The Faculty of FLAT BREAK Gaining Momentum

The Faculty of FLAT BREAK; Automation; Auto-Trading has turned two years old. This seems to be a short term but, once everything is factored into, it is quite capacious and eventful. Over this time the Faculty has become the most popular one within the .

Let's take a brief tour of the Faculty. I am positive many of you will be interested. So, the first class started on 25 May 2009. 33 people enrolled for the very first training course! This is quite a lot for the Academy. Over 800 people have been trained over the two years at the Faculty. There were groups made up even of a little over 60 people with the average number of 33.

Training involves modern distance learning technologies such as webinars. One of the market's best available platforms was chosen for webinars as it allows training up to 100 people in one group. Students see the lecturer's desktop and hear his or her explanations. If necessary, any of the students can be involved in the process. He or she can show their own desktop and ask questions that the whole group will hear and see.

Initially, the Faculty was only a Department but soon it started added new areas for development of the trading system and this required creation of a Faculty. New Departments emerged: 'REVERSE' (later 'THE MATRIX'), 'BREAK OF A PRICE RANGE'. Another Department, 'FLAT BREAK + GLOBAL PRIORITY' appeared in March this year.

There is huge demand for the main Department of FLAT BREAK. This all means that courses are very popular in the Academy.

New Departments emerge because the system is flexible and can be redesigned. The system utilizes statistics - collection of data about the market. Analytical processing of these data helps make trading decisions based on the averaged analysis of data. Collection and processing of statistics helps the system change flexibly and adjust to the changing market. This is what allows the system to work in the context of a constantly changing market. Many successful and talented students have their own suggestions, develop and enrich the system. Quite frequently students' trades coincide with high accuracy. This means the system is formalized, simple, and objective. For example, have a look at Figure 1 and Figure 2

Figure 1.

Figure 2.

Two different people traded during the week and their trades coincided almost 100%. Such coincidences are not isolated. This means the system is easy to understand and is formalized.

I would like to announce a little ahead of time: two new Departments will be opened soon: 'PROGRAMMING, MQL4 and MQL5 Languages' and the Department of 'DAY MODEL IN FLAT BREAK'.

See more details below.

Currently, the Faculty is structured as follows:

3 Departments are already open:

- FLAT BREAK;

- BREAK OF A PRICE RANGE;

- BREAK + GLOBAL PRIORITY

There are plans to open another two this summer as I already said above. Alexander, Head of one of them, will speak in more detail.

The Department of Day Model in Flat Break

Probability analysis and determination of the Model of Price Movement in the Flat Break Department.

The FLAT BREAK Faculty continues developing. New ideas, new algorithms, new systems appear all the time. This article will deal with one idea and, as a result, a new and full system.

The system is called Day Model and based on statistical processing of data synthesized with technologies that the Faculty teaches to use.

The idea of a model-based representation of the market was conceived as a result of continued trading with the very system of Flat Break. We all know that to make system trading more comfortable, one should find what they like in it. So, what I liked in the basic Flat Break system is work with and analysis of statistics.

Before creating this system I was heavily involved with other types of analysis - technical analysis, COT analysis, market analysis in terms of sellers and buyers, analysis of horizontal and vertical volumes. Then I advocated a synthesis of different elements and combined all this even when I traded the Flat Break TS. But I was permanently confused because of such a large number of tools and always had to spend too much time on analysis. Eventually I understood that this was not comfortable for me and decided to fully dedicate myself to analysis based on Flat Break principles. It is these principles that laid the foundation for my own statistics that took me a huge lot of time to develop.

At that time my goal was to arrive at a system which could give me the most likely price movement pattern for the day in the morning, statistically significant levels and, most importantly, very accurate entries and short stops. What I lacked at that time was a graphical representation of the market - how the price could move within the day. This idea of graphical representation of price movement gave rise to first test statistics. When filtered, it offered a set of day open and close points which I later used to build a probability model for the day.

The entire analysis of one currency pair took over an hour. It was not automated back then, and all operations in the table had to be done manually. Overall, I liked the idea of graphical representation and started rapidly developing it. I gave up open and close points as a better solution was found for graphical representation. Many new principles and algorithms were tested, new parameters were introduced to characterize each day, and entry methods taught at the FLAT BREAK Faculty were optimized. Then I started automating routine actions but first had to learn VBA programming for Excel. A lot of work was done. Now all routine actions and calculations are automated. But work didn't stop at that stage as I started optimizing, selecting and testing different combinations of filters.

This eventually resulted in a full independent system based on analysis of statistical data. The system's core lies in the analysis of the most likely price movement for the day.

Apart from probabilities of price movement, there is an entire set of other probabilities that you use as a basis for making decisions on market entry methods, the potential of each entry, which entries should be left overnight and which closed intraday and what the current day will look like as compared to yesterday.

An entire money management tab has been created in Excel to determine important market entry and exit levels. It is used to make all MM and RM calculations and, based on probabilities, choose optimal market entry levels, exits and quite short stops.

Therefore, looking back I can say that a lot of work has been done to understand the role of statistics. My reward is the creation of an independent trading system you can use to make profitable trades with small stops and a positive mathematical expectation.

Such a huge scope of work with statistics helped me understand that any forex trading strategy is nothing but the working with probabilities. Any system has a certain algorithm of actions you perform to yield a certain result. A good system has more successful actions which is why we can make money. But we usually don't know their percentage unlike in the Day Model system where each day we see the likelihood of success. Based on this we make a decision whether it is worth buying today in a certain way or not.

Best regards, Noizium_Alexander, trader and developer of statistical analysis synthesized with the Flat Break system.

MQL4 MQL5 Programming Department

This Department will train traders who feel like mastering programming. After the course the trader will be able to code programs such as advisors, indicators, scripts that one needs in daily operations. At times a trader needs to create their own simple advisor, script or unsophisticated indicator. They will be trained on an individual, student vs. tutor, basis. Training time will be mutually agreed. It will be flexible to allow for time available both to the student and the tutor.

Programming in itself is not super-difficult. Times when programming was believed to be the lot of the chosen and require significant effort and good training have passed. Of course, you need years of experience and work to become a true master but you don't have to get your skills for years in order to write unsophisticated programs. You can walk the path much faster with those who have such experience.

My experience (over 25 years) allows me to take up this task - lead the trader to a certain result in a short period of time. A customized training program will be designed for student vs tutor format training. There will be an interview before training to find out the starting point.

There is no need to learn complex programming languages. You will have to understand simple truths,

simple rules; understand how MT4 is built, understand what 'data' is, what main data types there are; understand what arrays, variables, constants are; study language syntax, learn to code simple algorithms at first and then move to more complex ones.

This was our attempt to tell the reader a brief history of our Faculty and what it has evolved into in two years. Coming to our Faculty you get a comprehensive set of knowledge related to the Flat Break trading system and can even learn to write programs yourself such as advisors, scripts, indicators.

With regards, Dean of the FLAT BREAK Faculty, Yuriy Zaytsev (yuraz)