The Zones and The Stock Market

I have never discussed with you the History of how the Red- Yellow-Green-Gold Zones were discovered.
They originally stemmed from discoveries I made in 1960 whilst studying “How to invest in the stock market” in Australia.
I was a prolific reader of all books pertaining to stock markets and investing.
The common denominator of those books was the authors attributed their successes to following certain “indicators” and their failures came about when they ignored those “indicators.”

INDICATOR, n. He, she or that which shows the way or points out.

I began to compile lists of “indicators,” as time went on I noticed the “indicators” fell into three basic categories.
         1.      Positive = Causative = Good = Green Zone

        2.       Neutral = No Change = Not so Good = Yellow Zone

        3.       Negative = Effect = Bad = Red Zone
It was not until July, 1986 did I come up with the Red- Yellow-Green-Gold Zones, I was training 60 Stock Brokers and Executive staff, in an office of E. F. Hutton in Troy, Michigan.
I broke the classes up into 3 groups of 20. We trained for 3 hours after the market closed.
During the training I observed that the Stock Brokers and Executive staff were incredibly confused as they could not align data or knowledge in their correct orders of importance, in other words they were stupid. (A technical term.)
I remember going back to my hotel suite, wondering how to get through to them – it took me a while to isolate the exact problem – which was:
The brokers could not understand me because – on the subject of PEOPLE and WORDS – they could not discern “what was important and what was not” – all data and knowledge on the subject of PEOPLE and WORDS had the same importance.
They could not tell UP from DOWN – not only in the stock market but in their customer and personal relationships as well as in life.
It was because of this inability of discerning UP from DOWN they could not align data or knowledge in its correct orders of importance.
This inability to discern “what was important and what was not” causes a mind lock and thus immobilizes the persons ability to observe, decide or act.
Playing the Stock Market is a MIND GAME and these brokers and Executive staff  MINDS were sabotaged beyond belief.
Every one of these brokers and Executive staff had gone to major universities and was in the top five percent of their class.
Their starting salaries was anywhere from $56,000 to $75,000 per year – it took them 3 years to build a small return on the investment in them. Approximately $300,000 with benefits was invested in each broker before E. F. Hutton saw any return.
I realized I had to use something other than WORDS to communicate my ideas.
It was then that I came up With the RED – YELLOW – GREEN ZONE concept.
I stayed up writing most of the night writing out all the Zones Charts and columns and putting them in their correct sequence. It took me 6 hours of writing by hand what we now have as the basic Zones material and Charts.

All the data and knowledge I had accumulated since 1960, in regards to the markets, people, peoples cases and their indicators went into powerful alignment that night.

I also realized with the basic Zones material and Charts I could unlock in a matter of minutes anyone’s power, intelligence and give them back rudimentary mind control. 
Boy! Was I excited – I couldn’t wait for the course to start that day.
I gave them the 3 Zones RED – YELLOW – GREEN concepts – with the definitions of each Zone.

The Green Zone

This is the Winner’s Zone. When you’re in this Zone you’re in the right place at the right time, making things go right. You’re living your dream, are connected to the right people, and doing what you love to do.

The Yellow Zone

This is the “daily grind” or “rut” in which you only go through the motions. It’s where you don’t take risks, but work only for “security”. This zone is tends to be boring and not very rewarding!

The Red Zone

This is the zone of someone who is in the wrong place at the wrong time, with the wrong people, doing the wrong things. It is the “Loser’s Zone”. Life is negative, one’s mood level is low, and his future prospects are bleak.

It took 3 minutes to deliver the knowledge – the results were electrifying.
I went around the room, asking each person to tell me about a time they had a Red Zone experience – then a time they had a Green Zone experience.
It was amazing how much order and mind control became evident as the brokers and Executives gave their examples.
The brokers and Executives were laughing and sometimes crying as they gave their examples.
The training went extremely well from then on. It went from a Red Zone argumentive, conflicted group to a harmonious, work with each other Green Zone team.
The E. F. Hutton, Troy Office was around 309th place in the nation out of 690 plus offices – after the training they moved to 6th place.
A massive increase in statistics.

I have taught this material to several brokerage firms: Merrill Lynch. – Piper Jafrey. are two of the biggest.
Expanded Definition:
Main Entry: in·di·ca·tor Function: noun

1 : one that indicates : as a : an index hand (as on a dial) :
b (1) : GAUGE 2b, : DIAL 4a (2) : an instrument for automatically making a diagram that indicates the pressure in and volume of the working fluid of an engine throughout the cycle

2 a : a substance used to show visually (as by change of color) the condition of a solution with respect to the presence of a particular material

3 : any of a group of statistical values (as level of employment) that taken together give an indication of the direction or health of the economy

Alan C. Walter