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Superior Customer Support Risk Disclosure Statement X-Ray™ - User... · candlestick patterns and their respective formulas are neither qualitatively defined nor uniformly agreed

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© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

1

The Candlestick X-Ray™ Indicator Package: State-of-the-Art Pattern Detection Page 3

An Overview of the Candlestick X-Ray™ Features Page 5

The Complete List of Candlestick Patterns: 92 Fibonacci-Based Patterns Page 6

Candlestick X-Ray™ PaintBar: Color-Coded Candlestick Patterns Page 7

- Configuring and Customizing the PaintBar Page 8

Candlestick X-Ray™ Indicator: Detect Any Candlestick Pattern Page 9

- Configuring and Customizing the Indicator Page 10

Automated Scanning Capabilities: Scanning for Crossovers & Divergences Page 11

- NinjaTrader Market Analyzer Page 11

- TradeStation RadarScreen Page 13

- TradeStation Scanner Tool Page 15

Frequently Occurring Intra-Day Patterns Page 16

Our Favorite Candlestick Patterns Page 17

Expert Tips & Advice: Scanning for Crossovers & Divergences Page 18

- Expert Tip #1: Candlestick Patterns Establish Strong S/R Levels Page 18

- Expert Tip #2: Incorporate Volume Analysis with Candlestick Patterns Page 19

- Expert Tip #3: Pay Close Attention to Dojis after Rallies & Selloffs Page 20

- Expert Tip #4: Use Patterns to Define Profit-Target & Stop-Loss Levels Page 21

– Continued on the Next Page –

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

2

Superior Coding, Formulas, and Indicators: Filtering Out Weak Patterns Page 22

- Problem #1: Missed Signals on “Big” and “Small” Stocks Page 22

- Problem #2: Incorrect Formulas & Labeling of Candlestick Patterns Page 24

Harnessing the Power of Fibonacci: The Science behind our Formulas Page 25

Superior Customer Support Page 27

Risk Disclosure Statement Page 28

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

3

The Candlestick X-Ray™ is the most comprehensive, feature-rich collection of

candlestick pattern Indicators on the commercial market. Whether you're

interested in the most common or advanced patterns — the Indicator, PaintBar,

and Scanner detect over 90 unique candlestick patterns — significantly more than

any other indicator or software.

The Candlestick X-Ray™ outperforms all competitors by using strictly coded,

Fibonacci-based formulas that filter out low-quality patterns. This ensures that only

the strongest candlestick patterns are detected — avoiding weak, unreliable

patterns that plague other software and indicators. Other candlestick tools on the

market lack a proper understanding of the rules behind each pattern — resulting in

incorrect formulas. This can have disastrous consequences if you're making

trading decisions based on false patterns.

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

4

To solve this problem, we devised each pattern's formula after studying all the

candlestick-related literature that we could get our hands on. Since many

candlestick patterns and their respective formulas are neither qualitatively defined

nor uniformly agreed amongst candlestick "experts", we have combined their

various interpretations to determine the specific rules for each pattern. We also

went a step further to incorporate Fibonacci numbers and ratios into many of our

formulas — creating multi-faceted, extremely powerful candlestick pattern

Indicators. (More detailed information on pages 22-26).

The Candlestick X-Ray™ Indicator Package includes:

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

5

- Our 92 candlestick patterns is significantly more than ANY other

candlestick-related Indicators or software – nothing else even comes close.

- Our strictly coded, Fibonacci-based formulas filter out low-quality

patterns. This ensures that only the strongest candlestick patterns are

detected – avoiding weak, unreliable and "border-line" patterns that

plague other software and indicators.

- The most important and valuable aspect of any candlestick pattern

software is the ability to scan for patterns and signals. We include

specialized “scanner’ Indicators and templates that are explicitly designed

to scan any list of symbols for any and all candlestick patterns.

- Users can enable or disable any of the candlestick patterns to reduce

chart clutter and only be notified of the most important patterns. All colors

and text labels are also fully customizable to give you complete control.

- Users can configure alerts for any patterns, allowing for audio, visual, and

email alerts and notifications to ensure that you won’t miss any signals.

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

6

Abandoned Baby Bull

Abandoned Baby Bear

Advance Block

Bullish Engulfing

Bearish Engulfing

Bullish Kicking

Bearish Kicking

Breakaway Bullish

Breakaway Bearish

Concealed Baby Swallow Bull

Concealed Baby Swallow Bear

Dark Cloud Cover

Deliberation Bull

Deliberation Bear

Descending Hawk

Descent Block

Doji

Perfect Doji

Dragonfly

Evening Doji Star

Evening Star

Falling Three Method

Four Price Doji

Gravestone

Hammer

Perfect Hammer

Hanging Man

Perfect Hang Man

Inverted Hammer

Perfect Inverted Hammer

Harami Bullish

Harami Bearish

Harami Cross

High Price Gap Bull

High Wave

Homing Pigeon Bull

In Neck

On Neck

Ladder Bottom

Ladder Top

Low Price Gap Bear

Marubozu White

Marubozu Black

Matching Low

Matching High

Mat Hold Bullish

Mat Hold Bearish

Meeting Lines Bull

Meeting Lines Bear

Morning Doji Star

Morning Star

Piercing Line

Rising Three Method

Separating Lines Bull

Separating Lines Bear

Shooting Star

Perfect Shooting Star

Side by Side Bull

Side by Side Bear

Stick Sandwich Bull

Stick Sandwich Bear

Squeeze Alert Bull

Squeeze Alert Bear

Three Inside Up

Three Inside Down

Three Outside Up

Three Outside Down

Three White Soldiers

Three Identical Soldiers

Three Black Crows

Three Identical Crows

Three Line Strike Bull

Three Line Strike Bear

Three Stars North

Three Stars South

Three River Bottom

Three Mountain Top

Thrusting Bull

Thrusting Bear

Tidal Wave

Tri Star Bullish

Tri Star Bearish

Tweezer Top

Tweezer Bottom

Two Crows

Two Rabbits

Upside Gap Two Rabbits

Downside Gap Two Crows

Upside Gap Three Method

Downside Gap Three Method

Upside Tasuki Gap

Downside Tasuki Gap

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

7

The Candlestick X-Ray™ PaintBar color-codes the price bars and provides a text

label of the pattern name whenever a valid candlestick pattern is detected. It is

fully customizable, allowing you to choose whether to show all patterns or only the

specific patterns that you want to see. It comes with a default setting of Cyan for

bullish patterns, Magenta for bearish patterns and Yellow for indecisive or neutral

patterns (since most traders use green and red colored bars to display price

action).

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

8

*** Go to Format Symbol - Scaling and make Sub-Graph Margins 10% or

more on both the top and bottom so that all the patterns and text will fit on

your chart. (this tip is for TradeStation and MultiCharts users only)

*** To disable any of the patterns, simply go to the tool’s Format / Inputs screen

where you will see each pattern listed alphabetically with On/Off and a

corresponding value of “1” next to it. To disable a pattern so that both its bar color

and text label are no longer displayed, change the value to “0”.

*** To change the color of the bar or the text for any of the patterns, simply go

to the tool’s Format / Inputs screen where you will see each pattern listed

alphabetically with a corresponding color next to it. Each pattern has two color

settings: one setting for the bar color and one setting for the text color. This

enables each user to deactivate or remove the text labels for any patterns that

they do not want, as well as the ability to change the color of the bar when a valid

pattern occurs. Choose each color you would like to use by replacing the text with

your new color choice. If you would only like to remove the text labels from some

patterns but want the bar to be a different color, you may do so by changing the

text color to match your background (most likely “black”). This is particularly useful

if you decide to remove excessive engulfing or advancing patterns that can occur

within small intraday timeframes.

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

9

Candlestick X-Ray™ Indicator plots color-coded histogram bars (vertical bars) in

the subpanel when a valid candlestick pattern is detected. It’s a bit less obtrusive

than the PaintBar text tool and can easily be changed to display all patterns or

only the specific patterns that you want to see.

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

10

*** To disable any of the patterns, simply go to the tool’s Format / Inputs screen

where you will see each pattern listed alphabetically with On/Off and a

corresponding value of “1” next to it. To disable a pattern so that both its bar color

and text label are no longer displayed, change the value to “0”. This is particularly

useful if you decide to remove excessive engulfing or advancing patterns that can

occur within small intraday timeframes. For example, if you only wish to know

when various dojis or marubozus occur, you can simply change the On/Off values

of all the other patterns to “0”.

