Volume 1, Number 8        April 4, 2006                    Archives

Welcome to "BioComp Investors & Traders"
A newsletter / journal for financially interested customers and friends.

 
CONTENTS

  • Dakota is "Fun" and "Addictive..."

  • Video Swarms: Do The Swarms In the Videos Really Work?

  • APRIL 10th PRICE INCREASE: Effective April 10th, Dakota's price will bump up a notch.  Join us today.

  • An Addition to The Customer Gallery

Dakota is "Fun" and "Addictive..."

Back before Dakota was ever publicly known, we had an internal pre-beta prototype here inside BioComp.  It was circulated to staff to get first impressions.  Immediately the response was "Oh,... this is different!  I like this... there's something special about it.  I'm not sure what."  Since then our staff cannot put down Dakota.  Every day they run Dakota over and over, not just as a part of their job, but personally.

Time has passed and the other day I was talking to one of our good customers on the phone.  In the course of the conversation, he pauses... He hesitates... Then says, "I have to tell you something...  I like Dakota.  Of all the trading software packages, Dakota is different.  It's, well, fun.  ... and, um, a bit addictive."

We also see this in the active Dakota community.  Never before has our server been so busy.  Nearly every moment of every day users are running Dakota, contributing to the Knowledge Base (more than 10,000 contributions already).  Dakota users are actively creative... building 100's of bots.  And our discussion group been busy.  Back in October, November and December, we had 10's of postings each month.  Now we have hundreds per month.

As I see it, Dakota has a number of unique facets that makes it not just interesting, but addictively fun.  First, Dakota opens up your creativity with the built-in adaptive trading bots and stops and ones that you can write.  This gives you a strong element of involvement and a nice balance between adaptive intelligence and trading control.  Second, when you push the "Go" button, Dakota unfolds the bars of security data, streaming it by.  You watch as prices move, signals rise and fall, trades are executed and equity climbs, walks or declines, just as though it were real-time data.  This mesmerizing walk-forward out-of-sample trading process is as though you were actually trading in "hyper-time" and you watch to see your creativity perform.  Third, Dakota gives you performance, while hypothetical, which is about as close to the truth that you are going to get without actually trading.  Dakota does not give you back-fitted brittle systems that look suspiciously too good.  You see the good, the bad and the ugly.  So, when you create good value in Dakota, you are rewarded with an attractive equity curve that provides you greater confidence going forward.

Me?  Yes, I run Dakota a lot, myself.  I'm a Dakota Addict user, too.  Join us in the fun !

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Video Swarms: Do The Swarms In the Videos Really Work?

I took some time recently to make sure that Dakota makes money, at least hypothetically, going forward in "out-of-sample out-of-sample" (trading beyond the date that the swarms were built and saved).  Not all the swarms I have are exactly the ones in the videos because I didn't necessarily save the exact ones when I made the videos and I also have a now-hard-diskless dead laptop on my bookshelf that was used to create some of them, so some were re-created shortly after their videos were made, but they were made exactly the same way.

Here's the saved equity, the equity as of March 29th and their percent gain:

Ticker Date Saved Equity When Saved Equity as of March 29  Percent Gain (Loss)
AXP January 20th, 2006 $34.48 $37.57 8%
MCHP February 8th, 2006 $68.56 $69.87 2%
WAG February 16th, 2006 $38.82 $38.95 0.3%
PNc1 (Propane) March 17th, 2006 5795 points 6120 points 5.6%
SIRI February 28th, 2006 $30.39 $30.51 0.4%
Investor S&P500 January 11th, 2006 767.54 points 776.25 points 1.1%

This is not meant to be an authoritative accounting and all results are hypothetical, but we can see that Dakota's adaptive technologies continued to make money and shows that the swarms I built and put on display continue to work. You can see the smaller % gainers are generally the more recently created ones.

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April 10th Dakota Price Increase

In line with the value we have added, we will be once again increasing Dakota's price Monday, April 10th.  If you are interested in getting involved, I suggestion you do so now.  Up to the 10th, the prices are:

  • Express                    $299  (this is so low, it should be an "impulse" buy!)
    Use bots and stops that others have written (scripting ability is unavailable in this edition)
    Get version 1.x, pay for upgrades to versions 2, 3, etc. as you go, if you choose.
     
