The Profitable Art and Science of Vibratrading – Lim Mark

Course Overview

A new and revolutionary perspective on trading and investing, Vibratrading provides a powerful methodology for extracting profit. Non-directional, it is designed to appeal greatly to the vast number of directional traders consistently struggling to keep from losing their trading accounts. Providing a better, safer way to participate in the markets to make consistent profits, it is the only book you need to gain a crucial competitive edge.

Course Outline

CHAPTER 1 Challenge to Conventional Trading and Investing 1

• Directional vs. Non-Directional Methodology 1
• Problem of Maintaining Long-Term Consistent Positive Expectancy 3
• Predictive vs. Reactive Approaches to Risk in Trading 5
• Trader Inactivity and Volatile Price Activity 6
• Subjectivity vs. Objectivity in Trading and Investing 7
• Filtering and Trade Signals 9

CHAPTER 2 Understanding the Basics of Order Entry 13

• Common Trading Terminology and Definitions 13
• Common Orders 15
• Entry Orders for Bounded Vibrational Trading 17

CHAPTER 3 The Objectives of Vibratrading 19

• Vibratrading as an Income Strategy 20
• Introduction to the Components of Vibratrading 21
• Main Components of Vibratrading 24
• Meaning of the SISO and SOSI Acronyms 29
• Basic Scaling Entries and Exits 31

CHAPTER 4 Controlling Risk in Vibratrading 35

• Types of Risk 35
• Risk Control Mechanisms 36

CHAPTER 5 The Mechanics of Equity-Based Price Action 47

• Equity-Based Calculations 47
• Market Value vs. Profit Potential 48
• Price Leverage Ratio (PLR) 49
• Money Leverage Ratio (MLR) 53
• Buying Leverage Ratio (BLR) 53
• Account Leverage Ratio (ALR) 58
• Calculating the Initial and Current Market Value 62

CHAPTER 6 The Mechanics of Securitization and Monetization 63

• Monetizing in Margin and Non-Margin Accounts 65
• Securitizing Profits and Risk Capital 67
• The Basic Principles of Price Action 68
• The Effects of Negative Spread Bias on Reward to Risk Ratio 73
• Hedged Price Action Principles 79

CHAPTER 7 The Principles of Boundedness 83

• Capital Boundedness 86
• Directional Boundedness 92
• Range Boundedness 94
• Order Entry Boundedness 97

CHAPTER 8 The Mechanics and Dynamics of Vibratrading 101

• Vibrational Operations, Mechanisms, and Constructs 102
• The Scale Factor 105
• Capstone Mechanisms 108
• The Macrososi Vibrational Mechanism 109
• Macrosimo Mechanism (Upbuy – Upsell) 114

CHAPTER 9 Pyramidal-Based Vibrational Mechanisms 121

• Microsiso 121
• Interval Slip-Through 125
• Macrosiso 129
• Extracting Macrosiso Vibrational Profits 134
• The ‘‘Arbitrary’’ Vibrational Construct 140
• Upside Bounded Macrosiso and Microsiso 144
• Unbounded Upside Macrosiso Mechanism 145
• Unbounded Hedged Vibrational Constructs 145

CHAPTER 10 Diversification in Vibratrading 147

• Bounded Versus Unbounded Zero Test Level Event 148
• The Six Levels of Diversification 150

CHAPTER 11 Volatility Matching 157

• Historical Range Volatility (HRV) 157
• Event Trading (High Volatility Trading) 158
• Range Zoning (Medium to Low Volatility Trading) 158

CHAPTER 12 Putting It All Together, Finally! 161

• The Return Characteristics of Vibrational Constructs 162
• A Brief Guide to Understanding the Scale Analysis Tables 162
• Introduction to Vibradirectional Techniques 172
• Calculating Working and Running Capital
• within Vibrational Grids 176
• Free Swing with Constant Capital per Level with Type 1
• (Roll to Break-Even) 183
• Gaps in the Grids 187
• The Balance Between Opportunity Cost and Profitability 189
• Free Styling across Multiple Levels without Risk Freeing 198
• Unbounded Bidirectional Profit Capture Constructs 200
• The “Big Hedge” Technique 202
• The “Small Hedge” 203
• The Upside Short Hedge 204
• Zero Cost Hedging Technique for “Loading the Matrix” 205
• More Constructs 206
• Exiting With Profit 211

CHAPTER 13 The Vibrational Vehicles 213

• Characteristics of Exchange Traded Funds (ETFs) 214
• Types of Risk Associated with ETFs 215
• Funds to Avoid In Vibrational Trading 217
• The Replicated ETF Portfolio 222

CHAPTER 14 Comparison with Other Trading Systems 225

• Vibratrading vs. Scale Trading 225
• Vibratrading vs. Dollar Cost Averaging 225
• Vibratrading vs. Value Averaging 226
• Vibratrading vs. Buy and Hold 226
• Vibratrading vs. Directional Trading 226

CHAPTER 15 Profiting from Non-Vibrational Flatline Price Action 227

• The Basis for Non-Directionality 227
• Riskless Short Options Trades 228
• Using Short Options in Vibratrading 228

CHAPTER 16 Summary of Vibratrading 229

• The Two Rules of Vibratrading 229
• A Quick Recap 230
• Choosing a Vibratrading Construct 234
• The Importance of a Balanced Pyramidal Structure 238

Conclusion 239

Index 241

What Will You Learn?

• Know a powerful methodology for extracting profit
• Learn a radical new trading strategy, Vibratrading™, that the market cannot move adversely against
• Understand how a scale trader can enter the market at any level, without being restricted to entry at the “conventional lower end” of the instrument’s historical range
• Know the important techniques of securitizing and monetizing profits with emphasis on risk-free vibrational share accumulation

Who Is This Course For?

The Profitable Art and Science of Vibratrading is for those who only trade equity ETFs and commodity-based CFDs