Index, Forex and Diversified Trading

using simple mechancial solutions


Brent Penfold trading since 1983
and helping others since 2001!

International Best Seller! Now translated into;
German, Polish, Japanese, Korean and Simplified Chinese.


Testimonials
Below are comments I have received from emails and please remember when you read the following comments that IndexTrader was originally called SpiTrader!).

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Hi Brent,
 … Just a bit of feedback for you: I can now trade IndexTrader, BBTT & Key Level independently of your newsletters (and I do shadow you), but I find it convenient to use your newsletters for forwarding to the Broker for the live trading.  My current newsletters are: IndexALERT (as a proxy for IndexTrader), ForexALERT (as a proxy for Key Level) and BBTT newsletters … Brent, it’s a credit to you that I’m looking at using all of your services.  Gemma (my wife) and I are very grateful for you helping us over the last few years – a big thank you. 
P.K. Australia.

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Wow…What a great year 2008 has been with IndexTRADER…There is no one else I know using such simple pattern based entry and exit techniques that can deliver results so consistently…You have proven yourself with a robust model that actually works and makes money…And the best part is that we can trade alongside you with confidence…Thank you and I look forward to 2009 and beyond. Vladimir Gjurovski, N.S.W, Australia.

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Thanks for that Brent, very generous of you and I appreciate the support as always. Regards, Priya Chandra, Australia.

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As an owner of IndexTrader, BBBT and Key Levels for over a year, I can say the key attributes of all of Brent's products are unparalleled support and transparency. His responses to any questions are always timely and helpful. The mechanics of each system is fully explained and backed up with complete trade histories and real-time copies of orders sent to his broker. The end result is those new to trading can begin with a level of confidence not found elsewhere. Regards, Oliver Mannion, New Zealand.

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Thank you for sending me my copy of IndexTrader. I received it yesterday .... I must say the it is what you promised, very simple in design, which excites me greatly as I believe that simplicity is the strength of any trading mythology. Tim Beeny, Australia.

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I'd been trading for about 6 months when I first discovered Brent's trading methodology. At the time, I knew it all and wasn't prepared to pay for anyone's advice, support or knowledge. Three years later I returned much wiser (and poorer) and happily purchased Brent's IndexTrader system and I continue to subscribe to IndexTrader’s daily email service that is only available to owners of IndexTrader. He explains everything very clearly in his system and gives you the option of going it alone, or trading alongside him. Being able to trade the system with Brent AS IT HAPPENS is extraordinary, and although I haven't become rich through trading yet, I've become the most successful trader I've ever been - I now have a true trading plan and I trade that plan thanks to IndexTrader. Priya Chandra, ACT, Australia.

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I have started to trade in live IndexTrader … with MFG and the first trades went very well (thanks to the XXXX Strategy ;-)). You never know what can arrive after that but, at least, that’s a good start! Thank you for the quality of your newsletter. Even if I know the strategies, that’s a really good support and I don’t fell alone in the morning when I send my orders to Matthew ;-) David, NSW, Australia.

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My name is Andrew McKinnon and I have been trading for 4 years full time.  I have attended a few training courses, but learnt most from research on the Internet, books, and by my association with a small and diverse group of traders. I attribute most of my success to my programming and Engineering background. Most of my present trading is based on discretionary trading but I am actively looking for diversification.  System trading will provide this diversification.  I have researched plenty of my own ideas for mechanical systems as well as commercially available systems.  Very few short term systems make the grade.  I evaluated the SPI Trader “trade by trade” results provided to me by Brent and was happy that SPI Trader had the statistical evidence of a robust system.  I was satisfied that I could trade this system. When I received ‘SPI Trader’ my first objective was to do my own back test to confirm Brent's results.  (This process gives me additional confidence in the system, and is also the learning process I required). I decided to use Trade Station to perform the back test.  At first this was fine and I got results that were 80% correct overall.  At this stage I could see the system working but obviously I wanted to achieve 100% match.  Part of the error was due to the data I was using, the contract roll overs were massaged.  Having changed over to un-massaged data I could see other mis-matches were due to what I found were the difficulties in Trade Station in handling multiple positions. So faced with this problem I reverted back to what I normally do – I wrote my own program to perform the back test.  After a few questions Brent answered for me I did achieve 100% match with Brents back testing. Andrew McKinnon, QLD, Australia.

