Hi everyone, In October i just started trading a system live. This system trades equities long-only, and its strategy is long term trend following. The system is designed to take advantage of the long term historical bullish bias that the stockmarket has shown. Due to the recent activity in the stockmarket, and with the system close to reaching its maximum drawdown, I am thinking of adding a system on/off switch, also known as an Index filter. The purpose of this filter is to switch the system "Off" during a prolonged downtrend. Now during "corrections", I suspect such a switch won't do much to improve results as by the time I get back in to the market, I would have missed the aggressive rebound, so the end result is probably no different than if I had kept the system working throughout the correction period. BUT that's okay, as long as the switch keeps me out of a prolonged downtrend, of say, 6 months plus, then I suspect over the long term, the result, compared to the standard system, will be comparable profits, with less pain (drawdown). Though I haven't tested any ideas at this stage, what Im thinking could work, is to turn the system off if last weeks close was lower than the previous weeks close (The system is based on weekly bars). And turn it back on, when the index makes a new 52-week high. This would certainly keep me out of a prolonged bearmarket, yet get me back in without missing out on too much action. Does anybody employ an index filter/system switch into their long term trend following system? I would appreciate any thoughts or suggestions here. Thank you, Nizar.