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DISCLAIMER: Online trading involves substantial risk of loss and is not suitable for everyone.
The valuation of the contracts does fluctuate, and, as a result, you may lose more than your
original investment. The impact of seasonal and geopolitical events is already factored into
market prices. The highly leveraged nature of online trading means that small market
movements will have a great impact on your trading account and this can work against you,
leading to large losses or can work for you, leading to large gains. If the market moves against
you, you may sustain a total loss greater than the amount you deposited into your account.
You are responsible for all the risks and financial resources you use and for the trading
systems you are using. You should not engage in live trading unless you fully understand the
nature of the transactions you are entering into and the extent of your exposure to loss. If you
do not fully understand these risks you must seek independent advice from your financial
advisor. All trading strategies are used at your own risk. This mentoring should not be relied
upon as advice or construed as providing recommendations of any kind. It is your
responsibility to confirm and decide which trades to make. Trade only with risk capital; that
is, trade with money that, if lost, will not adversely impact your lifestyle and your ability to
meet your financial obligations.
Revision Log:
20161101.1300 A.Pealoza initial revision.
20161123.1000 A.Pealoza added why the Bollinger_Band is so useful.
20170101.0000 A.Pealoza updated pictures, added Trap Rules and renamed TRUST
line as FAITH Line.
20170316.0800 A.Pealoza The Trinity Lines explanation in depth.
Contents
Mission Statement...........................................................................................................5
Purpose: 7
SAFETY: 7
SURETY: 8
PROFITABILITY: 8
GTO Benefits..............................................................................................................8
MANTRAS: 14
End of Teachings.......................................................................................................22
Conclusion: 22
3 of 23 The GTO Quick Learning Manual
All Rights Reserved;
The Children of the Journey Sangha of the East Coast. Copyright, 2011-2017
Mar. 16, 2017 THE GTO QUICK LEARNING MANUAL
Purpose
Mission Statement
We believe in the Divine and the Universe. We are eternally
Grateful and ever Thankful for the Gift of the Trinity Lines (FAITH,
LOVE and MERCY).
We are continually given the most amazing insights about this Gift;
which allows us to create a business that takes little of our time to
run during the day. This Gift enables us to spend quality time
helping others as the Divine wishes. This is the reason we teach
this Gift to others for free.
1. Those that have the passion and perseverance, on their own volition, will prove the
merits of "The Gift" for themselves and acquire the necessary skills by their OWN
effort.
2. As "The Gift" was freely given to the Sangha, we FREELY give The Gift, from our
heart, to those who ask us. The Sangha will freely answer questions and provide the
foundational knowledge to those who seek to use the Grace Trading Operations and
Trinity Lines effectively.
3. The Gifts of the Trinity lines and GTO are Open Source and will adhere to the "7
Guiding Principles" of Open Source.
When you have your first-look at the Trinity Lines used in the Layout (works only on the
SierraChart Trading Platform), please do NOT be overwhelmed by all the lines. You will
learn their function as you execute the trading plan described in this manual. Please
learn about the DOUBT, which is foundational; we need DOUBT to clearly see the rhythm
of the market dance and to alert us when the Trinity Lines are ready for the next
market cycle.
SAFETY:
Protect your trading account, we employ the following tactics...
1. Use a Stop and move it to the last bounce of the price-action (where the price-
action created a peak or valley).
2. BE OBEDIENT to the trading operations.
3. Use only ONE contract and Keep your max daily loss to less than $200 (Daily
Loss Limit).
4. Keep your max daily filled trades to less than 8 (Over Trading Limit).
5. Met your Daily Profit Goal, END your Trading Day.
SURETY:
Look for and wait for The Trade Setup.
PROFITABILITY:
1. EXIT your position when you have The Trade Exit.
2. BEWARE KEEP AWAY when the price-action is sideways, Trinity Lines
stay in DOUBT or on opposite sides of Zero or FAITH is FLAT or outside
GRACE.
3. WAIT for LOVE and MERCY to Leave DOUBT as the horizontal gap of the
LOVE and MERCY Zero cross are close together.
GTO Benefits...
1. FREEDOM of sight and awareness.
2. ENERGY to trade for a long time (if we want to) - due to Less Frustrations.
3. FREE for everyone to use (except for the monthly cost of a Sierra Chart
subscription - $27 per month).
Pre-Plan:
Requirements:
Pre-requisites:
Production Routine: Make this a habit (practice diligently for 30+ days).
1. Opening Prayer
2. Find and draw horizontal (GRACE) lines, marking Support and Resistance
Levels using the FLATs
of the upper and lower Bollinger_Band (see section: The Bollinger Band is
needed)
3. Review the Trade Setup:
a. STAY AWAY from a FLAT FAITH or when LOVE or MERCY are in DOUBT or
opposite sides of Zero
b. ENTER when FAITH is in GRACE and BOTH LOVE & MERCY are on the SAME
side of Zero
as LOVE goes BEYOND DOUBT
4. Review the Trade Exit:
a. EXIT when MERCY Zero-cross against you
5. Summarize and note Production Performance
a. PL and Total number of fills
b. What went wrong
c. What was learned
6. Closing Prayer
ENTER UP: FAITH is doing UP cycle within GRACE, LOVE is beyond UPPER
DOUBT,
doing UP cycle and MERCY is doing UP cycle ABOVE Zero.
