GFT Debuts New Analytical Tool

November 10, 2006
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ADA — The Strategic Trading Institute has come up with a financial market prediction service designed to help day traders place their trades more effectively in the foreign exchange market.

There are other market prediction services, but the Strategic Training Institute’s new service — Foresight-A.I. — uses artificial intelligence and historical market data to forecast the next day’s market highs, lows and overall direction 24 hours in advance, so traders can start plotting their strategy a day ahead and boost their ability to place high probability trades.

The Foresight software is available exclusively through Global Forex Trading, or more specifically, through GFT’s proprietary DealBook 360 trading software. GFT offers online currency dealing, pricing and comprehensive services for retail and institutional foreign exchange traders worldwide through DealBook 360.

Both GFT and the Strategic Trading Institute are part of Global Futures Forex Trading Ltd.

The Strategic Trading Institute conducts live workshops, online training and Web seminars on trading methodologies in which traders can learn from one another, as well as market experts. The institute recently introduced Foresight-A.I. to more than 80 area traders at a workshop and demonstration held at the Amway Grand Plaza Hotel.

Foresight-A.I. analyzes multiple sources of data, market patterns and trends forecasts and identifies repeating patterns that can be categorized and mathematically analyzed in the speculative markets. It also predicts the general directional trend of the forex market, where average trading volumes exceed $2 trillion a day.

“The real benefit of Foresight-A.I. is that it helps traders find higher probability trades,” said Jeff Phillips, vice president of the Strategic Trading Institute. “When paired with other types of analysis, Foresight-A.I. can help traders find clear signals in the often subjective and chaotic financial markets.”

The objective in foreign exchange is to make money or increase the probability of making money, but if a trader doesn’t have a plan or understand what he’s doing, there’s also the challenge of the risk side, Phillips said.

“The important thing is that we want to be on the right side of the trade,” he said. “Would you like to know what tomorrow will look like before it happens? Foresight-A.I. is about probability; it’s about looking at the future and taking some of the science of patterns this program was built from.”

Larry Pesavento, master hedge fund trader and a Strategic Trading Institute trainer, said pattern recognition is based on what’s likely to happen in the future, and that there’s proof that patterns are scientific in origin — they repeat over and over again and are predictable.          The Foresight-A.I. program was developed for a timing element, he noted, and has nothing to do with price.

“The market repeats itself everyday,” Pesavento observed.

“The problem is people don’t study the patterns. Since the market does basically the same thing every day, what you’re trying to do is to find out what are the probabilities of it doing it the next day. ”

DealBook 360 generates market forecasts and makes them available the evening before the next trading day. Foresight-A.I. forecasts are plotted on two-minute charts, Monday through Friday, between and

Traders simply overlay Foresight-A.I. on their chart within DealBook 360 and combine the forecasts with their regular analysis to figure out the best times for market entry and exit throughout the day.

The program doesn’t eliminate the risk of loss, but it gives traders a “huge edge,” according to Pesavento, because it increases the probability of successful trading. 

CEO Gary Tilkin founded GFT in 1997. Its original proprietary product, DealBook FX trading software, built the company into a world-leader in online forex trading within five years of its launch. DealBook FX was later replaced with the more sophisticated DealBook FX2.

That software was replaced this September by DealBook 360.

“DealBook 360 is really a culmination of the previous two versions; it’s what we call the third and final version of the software,” said GFT spokesman Tim Gort. “The reason we changed it from DealBook FX to DealBook 360 is because it is used for products outside of foreign currency with our operations in the United Kingdom, allowing it to do spread betting and CFD (Contract for Difference) trading. Eventually, we’ll probably add more products in the United States, as well.”

GFT’s DealBook 360 software and 24-hour dealing desk serve customers in more than 120 countries.

The company has offices in Chicago, New York, Tokyo, Sydney and London.

In August, GFT was named by Inc. magazine as one of the top 500 fastest-growing private companies in the United States, based on the company’s annual growth rate of 331 percent over the past three years.

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