*** To change the color for any of the patterns, simply go to the tool’s Format /

Inputs screen where you will see each pattern listed alphabetically with a

corresponding color next to it. Choose the color you would like to use for each

pattern by replacing the text with your new color choice.

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

11

The Candlestick X-Ray™ also includes a special pre-formatted “Market Analyzer”

Indicator and template for all NinjaTrader users. All of the columns, colors, and

text are completely customizable so that you can personalize it to your own

preferences. Using the Candlestick X-Ray™ with the Market Analyzer allows you

to quickly scan an entire list of symbols for all candlestick patterns in just seconds!

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

12

A special pre-formatted Market Analyzer template is included for all NinjaTrader

users. If you would like to create your own templates, you must adhere to the

following values when setting up your own cell conditions:

Abandoned Baby Bull = 100

Abandoned Baby Bear = 99

Advance Block = 98

Bullish Engulfing = 97

Bearish Engulfing = 96

Bullish Kicking = 95

Bearish Kicking = 94

Breakaway Bullish = 93

Breakaway Bearish = 92

Conceal Baby Swallow Bull = 91

Conceal Baby Swallow Bear = 90

Dark Cloud Cover = 89

Deliberation Bull = 88

Deliberation Bear = 87

Descending Hawk = 86

Descent Block = 85

Doji = 83

Perfect Doji = 84

Dragonfly = 82

Evening Doji Star = 81

Evening Star = 80

Falling Three Method = 79

Four Price Doji = 78

Gravestone = 77

Hammer = 75

Perfect Hammer = 76

Hanging Man = 73

Perfect Hang Man = 74

Inverted Hammer = 71

Perfect Inverted Hammer = 72

Harami Bullish = 69

Harami Bearish = 68

Harami Cross = 70

High Price Gap Bull = 67

High Wave = 66

Homing Pigeon Bull = 65

In Neck = 64

On Neck = 63

Ladder Bottom = 62

Ladder Top = 61

Low Price Gap Bear = 60

Marubozu White = 59

Marubozu Black = 58

Matching Low = 57

Matching High = 56

Mat Hold Bullish = 55

Mat Hold Bearish = 54

Meeting Lines Bull = 53

Meeting Lines Bear = 52

Morning Doji Star = 51

Morning Star = 50

Piercing Line = 49

Rising Three Method = 48

Separating Lines Bull = 47

Separating Lines Bear = 46

Shooting Star = 44

Perfect Shooting Star = 45

Side by Side Bull = 43

Side by Side Bear = 42

Stick Sandwich Bull = 41

Stick Sandwich Bear = 40

Squeeze Alert Bull = 39

Squeeze Alert Bear = 38

Three Inside Up = 37

Three Inside Down = 36

Three Outside Up = 35

Three Outside Down = 34

Three White Soldiers = 33

Three Identical Soldiers = 32

Three Black Crows = 31

Three Identical Crows = 30

Three Line Strike Bull = 29

Three Line Strike Bear = 28

Three Stars South = 27

Three Stars North = 26

Three River Bottom = 25

Three Mountain Top = 24

Thrusting Bull = 23

Thrusting Bear = 22

Tidal Wave = 21

Tri Star Bullish = 20

Tri Star Bearish = 19

Tweezer Bottom = 18

Tweezer Top = 17

Two Rabbits = 16

Two Crows = 15

Downside Gap Two Crows = 14

Upside Gap Two Rabbits = 13

Up Gap Three Method = 12

Down Gap Three Method = 11

Upside Tasuki Gap = 10

Downside Tasuki Gap = 9

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

13

The Candlestick X-Ray™ also includes a special pre-formatted “RadarScreen”

Indicator and template for all TradeStation users. All of the columns, colors, and

text are completely customizable so that you can personalize it to your own

preferences. Using the Candlestick X-Ray™ with the RadarScreen allows you to

quickly scan an entire list of symbols for all candlestick patterns in just seconds!

