Collective2

What to Expect
Rainier trades extremely liquid instruments with an average daily volume of more than 10 million shares and an average daily money flow of more than 100 million dollars. The system will generate orders every evening after the market closes. There will be far more orders generated when the market is weak than when it is strong. Only a fraction of the orders will be filled.

Position Management
When a position is opened, you will receive a sell at limit order or profit target for the next day. The vast majority of trades will last 1 or 2 days. If the position is still open on the third day, it will be closed with a market order. Rainier does not "average down" or add to losing positions.

I strongly recommend that you don't allocate over 12% of your account to a single position. Doing so can increase risk to an unacceptable level. Rainier was designed to use a maximum of 12% position sizing, but you can use less if you want. Smaller position sizes will reduce both profits and drawdowns, but this would be appropriate for many risk-averse individuals. At any rate open 16 positions and then stop buying.

You can size your positions as a percentage of Rainier's position size. The formula is X% = YA / (RE * 2) * 100. YA is Your Account (the amount you're allocating to Rainier), RE is Rainier's Equity (you multiply it by two because it uses 2:1 margin). For example if you allocate $50,000 to trading the system and Rainier's equity is $180,000 the formula would be X% = 50,000 / (180,000 * 2) * 100 = 13.9%.

Margin
The use of margin increases both profits and drawdowns. Market exposure can vary from 0% to about 192%. Historically, with 12% position sizing, the average market exposure has been under 25%. If you don't want to use margin, just use 6% for position sizing.

Manual Trading
To trade Rainier manually it is necessary to enter all orders with your broker before the markets open in New York. However, most brokers won't let you enter orders in excess of your buying power. In this situation it's best to enter conditional orders. Add the condition to submit the order when the stock's price is less than or equal to the Buy at Limit price. I believe many brokers have this capability. Note that when the market is weak Rainier will generate a lot of orders. I'm trying to figure out a way to make this easier.

To prevent having more than 16 open orders, it may be necessary to manually cancel any pending BTO orders when 16 positions have been opened. Do not cancel any STC orders.

Autotrading
I have received some feedback indicating Rainier does not lend itself to Generation 3 autotrading. The main problem seems to be that Rainier opens too many positions when market conditions are chaotic. Rainier will try to close all pending BTO orders when it approaches 16 open positions, but this cannot be guaranteed. When the market is moving rapidly downward more than 16 positions may be opened. In this case I will have to manually close some positions. In time I should be able to resolve this problem.

The good news is that Generation 1 autotrading using TradeBullet and Interactive Brokers seems to work well.

Backtesting and Commentary
You can find backtesting information and some commentary on my website. http://www.cfphoto.com/trading01.html