the Order Form (See Article 6).

11) Will I be able to withdraw funds from my trading account once I am set up to trade the RM system?
Yes. You always have complete control of your trading account at Tradestation. You can quickly withdraw or add funds to your futures account at any time by contacting your broker at Tradestation with immediate instructions.

12) Once I subscribe how long will it take to start trading my new account?
When you subscribe to RM you are immediately given the contact information of a representative at Tradestation who is familiar with the RM system to help you through the set-up process. In fact once you click the SUBMIT button at the bottom of the Order Page to place your order, the submission form automatically sends an e-mail to your inbox within seconds detailing the contact information for the representative at Tradestation. You will need to personally contact the representative in order to set up your new futures account. Generally the time required to be fully operational is between 4-8 business days.

13) Is the system available worldwide?
Yes. Even though the trading platforms are headquartered in the United States, RM is available to users worldwide.

14) Why is a $250 Licensing Fee required to activate the RM system?
Most trading platforms do not currently offer technical support to install and run third party software products. The Licensing Fee covers all necessary live support to enable the user to properly run and operate the RM system.

15) Will the system need to be reprogrammed as contracts expire?
Yes. All active subscribers will receive a customized version of the RM system every month in their email box. The updated download is sent by email monthly to subscribers in order to stay current with changes in the E-Mini S&P 500 near month delivery contract.

16) How many trades does RM make per month?
Though each month varies, on average the RM system makes between 200 and 300 trades per month depending on market activity.

17) How do you calculate weekly returns posted on the Current Year Results Page?
On the Tradestation platform RM customers can view on their respective platform how we calculate weekly returns. There is an icon atop the Tradestation platform called Strategy Performance Report. By simply clicking this icon all the data can be extracted from Tradestation regarding the RM system for the last 30 days including Time and Sales, P&L for each trade in real-time and final daily net returns. After close of Friday's session we calculate the profit or loss for each day factoring in Tradestation commissions for each trade and then we calculate the net results which are then posted on the RM website. In addition, every month after the 1st of the month we subtract the Reverse Motion monthly subscription fee of $425 from the year's total cumulative net return.