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I first came across Brent in 2005 after reading Trading the SPI – which I found was a great education for me in regard to trading futures. After reading Trading the SPI, and then meeting Brent, I decided to purchase IndexTrader and have been trading that system for the last 3+ years. As I work full-time, I was looking for a EOD mechanical system that was fairly easy to trade, was based on a verifiable methodology and also utilized sound money management practices. IndexTrader fitted the bill and I am still actively trading it today. As it is a “fully disclosed” system, the setups and triggers are fully explained. They are also easy to understand and implement; and of course Brent was always ready to answer any queries, etc. Like any system that one can trade, IndexTrader has had its up and downs. But a look at the system equity curve shows that the basis of it is very sound and matches the “hypothetical performance” statistics for the system. I feel that I am very lucky to have come across Brent, as he is approachable and is always ready to answer any questions regarding the trading of his systems. A great mentor to have! As well as IndexTrader, I also trade other systems that Brent has developed. BBTT for trading indexes, Key Levels for trading FX, as well as the ForexAlert newsletter. As with IndexTrader, BBTT and Key Levels for FX are fully disclosed systems that I have found easy to understand, implement, and trade, etc. As with all of Brent's systems, both BBTT and KeyLevels for FX appear to be based on a positive expectancy and utilise money management strategies. With ForexAlert, as it is a newsletter/subscription service, it is not fully-disclosed. However the beauty of this service is that there is nothing to do but trade the signals that Brent provides. And as with the other systems that Brent has developed, it seems to be based on a sound methodology and money management. Regards, Steve Smith, NSW, Australia.

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..... by the way I think your site is a great effort at giving a balanced and educated view on trading systems. I have been trading for a long time and there is a lot of garbage out there. Well done .....

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..... BTW I like your _ _ _ _ _ (editor's deletion). I was looking at a different method but your _ _ _ _ _ (editor's deletion) looks good. I've always thought that most system designers didn't give enough thought to, in your words, a _ _ _ _ (editor's deletion). I guess when its your own money you think of such things.....

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.....Thanks for your system. Your manual is excellent.

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..... your system is superbly robust!!!!!!!! it is PURELY based on _ _ _ _ _ (editor's deletion) and the good thing is that there is no parameter to set and ALL the thing is changing in the market except _ _ _ _ _!!!!!!! (editor's deletion)....... is this the BEST system you have ever traded in your life so far ?!?! I wish it is because I think it is the BEST one I have ever seen so far in my life.....

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..... Hi Brent. I got the manual last night..... I had a flick through your manual, read the first 13-15 pages and I have (had) a brief read of the money management and psychology. I will go through the whole manual in detail later.

I have some comments and a few questions.

The psychology part is the MOST interesting I have ever read. I (have) read a few trading psychology books and none of them depicted trading psychology as "realistic" as yours.

The _ _ _ _ _ (editor's deletion) is very very important and I never thought about that.....my plan is that I will start with $20,000 for one year, make sure I can trade it flawlessly, then I will get serious, using more capital since you need a big capital to make the most of money management well to get good profit, as shown my your calculation.....

