THE STORY BEHIND HOTTRADER

Dear Trading Friend,

In 1982 when I was in Los Angeles, I was introduced to the works of Master Trader W.D Gann. While I was fascinated by Mr Gann's ability to predict market movements, I began to notice one VERY IMPORTANT FACT. The vast majority of the profits being generated by the top traders were being made by RIDING A TREND, whereas only a tiny proportion of the profits were being made by timing. I decided to make a detailed study of Mr Gann's Swing Trading Methods.

However, I soon found that drawing swing charts by hand was hard work. The problem is keeping the charts up to date. Mr Gann actually employed a team of 25 draughtsmen to draw charts for him, and I can see why! Swing charts give you powerful, vital information that builds your confidence. That's why Mr Gann was so strong on them.

HotTrader was developed because I saw the power of what Mr Gann was talking about. Three of us decided to pull apart everything Mr Gann wrote about swing trading and write a software program from the research. The six month job took three years! But we have the first and only true swing program available in the world. Its taken three years of detailed and painstaking work to create a package Mr Gann himself would have been proud of. In the Pure Knowledge "Live" trading school it is used as the core to real time trading. With the HotTrader CD Rom you have your 25 analysts doing all the manual work for you.

Sincerely,
Stewart D Thallon 'Developer HotTrader' Private Trader.

Picture below …
Swing chart defines the major trends in Microsoft. Weekly chart to 14th November 2000 …

TESTIMONIALS

WHAT (HOT) TRADERS SAY ABOUT HOTTRADER ...
These are all unsolicited comments sent in to us. They are on file in our office ...

"Dear Sir,
Just a letter of appreciation for the development of the HotTrader software. Being a believer in the trading principles of W.D.Gann, I had been searching for about 8 months for a program like HotTrader. By attending ATAA meetings I had seen demonstrations of many other software products. None of these were what I was looking for, although at times I was tempted to settle for one of the popular programs.

I had also spent hours searching the internet, and several phone inquiries, before one of the Paritech people told me about HotTrader.

HotTrader incorporates the techniques of W.D.Gann so well. The variable swing charts give the scope to find a swing pattern, which shows the trend of a market. By experimenting with the more common technical analysis indicators included, it is possible to find ones, which when used in conjunction with the swing charts, pick the swing points of the swing charts, and pick the breakout points of a sideways swing chart, as well as give the potential strength of movement with a reasonable degree of accuracy.

This should help to overcome one of the most difficult things for a new trader to do, that is pick entry points that allow reasonably close stop loss. I won't mention which ones I use because we should all earn our wings before we try to fly, and they may need more testing in the market.

I cannot speak highly enough about the technical support provided, even when the problems were not to do with HotTrader, but were in fact traced to a corrupted CD ROM Drive and faulty data.

The tutorials included are well presented and very informative. I am thankful that I persisted with my search and didn't settle for second best. Thanks once again.

Sincerely yours
Eric S
PS. You can use this letter as reference if you wish."

"Thank you very much for your HotTrader software which I received in December. I must say you have done a fabulous job with it. It is the best and most user-friendly charting software I have yet tried and was well worth waiting for". .... Michael, Sydney Australia.

"The thing I like about HotTrader is that I don't have to worry about what to do with inside and outside bars any more. I can concentrate on the charts". .... Clive, Sydney Australia.

"I'd like to say what a fantastic product HotTrader is. It certainly makes swing charts easy. I was up and running very quickly after a faultless installation. The interface is quite intuitive so I didn't really need the manual, which is, I think, the hallmark of truly user-friendly software." .... Olwyn, Sydney Australia.

Congratulations on such a fine product, and thanks for putting in what must have been a huge effort to get the program to this stage. ....... David, Nambour Australia

HotTrader and the Course are just fantastic. I'd been studying "How to Make Profits in Commodities" by W.DGann and the Course has just opened it all up for me." ......... Michael H. Sunshine Coast Australia.

Picture below …
Major Swings in IBM …


COMPUTER REQUIREMENTS

HotTrader is a 32 bit application designed to run with Windows 95, Windows 98, Windows NT4.0, Windows Millennium Edition Windows 2000, Windows XP and Vista.

Minimum recommended computer is a Pentium II with 64 MB RAM. HotTrader requires 18 MB of hard disk space for installation. You should also have an absolute minimum of 40 MB of free disk space while running HotTrader (or any Windows program for that matter.) The GannSwings Course on Swing Chart Trading is also on the same CD and we recommend that you run the course from the CD, because it takes up a lot of disk space if you transfer it onto your hard disk. (about 170 Megabytes.)

Picture below …
Trend direction defined in Newport daily to 14th November 2000 …


PRODUCT FEATURES

Instantly display any of the kinds of swing charts that Mr Gann used, with the click of a button. These may be displayed off any bar chart file - Intraday, Daily, Weekly, Monthly, Quarterly or Yearly. (HotTrader can calculate the Weekly, Monthly, Quarterly or Yearly off your daily bar chart file.)

* Every Swing (Mr Gann describes the rules for this in his courses.)
* Any Number of bars "HotSwing" calculated off bar highs and lows or close only. (Mr Gann considered the 3 day swing and 7 day swing to be valuable trend indicators.)
* Any Number of Points Swing.

The "HotSwings" are an objective, computerized implementation of Mr Gann's powerful "Number of Bars" swing charting method, defined by Stewart Thallon, who made an extensive study of Mr Gann's Swing Charting methods over a number of years, and uses HotTrader every day to trade the Nikkie Index. The "HotSwings" are a unique calculation and are unique to HotTrader. The HotSwings also work very well on a large number of stocks and commodites. Most users of HotTrader use it to trade Australian Stocks and Stock Options. One Trader in London uses it on his specialty - Silver and Soybeans.

PRINT SWING CHARTS
(Requires Windows compatible printer). Print the whole data file (up to 32,000 bars) or a section of it, as a long term swing chart history spread over many sheets of paper, or print a section of a swing chart history on a single sheet of paper. Plus ... Print Bar Charts with swing points marked on them. You can control the spacing between bars or swings so you can have the chart appearing as you like. You can print a chart on any size paper your printer can handle. You will have to set up the paper size in the computer program that controls the printer.

ACCURATE DAILY TO WEEKLY, MONTHLY, QUARTERLY OR YEARLY COMPRESSION using a behind-the-scenes calendar. The calendar handles compression from the year 1901 to 2100. HotTrader's data reading routines handle 6 or 8 digit dates and are year 2000 compatible.

QUICK MANUAL ENTRY OF PRICES on an ASCII data file for INTRADAY Swing Trading. A number of traders use HotTrader to trade a Swing Chart calculated on a 15, 30 or 60 minute bar chart. We have developed some very effective strategies for intraday swing trading. You can also manually update end-of-day ASCII data files which have been created in HotTrader. (These are ASCII comma delimited format).

In the HotTrader main window, you can display and scroll through a bar chart file of ANY size. If you have data files on your disk that are so large that the entire file cannot be loaded into memory at once, HotTrader will load any section and then you can scroll seamlessly backwards and forwards, through the whole file, with HotTrader loading new sections and unloading old sections as it scrolls. We put this in for ourselves to allow research on very large data files.

SCROLL THROUGH A BAR CHART AND WATCH THE SWINGS FORM
Learn in hours what can often take months using hand-drawn charts.

PERFORM ONE-BAR-AT-A-TIME SIMULATIONS
with bar and swing chart displayed and correlated on a split screen, so you can refine your trading expertise.

RANGE COMPARISON TOOL
Compare ranges on bar charts with three mouse clicks.

FIBONACCI AND GANN RETRACEMENT TOOLS
so you can instantly see 61.8%, 50% and other significant retracement levels on bar charts. Do it with only 2 mouse clicks.

A VARIETY OF POPULAR INDICATORS AND DRAWING TOOLS
These include Range Comparison on bar charts, Fibonacci and Gann Retracement Measurements on bar charts, Bar Counter, Trendline, Parallel Trendline, plus a range of popular indicators - Bollinger Bands, Simple, Exponential and Weighted Moving Averages, MACD, Price Oscillator, Fast and Slow Stochastics, Momentum Oscillator, William's Percentage Range, On-Balance Volume, Open Interest and Volume.

APPEARANCE OF CHARTS IN HOTTRADER
When manipulating charts using the Zoom In, Zoom Out, Scrunch, Expand and Zoom Reset buttons, you will notice that the empty space to the right hand side of the chart changes in size. This is because HotTrader always displays charts with exactly equal spacing between bars (and swings). In order to fit differing numbers of bars into the fixed-size computer screen display, there are only 2 possible ways to do it. These are ...
1. Use unequal spacing between bars to "squash" them into the fixed screen area. While this does fit any number of bars into a fixed screen width, it gives a distorted chart, or
2. Use equal spacing between bars. This results in the blank space to the right of the chart changing size with different numbers of bars displayed. We have taken this second approach in HotTrader because it gives a perfectly accurate chart, with the horizontal distance between bars and swings being equal. This allows trend lines and other drawing tools to be perfectly positioned in relation to the bars, just like they would be if you drew them on graph paper.
3. Screen colours including background and bar, swing moving average and oscillator colours may be changed to your preference.

CREATE YOUR OWN PORTFOLIOS
As well, you can set up your own "Favourite Portfolios" which allow you to ...

*Have an unlimited number of "Favourite Portfolios".
*Give them individual names.
*Put an unlimited number of stocks and /or commodites into them.
*Files in them can be from any number of directories.
*You can put the same file in multiple portfolios.
*You can display them quickly from a special dialogue box.

Many users follow 50 - 100 of their favourite stocks even though they are getting in data for the whole market. They can put them into single or multiple portfolios and access them quickly.

HOTSCAN - This includes SWING TREND SCAN and OSCILLATOR SCAN.
SWING TREND SCAN
Lets you scan the whole market for stocks or commodites that are trending, or have just started a trend. You can scan any combination of Daily, Weekly, Monthly, Quarterly or Yearly time frames with any type of Number of Bars HotSwing or Every Swing on each.

