A Tick is the smallest increment by which a market movement can be measured. Much like a cent is to a dollar, specific markets like the NASDAQ, Oil and Gold are measured in the number of ticks it moves on a daily basis.

A point is the smallest increment by which a market movement can be measured on markets that are not measured in ticks. Specific markets like the FDAX, FESX and S&P500 are traditionally measured in Point. To complicate matters slightly, some markets move in both ticks and points. These tick and point values are different for each market. Before you start trading, make sure you are aware of your market’s tick/point value so that you can accurately calculate your appropriate risk levels.

In mathematics and nature and trading alike, the Fibonacci Sequence is a sequence of numbers that establishes a pattern of behavior. In trading with Samurai, there a two Fibonacci’s we use, a Fibonacci Extension (projection) and a Fibonacci Retracement.

A Fibonacci extension, sometimes referred to as a Fibonacci projection, is a mathematical grid that we can use to project how far a market is likely to move in a certain direction. We can use this forecasting tool with the intent of setting medium and long-range profit targets while at the same time establishing mathematical risk control points that are of significant assistance to very well-trained traders. At Samurai, we are big fans of Fibonacci extensions!

A Fibonacci Retracement is a mathematical grid that we can use to calculate how far a market is likely to retrace against its most recent move. We can use this as a forecasting tool to work out where the market is likely to fail on its return journey back to its balance point. At Samurai, we use specific Fibonacci Retracements that have proven to be of significant value to our traders since 2009.

At Samurai, the moderators use a series of colors to make it easier for all traders globally to understand where a Fibonacci Extension or Fibonacci Retracement is generated from.

• The 60-minute chart Fibonacci color is black.
• The four-hour Fibonacci color is green.
• The daily chart Fibonacci (1440 Min Chart) color is blue.
• The weekly chart Fibonacci color is pink.
• The monthly chart Fibonacci color is orange.

At Samurai, the expression ATM refers to a ninja trader function that enables all traders to take advantage of ‘automated trade management’.

An ATM allows a talented trader to automatically control their risk once a market has moved toward their desired profit target. This same ATM can also be used to automatically control risk throughout the entire duration of a trade. In weekly tactics and strategy coaching, the moderator will explain how to establish the most popular ATMs used by the Samurai professional trading team.

At Samurai, a reversal trade is a trade that is traded against the stair step of the market. Reversal trades typically offer a high potential for long range targets and as such a very positive risk to reward ratio when traded correctly by well-trained traders.

The Samurai reversal trades are primarily range chart-based trades and can be dated back until September 2009.

At Samurai, the 4PTB, like an SBR trade, is a ratio based reversal trade that is typically traded off Pivots and Known Areas like Fibonacci Retracements.

This is also a very high success rate reversal trade and is a favorite with Samurai Traders.

This style of trading is taught in the 101 course, in Weekly Tactics and Strategy Coaching and in the Live Trading Room.

At Samurai, a bias switch trade is a trend change trade that occurs when the market switches the color of the Samurai trend indicator in favour of a new trend.

The bias switch trade is one of the most popular trades with our professional traders and also dates back to September 2009, when the original 101 trading course was released by Lachlan.

This style of trading is taught in the 101 course, in Weekly Tactics and Strategy Coaching and in the Live Trading Room.

At Samurai, a continuation trade is a trend resumption trade that typically occurs after a bias switch. The Samurai continuation trade is particularly powerful when traded in combination with a larger chart move.

This style of trading is taught in the 101 course, in Weekly Tactics and Strategy Coaching and in the Live Trading Room.

At Samurai, the DELTA trade is a scale-in trade assisted by the DELTA indicator. This algorithm is only available to Samurai clients globally.  The DELTA  indicator was first developed by Lachlan in 2009 and has been updated in 2024 for Samurai. 

This style of trading is taught in the 101 course, in Weekly Tactics and Strategy Coaching and in the Live Trading Room.

At Samurai, the 4PTB, like an SBR trade, is a ratio based reversal trade that is typically traded off Pivots and Known Areas like Fibonacci Retracements.

This is also a very high success rate reversal trade and is a favorite with Samurai Traders.

The 4 PTB follows a fixed reversal formula and is taught in the 101 course, in Weekly Tactics and Strategy Coaching and in the Live Trading Room.

At Samurai, the SBR trade is a ratio based reversal trade that is typically traded off Pivots and Known Areas like Fibonacci Retracements.

This is a very high success rate reversal trade and is a favorite with Samurai Traders.

