After 1 year of trading Kind Of Stochastic system , I decided to revamp the strategy and create the Organized Chaos system.
I open this new topic for sharing an idea that came to me after reading some bands here by the internet , a world full of information and misinformation , but in some , " few places " can bring us some ideas that seemed strange in may bring some surprises positively .
I can even say that after a trial period , already done , this will be a system in line with what I have taken , but I intend to be even more aggressive in terms of initial capital invested , the positions of each business and drawdown . I have my personal belief that adjusting to capital and leverage held every business can give results that are quite interesting .
Wild theories that in the books , and want to claim to belong to the theory of contrast and give the face for their results , trying to prove that not everything that is fallow- trading method is the winner. It is therefore a challenge for me and personal goal to reach a positive result , proving that this system operates in " swingar price " to profit. Now when we were in financial markets , in principle and wrong in our sins , most investors tend to lose money and even more with the use of leveraged products .
After all , times are different in the market , as there are variables ( although they always have existed ) , are more active and creased , making even seen purposeful manner. When a certain individual -level world power says " we will do everything , but everything it takes to not let the market sinking ," we are facing a reality ( as you mentioned ) , has always existed , but not so visibly . We are facing the " anything goes." I want to disassemble that's what should matter the least for business. The influence of these phenomena is completely ignored in the eyes of this system.
That is to say , that when testing a system of Tranding for past quotations , they can be ( and are surely ) on average, outside the usual pattern . Here comes that " one personal intervention ," the get something to correct the default and put in " axes " . It was decided to do and for which I am willing to risk for the coming year 2014 .
In a market where sometimes seems to dominate the law of the strongest, might be a system of contours " something simple " , so that, in a given period of time, obtain good results for a given level of initial investment . The goal is always to be a consistent system , in order to draw a financial extra .
Who walks these bands may find that the conversation is old , because you are certainly thinking it's another one of those who found a perfect system that never loses and is always on the rise . The pioneer named ...
Not ! In fact it is a system that has losses and may have some pretty strong drawdowns , as mentioned above . Furthermore, even though the have therefore always makes me think much more rationally increasing my lucidity. And here we are all human , and whether large or small traders , losses will be there to make us feel his feet firmly on the ground .
My proposal (unlike Kind of Stochastic ) , not a fixed annual percentage of earnings as ambitious , ie , end 1-year investment with gains of 50 % on capital initially invested . Indeed found to frustrated throughout this year 2013 , although the result was finally positive, but discouraging to the initial assumptions .
As a first goal, I will always take into account trying to preserve capital in their entirety and as the second goal, ponder taking an annual return in the range 15-20 % of the initial invested capital .
It is a good to very ambitious goal . But since I'm still in the process of evaluating the results of the study and always remains open , I do not want to commit to any more forceful goal .
Any profits are always welcome , but always keeping an eye on preserving the initial capital .
Leveraging the initial basis for each position (each order generated = 10 CFD ) , the system , gender Kind of Stochastic is as said, a system unlike the most of the time . It is a system of patience, average leverage, but has statistical support ( not recommended to anyone at my own risk , " except" for myself ) , that guarantees not break out of an initial account. A maximum loss is scheduled to take in case of deviation from the burdensome price.
Conditions:
Name of the Trading System - " Organized Chaos "
Length System : 01/01/2014 - 31/12/2014
Total capital and start to apply : $ 15,000
Product used = CFDs
Leverage for Business = 10 CFD position taken by each
Execution of orders = In closing the session , the alignment of the signals generated in the table 2 ( Signal A Signal B + )
Stop loss per trade executed: 50 % of initial capital ( $ 7,500 )
Stop global loss : $ 10,000
For the execution of the order have to check the alignment of the two signals generated , ie it is necessary that ( Signal A) is aligned with the ( signal B ) , as an example :
Thus , only the order is generated when A and B activate the color (green for long ) and (red for short ) , closing the positions with the reversal of the same .
( see table below)
• Example long entry :
• 1st entry to 1552.36 ( 10 CFDs )
• 2nd entrance to 1541.61 ( 10 CFDs )
• Close to the long 1578.78 ( CFD Selling 30 's) staying here short of 1st position 1578.78
• Here the trade made a profit
Short sample entry :
• 1st input 1578.78 ( 10 CFDs )
• Output short to 1582.70 ( 20 CFDs ) staying here during the 1st position 1582.70
• Here the trade gave injury.
In terms of losses , the system is dangerously " tolerant " to drawdawn . We can watch very extended periods of losses , namely the position before closure business can come to take more than 30 days. But this value is found to be highly exceptional . After you open a position , this " Organized Chaos " takes on average 7 days to close the deal (gain or loss) , including the accumulations that occur in the middle.
I can say that this has no logic, but like everything in life you need to give something to get something back . One step back and two forward is the philosophy of this system . The forward price of the system will take care , because those rules were defined for me the game. It is so to speak a system that in the chaos of their losses demand adjust to the organization of the market and is likely to win by force of persistence. " A true organized chaos ."
This is a system of thousands that exist in financial markets . This has the particularity to be mine, only mine. Already let the warning that no one should follow this method , making any trading or also adopts it as his method . I am not responsible for any loss that you may incur .
Again do not mean anything more than a simple idea sharing and business method , taking as a conclusion ( hopefully ) it is possible for a small investor , based on the discipline and method as a background , remove profit for the financial market. But even if the system will generate losses , I intend to demonstrate that one can lose with discipline .
I continue to check after many years , a well set up system , studied and tested is the right key to achieving positive and interesting results .
The results will be published regularly in excel so as it is the tool by which desenrasco better. Contrary to what many think , that excel is always a " soft " tool, for sure will be the last to require schemes . The loss is very real to me and assumed sometimes with large " bumps " , punishing my wallet . What I try is always that it is always less than positive returns at the end of the year .
Finally, you want a few more good entries and good business to all for this year 2014 .
