Whoever said account size doesn't matter obviously doesn't know trading. At 70K you should be able to return 50% per month, not per yr.
All your positions are longs, is this a long only system? You may only allocate 5% of acct equity to each position, but without stops aren't you worried about a market meltdown that takes a large chunk of your account with it? Could your system work equally well with longs and shorts?
my trading method is very similar to this and has similar results. However my portfolio has 10 stocks. The annual return is a little bit higher, at 60% annual for back testing. I am currently follow my own method and runs well. it is suitable for investors who has funds about 100K. and I found that if just trade fewer best stocks, say 3 stocks at a time, the return can be 200% annual, according to the back test.
I like and can identify with your technical entry points so far. Two questions about the fundamentals: a) Why do you suppose that fundamentals have an impact on the 20 day performance of a stock to provide this edge. b) Is your fundamental criteria general in nature or related to some specific event or change which occurs?
billp - The basket of 20 stocks gets chanced every day as I buy a new stock and sell the oldest once a day. steve46 - SEC notices - I have no clue what you are talking about. Hybone - My hat is off to you if you can make 50% per month, gee - maybe I should give you all my money trade. lescor - This particular model is a long only system, however I have other things going on as well to hedge out market risk. Another system trade shorts and I generate cash by selling naked calls. In fact I am migrating more towards selling calls rather than shorting stocks. Less risk that way. top10stockcom - just one question - what is your return with real money? I am not saying that to be condescending in any way just speaking from experience that actual returns have a magical way of not reproducing the back tested results. Hamlet - The 20 day hold is nothing magical. I just found that it turned out to be my average holding period in prior versions of my model that didn't use a time exit. It is long enough to give the stocks room to grow and short enough not to ride a stock down to the abyss. Using a time exit force me not to hold onto loosing positions, something I have had a hard time with in the past. It is probably not perfect, but it works for me.
I just start a journal call top10stock journal in this board, and just start according the screener, so far so good. and I find some of my stock is in your list too, because i am also choose stock based on fundamentals. For this month, the profit is 15%. It's not big for those day trader, but ok for me.
I have no objection to what the original poster is doing, but in the interest of full disclosure, his web site is: http://alphastocks.com/ It's a free site but hints at going pay in the future. top10stockcom is a competitor.
Indeed I have a website with some associates, but didn't want to spam. Don't mind competitors, It's a big world out there. My goal here is to show those who are interested how to make very good returns by keeping things simple and avoid getting caught up in all the noise.
STOCK TO BUY FOR SEP 05, 2006 - GTN STOCK TO SELL FOR SEP 05 - ACAP 10.3% RETURN Holdings attached...