  • Standard                  $575
    Script your own bots and stops (scripting ability is ON  in this edition)
    Get version 1.x, pay for upgrades to versions 2, 3, etc. as you go, if you choose.
     
  • Product Sponsor      $1,385
    Script your own bots and stops (scripting ability is ON  in this edition)
    Receive all Dakota product updates for the life of the product
    Receive all future BioComp-authored bots at no charge

Long-time customers immediately recognize that the Sponsor level is an excellent deal.

Dakota orders can be placed on-line at:  http://www.biocompsystems.com/store/financial/index.htm

Long time BioComp Customer?  You may automatically receive a Silver (10%), Gold (15%) or Platinum (25%) Preferred Customer Discount when we process your order.  Read more about our Preferred Customer Program.  We honor and respect our customers and the value we've shared together over the years.

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An Addition to the Customer Gallery

Customer David from San Antonio, Texas, provides us with another super S&P500 futures example in the Gallery of Customer Successes It is similar to his earlier Gallery entry, but this time he's getting signals today for two (2) days in advance (a new Dakota feature).  He captures an even greater hypothetical 2,132 point gain over 10 years on the S&P500 futures compared to a buy and hold of 645 points.  With 62% winning trades, he has an equity curve straightness of 96%.  Results are hypothetical, but since this is out-of-sample paper trading, it is very good.

In the Knowledge Base in the last few days, we also see customer successes on...

  • NASD100 (4,000 points gained over 10 years using the Double Smoothed Stochastic bot)
  • C (83 points gained over 6 months using the Swing Trader Pessimist bot)
  • WCI (38 points gained over 5 years using the Momentum Oscillator bot)
  • CAC 2040 (67,700 points gained over 10 years using the Flocking MA Crossover bot)
  • IWM (42 points gained over 4 years using the Self-Adjusting RSI bot)

Now, not all results are necessarily reproducible, your results may vary, principally due to differences in data or Dakota settings, but the Knowledge Base feature of Dakota has most of the details of how these users did it.

Closure

If you find this newsletter interesting, please stay subscribed.  If you think others might like getting it, forward this email to them or post a link to our website in your favorite trading discussion group.  That helps us grow.  We'd appreciate it.  If you have suggestions, please email me at cmcook@biocompsystems.com.


This newsletter is brought to you by BioComp Systems, Inc.  Please forward it to anyone who might be interested.  They can also subscribe at: http://www.biocompsystems.com/cgi-bin/mojo.cgi?f=s&l=Profit

These documents are provided for informational purposes only. The information contained in this document represents the current view of BioComp Systems on the material discussed as of the date of publication.  Materials written should not be interpreted to be a commitment on the part of BioComp and BioComp cannot guarantee the accuracy of any information presented after the date of publication.   INFORMATION PROVIDED IN THIS DOCUMENT IS PROVIDED "AS IS" WITHOUT WARRANTY OF ANY KIND, EITHER EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THE IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE AND FREEDOM FROM INFRINGEMENT. Statements of equity performance are hypothetical and have not been substantiated by records of actual trading.  Hypothetical or simulated performance results have certain inherent limitations. Unlike an actual performance record, simulated results do not represent actual trading.  Also, since the trades have not actually been executed, the results may have under- or over-compensated for the impact, if any, of certain market factors, such as lack of liquidity.  Simulated trading programs in general are also subject to the fact that they are designed with the benefit of hindsight. No representation is being made that any account will or is likely to achieve profits or losses similar to those mentioned.

The user assumes the entire risk as to the accuracy and the use of this document. This document may be copied and distributed subject to the following conditions: 1) The entire document must be copied without modification; 2) All copies must contain BioComp's copyright notice and any other notices provided therein; and 3) This document may not be distributed for profit.  All trademarks acknowledged.  (C) Copyright BioComp Systems, Inc. 2006.