Trading Systems

We believe you will find our intraday trading systems to be state-of-the-art systems, designed to extract market premium from short term moves that are seen on an intraday basis.  The markets we trade are the S&P 500, Nasdaq 100, S&P 400 (MidCap) and Russell 2000.  We trade only the emini contracts which provide the greatest liquidity needed for efficient contract execution.   

Since our systems contain no variable inputs they can not be over-optimized to certain market conditions.  And since market conditions are constantly changing, avoidance of over-optimization is critical to sustaining profitable trading over the long term.  The Historical Performance section of this website provides the detail for each and every trade signal generated by each system, so you can review the performance of each system dating back to the beginning of 2001.  Our systematic approach is based on the belief that price itself (where it has come from and where it is now) is the only real truth or reliable data point.  Our technical indicators use the geometric progression of price action on the instrument we are trading, combined with the geometric progression of price action on other inter-related markets, to calculate direction, volatility, acceleration, and other market internals.   The system algorithms are too complex to be manually calculated during the market day, so they are programmed into a proprietary software application.  The software generated signals are very accurate in live trading conditions and they determine all entry, reversal and exit signals as they occur.

What value is there to a system that shows great historic results if the trades can not be closely duplicated by your executing broker?  Executing brokers agree that, win or lose, they all see the same signals, at the same time and price, and have the ability to closely duplicate the trades as posted to this website.  And this ability can be realized by all brokers from anywhere in the world when executing the system trades.  The software is precise and the overlaid trading rules are clear and unambiguous, requiring no judgment or interpretation on the part of the broker executing your trades. 

Allegro Trading Systems provides only INTRADAY TRADING SYSTEMS.  Participation is available only through our broker-assist program where all trades are executed in accordance with the system signals and, if instructed by you to do so, trades will be sized in accordance with our ACMS cash management programs that accompany each system.  Also, if adequately capitalized to trade multiple systems, one can chose to do so through one of the two Combo methods of cash management.  A simple "Letter of Direction" is all that is needed for you to instruct your broker to implement either or both strategies on your behalf.  

This is not a prospectus; no offer on our part with respect to the sale or purchase of any securities is intended or implied, and nothing contained herein is to be construed as a recommendation to take a position in any market. It is possible that at this date or some subsequent date the officers, directors and/or shareholders of Allegro Trading Systems, Inc. and its affiliates own securities, or buy or sell securities mentioned in this publication or those not so mentioned. The intent of the Allegro information supplied to STUDENT is for instructional purposes only. Allegro information supplied to STUDENT is designed to discuss the market environment, technical analysis, movement of the price action, configuration of indicators, calculation of the measurement of the trading market and to calculate the levels of risk. The idea is that with repetitious exposure to a disciplined approach of this short term trading methodology, STUDENT can learn to understand the methodology for independent application. The material presented herein has been obtained or derived from sources believed to be accurate, but we do not guarantee its accuracy. There have been no promises, guarantees or warranties suggesting that any trading will result in a profit or will not result in a loss. Results can and will vary between individuals. STUDENT is responsible to use good judgment when trading. All trading system performance claims are based on comparing hypothetical trading results with other trading systems in the financial market. All historical performance trading system results are not achievable in real trading because slippage and the psychological factors of a trader cannot be accurately accounted for.  The "System Performance" records are representative of hypothetical trading results of our trading systems. Reasonable slippage, commission, individual’s emotion, levels of discipline and self-control need to apply independently to estimate the actual trading results. All trading involves high risk; past performance is not necessarily indicative of future results.

Commission Rule 4.41(c)(1) applies to "any publication, distribution or broadcast of any report, letter, circular, memorandum, publication, writing, advertisement or other literature…."

Commission Rule 4.41(b)(1)(I) 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 shown.