Back on April 7, we established a portfolio of 3 systems that were designed to offer on average a trade per day.
We are approximately 90 days into this portfolio and it has generated 292 trades so the portfolio does live up to the Trade a Day theme. The performance is in the middle of a drawdown.
We started with a $25,000 balance and our equity is now just above $19,000 (24% drawdown). The drawdown is within the realm of past drawdowns, so it should not be a surprise that this could happen at any time.
In the portfolio equity curve below, I have highlighted a couple of the past drawdowns for the portfolio and this drawdown still 'fits the mold'.
This portfolio is a good reminder of the risks involved in currency trading. As we enter into the portfolio, we don't know if it could immediately go into a drawdown (as it did in this case). Look at your combined equity curve and analyze the drawdowns and ask yourself if you can stomach those types of losses. In this case, since $6k+ drawdown is within the realm of the portfolio, we are going to continue to stick with it.
If we fail to recover in the fall and draw down further (creating a drawdown of at least $10,000), then we will consider changing up the portfolio.
__________________
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*Past performance posted by Signal and Systems Providers (“Providers”), is not necessarily indicative of future results. No representation is made that any account is likely to achieve profits or losses similar to those shown. In fact, there are frequently sharp differences between hypothetical performance results and the actual results subsequently achieved by any particularly trading program. The composite monthly results are primarily hypothetical results of the master demo and its representation of the Providers, though performance results displayed may represent a combination of live and hypothetical results and are not exclusive to either. There are numerous other factors related to markets in general or to the implementation of any specific trading program that cannot be fully accounted for in the preparation of hypothetical performance results and all of which can adversely affect actual trading results. In the event that specific trades were simultaneously executed in hypothetical and live, real-time trading, the lesser of the two results will be displayed. There is no guarantee that one applying these methodologies would have the same results as the hypothetically posted. Since trading successfully depends on many elements including but not limited to a trading methodology and a trader's own psychology, the web site does not make any representation whatsoever that the above mentioned trading systems might be or are suitable or that they would be profitable for you. Please realize the risk with any investment and consult investment professionals before proceeding. The trading systems herein described have been developed for sophisticated traders who fully understand the nature and the scope of the risks that are associated with trading. Should you decide to trade any or all of these systems' signals, it is your decision.
Links to third-party sites are provided for your convenience and for informational purposes only. Forex Capital Markets LLC bears no responsibility for the accuracy, content, or any other matter related to the external site or for that of subsequent links, and accepts no liability whatsoever for any loss or damage arising from the use of this or any other content. Such sites are not within our control and may not follow the same privacy, security, or accessibility standards as ours. Please read the linked websites' terms and conditions.
We last visited the Low Equity Portfolio back on June 4. Since then, there has been an upswing in the account balance. The bulk of the increase over the past month is sitting in open trades. These 2 systems have made a good call on shorting the EUR for the past couple of days.
The current account equity sits at $4,950. We have been clawing back from the lows experienced back in early May with approximately 35% gains since then.
__________________
Enroll in our online FX Power Course today and get personalized instruction from our team of expert traders 24 hours a day. We have taught over 25,000 students and in just eight lessons, we will teach you the fundamentals of Forex trading. Click here to get more information
*Past performance posted by Signal and Systems Providers (“Providers”), is not necessarily indicative of future results. No representation is made that any account is likely to achieve profits or losses similar to those shown. In fact, there are frequently sharp differences between hypothetical performance results and the actual results subsequently achieved by any particularly trading program. The composite monthly results are primarily hypothetical results of the master demo and its representation of the Providers, though performance results displayed may represent a combination of live and hypothetical results and are not exclusive to either. There are numerous other factors related to markets in general or to the implementation of any specific trading program that cannot be fully accounted for in the preparation of hypothetical performance results and all of which can adversely affect actual trading results. In the event that specific trades were simultaneously executed in hypothetical and live, real-time trading, the lesser of the two results will be displayed. There is no guarantee that one applying these methodologies would have the same results as the hypothetically posted. Since trading successfully depends on many elements including but not limited to a trading methodology and a trader's own psychology, the web site does not make any representation whatsoever that the above mentioned trading systems might be or are suitable or that they would be profitable for you. Please realize the risk with any investment and consult investment professionals before proceeding. The trading systems herein described have been developed for sophisticated traders who fully understand the nature and the scope of the risks that are associated with trading. Should you decide to trade any or all of these systems' signals, it is your decision.
