There is no "best", you have to define "best", I stopped number of years ago on developing to get best winning percentages to opposite, working on getting lowest percentages, has made huge difference, lower that gets, drawdowns go lower, let's face it, when drawdowns go lower-then you can pile on volume. So "best" can be lowest losing percentages but that doesn't mean it is most consistent or greatest "mean" or total profits or lowest drawdowns per lot or for the week. I use some 150 stats I have developed for my own observations, I don't use what most folks use cause I think it is too aggressive. For me I don't use trading as a means of support very much, I have had businesses from trading. So when you can get the stress off, you can do much better in decision process, but even so, I work at my craft 80 hours a week. If you seeking what produces greatest profits it is very long term commodities and options on stocks. Day trading/scalping has become a consistent revenue as long term profits comes in chunks or some years even. Scalping systems produce some of the lowest losing percentages for short term for me, but when I have a losing day, very huge, but if t wasn't for all the back testing I have done, I be a nervous wreck. I do 98% trading in my 401k which was started in 1985, not taken a dime out of it yet, 32 years, LOL. But I love what I do, but when I get done with 3-4 more surgeries, am out of here. Good health is my illusion.
Hello Handle123, Question for you. So I have a automated trading system programmed and back tested and I like the performance metrics. I started trading the system live with one contract. What is your approach for scaling up the contracts? After account balance doubles? Thanks,
Most don't like my answer, but every $3,000 add one contract, something like 9-11 will happen again and markets will just stop, can you handle a loss of $2500 or more on each lot if you one wrong side?
Wow, you spent 14 hrs a day, 7 days a week and 365 days a year developing your tools, no break no vacation or time for anything else. You are obsessive but it is impressive. You are relentless!
Thanks Handle123, I like your answer! $3K sounds good and conservative. So if my initial capital is $3K, I do not increase to 2 contracts until balance is $6K. And continue to 3 contracts at $9k. Reduce to one contract if balance returns to $3K. Sounds simple enough for me.