The SBR trade is taught in the 101 course, in Weekly Tactics and Strategy Coaching and in the Live Trading Room.

At Samurai, the FECAT trade is also a ratio based reversal trade. The name stands for "First Efficient Candle After a Turn in the market".

A FECAT is typically traded off Pivots and Known Areas like Fibonacci Retracements.

This is a slightly lower success rate reversal trade and is a also a back-up reversal trade for the Samurai Traders seeking SBR and 4PTB trades.

The FECAT trade is taught in the 101 course, in Weekly Tactics and Strategy Coaching and in the Live Trading Room.

The Samurai strength indicator, sometimes referred to as efficiency, dates back to October 2010 and was originally developed for Euro/US cross pair currency trading. Fast forward to today, and ideal intent is still being used across all markets traded with significant success. Samurai has recently modified this indicator for 2025 to make it even better. We have fine tuned its sensitivity to market volatility and this fine tuning is paying significant dividends.

The Samurai excess volume indicator allows us to determine, by market, if a particular team is using too much volume and is therefore likely to face a fatigue event leading to a market reversal. Excess volume, also historically known as climactic volume, was first used by Lachlan in 2010 when developing the oil and gold trading strategies used at that time.

The Samurai Pivot Indicator is designed to establish support and resistance levels in the market that are identical to those levels used by the institutional traders that Lachlan has worked with in the past.

These traders are some of the best, globally, and that Samurai, we benefit enormously from using similar market intelligence to them. Please be aware that there are multiple pivot files available globally, yet the Samurai pivot file continues to perform, being unchanged since early 2010.

Every trade called in the Samurai live trading room we'll have multiple targets defined for the traders’ present depending on their experience levels the Samurai TGT Indicator has been specifically designed to assist this process.

Ultimately, your target should be selected based on the volatility of the market on the day and Samurai can assist you in establishing realistic expectations for this target setting for the markets we specialize in trading.

A KPI is a key performance indicator that is used by a professional trader on a daily and weekly basis to track their performance as they move towards their projected income goals. At Samurai we believe in short-term consistency allowing traders to take advantage of long-term profitability. We understand that compounding a trading account is the key to success in trading and we understand that a small KPI, achieved daily, repeated weekly and monthly from three to five years, sets the foundation for a phenomenal career in trading.

Your stop loss, as the name suggests, is an order placed into the market that will stop you from losing money if the market moves in the direction opposite to the one you anticipate.

Each signal taught by Samurai has a specific stop loss location that has proven to be the most beneficial for that specific signal. As a general rule, the best place for your stop loss is where the enemy last failed. If you are a buyer, your enemy is the sellers. If you are a seller, your enemy is the buyers. This buyer or seller failure can be defined very easily using Candlestick analysis, so log in to weekly tactics and strategy coaching if you have any questions.

If you enter a trade and you have no stop or target orders on the screen, this may suggest that you have entered the trade without an ATM selected. You have two options:

1. You can simply close the trade using the close button on the chart trader panel, then select the correct ATM, then seek to reenter the trade at the appropriate price point.
2. You can manually place a stop loss and target into the market instead of closing out on what would otherwise be considered a valid trade. Manual trade risk control must be practiced by you to ensure you do not make a mistake. This will be covered in the Samurai weekly tactics and strategy coaching for all traders.

Very occasionally, your buy or sell order may be skipped in the market. This is because, in the futures markets, there must be a buyer for every seller and a seller for every buyer. When you place your order on your chart, you are sitting in a queue waiting to have your order filled. Simply put, if too many people are in front of you in the queue, your order may not get filled at the price you have selected with your order, particularly if you use a limit order.

A limit order is an order to buy or sell the market that sets a limit on what you are prepared to pay for the buy or sell order you have placed into the market. As much as limit orders are very accurate, they have a higher chance of being skipped if the market is moving quickly in your favor.

A market order is a buy or sell order placed into the market that does not set have a set strike price. You are basically saying to the market, get me in now, even if your order is slipped a number of ticks or points. When you first start trading with Samurai, we do not recommend using market orders.

Very occasionally, the market may touch your profit target and not pay you. This is because your profit target is a limit (limited)order and as such there may be more people in front of you in the queue that also want to get paid at that specific price level.

At Samurai, we strongly encourage all traders use an ATM that ensures that profit is locked in once a market has moved 80% of the way to your desired profit target. In the Douro 101 course, this is known as the 80% rule.