EdgeWare FastBreak Standard Version 6.5 - Manual (Page 37)

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Checking this box will open a file selection menu, and a standard FastTrack signal file
can be selected. The signal files are usually in a separate subdirectory in the FastTrack
directory. This signal file requires a “buy” before any fund, except money market, can be
purchased. When a signal file gives a “sell” funds will be sold ignoring all other rules
including the Min hold rule. All positions will be put into the selected money market
fund. Using a signal file allows the user to include market timing in a strategy. The per-
centage of the investment transferred into money market can be controlled using the
“Market Risk” box that appears. See the next section for a description of this option.
Checking the Use Signal File box will produce the following standard file selection
menu:
Notice that all the .sig files in the FastTrack sig directory are listed. This menu allows
you to change the Drive and Directory where your .sig files are stored. We recommend
that you keep them in the sig subdirectory in FastTrack. You can change the file type to
something other than .sig but, again, we recommend staying with the standard defaults.
Select a signal file with a left mouse click on the file name.
Market Risk
The option appears when using a signal file. When set to 0%, the most common user op-
tion, all funds will be transferred to the money market fund when the signal file gives a
sell. If set to 50% half of all funds will be transferred to the money market fund when the
signal file gives a sell. Any value between 0 and 100% can be used. Values other than
0% would be used for an investor who wants to reduce market exposure during a signal
file sell but keep a portion of funds invested. There is additional information on this op-
tion in the FAQ chapter. Note: When using this option with a value greater than zero, it
is very important that the Start Date occur during a time period when the signal file is
on a buy signal. FastBreak Pro users should also pick a date for the out-of-sample
start date that corresponds to a time period when the signal file is on a buy. If using a
market risk of zero (the most common option for most users) the start dates do not need
to be coordinated with signal buy periods.