The Absolute Momentum Strategy will attempt to achieve profits from directional, trend based movements in the underlying futures contracts being traded. WAMs trading strategy is technical in nature. The strategy was developed from analysis of patterns of actual price movements, and is not based on analysis of supply and demand factors, general economic factors, or world events. However, in rare instances Mr. Reavis may intervene in the exit of a profitable strategy if global news would negatively affect the position to preserve capital.
WAM looks for trends in the markets in multiple time frames very short (intra-day/ swing), medium term (weeks) and long term (months). The overall goal of looking at the markets in multiple time frames will be to attempt to lower investment volatility and consistently produce a favorable return stream over time. The strategy will also consistently seek to measure correlations between different markets over different time periods to efficiently manage risk in an attempt to generate alpha for investors. The strategy currently trades a diverse grouping of futures contracts in agriculture, softs, precious metals, currency markets, energies, stock indices and bond markets. These contracts will generally be traded on major US futures exchanges such as the CME, COMEX, CBOT, NYMEX and ICEUS. WMA reserves the right to trade other products and or contract types on other exchanges should an appropriate opportunity arise.