PTG University

Wednesday Workshop
Educational Series

“The Stacker”
(Trend Shift Trade Setup)

April 30, 2014

 The “Stacker” - Components

 Specific relationship between three exponential moving averages (ema’s): 13, 34, 89.

 The 233 ema is used to define the next “higher degree” trend condition.

 We want to trade “in direction” of the primary trend (89 ema) using the next higher degree trend
condition (233 ema) as confirming trend strength.

 Trender paint-bar / histogram: color coded to detect and identify the setup more readily.

 “Conditional” trade setup…There is no single “bar-type” entry price…Can use RSPR type entry.

 ATR Stop is used to identify structural “point-break” in price.

 The “Stacker” - Defined

 Bull Stacker: 13 ema > 34 ema > 89 ema

 Bear Stacker: 13 ema < 34 ema < 89 ema

There is a key “transition phase” that gives an early warning of potential shift in
underlying trend condition that can be identified using the “Trender” PB / Histogram.

 Bullish Shift: 13 > 34 with 34 < 89 = Dark Red

13 > 34 and 89 with 34 < 89 = Cyan
13 > 34 and 89 with 34 > 89 = Green
“Slope” of mva’s
 Bearish Shift: 13 < 34 with 34 > 89 = Dark Green are very important
13 < 34 and 89 with 34 > 89 = Yellow
13 < 34 and 89 with 34 < 89 = Red
 Disclaimers

 CFTC RULE 4.41 Hypothetical or simulated performance results have certain inherent limitations unlike 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 overcompensated of 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 presentation is being made that any account will or is likely to
achieve profits or losses similar to those predicted or shown.

 Trading of securities, options and futures may not be suitable for everyone and involves the risk of losing part
or all of your money. Commentaries are educational in nature and are designed to contribute to your general
understanding of financial markets and technical analysis. Use it how you want and at your own risk. We are not
registered investment advisors. This information is a general publication that reflects our own opinions and is
not a specific recommendation to any one individual. You must consult your own broker or investment advisor
for investment advice. Past performance is not a guarantee of future success. Controlling risk through the use of
protective stops is essential.

 TRADING FUTURES AND OPTIONS IS SPECULATIVE IN NATURE AND INVOLVES SUBSTANTIAL RISK OF LOSS. YOU
SHOULD CAREFULLY CONSIDER WHETHER TRADING IS SUITABLE FOR YOU IN LIGHT OF YOUR CIRCUMSTANCES,
KNOWLEDGE AND FINANCIAL RESOURCES.
 PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS