what happens when you get four losers in a row, all of the sudden four small losers can wipe out a considerable amount of your profits.
Or 10 losers in a row? Would you like to evaluate bankroll in the calculations then? Michael B. P.S. or maybe just the old fashioned way...a single contract divided into equity?
No money managment. No trailing stops. Manual trading only. No backtesting, forward testing. Targetless half bracket trades. But why in all the ET threads do all of these things seem to be preached. I don't get it? Michael B. P.S. Do you want to fail? Fine, lets call this journal. "Down the Can"
I am the process of backtesting this system. The code is still a little buggy. Hopefully I will be done on Thursday. fan27
Win Rate....................... 51% (14 wins, 27 trades) Avg Win/Avg Loss Ratio..1.77:1 Profit to Loss Ratio....... 2.09:1 Michael B.
The bracket that was entered before the open caused our stop order to be executed at below the bracket. As the open was below or new reversal bracket H3 (10013). We got 9987. net SHORT from 9987 (long reversal brackets 10043, 9953) New trade looks like this: 10043 Long H4 9987 Short entry* 9953 Long L3 Michael B. P.S. This was a confusing trade based on the fact of pre-entering the orders before the open. I am not sure what trading platforms do with this kind of order (order was actually entered out of the money, so to speak). Also this opening trade had another confusing quality....it was a half bracket. *High probability trade (step 2)
reversal short brackets at 10013, 9923 Looks like this: 10013 S (H3) 9953 L entry 9923 S (L4) Michael B. P.S. Strange down spike tonight triggered this long. I guess this was a valid trade. P.S.S. This high probability trade came through, but perhaps it was luck because of the down spike. (the above post incorrectly listed it as a step 2 trade, when in fact it was a step 3 trade)
Fan27 has brought to my attention in a PM that I missed two trades on 4/27/04. I added them which resulted in 2 more losses and an additional step 4 and step 5 in the proposed Position Size Management being tracked. Please observe that there was a minimal increase in the loss of profit in that 2-day slice ($105.00) for the additional steps added. I simply cannot agree that the pyramiding up of position size based on level breach is risking large amounts of profit being given back. The nature of the losses between the outside levels are smaller do to the way the equation calculates the previous days range. Also if we have congestion the range gets recalculated into the 2nd day of the 2-day slice and actually corrects the brackets. Please folks go with me on this, ok? as it is essential to the success of the system. I apologize for this error and will know more as Fan27 tests the remaining days that I have posted. I will make the necessary corrections as they are brought to my attention immediately and post here, and I assure you this was not done on purpose. Michael B. P.S. Notice the level count tab on the spreadsheet has been updated also.
Long reversal bracket at 9953. (1/2 bracket) Looks like this: 9953 L (L3) 9923 S (Entry** ------ Michael B. **Step 2 Position Size Management