BioComp Dakota with Swamp Technology
- Thread starter chifai2
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Have to do something about these big drawdowns imho James
Currently at over 50 S&P points again ?
How does your system look with a 10 point stop ?
Just my observation but if Biocomp was more helpful to struggling programmers developing better robots, then it would be beneficial to company and customers alike
Currently at over 50 S&P points again ?
How does your system look with a 10 point stop ?
Just my observation but if Biocomp was more helpful to struggling programmers developing better robots, then it would be beneficial to company and customers alike
Hopefully James will reply, but in the meantime I will butt in and say that with these types of swing systems you are generally better off with either no stop or a very wide stop.
I personally think that to trade futures with no stop at all is a bit crazy (although I know some successful traders do it), so I use a very wide stop. It is really only there in case of a 'disaster' type crash. (and even then, who knows how effective it will be?)
This general point about stops not helping performance is addressed by Howard Bandy in his book "Quantitative Trading Systems", where he says "my research indicates that stops hurt all systems". (this is his conclusion, after several pages of analysis and discussion)
Of course, if you are psychologically not willing to tolerate the large drawdowns (and I don't blame anyone who can't), then tighter stops may make sense for you. In that case you'd be trading some loss in performance for peace of mind, which might be a very profitable trade.
Quote from chanelops:
Hopefully James will reply, but in the meantime I will butt in and say that with these types of swing systems you are generally better off with either no stop or a very wide stop.
I personally think that to trade futures with no stop at all is a bit crazy (although I know some successful traders do it), so I use a very wide stop. It is really only there in case of a 'disaster' type crash. (and even then, who knows how effective it will be?)
This general point about stops not helping performance is addressed by Howard Bandy in his book "Quantitative Trading Systems", where he says "my research indicates that stops hurt all systems". (this is his conclusion, after several pages of analysis and discussion)
Of course, if you are psychologically not willing to tolerate the large drawdowns (and I don't blame anyone who can't), then tighter stops may make sense for you. In that case you'd be trading some loss in performance for peace of mind, which might be a very profitable trade.
It's certainly a very contentious area. Personally I swing between having tight stops to none at all and back again. Not very scientific !
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