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I've been in Real Estate for 20 years and traded the stock market for about 12, and wanted a change. I opened my futures trading account in March '98, having paper traded and studied for 4 months prior to that. I had studied trading systems basically through Gann methodology (via David Bowden's Safety in the Market), and it seemed that here was a way to make money with a reasonable amount of effort. Over the next 3 years & 8 months I traded erratically and mostly unprofitably, until at the end of that time I had lost just on .........(editor's deletion). Typically, I had some big wins, but not the control to hang onto it. I have no problem with the Gann methods and if I had been disciplined enough, and prepared to study harder (and there is plenty of study required for Gann!), I believe that it could be a profitable way to trade. However, there is too much subjectivity in Gann for me, and I needed a more mechanical defined approach if I was to keep trading. I wasn't looking for the "easy" way to get rich, because I've seen enough to know that such a beast doesn't exist, but I wanted to keep trading and couldn't afford to take any more losses. If there is one thing I learnt more than any other over the last 4 years of trading, it is that no system, no matter how good, will be profitable over the longer term without the discipline to trade it rigidly. That's where SpiTrader comes in. It's filled my "discipline void". I began trading Brent Penfold's system with my first trade on the 15th of November 2001, and have since taken six trades identified by the system with a ratio of 5 wins to 1 loss. Two months is obviously not sufficient time to grade a system, but I have back tested it also, and I know that it works. I'm far more at ease now knowing that I don't have to decide whether to enter or exit a position tomorrow or not, because SpiTrader makes the decision for me if the triggers are hit. Of course I have to identify the triggers, but that's easy. For my personality, it's great. I know I can trade it profitably, and build up a sizeable nestegg over time. I thank Brent for handing me the discipline to keep me in the game. Peter French, VIC, Australia.

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..... I am enjoying SpiTrader very much so far, I couldn't agree with you more regarding our group, thanks to your foresight in developing this unique group I and others will benefit greatly from it.

I had browsed the SpiTrader site some time ago due to your advert in the QLD ATAA news letter, the system cost $1,500 then.

I had SpiTrader in my favourite web sites and visited from time to time checking monthly trade results (very sneaky), by this time the price had gone up to the current price and I thought you silly bugger serves you right for stuffing around so long.

BUT wait, fortunately now there was more, this is probably the only time stuffing around has paid off for me, now I could trade with the Trader as a Buddy, that was the clincher for me. 

Your daily emails help to make it all come together.

If the Trading Buddy offer wasn't there I would probably still be procrastinating instead of doing.

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..... Thanks for all your help during 2001 and I look forward to 2002 eagerly.

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..... god bless SpiTrader, may it prosper again and prosper more in 2002 and onwards!!!!!!!

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.....I'm impressed with you and SpiTrader...

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..... the SpiTrader agreement is on its way to you.

I contacted Andrew McKinnon after reading his testimonial on your (SpiTrader) web site ..... and he was full of praise for you and your system. I am looking forward to joining the club!

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..... I want to take this opportunity to thanking you for your friendship and guidance over the past year. I consider myself lucky to have come across a good person like yourself and wish you the very best that life has to offer in all facets of your life for the year to come.

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..... looking forward to joining your group.....I will send through the agreement early next week.....

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.....I am currently using Marketcast with Market Analyst II..........to trade intra-day some Gann and Kagi swing trading ideas that I have been fiddling with for a while. Unfortunately the SPI doesn't trend for long enough in the very short term to make the systems profitable in their current form.

My wife would probably tell me that I should give up the whole thing and just use SpiTrader!

Good result so far from Mir on Friday!

