Markman Capital Insight

Invariant Currency

Invariant Currency is a trading system that issues buy/sell signals for currency futures contracts initiating or extending price trends. It will start by trading  the euro and Japanese yen. Other currency contracts may be added later.


The euro was introduced as the currency for most European Union members in 1999 and its circulation now far exceeds the U.S. dollar; contract size is 125,000 euros. The yen has been Japan's currency since 1871 and is the world's third most traded; contract size is 12.5 million yen.

In math, "invariance" describes a property that remains unchanged when a transformation is applied to a formula. Likewise, our system's guiding algorithm adapts to changing conditions while adhering to an invariant central thesis, providing a bedrock of conviction for trades as they unfold.

Tested results of the program, including live beta, are in excess of 50% per year, though there are no guarantees that will be achieved. To put the subscription cost in perspective, if a 50% return is achieved for a typical program in a year, a member will pay as little as $2,000 to earn $10,000.

To determine trends, most systems depend on a combination of common oscillators that contradict each other. In contrast, Invariant depends on a single proprietary oscillator that meshes and smooths action across time intervals to confidently generate signals. Our approach attempts to suppress errant counter-trend action, allowing the dominant trend to play out to max advantage.

Invariant categorizes trend conditions into four modes: up/accelerating, up/decelerating, down/accelerating, and down/decelerating. Artificial intelligence adjusts for each mode, allowing the system to see turning points early and to maintain directional accuracy.

Signals register when either a turning point has been identified and or when a new trend has been confirmed. Holding periods range from hours to weeks. Protective stops are issued for every trade, and are tightened at regular intervals as a position progresses. Losing trades are typically acknowledged and exited quickly so that their capital can be redeployed more effectively.

All signals and trading rules have been tested against 12 to 18 years of historical data that include a wide variety of market conditions and bull/bear cycles. The signals and rules have also been tested against out-of-sample data in live trading accounts.

To ensure the algorithm is not over-traded, limiting liquidity, members must hire an approved futures broker to manage their account under a letter of direction, and are limited to trading a maximum of 3 contracts for every 1 recommended. Members are not informed of new trades, targets or stops in real time, but can see activity in their brokerage account at any time. Trading action will be summarized in a weekly members-only email newsletter. 

The recommended minimum portfolio size is $20,000, though members can adjust this amount to suit their risk tolerance. The introductory price of the program is $210 per month; or $600 per three months; or $1,135 per six months.

In summary, Invariant Currency is an active, focused and adaptive futures program that can play an important role in independent investors' efforts to meet their financial goals. If successful, members can let gains pile up in their accounts and add more contracts when appropriate, or skim off profits every month to use as income. Either way, we expect that members will find Invariant Currency a singular way to harness the power of global markets in any environment for a long time.

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CAVEATS

Futures trading can be a blast, but it is also often a grind. Mentally prepare for a ground war. Only around 60% of trades are expected to be successful. The system is expected to succeed because gains from wins should be larger than givebacks from losses.

Volatility rules in futures. In our live test, we saw single-day setbacks as large as 4% and single-day advances as large as 8%, though most sessions will see moves of around 0.5% to 1%.

There can be long stretches in which there is a lot of trading but no progress. This is normal. It's like fishing. You need to keep baiting your hook and casting into the river. Many bites will lead nowhere as fish wriggle away. But over time you should have the opportunity to potentially land a few big winners that provide most of the success. Be patient and don't give up.

Results can be very streaky. The system can log seven successful trades in a row followed by up to six straight losing trades. It's important not to get too elated when landing one winner after another or to get depressed if losing trades stack up.

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VALUE OF DIVERSIFICATION

Diversification is key to achieving the desired and tested results. Volatility swings around unpredictably among sectors and asset classes, and blesses certain contracts with strong trends for a few weeks or months, while others are stuck in a range – then reverse abruptly.

As a result, we strongly recommend that members subscribe to at least three Invariant programs, though it is best to take all five. We're not saying that because we want to sell more programs but because it is a better strategy for success. We never know which commodities will lead and which will trail, so diversification is critical.

We offer sizeable rebates for members who wish to trade all five Invariant programs at once.

Call us at (206) 651 4566 to discuss further, or click the buy button to sign up now. Subscriptions will be limited, and the introductory prices for charter members will rise later in the year.

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NOTICE

Past results are no guarantee of future returns. All accounts may not achieve comparable results. Futures trading involves the risk of substantial loss. Although Invariant is systematic, it is also leveraged and speculative so only use risk capital -- i.e., money you can afford to lose.

Invariant Currency results assume a model portfolio size of $20,000. Reported returns are gross of the cost of subscription and commissions and are not compounded. The system's decisions are largely governed by algorithms but human discretion may be applied. 

Subscribers' accounts must be managed by approved professional brokers under letters of direction. This is an economical, hassle-free way to make sure trades are executed for you accurately and on time while also ensuring the integrity of the system. Ask for a referral.

The system only makes recommendations. You control the position at your brokerage. If a draw-down is larger than your risk tolerance, tell your broker to stop it out and wait for the next signal.

Algorithms and methods underlying Invariant Futures were created by Andrew Palashewsky, CMT, of Advance IQ Capital Research LLC and are exclusively licensed for distribution by Markman Capital Insight LLC.

HYPOTHETICAL PERFORMANCE RESULTS HAVE MANY INHERENT LIMITATIONS, SOME OF WHICH ARE DESCRIBED BELOW. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN. IN FACT, THERE ARE FREQUENTLY SHARP DIFFERENCES BETWEEN HYPOTHETICAL PERFORMANCE RESULTS AND THE ACTUAL RESULTS SUBSEQUENTLY ACHIEVED BY ANY PARTICULAR TRADING PROGRAM. ONE OF THE LIMITATIONS OF HYPOTHETICAL PERFORMANCE RESULTS IS THAT THEY ARE GENERALLY PREPARED WITH THE BENEFIT OF HINDSIGHT.