khelemen replies to: Success with Martingale & Hedge – Possible?

Disliked

{quote} As per your BT results, from 3000$ deposit, your EA made net profit of 1,33,377$ in 42 months, so average 3,175$ per month with Max DD of 55%. Excellent and impressive results. Are you getting the same output in live trading? Did you add any indicators or filters like ATR, ADR, BB etc in your EA or its pure grid system? And also, would you let us know if martingale is involved there are not? Thanks

You have to be careful with these linear extrapolations. Since you can see an exponential curve, there is a money management system implemented. This means you will get the greatest monetary increase at the end of the observed timeframe. Averaging down monthly values afterwards is misleading in this context.

But yeah, I am using it live and the results are even exceedings the tests. Why? My Tickdata test uses variable spreads including slippage of 2.5(!) pips for each entry and exit…EACH! I am not facing these high values under live conditions until now.

Beyond that I am sorry, but I am not revealing any details of the bot in terms of the logic. But you can count it as a grid as it uses grid mechanics.

The true secret of success still is diversification: this is not my only strategy used. In fact most part of the money is used for conservative approaches.

Do not put your eggs into one basket only.

For your GoWithFlow I have no idea if it is a dead end. But always keep both sides of the medal focused! Most of the grids simply are not profitable enough compared to the risk they are housing.

Disliked

Nice to see you back in the game, KN. Hope things are going well for you so far. {quote} That is some impressive backtesting there, Drolph. I haven’t met too many people using grid systems who could control their drawdowns to acceptable levels. If your claim is for real, congratulations! I have been searching for traders on FF who have stumbled upon something similar to what I have for about a year now, and I think there are perhaps 2 people on this forums that operate with a similar concept. I think that is the real key to succeed in grid trading….

Thank you for your kind words carddard!

I can agree with most of your evaluations, but as I said above – do not rely on one “attractive” strategy alone, if you want to make money in this business longterm.

Leave a Reply

Your email address will not be published. Required fields are marked *