Links to third-party sites are provided for your convenience and for informational purposes only. Forex Capital Markets LLC bears no responsibility for the accuracy, content, or any other matter related to the external site or for that of subsequent links, and accepts no liability whatsoever for any loss or damage arising from the use of this or any other content. Such sites are not within our control and may not follow the same privacy, security, or accessibility standards as ours. Please read the linked websites' terms and conditions.
I am new to this. Have some ideas though, so I have been looking through all the systems provided. What I find is that most systems seem to do good for one pair and at the same time horrible on others. To me this indicate that these systems will not do good in any market. (This means I will have to supervice the account and the market, which to my mind is against the initial idea, then I could trade manually .... ).
So I came up with about 6 (six) out of > 1100 systems that seem to work. (That was some work ..., but to "play" with other peoples money is difficult, and I am maybe little cautious :-). I do understand the risk involved in trading with a high leverage and would consider loosing 100% of initial capital likely, but I will just try to make the probability of this happening as little as possible).
However, I wonder, is there any statistics on how all the systems running on real accounts are doing all together ? I mean all automated systems and accounts taken together. Is they making or loosing money ? This is just for curiousity. Then another interesting figure is the win% (or loss) of the total capital and the win% of all trades placed.
Well,I found the answers. Took some work too but I guess it was worth it. It looks it worth beeing a little careful. The systems have not done well altogether in 2009. In total the loss is ruffly 4.000.000 the last 6 month's on 141000 trades. If I am wrong please tell me. However some stand out as working, take a look at HBForex, it makes profit. Not so much but with a 90% (69 of 73) win% on 73 trades, that is something working.
I am new to this. Have some ideas though, so I have been looking through all the systems provided. What I find is that most systems seem to do good for one pair and at the same time horrible on others. To me this indicate that these systems will not do good in any market. (This means I will have to supervice the account and the market, which to my mind is against the initial idea, then I could trade manually .... ).
So I came up with about 6 (six) out of > 1100 systems that seem to work. (That was some work ..., but to "play" with other peoples money is difficult, and I am maybe little cautious :-). I do understand the risk involved in trading with a high leverage and would consider loosing 100% of initial capital likely, but I will just try to make the probability of this happening as little as possible).
However, I wonder, is there any statistics on how all the systems running on real accounts are doing all together ? I mean all automated systems and accounts taken together. Is they making or loosing money ? This is just for curiousity. Then another interesting figure is the win% (or loss) of the total capital and the win% of all trades placed.
Thanks
I think you have the right idea on trying to assess the longevity of signal providers by seeing if their strategy is robust across multiple currency pairs. Your concept is a good one. I will try to develop strategies as well and then run them across 22 different currency pairs. What I have found is that certain pairs have a certain 'behavior' associated with them. If I can find a strategy that is robust across 3-7 pairs, then I know I'm on to something. Perhaps take your idea and look for the signal providers that can produce good results on at least 3 pairs and see if that improves the picture.
I would be careful on focusing solely on the win %. I can create a strategy with 90% wins, but still loses money in the long run...this is because my losers would outpace the winners. For me, I like to focus on Max DD and RAR as these figures give me a sense of the risk involved in the system. I would be interested to hear what you find out on the above search.
__________________
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*Past performance posted by Signal and Systems Providers (“Providers”), is not necessarily indicative of future results. No representation is made that any account is likely to achieve profits or losses similar to those shown. In fact, there are frequently sharp differences between hypothetical performance results and the actual results subsequently achieved by any particularly trading program. The composite monthly results are primarily hypothetical results of the master demo and its representation of the Providers, though performance results displayed may represent a combination of live and hypothetical results and are not exclusive to either. There are numerous other factors related to markets in general or to the implementation of any specific trading program that cannot be fully accounted for in the preparation of hypothetical performance results and all of which can adversely affect actual trading results. In the event that specific trades were simultaneously executed in hypothetical and live, real-time trading, the lesser of the two results will be displayed. There is no guarantee that one applying these methodologies would have the same results as the hypothetically posted. Since trading successfully depends on many elements including but not limited to a trading methodology and a trader's own psychology, the web site does not make any representation whatsoever that the above mentioned trading systems might be or are suitable or that they would be profitable for you. Please realize the risk with any investment and consult investment professionals before proceeding. The trading systems herein described have been developed for sophisticated traders who fully understand the nature and the scope of the risks that are associated with trading. Should you decide to trade any or all of these systems' signals, it is your decision.
