The following charts explained the map legend of all the mechanical trading systems we’re using. You don’t need remember them because we’ll notify you all the potential entry and exit signals the day before they’re about to be triggered in our daily report. But have a little knowledge about what all the legend means still helps. Well, at least take a look at the performances.
The system has no magic but simply follows its underlying asset, long if the asset price is rising good enough, short if the asset price is falling bad enough, so it rarely times well in its entry. Therefore here’s a little tip on how to use the system:
- Say, the back test shows the long only setup had 95% winning rate since year 2000, so as long as your entry price is better than the system’s default entry price, you should have better chances to win something.
- The system always uses Buy Stop/Sell Stop for the entry, so there’re some cases when the buy stop/sell stop is triggered, the price never goes back therefore you might lose chances to beat the system. The compromise to avoid this kind of situation is follow the system with half your position size and try entering with better price later with your another half position size.
- The system is designed to stay in the trend as long as possible, so it uses only stop loss to get out the position which inevitably sometimes would result in losing significant portion of the profits so you have to take partial profits whenever you see appropriate.
The charts below are very large, you may need click twice to say the original size.
COBRA IMPULSE SYSTEM TREASURE MAP:
TSX TRADING SYSTEMS:
AAPL TRADING SYSTEM:
SYSTEMS USED FOR OTHER ASSETS: