Article

Profit From Every Market Direction - Up, Down, or Sideways

Topic: Financial FreedomPublished April 21, 2009

Legacy signals

Legacy popularity: 894 legacy views

Reader rating

Not enough ratings yet

Aggregate average appears after enough eligible reader ratings.

Rate this resource

Sign in to rate this resource.

Sign in to rate this resource

Most investors profit when a stock, index, or commodity goes up. But the market never goes straight up or down, but worms up and down on its trend in one direction or the other.

Most investment dollars are left on the table when the market pulls back, or, worse, changes direction in trend altogether against your invested expectation.

It is possible to limit your exposure to the direction you expect, or better yet, to profit from the inevitable up and down swings, and climax your returns.

The Dow lost -25% in the last ten years. The S&P 500 and the Nasdaq-100 were both down -41%. You would have done better to short them (investing in their expected decline); but your gain would have not been worth the wait.

It was perfectly possible to safely and reliably trade these indexes on average 2 times a month and make as much as 1,205% in the same period from the Nasdaq-100 alone. Through trading when the market is trending up, and shorting when the market is trending down, these profits are provably obtainable, and I do that - prove it - with the application of my thoroughly researched swing trading algorithm THE MARKETCODE. Ten years of historical price data from the Dow, the S&P 500, the Nasdaq-100, GE, Microsoft, Boeing, and much more, including commodities like currencies all generate tremendous profits in all market conditions.

Trading rules generating specific buy prices, sell prices, and stop loss prices, are required to succeed in swing trading. Once trading rules are researched and established they can be tested against the historical prices of any market instrument. And the trading rules will either prove itself profitable or a disaster to be modified until proven a success, and hopefully a big one.

No trading system is complete without a stop loss - that is, a price at which a trade is (1) either exited at a loss because the market is going against your expectation, or (2) exited at a profit because the market trend has reversed and profits need to be protected. No system generates winning trades without exception; and you can ride loosing trades to ruin without a stop loss.

Use or develop trading rules that work on your market; and follow them religiously. I'm partial to THE MARKET CODE (www.themarketcode.blogspot.com) because back tested proof of success, the results are stunning on every time line, and the cost is a mere $67, where other unproven swing trade systems are sold for thousands.

Make sure trading rules generate precise buy, sell, and stop loss prices. Ten years of back testing allows for virtually all of an instrument's price fluctuations, and assures success if you have mastered a set of successful trading rules, or a trading algorithm, that profits throughout the 10 years. And then profit in up, down, and sideways markets turning stocks, indexes and commodities into large gainers no matter which direction they the traded market wonders.

Article author

About the Author

Michael Calhoun, Juris Doctorate, is a commodities trader on Bainbridge Island, Washington, just East of Seattle. He owns THE MARKET CODE, and manages a private hedge fund traded with the THE DAY TRADE CODE, a day trade adaptation of THE MARKET CODE. Michael Calhoun, Juris Doctorate, is a commodities trader on Bainbridge Island, Washington, just East of Seattle. He owns THE MARKET CODE, and manages a private hedge fund traded with the THE DAY TRADE CODE, a day trade adaptation of THE MARKET CODE. < a href="http://www.TheMarketCode.blogspot.com">www.TheMarketCode.blogspot.com

Further reading

Further Reading

4 total

Article

Value Added Tax has emerged as the major player in UAE's financial ecosystem thus making compliance a top priority for all businesses regardless of their size. Ensuing VAT directly influences the company's sales and the money that flows in and out, proper internal communication with the tax authorities becomes a necessity. Lots of firms that are active in the Emirates want to get the exact picture regarding the registration minimum, the tax return due dates, and how long to k

February 6, 2026

Article

Lottery systems have been part of public culture for many years. While many people see them as simple number draws, there is actually a lot of structure behind how these systems work. Today, digital platforms are playing a big role in explaining lottery systems in a clear and responsible way. Informational communities related to TOTO are a good example of this growing trend. Instead of focusing on participation, modern readers want to understand rules, systems, and transparen

January 28, 2026

Article

The Quiet Surplus in the Medical Cabinet In many households across the country, a quiet accumulation happens behind the closed doors of bathroom cabinets and bedside drawers. For those living with diabetes, managing the condition is a logistical feat that involves a constant influx of sensors, test strips, lancets, and infusion sets. Because health insurance often ships these supplies in bulk, or prescriptions change unexpectedly, it is remarkably common to find oneself with

January 21, 2026

Article

In today's financial landscape, asset-backed borrowing is offering individuals more adaptable and inclusive options than traditional lending. Asset-ready borrowers—those who own or hold equity in high-value assets—can secure loans with greater speed, accessibility, and control compared to unsecured alternatives. Faster Access and Personalised Options Asset-backed loans are typically faster to process because lenders are primarily assessing the value of the collateral rath

November 27, 2025