Links to third-party sites are provided for your convenience and for informational purposes only. Forex Capital Markets LLC bears no responsibility for the accuracy, content, or any other matter related to the external site or for that of subsequent links, and accepts no liability whatsoever for any loss or damage arising from the use of this or any other content. Such sites are not within our control and may not follow the same privacy, security, or accessibility standards as ours. Please read the linked websites' terms and conditions.
Well,I found the answers. Took some work too but I guess it was worth it. It looks it worth beeing a little careful. The systems have not done well altogether in 2009. In total the loss is ruffly 4.000.000 the last 6 month's on 141000 trades. If I am wrong please tell me. However some stand out as working, take a look at HBForex, it makes profit. Not so much but with a 90% (69 of 73) win% on 73 trades, that is something working.
I sense you are looking for more of a set it and forget it type of portfolio. The challenge you will find with HBForex is they just started producing trades in FSS in March 2009. They might do well, they might not...with limited history it is hard to tell. It is similar to a manager hiring a new employee. That employee may turn out to be great, but with the limited history to research, the manager will probably want to keep a close eye on the new employee which defeats the purpose of 'set it and forget it'.
Perhaps using a minimum start date of at least 10 months ago. This will provide you with systems that have had to endure changing market conditions. Also, see my earlier post regarding assessing win %.
__________________
Enroll in our online FX Power Course today and get personalized instruction from our team of expert traders 24 hours a day. We have taught over 25,000 students and in just eight lessons, we will teach you the fundamentals of Forex trading. Click here to get more information
*Past performance posted by Signal and Systems Providers (“Providers”), is not necessarily indicative of future results. No representation is made that any account is likely to achieve profits or losses similar to those shown. In fact, there are frequently sharp differences between hypothetical performance results and the actual results subsequently achieved by any particularly trading program. The composite monthly results are primarily hypothetical results of the master demo and its representation of the Providers, though performance results displayed may represent a combination of live and hypothetical results and are not exclusive to either. There are numerous other factors related to markets in general or to the implementation of any specific trading program that cannot be fully accounted for in the preparation of hypothetical performance results and all of which can adversely affect actual trading results. In the event that specific trades were simultaneously executed in hypothetical and live, real-time trading, the lesser of the two results will be displayed. There is no guarantee that one applying these methodologies would have the same results as the hypothetically posted. Since trading successfully depends on many elements including but not limited to a trading methodology and a trader's own psychology, the web site does not make any representation whatsoever that the above mentioned trading systems might be or are suitable or that they would be profitable for you. Please realize the risk with any investment and consult investment professionals before proceeding. The trading systems herein described have been developed for sophisticated traders who fully understand the nature and the scope of the risks that are associated with trading. Should you decide to trade any or all of these systems' signals, it is your decision.
Links to third-party sites are provided for your convenience and for informational purposes only. Forex Capital Markets LLC bears no responsibility for the accuracy, content, or any other matter related to the external site or for that of subsequent links, and accepts no liability whatsoever for any loss or damage arising from the use of this or any other content. Such sites are not within our control and may not follow the same privacy, security, or accessibility standards as ours. Please read the linked websites' terms and conditions.
Time to create a new portfolio. The others created were based on generating a good number of trades and for low equity clients. This portfolio will be based on risk.
The top primary parameters I look for when searching for signal providers are :
1) Start Date - I like systems that have been around a while
2) Max DD - This is the biggest drop in pips a user could have sustained since the start date
3) RAR - Risk adjusted ratio allows me to compare systems on an apples to apples basis
A mix of the above parameters will produce a list of systems who have returned more pips on average, relative to the largest drawdown. In describing the Risk Adjusted Ratio, you may have heard me use the analogy on the live webinars with regards to a $100 bill laying in the middle of the road. If there was a $100 bill in the road, would you pick it up?
