There are many competent backtestors over at the other place that can show you different results... And thank you for the kind words as I really needed to hear what you said... Michael B.
there is netting... fish netting..volatility grabbing...pooling... You can trade only interest positive pairs... You can use one account and use correlations... Oanda's platform has an account summary that updates pip by pip which is every two seconds and you can use those fields to make your trade and adjusments with... there is literally over a thousand posts on this...There are schemes to control danglers and variations in pip spacing...there are quite elaborate systems..posted by very experienced currency traders...So I will not say there is not a place for going long and short at the same time...THIS IS JUST ONE EXAMPLE OF A METHOD WITH ABOUT ONE HUNDRED VARIATIONS. some people swear by hedging (hedging in the currency world has a different meaning than the futures world.) I just do not trade this, as I do not have the time and I have something better... Michael B.
Do you guys know how hard it is to coherintly write?... Do you think I just spew this stuff out like vomit? And those trips to the butcher in all that traffic??? Archangel
ES, why waste your time to explain all that nonsense? LOL A trader going long or short at each grid point with a tight stop in a quest to catch those "TPs" is probably going to be much better off over the long haul as he will not be wiped out during a big move in one direction. The more i read about this the more it looks like martingale and his average down sister had an incest child and called it "grid trading". Many small returns for a while wiped out with on big slap. This trading leads to one place, chapter 11 unless you stop before your number is up. Now you just have to figure out when your number coming is up.
rm.. take your range all the way down to zero and define infinity... this was just to illustrate ONE use of a long and short at the same time in an instrument... Its all about trade size in this gridding stuff... And I will not even tell you how I would Pool...lets not even go there.. This is not my thread... Wheres the Beef!!! (said in the old lady Clara's voice in that Wendy's commercial) I gonna slap RM... Michael B.
Electric...do you watch TVLand or something...These Kids have no idea what you are talking about... I suggest you go polish your WoodGrain or something..it is a beautiful day out here in Denver, CO. Wifey
Beef? I will treat you you and your wife to a nice sushi dinner. Just let me figure out when my number is coming so i can grid trade to riches. LOL I cant believe someone created all that theory to justify not being able to keep stops. Hell even came up with their own words - grit gridders, slap of the rope, danglers? LOL Simply hilarious. If my nephew reads this he will think its a cartoon sitcom.
Please find below just one example when "your number" might come up. It's an exaggerated one, I admit, but it seems that's the only way to wake people up. "Before World War I Germany was a prosperous country, with a gold-backed currency, expanding industry, and world leadership in optics, chemicals, and machinery. The German Mark, the British shilling, the French franc, and the Italian lira all had about equal value, and all were exchanged four or five to the dollar. That was in 1914. In 1923, at the most fevered moment of the German hyperinflation, the exchange rate between the dollar and the Mark was one trillion Marks to one dollar, and a wheelbarrow full of money would not even buy a newspaper. Most Germans were taken by surprise by the financial tornado." http://www.pbs.org/wgbh/commandingheights/shared/minitext/ess_germanhyperinflation.html See http://en.wikipedia.org/wiki/Hyperinflation for over a dozen more recent examples