.


Letter from CEO

Thank you for visiting STTA Consulting web site. I hope it will be useful for you. 

My name is Vladimir Daragan. I am a physicist and a programmer. In 1995 my friends and I began statistical analysis of the stock market. Based on the history analysis (1987-1995) we had discovered some market inefficiencies which can give traders very good returns if they systematically use some simple rules. We have been testing our trading strategies since 1996 and to share our ideas with other traders, in 1999 we started STTA Consulting Inc. 

To prove our ideas we decided to provide daily service based on our analysis. This service is for people who are interested in developing and using new methods of stock trading. We do not hide anything.  All history returns (good and bad) are published on our web site.  Become our member to check what we are doing.

Our trading methods are described on this site. You can find short descriptions of various trading strategies, many articles and e-books about developing new methods of stock trading.

In 1998 I wrote a book The Stock Market Game about various methods of stock trading and investing. The book is in Russian. The third printing of this book is available. You can buy it from www.ozon.ru

Financial markets is our main field of interest. However, our team can help you to solve many other problems.

If you have any questions about our trading strategies you can write us: service@stta-consulting.com. We will gladly try to answer your questions.

With best regards,

Vladimir Daragan 

 

. Trading or Investment?
 
There are some investment strategies that can beat the market in the long run. A good example is buying stocks with low price to sale ratios  (J. O'Shaughnessy "What Works on Wall Street"). Read about this strategy in InvestmentCorner.

If you are not very excited about an annual investment return of 10 - 15% and you can take higher risk, start trading stocks. With a good strategy you can substantially beat the market. Remember business rule #1: higher return - higher risk. The problem is to find a trading strategy with minimal risk/return ratio. This is what we are trying to do.

   

 

World of random numbers

If you hear from somebody that he has got a sure system for beating the market, stay away from him. He is lying. It is not possible. When you start investing or trading, you are stepping into the world of random numbers. Nothing is sure, and only probability laws are working. You can lose your capital using any "sure" system. The question is what is the probability of losing or winning.

 

 

Can the stock moves be predicted?

The crucial question: is the stock market efficient or not? Can you find stocks with higher probability of growth? The conclusion we have come to: one can predict short-term stock moves with probability of 66 - 78%, depending on the stock selection system. Our time scale is 1 - 5 days.

There is a well-known rule: oversold stocks will go up. How can you find these stocks? Potential winners should be oversold within different time scales: daily, weekly, monthly... They are to be compared  to the average market behavior. This can be done by performing  fractal analysis of stock price time dependence. Do not be afraid! We will not write complicated equations. There is some math behind the conclusions, but using our methods is simple.

The higher the growth probability, the harder to find such stocks. Sometimes it is more profitable to select stocks with lower growth potential but make more trades. This is a difference between our low-risk and basic trading strategies. 

 

 

Stocks to Watch

Every day before the US market opening you can find a new list of potentially bullish and bearish stocks and the current trading portfolio for our trading strategies. These are the titles of corresponding files:

"Potentially Bullish Stocks"
"Potentially Bullish Small Stocks"
"Potentially Bearish Stocks"
"Current Trading Portfolio"

Trial subscription is available. Please open the subscription page for more information.

Sorry, the number of users is very limited. A big crowd  will kill our selection. If you see a message Trial service currently is not available - just wait. We'll let you know when there is room for more users.

 

. Learn More

On the main page and here you can find the links to description of various trading strategies and to some useful information:

Basics Trading Strategy.  Based on the daily list of potentially bullish stocks

Low Risk Trading Strategy. Based on the same list but stock selection method is different. The number of trades is less than for basic strategy but return per trade is larger. Quarterly return of this strategy can be lower than for the basic strategy because of smaller number of trades but risk/return ratio is smaller.

Sell-Short Trading Strategy. Based of the list of potentially bearish stocks.

Combined Strategy. Using Basic and Sell-Short strategy simultaneously.

Busy People Trading Strategy (BPTS). Based on the list of bullish stocks. To buy stocks one can use limit or market orders which can be placed before the market opening.

Canadian Stock Trading Strategy. Similar to the Basics Strategy but for Canadian stocks.

Trading Tips.  Some advices based on our trading experience.

Read More.  Some books which can help to understand the market better.

Discussion Club (New Ideas): Our members write us about our strategies. This is what we expected when we decide to publish this site. Thank you.

Internet Journal (New Trading Ideas). Many articles about various trading and investment methods and market statistics.

Our Articles. Our articles in this Internet journal. We periodically publish results of our market analysis.

E-Book. Short-Term Trading Analysis. Read it to learn more about our methods of stock selection, trading methods, and statistical analysis.

E-Book. How to Win the Stock Market Game. Read about analysis of trading, risk and returns, managing trading capital, using stop and limit orders, ...