Some would say "Sure, why not." Others would state "What's the catch?"
The 'catch' is that I didn't tell you what type of road the bill was sitting on. If the bill was sitting on a country road with only 1 car driving by each hour, the risk (to me) is worth the reward of walking out in the middle of the road and picking up the $100 bill. If the bill was laying in the middle of the busy interstate, then the potential bodily injury or death may not be worth the reward of $100. You see, my hospital bills may exceed the $100 picked up or worse, death takes me on and I don't get to enjoy the $100. Risk Adjusted Ratio gives us a sense of the road the signal provider 'drives' on.
I have seen it many times when new traders look at FSS for the first time. Newer users are naturally attracted to the number of pips collected by a system or the win percentage of a strategy. Notice how my 3 parameters above do not include those pieces of data. Pips collected and win percentage (and some of the other figures) can help one decide between two or three systems in the end, so in essence they would be secondary figures to consider.
However, for this portfolio, we are going to begin our sort with the above parameters. I downloaded all systems to an excel spreadsheet and sorted according to the following :
1) Start Date of Sept 1, 2008 or older (this gives us 10 months of trading data)
2) Risk Adjusted Ratio of > 2.0
3) Greater than 30 trades since inception
The results are 22 systems. I will look at them individually and we'll begin to see the power behind the RAR with regards to assessing risk. Now, what you do with that risk is a different story and many traders get tripped up on it too (for example, how much trade size relative to capital in the account). But for now, we are just going to review these systems to assess the risk.
__________________
Enroll in our online FX Power Course today and get personalized instruction from our team of expert traders 24 hours a day. We have taught over 25,000 students and in just eight lessons, we will teach you the fundamentals of Forex trading. Click here to get more information
*Past performance posted by Signal and Systems Providers (“Providers”), is not necessarily indicative of future results. No representation is made that any account is likely to achieve profits or losses similar to those shown. In fact, there are frequently sharp differences between hypothetical performance results and the actual results subsequently achieved by any particularly trading program. The composite monthly results are primarily hypothetical results of the master demo and its representation of the Providers, though performance results displayed may represent a combination of live and hypothetical results and are not exclusive to either. There are numerous other factors related to markets in general or to the implementation of any specific trading program that cannot be fully accounted for in the preparation of hypothetical performance results and all of which can adversely affect actual trading results. In the event that specific trades were simultaneously executed in hypothetical and live, real-time trading, the lesser of the two results will be displayed. There is no guarantee that one applying these methodologies would have the same results as the hypothetically posted. Since trading successfully depends on many elements including but not limited to a trading methodology and a trader's own psychology, the web site does not make any representation whatsoever that the above mentioned trading systems might be or are suitable or that they would be profitable for you. Please realize the risk with any investment and consult investment professionals before proceeding. The trading systems herein described have been developed for sophisticated traders who fully understand the nature and the scope of the risks that are associated with trading. Should you decide to trade any or all of these systems' signals, it is your decision.
Links to third-party sites are provided for your convenience and for informational purposes only. Forex Capital Markets LLC bears no responsibility for the accuracy, content, or any other matter related to the external site or for that of subsequent links, and accepts no liability whatsoever for any loss or damage arising from the use of this or any other content. Such sites are not within our control and may not follow the same privacy, security, or accessibility standards as ours. Please read the linked websites' terms and conditions.
Mix a volatile pair with volatile market conditions and you have a roller coaster of a ride. The BreakoutMaster GBPJPY is the first of our reviews of the systems with solid RARs (Risk Adjusted Ratios). So far, this systems drawdowns have been tame relative to the underlying conditions. Now that time is beginning to heal us from the extreme volatility of the 4Q 2008, a common pattern is emerging. Many of the systems from Oct 9 - Nov 21 have large swings...large winning trades and large losing trades.
Notice how the equity curve is practically at the same area on Oct 9 as it is relative to Nov 21. Many of the max drawdowns of these systems are occuring during this time frame...and BreakoutMaster GBPJPY is no exception.