Scan single or multiple directories. Scan Single or multiple "Favourite Portfolios".

Forty separate instances of the Bull Scan and forty separate instances of the Bear Scan give the enthusiast more than enough flexibility for multiple portfolios and swing types. HotScan can be permanently set up with your favourite swing criteria, and activated with a few button clicks. Then go and have a cup of tea and return to your list of swing charts all ready for viewing.

OSCILLATOR SCAN
Scan for trend and market entries using traditional Oscillators. (Combine MACD on daily or weekly, slow stochastic and other indicators on daily.) The scans can be run on multiple directories or multiple Favourite Portfolios. The Tutorials on CD shows how to set up and use Swing Trend Scan and Oscillator Scan.

TUTORIALS and COURSE INCLUDED ...
In addition to the GannSwings Course on Swing Chart Trading, the On Line Help and the Printed Manual (which is also duplicated on the CD as a Windows Help File which may be printed out), HotTrader comes with a set of Lotus Screen Cam Videos with commentary showing you how to set up and operate the programs. These Tutorials can be run right from the CD and are activated by clicking some buttons, so it's very easy to use even for the beginning computer user.

Picture below …
Major Swings in Novel Daily Chart to 14th November 2000 …


FILE TYPES SUPPORTED
HotTrader reads three types of data files. These are ...
1. MetaStock format data files. (End of Day). As provided by Paritech through DataDirector.
2. ASCII files - a variety of specific fields and layouts. (The current version of HotTrader does not run live, real time, with an intraday feed but can display ASCII data files with a "time" field created with intraday software like Futuresource, and display them for research purposes.)
3. Omega Tradestation System Report files. HotTrader charts the "Cumulative" column of numbers, which is the equity curve of a system.

Picture below …
Cisco Systems breaks its major uptrend …

IMPORTANT QUOTES FROM Mr GANN'S BOOKS ...

"I consider the 7 DAY SWING CHART ONE OF THE MOST VALUABLE TREND INDICATORS. If you could have caught 75% of these two swings, the profit would have been $15,936. You could have started with a capital of $3000 and would not have had to risk more than $300 of your capital."

"You can go over past records for any period and prove to yourself that SWING TRADING is the most profitable and that it pays to follow rules and not guess."

"THE BEST WAY TO TRADE:
The most money is made by swing trading. Eighty five percent of what any of us learn is from what we see. The future is but a repetition of the past. When you see the same picture in the market a second and third time, you know what it means and can determine the swing trend."

"TIME TURNS TREND:
This is not based on price but on a decline of a certain number of days, followed by a rally of a certain number of days, which makes the change of swing trend. From this top the market had a TIME TURN TREND which gave definite indication that the top had been made."

"HOW TO MAKE THE GREATEST PROFIT:
You will always make the greatest profit by following the main trend and playing the long swing. I you review the swing charts in the back of this book you will see for yourself the possibilities for profits."

Mr Gann gives over 80 pages of swing charts and swing information to close his best book. What does that tell you? Years ago it told us to get to work and develop a swing trading software program EXACTLY the way MR GANN would have done it. HotTrader is the result of those years work.

Picture below …
Major Swings in the recent Lucent downtrend …

Picture below …
Wellpoint Daily to 14th November 2000 has been displaying classic swings …


WHAT FORMER STUDENTS OF HOTTRADER TRAINING SEMINARS SAY ...

I am giving you the first name and initial of clients who have attended our seminars. This is to protect their privacy and time. All original comments are on file.

It is from these seminars that the HotTrader Software evolved.

"Excellent Course geared specifically to the private trader with relatively low risk strategies. Theory is enhanced with practical hands-on live trading." ...... Lindsay C. NSW.

"Having purchased several courses and after attending a five day seminar I still didn't feel totally confident about beginning trading. I came to this school with high expectations which have all been met." .... Wynn C NSW

"Brilliant. I have received trading knowledge well beyond my expectations." .....B. McC Melbourne.

"Made money again. Very good" ...... M.P. Sydney.

"Firstly I am eternally grateful that you are confiding this information. One Month Later: After coming back charged up from the 4 day course I did 6 trades in 3 days, all winners." N.L. .....Canberra.

"Simple and effective. A real world trading system that works. Stewart teaches the things that have formed part of his everyday for the past 10 years, and they keep on working. No esoteric nonsense, just proven rules that make money and give peace of mind each trading day. Theory being applied now and I'm delighted." ..... Ross B. QLD

"This was an excellent trading course because the trading methods worked over and over as we paper traded the 3 markets. I feel very confident of making profits because I understand the markets better now. The profit potential is enormous." ...... Ken M. QLD

"Picked up a genuine feeling of you really assisting me. I have a greater feel for the direction of the market. Good quality hands-on experience. Would love to do more." .... Marcus K QLD

"I have found it all very helpful. Before I had no idea. Now it is all coming together. Excellent course." ....Patrick D QLD

"I am very impressed with the good, practical and useful information we got. I found Stewart a very honest and experienced person. I think he learnt the principle of life (Action - Reaction) I got more than my investment in return." ...... Ernest G Austria.