Quote from austinp:
I'm in somewhat agreement to those opinions above. The limited risk factor daily is skewed from the minimal upside objective. In the case of a $100k 20-day combine, the upside minimum goal is $8500 for that entire trading month. 12 months x 8500 = 102,000 or greater than +100% pace on "account" but the drawdown limit is -2% daily and -3% overall.
So that's asking for the leverage performance of +100% annual while handcuffed to -2% daily draw. It is admittedly an unbalanced skew that no one can dispute. Aggressive funds that shoot for +100% gains warn participants of potential for -20% to -50% drawdowns in the process. Leverage cuts both ways like a see-saw.
imo the benefit of combines is litmus test for new traders, who can save themselves $1,000s lost by spending $190 to test their skills. The benefit to veteran traders is unlimited upside potential in trade size. If a successful combine earns the merit of funded status AND said trader can use large contract size, then it's appealing. But for trading something illiquid and working small-lot size? That's best left for fledgling traders in their development from struggling to successful status.
In my case I'm interested in funded status for future potential of trading large size. Along with that end goal comes the skewed balance of hitting lofty short-term performance goals with relatively tight loss restrictions at the time in trial phase. I'm aware of that ahead of time and we all can choose to try or pass accordingly.
I have no problem with TST making a business model out of this whole process if in fact there is a benefit at the end for aspiring traders who reach the goals. I am on record as saying that elimination of all time limits to reach upside minimum profit objectives while keeping loss limits in place would naturally result in more successful combines by removal of skewed performance pressures. But we have the rules, we know the parameters and it's free choice to participate or stand aside accordingly
Austin, you know you can do a custom combine right? You can cut the profit goals in half or even more. I know one guy on ET who actually cut one of the profit goals down to $500, I assume it was the 30k combine. But that is a 2/3 reduction from the normal one. You can also get raise the drawdown allowance. But then you are going to have to make some of the other parameters tighter. I guess what I'm saying is, a lot of people are complaining it doesn't fit their style, yet that is what the custom combine is for, to make it fit your style.
On a side note, and you don't have to answer this if you don't want to, but are you making a living trading futures? Let me tell you why I'm asking you this. There are a lot of guys on here talking about how tough the combine is and I agree, it's tough. But what I'm curious about is are any of these guys even profitable traders to begin with. I mean, it's kind of silly if one has never even been a profitable trader and then try to the combine and fail and then talk about how hard it is when in reality, trading futures for a living is just that, really damn hard. Rules or no rules, it's very difficult.
So I'm curious since you, like most on here, have really struggled with this combine. But are you saying in your real money account you are actually doing well? And if you are doing well, would you be willing to start a journal showing your "real" trades and screen shots and highlight how you are able to trade differently with a real money account vs the combine. I think it would be an interesting experiment.
My theory is and really always has been that none of these guys are profitable traders on their own and therefore adding rules and restrictions via the combine is not going to suddenly make them profitable yet they come on here and act like it's the combine's fault when in reality they are not profitable traders to begin with.
Because the only material difference I really see between the combine and real live trading is that in live trading you can hold on to your losers forever and that is what bad traders do. They scale in and scale and scale and avg down and avg down. I've seen daytraders hold a short spoo position for 3 months, as a daytrade! It just went against them and they never got out. Obviously you can't do that in the combine. But I'm convinced that most guys who are making money in their real accounts and NOT in the combine are because they have VERY BAD trading habits. And those habits get exposed in the combine. Anyway, just thought I would throw that out there.
