Taylor Growth Managed Accounts, otherwise referred to as the trading strategies, is the result of several years of research in systematic trading methods. Our research team had created various versions of trading software based on different trading approaches. However, in our opinion a systemic approach using a mathematical algorithm with calculated entry and exit positions, repeated systematically and without emotion through computer trading, resulted in the product we
believe, is capable of generating solid and consistent rates of return. Money management is at the core of these systems. The lack of a regimented money management strategy is one of the leading causes of failure for self traders.
The specifics of these trading strategies is proprietary, but the following pairs are frequently
traded: Specifically, the currency pairs EUR/CHF, CHF/JPY, AUD/JPY, AUD/USD, USD/CAD, EUR/CAD, EUR/JPY, EUR/USD, GBP/USD, GBP/JPY, USD/JPY are routinely traded. Other major currency pairs and their cross pairs between such currencies may also be traded.
Additionally, small amounts of spot gold XAU/USD may also be traded from time to time as a hedge against the US dollar. In this way the trading system diversifies across different economic regions of the world. Trades are entered for both short and medium term positions with a computer algorithm.
A mathematical algorithm places trades based on historic price action. Positions are placed to
major market trends that surpass technical support and resistance levels, otherwise known as breakouts, and trend reversals.
Ideally, terminating, moving, or withdrawing money from accounts should be timed when the balance of open trades is at a minimum. The CTA uses a master trading account to trade all of the client accounts. Trading on the master account must be suspended temporarily for a client to withdraw or add funds. For these reasons, prior notification of the withdrawal is a helpful courtesy for our trading team (though not explicitly mandated).
Intraday Trades – As these trading strategies employ intraday trading, the client should understand that the principle risk factors on pages 12 thru 14 of this document. Additionally, as intraday trading relies on only brief time frames and market movements to make a profit or loss, intraday trading can be particularly susceptible to electronic infrastructure outages, and other risks that can affect intraday positions such as: leverage, market risks, volatility, execution delays, slippage, widened spreads, news events, government policy announcements, interest rate
changes, patterns of trade and war or other military conflicts. No assurance can be given as to when or whether adverse events might occur that could cause significant and immediate loss in value of a client’s account due to rapid moves or inability to access and manage intraday positions.
Due to day trading’s typically increased trading activity, your total transaction costs, paid for in the spread, will also increase. For each position entered the spread will have to be paid first and
requires additional profit to cover all of your trades.
Intraday trading generally is not appropriate for someone of limited resources and limited investment or trading experience and low risk tolerance. You should not fund intraday trading activities with retirement savings, student loans, second mortgages, emergency funds, funds set aside for purposes such as education or home ownership, or funds required to meet your living expenses.