Nasdaq5048, No, I do not use any disaster stops. A loss like yesterday is not very common with the strategy, but can happen. I have found that for the most part disaster stops hinder the overall performance.
nonlinear, It failed to follow the trend due to a difference in timeframes. There was a very apparent trend in the timeframe you showed, but not in the time frame the bot was looking at.
Frosty, have you read Curtis Faith's book "Way of the Turtle"? Have you found any ideas in the book helpful to your venture? I'm not trying to take this thread off topic, instead I was hoping to hear about how your trading experience has been different and similar to what Curtis wrote about.
Todays results were a little better. Made +$320.40. Still suffering from yesterdays big loss, but hanging in there. Today +$320.40 Week to Date: -$1124 Since going live: -$1124 Total days: 4 Avg per day: -$281
Frosty one day doesn't make a month. Don't worry about a few big losses {as long as they don't happen too often} Good Luck !
have another question Frosty, how do you manage the process of becoming flat at the end of RTH? does the system close any position and re-enter the next day? (assuming it's still valid). or does it start fresh each day, and wait on new setups? wouldn't it be simpler (and possibly more profitable) to run the system continuously? thanks, bb
At 2:40 Central time everyday the bot closes any position it had open that day. The bot carries no knowledge of positions from day to day. The next day it starts over looking for new signals. It may be more profitable to hold overnight, but I like the luxury of being flat at end of day... no need to be worried in middle of the night or anything
thank you Frosty, that makes sense. i've spent a ton of time working on my own bot, and it never occurred to me to start/stop w/ rth. interesting..
good question fickle... am currently 2/3rds of the way through the book and have found it an eye opener with regards to system development and testing... and was the first thing that popped into my mind when Frosty posted about the loss the other day...