Portfolio Companion Thread
fxanalytics
Medlem sedan Sep 23, 2009
17 poster
Sep 23 2009 at 17:13
Thought I'd add a companion thread to the model testing. I'll be resurrecting an old model that I used to trade and recently did some new research on. Initially all the trading will be in demo accounts just to get the feel of it again. As I have time I'll add some notes here and there about the research etc.
I'm still new to this platform so there will be a little learning curve here as well; making sure the platform can see the account etc. The model portfolio's will be listed as 'FXAN x-xx' with the 'x's' equaling dates; i.e. the first portfolio is FXAN 9-09.
I'm still new to this platform so there will be a little learning curve here as well; making sure the platform can see the account etc. The model portfolio's will be listed as 'FXAN x-xx' with the 'x's' equaling dates; i.e. the first portfolio is FXAN 9-09.
bizWiz
Medlem sedan Aug 06, 2009
397 poster
Sep 23 2009 at 17:17
yes there is some leaning to do, but not too much.
so you'll be posting under your system's discussion once it's added?
so you'll be posting under your system's discussion once it's added?
Sleep is for the weak.
fxanalytics
Medlem sedan Sep 23, 2009
17 poster
Sep 23 2009 at 17:31
Well to be honest when I started this, I didn't even realize each system had a discussion thread attached to it LOL! Like I said some 'learning' to do. When the mood hits me I tend to write a lot so I'll leave this active for more generalized research that may or may-not find its way into the actual trade model.
bizWiz
Medlem sedan Aug 06, 2009
397 poster
Sep 23 2009 at 17:36
yeah, that's one of excellent features here - all of the system discussion is attached to the actual system.
would be interested to read about your research, so please post when you do have the time!
would be interested to read about your research, so please post when you do have the time!
Sleep is for the weak.
fxanalytics
Medlem sedan Sep 23, 2009
17 poster
Sep 23 2009 at 19:56
It's probably worth noting here that I actually trade with less than 10:1 leverage; that was the lowest the I could choose. I've never seen much evidence that a trader can survive using levels that high for any significant length of time. I try to keep it around 2:1.
bizWiz
Medlem sedan Aug 06, 2009
397 poster
Sep 23 2009 at 20:33
what kind of returns are you getting with such low leverage?
Sleep is for the weak.
fxanalytics
Medlem sedan Sep 23, 2009
17 poster
Sep 23 2009 at 23:33
To me returns are secondary to survival; if you build a trade model that will survive five to ten years - through all the volatility and unknowns, you'll see years where you loose money, some where you make a couple of percent and some where you make double digits. The key for me as a trader isn't to make 'x' a year, it's to be able to trade year in and year out.
I realize that's counterintuitive for most traders who set return goals (sometimes monthly) so they can accomplish specific things; it's just my experience that doesn't work over the long term.
I realize that's counterintuitive for most traders who set return goals (sometimes monthly) so they can accomplish specific things; it's just my experience that doesn't work over the long term.
bizWiz
Medlem sedan Aug 06, 2009
397 poster
Sep 24 2009 at 06:43
well it sounds like you do have a plan and you're know what your doing.
the question here as with most think in life, does it work the risk?
so if you're creating 2%-4% return yearly with many hours of work put into it, maybe it would be better to put in a bank.
all comes down to the risk:reward ratio..
the question here as with most think in life, does it work the risk?
so if you're creating 2%-4% return yearly with many hours of work put into it, maybe it would be better to put in a bank.
all comes down to the risk:reward ratio..
Sleep is for the weak.
fxanalytics
Medlem sedan Sep 23, 2009
17 poster
Sep 24 2009 at 15:28
Well as we've seen again recently there are other risks in the market place. Banks can fail, single asset classes can cripple entire economies. The real attraction for FX and Futures is the diversification it can add to a portfolio; even if you are only generating returns in line with the S&P 500, the lower correlation to those returns helps smooth volatility in the larger holdings. Risk:Reward is often a larger component than the single investment we are looking at; we have to understand how the risk profile in this area affects us in others.