How long does a system last?

[ph1l]

Of course it won't work, this is the opposite of a trend-following system, it buys when prices are "cheap" and sell when they are "expensive".

Trading in the direction of the trend after a pullback is a form of trend following, at least according to:

https://www.warriortrading.com/trend-trading/

As a trend follower, there are essentially two methods of entry which most strategies fall into: pullbacks and breakouts.

https://www.asktraders.com/learn-to-trade/trading-guide/pullback-breakout-styles-trading/

One good technique when trading trends is to enter after a pullback, as the direction will move back to its original trend.

https://tradingstrategyguides.com/profit-from-trading-pullbacks/

Trading pullbacks in trends is a basic trend following strategy.

 

[Tradex]

Trading in the direction of the trend after a pullback is a form of trend following

Yes, assuming you use the right pullback trading system, clearly not the case as far as the GRAB strategy is concerned.

The problem with pullbacks is that a lot of them are simply reversals in disguise.

 

[pwells]

Thanks for all the responses. Regarding factors for longevity of systems in general and daytrading systems in particular, I was thinking in terms of characteristics such as:

1. KISS - I have heard this improves longevity - the less number of indicators, rules, or variables, the more resilient the system

2. What about a system that basically works for a wide variety of instruments vs a specialized system that works only with index futures or just ES, for example. Is the type that works for various markets (with tweaking) more resilient than specialized types that deal with the idiosyncrasies of one market, or vice versa?

 

[guowei58]

My brother and father are day traders and I've been following their latest system, which has been doing well this year.

I have heard that the performance of any system changes depending on the market environment and possibly others trading or fading the system.

So how long can a system remain profitable - can it remain for years? Are there any factors or types of systems that correlate with the longevity of a system? Thanks.

For you to determine whether a system stopped working, you need years of data and possibly 1-2K trades. that's how long you initially determined that your system deserves to be traded in the first place.