I wrote something in another thread:
Systems do work.
I've had a 5 min. intraday system that had an 3.2 Risk/Reward Ratio and 46% Profitability. I makes about 10-15 trades per day. Tested with 5 years of data and stays consistant. Tested with SP, ES, and NQ.
I've traded it for a few days and the actual trading performance and the back-tested performance was relatively acceptable. Still, I'm a discretionary trader and I pick signals out of the system. Once I started it, I was picking wrong signals and eventually under-performed the system.
I have that system on hold. The signals didn't fit my current style.
I've got a few replies about this. Well, it was basically about people wanting to have it, wanting to test it and getting a feedback about it.
First, it's the adaptive system I've made. I've mentioned it in an previous post about the story and they seem interested. So I guess I'll give out ideas and give out a few concepts behind it.
Well, I don't have the indicator values adjusted like other systems. If I use a 10 bar MA, it stays 10 bar MA. Well, I've used a 20 day MACD and MA as the primary indicator.
Now, I would have different signals based on these 2 indicators. I've basically divided them into 2 general categories, Trend signal and Counter-trend signal. From there, I would have a sub category: pattern and oscillator in both. (All signals have positive expectancy)
Using a few extra setups and filters, I would have the system pick which categories to trade from. So it's a system of a MACD/MA system. It would gradually shift from counter-trend to trend signals and vice-versa. But the "adaptive" comes in the shifting criteria. I would have the categorizing factor numerically adapt based on the market conditions.
The system of the system adapts it's criterias. So as I mentioned, my full-systems are closer to me. The problem with trading it was that the way the system picks signals and I how pick are different. It is based on me but it's not. It's like having a unflexible twin brother, we might have the genetics but we think differently....
Well, there's the concept... hope it helps... Ahh... will I sell it? Havent' you read my journal? I completely against it...
C'mon!! I've done most of the hard work(90%) with creating a system. Yes, the coming up with a good concept part. At least I'm giving that away... gimme a break... how greedy can you be?
*Talking to myself again* but also *replying to few PMs*