ENTER DN: FAITH is doing DN cycle within GRACE, LOVE is beyond LOWER
DOUBT,
doing DN cycle and MERCY is doing DN cycle BELOW Zero.
TRADE EXIT:
when MERCY Zero-cross against you.
DO NOT Enter when LOVE and MERCY are on OPPOSITE sides of Zero.
When MERCY is on the OPPOSITE side of Zero from LOVE, the market WILL be
SIDEWAYS, because MERCY is NOT helping (not in phase with) LOVE.
12 of 23 The GTO Quick Learning Manual
All Rights Reserved;
The Children of the Journey Sangha of the East Coast. Copyright, 2011-2017
Mar. 16, 2017 THE GTO QUICK LEARNING MANUAL
Post-Plan:
Do re-cap; Video and/or Screenshot the charts and add to your blog site.
LIMITS:
Use ONLY 1 contract
MEET a DAILY PROFIT GOAL, then STOP trading
Maximum daily fills: 8
Maximum daily LOSS: $200
PROFIT Limit per trade: $100 or 10 ticks
Trailing STOP: 10 ticks
MANTRAS:
(Split the 30 days into Three Combines, where a Combine is 10 trading days each, with
differing goals and limits you wish to attain. For example, the Third Combine may use 2
contracts at a time per trade.)
Share your insights with other GTO practitioners. In freely sharing our discoveries, we have made
such wonderful progress!
OBEDIENCE to the GRACE Trading Operation is paramount and staying within your
Loss and Fill Trade Limits!
1. The Zero Line (orange line) - is fundamental to GTO. Without the "Zero", we
will not know the various cycles the market goes through. GTO essentially
places a Zero line on the price-action - this is the source of power for GTO.
2. MERCY (dotted line) is the fastest speed GTO line. MERCY is the slope of
LOVE. MERCY predicts where LOVE will go next, tells us the markets shortest
term cycle. MERCY Zero-cross and going beyond opposite DOUBT is an EXIT
that MUST be taken.
3. LOVE (dashed line) is the medium speed GTO line. LOVE is the slope of FAITH.
LOVE tells us the market's medium term cycle. When LOVE crosses the Zero
line, it will move the price. LOVE going beyond DOUBT with MERCY on the
same side of zero, is an ENTRY signal, provided FAITH is NOT flat and is in
GRACE. LOVE re-entering DOUBT against you is also an EXIT signal.
4. FAITH (solid line) this is the slowest speed GTO line, tells us the market's long
term cycle. FAITH is essentially the price-action with a Zero line.
Therefore
1. ENTER for a LONG, when LOVE and MERCY Zero-cross UP and goes BEYOND upper
DOUBT.
2. ENTER for a SHORT, when LOVE and MERCY Zero-cross DOWN and goes BEYOND
lower DOUBT.
3. ALWAYS EXIT, when MERCY Zero-cross against you.
.
Bollinger_Band is a tool invented in the 1980s, The Bollinger_Band is used to measure
the "highness" or "lowness" of the price relative to previous trades.
Typical values for N and K are 20 and 2 (for standard deviation), respectively.
Early in our development of GTO, the UNIVERSE taught us the importance of LOVE and the
significance of GRACE and DOUBT. The use of GRACE is very important in allowing us to know
the cycles of the market dance. GRACE allowed us to have an area around the Zero line, called
DOUBT, where the most exciting part of the market dance happens.
GRACE and DOUBT define areas above and below the very important Zero line.
https://www.youtube.com/watch?
v=NcANVj6BQY8&index=10&list=PL8Ugz426o2EJoEBop9yFTGEB0kRtfqRQL
and
https://www.youtube.com/watch?
v=nUW3JA0MuDc&list=PL8Ugz426o2EJoEBop9yFTGEB0kRtfqRQL&index=1
The EXPANSION phase LOVE moves AWAY from Zero BEST time to ENTER a position.
MERCY is on SAME SIDE of ZERO with LOVE.
The CONTRACTION phase - LOVE moves TOWARDS Zero BEST time to EXIT a position.
MERCY is on OPPOSITE SIDE of ZERO separated from LOVE.
When LOVE or FAITH do NOT follow price-action we have what is called DIVERGENCE.
NOTE: It is BEST to WAIT for LOVE & MERCY to be together and for LOVE to go
BEYOND DOUBT before making an ENTRY.
End of Teachings...
Conclusion:
We thank the UNIVERSE for giving us the WISDOM to use GTO safely and
profitably.
When we are NOT Profitable...
Blessings Always
Arnulfo Pealoza and Bruce MacWilliams of the GTO Development
Team