I like this system during 'normal' market conditions because the net pips would not change much and the next 2 largest drawdowns are less than $2,000. If we encounter volatility like what we saw in 4Q 2008 again, it may be a clue to perhaps turn off this system for a couple of weeks until the conditions calm down. You can sense when volatility is picking up through the ATR indicator on your trading station.
__________________
Enroll in our online FX Power Course today and get personalized instruction from our team of expert traders 24 hours a day. We have taught over 25,000 students and in just eight lessons, we will teach you the fundamentals of Forex trading. Click here to get more information
*Past performance posted by Signal and Systems Providers (“Providers”), is not necessarily indicative of future results. No representation is made that any account is likely to achieve profits or losses similar to those shown. In fact, there are frequently sharp differences between hypothetical performance results and the actual results subsequently achieved by any particularly trading program. The composite monthly results are primarily hypothetical results of the master demo and its representation of the Providers, though performance results displayed may represent a combination of live and hypothetical results and are not exclusive to either. There are numerous other factors related to markets in general or to the implementation of any specific trading program that cannot be fully accounted for in the preparation of hypothetical performance results and all of which can adversely affect actual trading results. In the event that specific trades were simultaneously executed in hypothetical and live, real-time trading, the lesser of the two results will be displayed. There is no guarantee that one applying these methodologies would have the same results as the hypothetically posted. Since trading successfully depends on many elements including but not limited to a trading methodology and a trader's own psychology, the web site does not make any representation whatsoever that the above mentioned trading systems might be or are suitable or that they would be profitable for you. Please realize the risk with any investment and consult investment professionals before proceeding. The trading systems herein described have been developed for sophisticated traders who fully understand the nature and the scope of the risks that are associated with trading. Should you decide to trade any or all of these systems' signals, it is your decision.
Links to third-party sites are provided for your convenience and for informational purposes only. Forex Capital Markets LLC bears no responsibility for the accuracy, content, or any other matter related to the external site or for that of subsequent links, and accepts no liability whatsoever for any loss or damage arising from the use of this or any other content. Such sites are not within our control and may not follow the same privacy, security, or accessibility standards as ours. Please read the linked websites' terms and conditions.
One way to trade using the FSS, is if you have a directional bias on say the USD. Then you can trade it 24 hours per day automatically using the Dollar-Bull or Dollar-Bear systems.
Today's highlighted system is the Dollar-Bull GBPUSD. Since its inception on May 2008, this system has been able grow with relatively small drawdowns sporting a 2.05 RAR. We would expect some gains in the system since the GBPUSD has sold off hard during the same period. When comparing the equity curve of the system relative to the price action on a daily chart of the GBPUSD, you can see how this system lives up to its name of scoring pips when the GBPUSD sells off.
So, if you are able to identify important turning points in trend for the USD, then the Dollar-Bull/Dollar Bear systems would be valuable. You can have these systems perform the heavy lifting for you and find the entry/exits of trades. All you would need to do is turn them on/off when you feel the trend is changing in the USD.
I feel these systems are best used if you have a directional bias for the pairs, then let the system do the work for you.
__________________
Enroll in our online FX Power Course today and get personalized instruction from our team of expert traders 24 hours a day. We have taught over 25,000 students and in just eight lessons, we will teach you the fundamentals of Forex trading. Click here to get more information
*Past performance posted by Signal and Systems Providers (“Providers”), is not necessarily indicative of future results. No representation is made that any account is likely to achieve profits or losses similar to those shown. In fact, there are frequently sharp differences between hypothetical performance results and the actual results subsequently achieved by any particularly trading program. The composite monthly results are primarily hypothetical results of the master demo and its representation of the Providers, though performance results displayed may represent a combination of live and hypothetical results and are not exclusive to either. There are numerous other factors related to markets in general or to the implementation of any specific trading program that cannot be fully accounted for in the preparation of hypothetical performance results and all of which can adversely affect actual trading results. In the event that specific trades were simultaneously executed in hypothetical and live, real-time trading, the lesser of the two results will be displayed. There is no guarantee that one applying these methodologies would have the same results as the hypothetically posted. Since trading successfully depends on many elements including but not limited to a trading methodology and a trader's own psychology, the web site does not make any representation whatsoever that the above mentioned trading systems might be or are suitable or that they would be profitable for you. Please realize the risk with any investment and consult investment professionals before proceeding. The trading systems herein described have been developed for sophisticated traders who fully understand the nature and the scope of the risks that are associated with trading. Should you decide to trade any or all of these systems' signals, it is your decision.