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

14

The Candlestick X-Ray™ also includes a special pre-formatted “Market Scanner”

Indicator and template for all MultiCharts users. All of the columns, colors, and text

are completely customizable so that you can personalize it to your own

preferences. Using the Candlestick X-Ray™ with the Market Scanner allows you

to quickly scan an entire list of symbols for all candlestick patterns in just seconds!

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

15

We have found that scanning intraday for our favorite patterns can be quite useful

as an “early warning” detection system, since the Candlestick X-Ray™ Scanner

can display valid daily patterns before the trading day has ended. In other words,

you can see which stocks exhibit valid pattern setups at 12 PM (EST) rather than

having to wait for the close at the end of the trading day.

*** While this screening technique allows for aggressive pre-emptive strategies,

always exercise extreme caution when doing so because a pattern that appears

valid at 12 PM (EST) may prove to be invalid at 4 PM on close.

We prefer using the Candlestick X-Ray™ Scanner to keep an eye on which

patterns are developing within a specific group of key issues at around 10:30 –

10:45 am, 2:15 – 2:30 pm and once again at 3:35 – 3:50 pm (EST).

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

16

To avoid excessive chart clutter and unnecessary signals when analyzing small

intraday timeframes that are below 5 minute or 15 minute intervals, we

recommended eliminating patterns that can occur too frequently, such as:

Bullish & Bearish Engulfing;

Bullish & Bearish Marubozu;

Three Inside Up, Three Inside Down;

Three Outside Up, Three Outside Down;

Three White Soldiers / Three Black Crows;

Matching High / Matching Low;

Tweezer Top / Tweezer Bottom;

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

17

Abandoned Baby, Morning Doji Star & Evening Doji Star

- High probability reversal patterns with expanding volatility and explosive price

action

Advance Block, Descent Block, Deliberation

- These patterns often coincide with significantly overbought / oversold conditions,

signaling that trend momentum is markedly waning

High Wave

- These patterns often coincide with significant turning points in market character,

reflecting drastic changes in price action (e.g. March 6th, 2009)

Homing Pigeon & Descending Hawk

- Provide extraordinary risk / reward ratios

Piercing Line, Dark Cloud Cover, Thrusting

- High probability reversal patterns

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

18

- Wait for price to revert to the support/resistance established where the pattern

occurred and enter there for a greater risk/reward ratio. If price fails to revert,

leaving you with a missed trade, OH WELL!

There is no harm and no foul in missing a trade when it fails to meet your risk

control parameters, regardless of how it plays out. By exercising technical

discipline and emotional patience with your candlestick pattern trading, you can

significantly increase both your success rate and risk/reward ratio.

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

19

- It’s a general rule that candlestick patterns which occur on increased volume

exhibit greater probabilities for follow-through. If a valid pattern setup looks good

but volume is either suspiciously lacking or utterly unconvincing, prudence

warrants exercising caution. This simple, straightforward tip can greatly enhance

your candlestick analysis.

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

20

- Pay more attention to “dojis” which occur after prolonged or extended rallies

(possible tops) rather than those occurring after extensive sell-offs (possible

bottoms). While it is fundamentally correct that “going up” simply requires greater

cumulative buying than selling, we have observed that doji signals exhibit much

greater probabilistic predictive power and hence effective value for traders when

they follow exhaustive rallies.

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

21

- You can project effective price targets and stop loss levels when employing

many candlestick patterns. Placing your stop either just underneath the low or

high of the respective pattern (depending on bullish or bearish character) is a

simple, straightforward way to effectively manage risk and minimize time decay.

For your price target, adding or subtracting the pattern’s High-Low range to the top

or bottom of the breakout level is another simple and straightforward way to

calculate a realistically achievable price target.

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

22

All “doji-based” as well as “matching high or low” patterns that require an equal

open, high, low and/or close are simply impossible to code for both “high-priced”

and “low-priced” issues when utilizing formulas which require precision; this

prevents many candlestick patterns from registering valid signals on “high-priced”

stocks, “penny” stocks, bonds, futures, or options.

We believe that our coding has solved this problem by requiring the definition of a

“doji” and a “matching high or low” to have a real body (Open - Close) that is less

than approximately 13% of the current bar’s trading range (High-Low). This allows

for “high-priced” stocks (e.g. several hundred dollars) such as GOOG or PCLN to

exhibit effective signals for these patterns in situations where “simple” coding falls

short. We have also provided many of the original patterns, in addition to our

custom modified patterns.

