Welcome back! First month of the year is over and the algorithms performed just as expected, making pips back to back with little to almost no drawdown at play.
I have 2-3 systems which I have been putting a lot of interest in the past few months which are Challenger, ATM and Collector. ATM and Collector are older systems which I have been trying to fine tune on and off. ATM has gone through several revisions and monitoring the account was a must. Collector is another scalper which was freely available online which I then added a few filters as updates. Collector is targeted specifically for EURCHF since it has the lowest volatility across all majors and minors pairs while ATM would technically be fit to almost any instrument, but would need some fine tuning for range trading.
Nevertheless, here are the results:
The following content requires a minimal understanding of control charts which are generally used in manufacturing, quality assurance and lean business management. A quick YouTube or Google search will help you understand their meanings.
On January 2-6th, we notice the huge spike in gains off the chart above. These are trades that were left open during the new-year holidays and market calendar. These should not be taken as standard warnings.
On January 23-24th, we seem to have a signal where our system is supposedly unstable. This would require further investigation on what triggered such a spike.
Update: Looking at the data and charts, I noticed it heavily impacted EURJPY and AUDJPY. We can see there was a news event(EUR PMI & ECB) which occurred followed by the weekend gaps which would explain these spikes.
On this chart, we have only 1 data point which would need further investigation. However, looking at the data, January 22-23rd, I am pretty sure these are linked to the same event which occurred and explained on the previous above Trades chart.
In conclusion, Challenger had a great month! It proved itself to be a strong contender having survived the New-Year holidays gap, Coronavirus across currencies and all the roller coaster from Brexit. Challenger succeeded where ATM failed. I have added a link to my Forex signal on MQL5 for this specific system for those interested in Copy/Trading a signal provider with a strong and verified track record.
On another note, for the past 2 weeks I have been busy day trading a small account with 200$. I’m trying a new money management tactic which is taken from my bots and applied to my manual strategy. No stoploss, just targets of about 20-25 pips every trade at 0.05, 0.10 or 0.20 lots. Yes, this is overexposing myself as most traders will tell you to use the ratio of 0.01 for every 100$. You can see for yourself, my account almost died when it reached bottom 70s. So with 200$ I should use at max 0.02 volume lots but whatever, it’s only 200$, rather risk it and double in a few weeks than spending 2 years doubling 200$. So here we go, 200$ to +400$ in 2 weeks using money management taken from my bots.
I am definitely behind for this topic. Back to school and trading my small account really took a lot of my energy and I never sat down to do proper time management planning. At the beginning of the month, I managed to spend some time into building a proper Instagram(@quantisfx) campaign and post some content to build traction but put it on the side for the rest of the month. Now that I have more data to show, I think February will be a good time to start posting on a regular basis.
– Create new 200$ account
– Apply volume rules from personal Growth Calculator
– Follow money management rules from personal Growth Calculator
I have created a custom tool in Excel which simulates an ideal personal Growth Calculator. Simple Excel datasheet with a mix of compound and linear ratios. Using the model from the picture below, you could possibly turn 200$ to +2500$ by December 25th, 2020 which is the set end date.
I like this particular model because it is set to be risky, using 0.05 lots with only 200$ but your weekly target is also only 40 pips. You not only have to be steady in making 40 pips a week but you also have to control your ego by forcing yourself to trade the same lot size for the whole month. If you look closely, I only increment my volume size once every month. Ideally, I should start at 0.02 lots but it is not risky enough for me and I usually get careless when this happens. Doubling my exposure increases my awareness to the market.
To be continued…