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I think buying SpiTrader was one of the best decisions I have ever made in my life. It redefined my way of trading and it is a great tool to learn trading with discipline. I was trading shares for two years before moving onto the Australian futures market.  Before commencing trading I had completed a full year course on technical analysis (TA). I had attended some trading seminars. I had read about one hundred books on trading, system testing, money management techniques, psychology etc.  I then bought a famous trading software program, got a data vendor, found a broker, so before I started trading I actually had a very good concept of what trading TA was about. I had my complete business plan laid out before I started trading. Finding the right methodology suitable for my personal style and taste is one of my biggest challenges! I found that I couldn't completely follow what I learned in the seminars I attended and correspondence courses I completed. One of the reasons was because of their subjectivity. Successful traders argue that it is this subjective element that makes ordinary traders extraordinary. I was lucky in those two years as I made a little money. First year I broke even, the second year I made around 10% p.a. However, I was in a state of chaos. I was trying this and trying that and spent heaps of time modifying the systems to make them better, tweaking this and that and I was lost and confused!  I had a tendency to add more and more indicators......my time frame was getting shorter and shorter, I even came to a point where I was day trading the SPI for two months!!!!!!!  Then I realised I had a big problem so I stopped. I stopped everything for two months. I was very depressed during that time cuz I had spent so much time and energy and effort in the previous two years to learn the craft and at the end I felt that everything was out of control and that I couldn't trade at all!  Soon the "911" case arrived at my door and I thought it was a good time to stop and review myself. I came to a number of realisations. Firstly, I realised pure TA is an invitation to disaster. I know it cuz I have tried it. I believe you need fundamental analysis to filter out those shitty companies, those companies that tend to make false breakouts on charts. And that using fundamental analysis for trading shares meant HEAPS of work! Secondly, I realised I'm not an artistic person at all! Good traders (or supposedly good traders) argue that TA is half art and half science....so that ruled out TA for me! Thirdly, that I needed to concentrate on fewer shares. So I decided to focus my trading on the SPI, following a 100% mechanical method since only mechanical methods are able to provide me with facts from back testing......no artistic subjectivity for me! I no longer look to trade shares but invest in them instead based on a 95% mechanical system I designed and have backed tested for 6-7 years. I now trade the SPI based on SpiTrader's signals. I found SpiTrader in the ATAA newsletter. I hadn't encountered a pattern trading system before so SpiTrader was the first. I love it! It perfectly fits my trading style and criteria. I can follow it comfortably because it is backed up by objective back testing and has a positive expectancy, giving it a good probability of continuing to work in the future. H.L, Wellington, NZ.

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..... my procedure is to write out my order before I look at your email and I am getting most of them right now, but am still making the occasional slip up. It is great to have the email as reference. I then fax the broker so there is no verbal confusion. Thanks again.....

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..... sounds like you had a great holiday welcome back. I didn't go to bad for a novice whilst you were away..... I got set on ……(editor’s deletion) on the ........(editor’s deletion) .grossing $325 and ……. (editor’s deletion) on the .......(editor’s deletion) .grossing $850. Yahoo!!

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.... the emails have been great and SpiTrader is so easy to complete the daily work for.....

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..... another Yahoo!! for SpiTrader, what a system, go ...... (editor’s deletion)

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.... I have done excel templates to record my trading...... and trading plan. I have typed up my own daily routine as well. Now I am paper trading and I have been following the daily routine for a few days now and it seems (to be) running well.

I do all the things, updating my plan ..... looking up the patterns myself, and writing down (the) orders.

Then I check your SpiTrader email to check if I get it correct.

Hopefully I will sort out the broker in Nov and start to trade with real money on 1st December.....

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....thank you for sending out SpiTrader so quickly. I have read it through several times so far and I'm sure some of the fog will clear in time, looks great. "The Futures Hand Book" is excellent helping to clarify some of the terminology. Your E-mails are beaut and will certainly help the understanding process....

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..... this is a nosy question, how many SpiTrader (systems) have you sold so far? I just want to know how many people have this "awesome" system. Personally I have it is a "real gem". You must have spent lots of effort to develop this. You don't have to answer it if you don't want to....

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..... Brent - wow I'm impressed with SpiTrader. A great system resulting from your experience, hard labour and brainwork!.....

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..... Hi Brent....a big thanks for taking your time out on Saturday to help us out..... time is such an important commodity in these times and it certainly was most appreciated.

As for SpiTrader it all looks pretty exciting, and I am getting organised to hit it.

I will speak to Man this week to get my account organised and negotiate brokerage etc., and then try to get my VBA moving a little more to enable me to complete the testing.

What was really exciting for me was one the simplicity of SPITRADER, and secondly this is the same approach I have been taking on the SPI since October last year..... I tell ya it was so uplifting for me on Saturday when I realised it was on the same track I had been travelling.....

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..... you have put a lot of effort into this and it looks good. WELL DONE!.....

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..... thank you so much for your generosity in sharing your system .....I believe you have thoroughly and diligently applied yourself to this are being justly rewarded. Short term system trading is the way to go for me..... I shall return the agreement shortly.....