*** Patterns with an “ = ” after them are the “textbook” codes that require

exact Opens / Closes / Highs / Lows.

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

23

GOOG opens at $400.50 and closes at $400.00, where the Low is 397.00 and the

High is 405.00.

“Simple” Coding: fails to classify as a “Doji” day; no pattern is registered.

Fibozachi Coding: recognizes that the 50-cent real body is only 6.25% of the

High-Low range, thereby correctly registering as a “Doji” day.

FNM opens at $1.10 and closes at $1.09, where the Low is 1.00 and the High is

1.20.

“Simple” Coding: fails to classify as a “Doji” day; no pattern is registered.

Fibozachi Coding: recognizes that the 1-cent real body is only 5% of the High-

Low range, thereby correctly registering as a “Doji” day.

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

24

Many other candlestick pattern tools on the market have fundamental

misconceptions about candlestick patterns and incorrect formulas of certain

patterns; as a result, they plot invalid patterns and often miss the good ones.

As systematic candlestick traders, we find such programming errors utterly

unacceptable. We have painstakingly proofed every one of the 156,335 characters

within each of the 4,445 specific lines of code that comprise the Candlestick X-

Ray™ Package and take great pride in the quality of our work.

Understanding the inherent price action within specific patterns adds a critical

component to one’s knowledge of candlesticks. Employing such valuable

information to your candlestick analysis can significantly enhance the

effectiveness of their predictive value.

“Simple” Coding: incorrectly plots the hammer, inverted hammer, hanging man

and shooting star, due to the lack of an added rule requiring that an uptrend or

downtrend MUST be present. (Hammers that register after a selloff is much more

valuable than a hammer that registers during a rally).

Fibozachi Coding: includes an added rule, where the midpoint of the current bar

must also be above or below the 8-day SMA, which confirms the presence of an

uptrend / downtrend. This helps to properly validate candlestick pattern signals.

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

25

We have devised each formula within our candlestick patterns in a comprehensive

fashion. Since many candlestick patterns and their respective formulas are neither

qualitatively defined nor uniformly agreed upon by the several seminal authors of

candlestick literature, we have both manually and mathematically assessed the

various interpretations to determine the formula and rules behind each pattern.

Additionally, we have incorporated Fibonacci numbers and their derivative ratios

into the vast majority of our uniquely coded candlestick pattern formulas, resulting

in the creation of multifaceted and extremely powerful candlestick pattern

Indicators.

The following is a prime example of our initial frustration during the early

stages of the developmental process:

Author “X” states that a hammer’s lower shadow must be at least 2 times the

length of its real body, where author “Y” states that a hammer’s lower shadow

must be at least 3 times the length of its real body.

If we follow the guideline of Author “X” we catch all signals, though they may

be probabilistically weaker than those of Author “Y”.

If we follow the guideline of Author “Y” we may miss some signals, though

they may be probabilistically greater than those of Author “X”.

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

26

Rather than relying on amorphous guidelines, our rule states that a hammer’s

lower shadow must be at least 2.236 times the length of its real body. We also

define that the Upper Shadow * 7.618 < High-Low Range; in other words, the

upper shadow must be less than 13.13% of the bar’s entire range for the hammer

pattern to verifiably confirm itself, thereby forming a valid signal.

*** Our “Standard” Doji, Hammer, Inverted Hammer, Hanging Man, and Shooting

Star Patterns employ the “13% Rule”, where Open - Close <= 13% of the Range.

We have also included “Perfect Pattern” versions (for classic candlestick pattern

traders), wherever applicable, which employ a “3% Rule” in order to isolate only

the strongest, most “textbook” patterns that the market has to offer.

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

27

Have a question about the Candlestick X-Ray™ Indicator Package? Contact

us at [email protected]. We take great pride in our customer support

and are happy to help our fellow traders!

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

28

The terms “Company”, “us” or “we” refer to Fibozachi.com, its parent company Fibozachi LLC, and all

subsidiaries, affiliates, officers or employees therein. The term “you” refers to the user or customer of

Fibozachi.com. The terms “Content” and “Information” refer to the indicators, tools, strategies,

techniques, systems, manuals, data, communications and any other associated products or material of

the Company.