Links to third-party sites are provided for your convenience and for informational purposes only. Forex Capital Markets LLC bears no responsibility for the accuracy, content, or any other matter related to the external site or for that of subsequent links, and accepts no liability whatsoever for any loss or damage arising from the use of this or any other content. Such sites are not within our control and may not follow the same privacy, security, or accessibility standards as ours. Please read the linked websites' terms and conditions.
One way to trade using the FSS, is if you have a directional bias on say the USD. Then you can trade it 24 hours per day automatically using the Dollar-Bull or Dollar-Bear systems.
Today's highlighted system is the Dollar-Bull GBPUSD. Since its inception on May 2008, this system has been able grow with relatively small drawdowns sporting a 2.05 RAR. We would expect some gains in the system since the GBPUSD has sold off hard during the same period. When comparing the equity curve of the system relative to the price action on a daily chart of the GBPUSD, you can see how this system lives up to its name of scoring pips when the GBPUSD sells off.
So, if you are able to identify important turning points in trend for the USD, then the Dollar-Bull/Dollar Bear systems would be valuable. You can have these systems perform the heavy lifting for you and find the entry/exits of trades. All you would need to do is turn them on/off when you feel the trend is changing in the USD.
I feel these systems are best used if you have a directional bias for the pairs, then let the system do the work for you.
What are you confused about? Please elaborate on your question...
__________________
Enroll in our online FX Power Course today and get personalized instruction from our team of expert traders 24 hours a day. We have taught over 25,000 students and in just eight lessons, we will teach you the fundamentals of Forex trading. Click here to get more information
*Past performance posted by Signal and Systems Providers (“Providers”), is not necessarily indicative of future results. No representation is made that any account is likely to achieve profits or losses similar to those shown. In fact, there are frequently sharp differences between hypothetical performance results and the actual results subsequently achieved by any particularly trading program. The composite monthly results are primarily hypothetical results of the master demo and its representation of the Providers, though performance results displayed may represent a combination of live and hypothetical results and are not exclusive to either. There are numerous other factors related to markets in general or to the implementation of any specific trading program that cannot be fully accounted for in the preparation of hypothetical performance results and all of which can adversely affect actual trading results. In the event that specific trades were simultaneously executed in hypothetical and live, real-time trading, the lesser of the two results will be displayed. There is no guarantee that one applying these methodologies would have the same results as the hypothetically posted. Since trading successfully depends on many elements including but not limited to a trading methodology and a trader's own psychology, the web site does not make any representation whatsoever that the above mentioned trading systems might be or are suitable or that they would be profitable for you. Please realize the risk with any investment and consult investment professionals before proceeding. The trading systems herein described have been developed for sophisticated traders who fully understand the nature and the scope of the risks that are associated with trading. Should you decide to trade any or all of these systems' signals, it is your decision.
Links to third-party sites are provided for your convenience and for informational purposes only. Forex Capital Markets LLC bears no responsibility for the accuracy, content, or any other matter related to the external site or for that of subsequent links, and accepts no liability whatsoever for any loss or damage arising from the use of this or any other content. Such sites are not within our control and may not follow the same privacy, security, or accessibility standards as ours. Please read the linked websites' terms and conditions.
I think you are right. New systems have to be tracked some time before we could know what direction they will go.
However I think it will be hard to find a system that works in all kind of markets and for any pair, or even one … As you say if I have a positive bias I might use this system, if the bias is negative I should use another system. This is a little off my target. Yes, I am looking for a system I can just start before I am going on holiday and I will be happy if the account have had some growth during that time.
I like your approach sorting systems, and the options you are using but that is not enough to find a “holiday system”. To make me feel comfortable I would have to see the same system working with many pairs and as you say during a longer period of time. I have an old system working with stocks and in the 90's people were working a lot on optimizing the parameters for each stock. This is the same approach as having different system for different times and markets. I am not looking for a system that makes the highest profit, I am looking for the most “secure” system making a profit for any pair in any market, with the same parameters. (Then I know the system working well). So when I am looking on the systems I think it's very hard to find something that will work that well.