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.... it certainly was nice to catch up with you all.....trading is such a lonely pursuit and it certainly provides great benefit to share our experiences with the group. It is a kind of therapy in that we get to see that we are all facing similar hurdles.

Brent thank you for allowing us to trade your system.

I am aware of the time and effort you have expended on its development, which has been over a period of many years.

Your strict discipline in regards to testing does in fact give us a nice level of comfort. I have taken your points with respect to our personal testing. That is something you have stressed since I first met you 15 months ago and have done ever since. I totally agree it should form the basis before an idea can become reality.

I have been at this since 1997 and I have learned so much in that time but your experience adds another 10 years of sweat to my tally and I appreciate your honesty in imparting what you have learned in that time.

I will sign the docs and return them to you asap.

I am really looking forward to trading SPITRADER.....

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..... Brent, I echo the groups sentiment and greatly appreciate your generosity.....it is so valuable to have someone in the group who is willing to share their years of knowledge and experience.....I will return the confidentiality agreement next week.....p.s I'm off to Penfolds now to get my graph paper!.....

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..... hey, thanks again Brent for your kindness and generosity with letting us trade your system. It is appreciated by all. I'll get the papers back to you shortly.....

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..... thanks Brent, I should have asked you first if you had done the adjustment to current values.

I must admit I found the fact that you had quite a plus for you and your attitude to novices like me.

I was reflecting a little more on the events earlier in the week and it also occurred to me that we could also still have been in the long position overnight. Then our stop would have been jumped and..... well, that's life.

As always thanks for your help. My wife and I are off for a week in the bush so trading is on hold for a few days from today.....

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.... I've been following the system and the first trade in which I got set was 17th instant and so have had only the one entry which as you know was a loser. I copped 4 points slippage on the entry and 2 on the exit so my result was negative $1023 incl brokerage. There seems to be some sort of a rule that any new system starts with a drawdown. I check the market and try to work out entry patterns and orders before I read your email, and find I can follow the system quite well. As the numbers are in favour of the system, I have to take the trades and wait for things to run their course.....

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 ..... congrats on the presentation in the manual - it is clear and easy to understand with even my limited knowledge of futures and I have enjoyed everything so far.....

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 .....BTW - I'm sure you'd know there would be some mistakes there (in the manual), however I think you've done a grand job on the simplicity of the system and manual.....

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..... Good result on your XXXX (trade) this morning..... pity I didn't start yesterday. I am actually looking to start Monday.....

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.... Hi Brent,

Still here in Oz.....my immigration papers are taking a little longer to approve then anticipated!

It was really nice to catch up with you last week and hear a little more about what you are up to.

Well done on your projects at hand, and I really wish you all the very best.

It is so refreshing to see someone doing something really positive for all the traders out there and most importantly willing to provide them with some direction. I believe you will do really well with SpiTrader for the simple fact that you are willing to back up what you preach or teach.

People are not as stupid as some other promoters might like to think, and I believe you have demonstrated this respect for your target market with your product.

I will be watching your progress closely and look forward to trading your stuff when I return to OZ. As I mentioned..... if you need any testimonials to kick start the website...pls feel free to use my name to write one.

I offer this because of my respect for you firstly as a reputable person, and secondly as a trader who has paid their dues over the years......

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Disclaimer: Active trading carries a high level of risk and may not be suitable for all people. The high degree of leverage provided by futures can work against you as well as work for you. Before deciding to trade you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your risk capital and therefore you should not trade money that you cannot afford to lose. You should be aware of all the risks associated with active trading and seek advice from an independent financial adviser if you have any doubts. Past performance is no assurance of future performance.

Under Chapters 6D and 7 of Australia’s Corporations Act 2001 I am authorised to carry on a financial services business to provide general advice on futures to Australian wholesale clients. Accordingly any opinions, conclusions and or other information expressed by myself do not contain personal advice. Visitors will need to with, or without the assistant of a person licensed to give personal advice, to determine whether any general advice expressed by myself is appropriate for them given their particular needs, financial situation and investment objectives.