Week 4 (The final one)
End. I’ve accomplished 100 trades!! Made 102 trades to be exact. What an unbelievable expertise. Like studying a overseas language. 📚
Mark Douglas, in his guide “The Disciplined Dealer”, really helpful doing that to each dealer. That is nice for self-control, emotional administration, self-discipline, and accountability! And when I’ve accomplished 100 trades following one technique, I can verify that that is certainly the case. 👍
I maintain a diary, my private diary, through which I describe my offers, emotions, remarks, and insights day by day 🗒. Whereas analyzing the diary, I observed that I turned much less emotional when it comes to buying and selling, extra assured. I’ve fewer and fewer ideas like: “I needed to take extra, I needed to transfer take revenue, I needed to not put a cease”. Now I sleep higher! 😴
At first, I had doubts that I might be capable to full 100 trades following the technique with out errors. Though there have been a number of ones, I had two restrict orders that I forgot to cancel. I reviewed ALL my trades with my spouse. She was a regulator. 🧐 It took a very long time, however I’m positive that such reflection is useful. There have been no errors on entry factors inside the technique. 💪 However there was one thing with dangers. My danger per commerce was 0.75%, along with commissions and spreads, the utmost ought to have been 1%. However there have been a number of trades with a 1.5% loss, the utmost was 1.9%. Quantity calculation mistake. And I nonetheless don’t know how you can clear up this drawback. 🤷 Plainly every part is right, however in truth it seems that typically is unsuitable.
I completed the final 16 trades shortly over the weekend. The volatility was wild, 🎢 offers had been closed quickly. I had a cool experience on the ETH lengthy a number of occasions, caught XTZ quick. Some cease losses for XRP. Through the week, I managed to extend the fairness by 5%. I believe this can be a nice consequence. 😎 After which I labored on statistics. Checked trades, calculated metrics.
Shorts introduced me the most important revenue. I’m not dishonest on my bear model. 🐻 The mathematical expectation of revenue 1.81. If we take the ratio of common revenue to common loss, we get 1.3. I’ve not found out precisely how it may be. It looks as if it ought to have been 2 as a result of my cease is half the revenue. Assumption: possibly due to closing at breakeven that distorted the worth.
The ultimate result’s $1,176, that’s, +17% for 100 trades. Presently, this consequence can solely shock bond traders. 😏 As a result of I might earn rather more if I simply purchased any asset on CEX.IO Dealer and held it for 2 months. However the principle aim was to not generate income however to make 100 transactions inside the technique. The result’s a secondary aim. Feels like an excuse. 😕
Conclusion: systematic buying and selling works. Buying and selling inside the technique is calmer, extra predictable, and takes a little bit fewer nerves. One month’s outcomes don’t assure comparable returns sooner or later, however I’ll maintain checking. I’m questioning how a lot the indications and statistics will change with the subsequent 100 trades. It was a useful expertise that I like to recommend everybody to have ✅.
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