2. The FlowDM Philosophy

Think Like an Investor. Manage Like a Portfolio Manager.

The FlowDM Method begins with a simple idea.

Choose investments you want to own, then learn how to manage them as market conditions change.

You might identify a company because its business is growing, its financial performance is strong, or its stock has fallen to a price you consider attractive.

But finding a company worth owning is only the beginning. You also need to decide when to buy, how much to invest, and what you'll do if the price moves against you.

Professional portfolio managers may adjust their exposure, manage risk, and use hedging to protect positions. FlowDM gives individual traders and investors tools to take a similar approach.

Give Your Investments Room to Grow

When a stock is advancing, you can review the position and market environment while giving the investment room to grow. You don't necessarily need to take action.

FlowDM lets you establish a protective price threshold below the stock's current trading range. Think of that threshold as a line you've chosen where the software should attempt to activate protection if the stock falls.

As the stock establishes a higher trading band and repeatedly demonstrates buying support there, you may decide to raise the threshold beneath that tested band. A newly indicated higher level alone does not require an adjustment, and you don't need to move the threshold every time the stock rises.

Thresholds are based on the underlying equity price, including when your bullish holding is an ETF.

Sometimes the best decision is to give your investment room to move.

The challenge is recognizing when a decline is normal price movement and when something more significant may be developing. FlowDM's market indicators help inform those decisions.

You Remain in Control

FlowDM doesn't choose which companies you should own. It doesn't decide when you should buy or when you should remove protection.

Those decisions belong to you. The software provides information and tools to help you carry out your strategy.

You're using a machine to help manage the decisions you make.