Most system seem to use a stop of 300 pips. This tells me they should not be considerered a “daytrading” or short term system. Though many seem to claim just that, and have a lot of small win trades. (Not so many pips on each win trade). The risk reward ratio seem forgotten, RAR < 2. I also guess that the market commonly fluctuates and when having a 300 pips stop the chance of reaching break even before being stopped out is good.
Most systems seem to make just a few pips on every trade. This I have hard to understand …. Still they have a 300 pip stop.
I have found one system, that I think might work. However that systems open many lots each time. Is it possible to force any system to reduce the number or even just allow lets say 2 lots each time ?
Or can I use a micro account and use smaller lot sizes ? I understand that the number of lots might be a part of the strategy, however it will also reduce the risk involved. (And reduce the profit as well). It will also take longer time before the account is empty.
What are you confused about? Please elaborate on your question...
sir Just About Your SDD Chart?
System Equity Curve ?
And Sir The Forex trading Signal.. Systerm that FXCM Lonched and I Very much enjoyed To ONLINE on it.. But Sometime Just You Give very Good reason Why The Market Move as All Chart Of your Sir...
I think you are right. New systems have to be tracked some time before we could know what direction they will go.
However I think it will be hard to find a system that works in all kind of markets and for any pair, or even one … As you say if I have a positive bias I might use this system, if the bias is negative I should use another system. This is a little off my target. Yes, I am looking for a system I can just start before I am going on holiday and I will be happy if the account have had some growth during that time.
I like your approach sorting systems, and the options you are using but that is not enough to find a “holiday system”. To make me feel comfortable I would have to see the same system working with many pairs and as you say during a longer period of time. I have an old system working with stocks and in the 90's people were working a lot on optimizing the parameters for each stock. This is the same approach as having different system for different times and markets. I am not looking for a system that makes the highest profit, I am looking for the most “secure” system making a profit for any pair in any market, with the same parameters. (Then I know the system working well). So when I am looking on the systems I think it's very hard to find something that will work that well.
Most system seem to use a stop of 300 pips. This tells me they should not be considerered a “daytrading” or short term system. Though many seem to claim just that, and have a lot of small win trades. (Not so many pips on each win trade). The risk reward ratio seem forgotten, RAR < 2. I also guess that the market commonly fluctuates and when having a 300 pips stop the chance of reaching break even before being stopped out is good.
Most systems seem to make just a few pips on every trade. This I have hard to understand …. Still they have a 300 pip stop.
I have found one system, that I think might work. However that systems open many lots each time. Is it possible to force any system to reduce the number or even just allow lets say 2 lots each time ?
Or can I use a micro account and use smaller lot sizes ? I understand that the number of lots might be a part of the strategy, however it will also reduce the risk involved. (And reduce the profit as well). It will also take longer time before the account is empty.
Best regards, golfsailor.
I like your approach as it is well thought out. Starting off and focusing on the risk involved with the system is an excellent point that large and sophisticated traders will begin their analysis. At this time, we don't have the capabilities to modify the max number of positions. We are looking into it as an enhancement into the future.
If you are interested in testing the strategy, you can dial down the trade size to 10k fixed lots as that is the smallest trade size you can place in an FSS account. Personally, I tend to favor the max positions less than 4. They don't offer as much via gains, but their drawdowns to be more conservative and the RAR's are in line with the larger max positions. That means, I won't need as much capital to trade them on a 10k fixed lot to try them out.
Is there a minimum number of currency pairs you need a signal provider to trade before you'll consider them? For example, how do you handle a signal provider that offers only 3 pairs and trades well versus another provider that offers 7 pairs yet only 3 of the 7 currencies trade well?
