Imagine: you’ve spent weeks, months even, developing a trading strategy.

Your back-testing is complete.

And on paper this strategy has the potential to make an eye-popping 7% return on account per day.

Yes, 7% return on account PER DAY!

That’s not 7% per year. Or even 7% per month. Every evening, as you lay your head on the pillow, you can be 7% richer than you were 24 hours ago.

Can you even imagine?

Oh, what joy! The good life has finally arrived.

Now this might all sound a bit farfetched but there actually is a strategy generating these returns in recent months. I’ve just been talking to one of the chaps who trades it.

It’s not my strategy. And as you might have guessed, snowballing your account into a multi-million pound fortune at the rate of 7% per day is not straightforward.

So you can stop shaking your head and shouting “7 per cent? How ridiculous!”  at your computer screen now 🙂

Here’s the story…

Some bright spark figured out a way to trade small bursts of volatility in the overnight (Asia session) markets. The trades have a small profit target and a very wide stop. But because of the typically quieter ‘ambling’ nature of the overnight markets the maths works out positively.

It means you’d stand to win on your trades the vast majority of the time. Occasionally you’d take a loss (and it would be a relatively BIG loss). But in the end it all averages out very nicely. On paper, anyway.

But here’s the problem…

The trading fund behind this strategy has now grown to the point where they’re actually moving the market with their own trades!

They enter and exit trades with automated market orders. And they’re now getting horrific slippage on their king-size orders. In means the 6-7 pip profits they were averaging on the trades in the early days has now been whittled down to 3 or 4 pips.

And one or two of those losing trades coming along in quick succession could now gobble-up all their accrued profits, and more!

They’ve gone back to the drawing board. They’re trying to figure out a way to adjust and make it work again.

And credit where credit’s due, it is a clever approach.

But the problem is it’s a TACTICAL approach. They’re exploiting one of those alluring ‘hidden loopholes’ in the markets. And that means it’s a short-term thing. It’ll only work for as long as it works.

Me? I prefer to trade strategically.

I like to follow timeless principles.

Take my new strategy… it uses technical analysis as old as the hills.

No fancy automated algorithms exploiting short-term price discrepancies here. We simply trade the same way market-makers and futures pit traders did in days of yore.

I like it because it always worked and it always will work, for as long as there are financial markets to trade.

And I don’t know about 7% returns per day. You might get the odd 7% day, but it’ll be now and then. Certainly not every day.

In fact, I’d say it’d be more realistic to aim for a 7% return on the week than 7% per day. But that’ll be down to you once you get your hands on the information.

Now this won’t be for everybody. I’m being careful who I let in and it’ll be a small group working closely alongside me.

So here’s an early heads-up…

If you’d like to hear more about this strategy drop me a quick email. Type ‘More strategy info’ in the subject line and send it to me here: rich@tradersnest.com.

I’ll make sure you’re one of the first to get the coming updates.

Until then…