License:

You are purchasing a single user license. You may not: copy, modify, publish, retransmit, participate in

the transfer or sale of, distribute, perform, display, or create derivative works from, any of the Content or

Information in any way.

Disclaimer:

All Content and Information provided is for educational purposes only. Fibozachi.com and Fibozachi LLC

(the “Company”) is not an investment advisory service, broker-dealer, commodity trading advisor, legal

advisor, tax advisor, or registered investment advisor, and does not purport to tell or suggest which

commodities, currencies or securities customers should buy or sell for themselves. The affiliates,

employees or officers of the Company may hold positions in the commodities, currencies or securities

discussed here.

You understand and acknowledge that there is a high degree of risk involved in trading commodities,

currencies or securities. You also understand and acknowledge that there is an extremely high degree

of risk involved in trading leveraged vehicles such as futures or options, where you can lose more than

the initial sum of your investment. The Company, its subsidiaries, affiliates, officers and employees

assume no responsibility or liability for your trading or investment results.

It should not be assumed that the indicators, tools, strategies, techniques, systems, manuals, data,

communications or any other associated products and material of the Company, collectively the

“Content” and “Information,” presented in its products or services will be profitable or that they will not

result in losses. Past results of any individual trader or trading system published by Company are not

indicative of future returns by that trader or system, and are not indicative of future returns, which may or

may not be realized by you. In addition, the articles, blogs, chat, columns, indicators, methods,

strategies, systems, techniques, tools, and all other features of Company's website (collectively, the

“Information”) are provided for educational purposes only and should not be construed as investment

advice. Any articles, blogs, chat, columns, comments, discussions, drawings, and examples, including

any other items intended to illustrate Information presented on Company's website, are for educational

purposes only; such are not solicitations of any order to buy or sell. Accordingly, you should not rely

solely on the Information in making any investment. Rather, you should use the Information only as a

starting point for doing additional independent research in order to allow you to form your own opinion

regarding any investment. You should always check with your licensed financial advisor and tax advisor

to determine the suitability of any investment.

© 2009-2017 Fibozachi LLC – www.fibozachi.com. All Rights Reserved.

29

IN CONSIDERING WHETHER TO TRADE, YOU SHOULD BE AWARE OF THE FOLLOWING:

HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT

LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT

REPRESENT ACTUAL TRADING AND MAY NOT BE IMPACTED BY BROKERAGE AND OTHER

SLIPPAGE FEES. 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.

TRADING IS AN EXTREMELY DIFFICULT PROBABILISTIC ENDEAVOR THAT REQUIRES

TECHNICAL SKILL AND EMOTIONAL DISCIPLINE AT THE VERY MINIMUM. EVEN A GREAT

TRADER WITH EXCELLENT ANALYSIS, RESOURCES, TOOLS, TECHNIQUES, STRATEGIES,

PLANS, CONTINGENCIES, AND EXPLICITLY DEFINED RULES FOR MANAGING RISK EXPOSURE

IS OFTEN WRONG. THERE ALWAYS REMAIN REAL AND UNQUANTIFIABLE RISKS SUCH AS

GOVERNMENT INTERVENTION OF RULE / LAW CHANGES. RISK PREVENTION MEASURES SUCH

AS PROTECTIVE STOPS DO NOT PREVENT THE RISK OF GAP OPENINGS OR LOCK-LIMIT

MOVES.

YOU AGREE THAT NEITHER FIBOZACHI LLC, NOR ITS SUBSIDIARIES, AFFILIATES, OFFICERS

OR EMPLOYEES, SHALL BE LIABLE TO YOU OR ANY OTHER THIRD PARTY FOR ANY DIRECT,

INDIRECT, INCIDENTAL, SPECIAL, OR CONSEQUENTIAL DAMAGES. MEMBERS AND VISITORS

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“Neither TradeStation Technologies nor any of its affiliates has reviewed, certified, endorsed, approved,

disapproved or recommended, and neither does or will review, certify, endorse, approve, disapprove or

recommend, any trading software tool that is designed to be compatible with the TradeStation Open

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