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*Past performance posted by Signal and Systems Providers (“Providers”), is not necessarily indicative of future results. No representation is made that any account is likely to achieve profits or losses similar to those shown. In fact, there are frequently sharp differences between hypothetical performance results and the actual results subsequently achieved by any particularly trading program. The composite monthly results are primarily hypothetical results of the master demo and its representation of the Providers, though performance results displayed may represent a combination of live and hypothetical results and are not exclusive to either. There are numerous other factors related to markets in general or to the implementation of any specific trading program that cannot be fully accounted for in the preparation of hypothetical performance results and all of which can adversely affect actual trading results. In the event that specific trades were simultaneously executed in hypothetical and live, real-time trading, the lesser of the two results will be displayed. There is no guarantee that one applying these methodologies would have the same results as the hypothetically posted. Since trading successfully depends on many elements including but not limited to a trading methodology and a trader's own psychology, the web site does not make any representation whatsoever that the above mentioned trading systems might be or are suitable or that they would be profitable for you. Please realize the risk with any investment and consult investment professionals before proceeding. The trading systems herein described have been developed for sophisticated traders who fully understand the nature and the scope of the risks that are associated with trading. Should you decide to trade any or all of these systems' signals, it is your decision.
Links to third-party sites are provided for your convenience and for informational purposes only. Forex Capital Markets LLC bears no responsibility for the accuracy, content, or any other matter related to the external site or for that of subsequent links, and accepts no liability whatsoever for any loss or damage arising from the use of this or any other content. Such sites are not within our control and may not follow the same privacy, security, or accessibility standards as ours. Please read the linked websites' terms and conditions.
And Sir The Forex trading Signal.. Systerm that FXCM Lonched and I Very much enjoyed To ONLINE on it.. But Sometime Just You Give very Good reason Why The Market Move as All Chart Of your Sir...
And Just Want to know More About your Chart
The charts you refer to on the July 16 post show how the Dollar Bull GBPUSD system has lived up to its name. When the USD has gained ground, the system has typically gained. When the USD has weakened, the system has generally gone through a drawdown.
There are many traders out there with an ability to find turning points in the market. A trader with little time to trade could use the Dollar Bull and Dollar Bear systems to trade for them. All the client would need to do is turn the systems on or off at turning points.
If a client was not confident in their ability to turn the systems on/off, they could even use trend lines on the GBPUSD chart to help them decide. You can take this method and apply your own indicators to help you time the turning on/off of these systems. Food for thought...
__________________
Enroll in our online FX Power Course today and get personalized instruction from our team of expert traders 24 hours a day. We have taught over 25,000 students and in just eight lessons, we will teach you the fundamentals of Forex trading. Click here to get more information
*Past performance posted by Signal and Systems Providers (“Providers”), is not necessarily indicative of future results. No representation is made that any account is likely to achieve profits or losses similar to those shown. In fact, there are frequently sharp differences between hypothetical performance results and the actual results subsequently achieved by any particularly trading program. The composite monthly results are primarily hypothetical results of the master demo and its representation of the Providers, though performance results displayed may represent a combination of live and hypothetical results and are not exclusive to either. There are numerous other factors related to markets in general or to the implementation of any specific trading program that cannot be fully accounted for in the preparation of hypothetical performance results and all of which can adversely affect actual trading results. In the event that specific trades were simultaneously executed in hypothetical and live, real-time trading, the lesser of the two results will be displayed. There is no guarantee that one applying these methodologies would have the same results as the hypothetically posted. Since trading successfully depends on many elements including but not limited to a trading methodology and a trader's own psychology, the web site does not make any representation whatsoever that the above mentioned trading systems might be or are suitable or that they would be profitable for you. Please realize the risk with any investment and consult investment professionals before proceeding. The trading systems herein described have been developed for sophisticated traders who fully understand the nature and the scope of the risks that are associated with trading. Should you decide to trade any or all of these systems' signals, it is your decision.
Links to third-party sites are provided for your convenience and for informational purposes only. Forex Capital Markets LLC bears no responsibility for the accuracy, content, or any other matter related to the external site or for that of subsequent links, and accepts no liability whatsoever for any loss or damage arising from the use of this or any other content. Such sites are not within our control and may not follow the same privacy, security, or accessibility standards as ours. Please read the linked websites' terms and conditions.
Disclaimer: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts. Any opinions, news, research, analyses, prices, or other information contained on this website is provided as general market commentary and does not constitute investment advice. Forex Capital Markets LLC. will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.
FSS
