You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an alternative browser.
You should upgrade or use an alternative browser.
Trendfollowers: When oh when are we going to start making some $$$?
- Thread starter Ash1972
- Start date
Quote from bwolinsky:
And as soon as you hit $2 million you do something like this:
So, in sequence, $50,000 - $500,000 in six months, $500,000 to $12 million after 2 and a half years, and thereafter to $100 million in the next 10 with reasonable levels of risk.
I started with $50,000 because I figured a much more highly capitalized person rather than keeping large dollars could just reduce their risk as more profits were accumulated.
A conservative backtest with less than 2% drawdown on $10,000,000. Profits $2.3 million with less than 1.79% max portfolio drawdown. The game then becomes a "What kind of investor are you?" game that I should know before ever starting any kind of program like this.
Attachments
Quote from bwolinsky:
A conservative backtest with less than 2% drawdown on $10,000,000. Profits $2.3 million with less than 1.79% max portfolio drawdown. The game then becomes a "What kind of investor are you?" game that I should know before ever starting any kind of program like this.
Then there is Madoff with a 2% drawdown close to close, and 9.23% total drawdown. Through a maxiumum potential loss of 10%, a setting I've only found in Multicharts, we get 40% annual returns risking 2% from day to day.
The difference? There's actual theoretical basis in the calculations, and coupled with working in 30 other symbols contracts, I think this is probably a winner to automate after adding the other 26 it could potentially run on, then see if I can get to the magic $25,000 into $600k in less than 6 months with about a 0.5% drawdown. I think you'll find diversification in instruments greatly reduces risk, naturally, but if you only have software designed for one specific contract, it becomes very difficult to produce reliable results.
Did I mention the account size required is around $50,000?
Attachments
Is this the system? http://pairstradingqidqld2.collective2.com/
Yes, Rodney, that is the system. All of the spreadsheets I've posted certainly must only relate to the trading of QID and QLD, and not to the trading of futures contracts in the published backtests central to this discussion.
Quote from bwolinsky:
Yes, Rodney, that is the system. All of the spreadsheets I've posted certainly must only relate to the trading of QID and QLD, and not to the trading of futures contracts in the published backtests central to this discussion.
Sorry to be dense -- but you're the one touting your trading skills, so the burden is on you to be crystal clear.
I don't like to download anonymous .xls files, but, whatever -- looking at one of your sheets, it seems to "trade" YM, ES, NG, QM.
Are these actual trades, from a brokerage account? If not, is this system(s) tracked on collective2, like your "pairs" system?
And is this the PRICEPhysics system (or your interpretation thereof)? Thanks.
Quote from Rodney King:
Sorry to be dense -- but you're the one touting your trading skills, so the burden is on you to be crystal clear.
I don't like to download anonymous .xls files, but, whatever -- looking at one of your sheets, it seems to "trade" YM, ES, NG, QM.
Are these actual trades, from a brokerage account? If not, is this system(s) tracked on collective2, like your "pairs" system?
And is this the PRICEPhysics system (or your interpretation thereof)? Thanks.
Beau is getting a locked copy of my system to test this coming week. Prior to this he tried to create his interpretation if it.