I use this screen for trading the emini Nasdaq Future

Discussion in 'Index Futures' started by Jeanmichel, Mar 24, 2002.

  1. Magna

    Magna Administrator

    I haven't tested Jeanmichel's system yet, so have no idea how effective it is/isn't. But the above portion of one of his posts pretty much sums it up. BTW, good post, ArchAngel.
    #51     Mar 25, 2002
  2. tntneo

    tntneo Moderator

    well, it's probably enough with the name calling. This thread is interesting regardless of the name calling.

    However, the insults stop now. go elsewhere if you want to continue, it won't happen in the futures forum, just as we try very much to reduce spam and ads (don't know if you have noticed but we try hard to keep it in check so that we have more content in this forum).

    #52     Mar 25, 2002
  3. sasha1


    Come on people, no need to get personal here!

    A 20 point gain on NQ's is not unreasonable, but NOT ALWAYS IN ONE TRADE. If Jeanmichel makes it on 5 trades, that would be more believable.

    Another point, is the consistency of results. Jeanmichel says he makes a 20 point gain on daily basis. My point is - even the best investment banks and hedge funds (and George Soros too) have had their losing periods.

    I dont think the 'sceptics' have a major problem with the trading system per se. It is just the consistency of results which seems to be improbable.
    #53     Mar 25, 2002
  4. #54     Mar 25, 2002
  5. rickty


    I thought I'd look again at Jeanmichel's method applied to this
    morning's NQ: see chart. There were a couple of trades.
    Trade          Entry             MFE (Max. Favorable Excursion)
    --------     ---------        ---------------------------------------
    Long           1430.5          1470-1430.5 = 39.5 points
    Short           1462            1462-1450 = 12 points
                                           (MAE = 4 points) 
    Again, I leave it up to you to make your own conclusions.

    #55     Mar 26, 2002
  6. tntneo

    tntneo Moderator

    that's 2 days for 2 days. nice.

    now we should look at robustness of the system. the system is trend follower, the past 2 days were trending. We need to check what happens when the market is choppy and ranging.

    also, I did not have time to study it, it's important to check how risky it is. good performance systems can still kill you with leveraged instruments, so we should study the real risk reward and risk of ruin for this system.
    nothing works all the time.

    #56     Mar 26, 2002
  7. Richard - wasn't there a lot of chop later in the day though?

    Maybe I've got it setup wrong, but it looks like there would have been a bunch of alternating buy/sell signals that would have chopped up some of those earlier gains.

    Did I missing something or is the setup basically a typical MA crossover/trend following system which can get chopped up if the price action falls into a congested trading range.
    #57     Mar 26, 2002
  8. This is why I asked him how long he had been doing this. Lots of crossover systems work great under certain circumstances.
    #58     Mar 26, 2002
  9. rickty


    The system is what it is. My interest in it is that, if I was to
    believe in Jeanmichel's post, it has been used with some success
    by a trader. I'm unclear on all his rules and I hope that my posts
    may encourage him to explain them further. Alternatively, for
    those who don't care for this method, I encourage you to explain
    your better methods.

    I didn't look at how the system performed this afternoon but
    since there seems to be interest in that, let's see how it did.
    Jeanmichel trades the system during the hours of 14:00 -16:00.
    The chart for NQ during this time is attached.

    Now as I don't know how Jeanmichel handles choppy markets,
    I'll make up my own rule of a 5 point stop loss, and I'll also
    permit stop and reverse trading. Continuing from the morning
    trades the afternoon trades begin at the first EMA (MACD)
    crossing at 14:30. I assume that one is able to exit a position
    (for a profit) at or before the maximum favorable excursion (MFE)
    Trade          Entry                      P/L
    --------    ---------                 ---------
    Long         1446                 1441-1446 = (5)
    Short        1441                 1441-1429 = 12
    Long         1435.6              1449-1435.6 = 13.4 
    Of course these numbers reflect the most favourable conditions
    but it appears that the system would have made money in
    the afternoon as well.

    As I mentioned above, I'd love to know about other systems
    real traders are using, especially if it can be documented in a
    similar way as I have presented (i.e. with the chart of the day).

    #59     Mar 26, 2002
  10. tntneo

    tntneo Moderator

    well, I think it's great what you do with these posts and charts. really great.
    The point remain, these are trending markets : large swings one way then the other.
    There are all kind of ways to make money, and that system is one of them (when the market is compatible with it). Also, I want to point out it shows that you do find on EliteTrader several trading methods really explained (there are others on the board. granted it's difficult to find in the archive afterward :( )

    when we say, it does not work all the time, it is an attempt also to ask jean if he tried it in other market conditions..

    #60     Mar 26, 2002