IF the system has an edge, the leverage can be even higher. That's why successful traders trading and living off their own money use much higher lot sizes. However, I have yet to come across a trader who doesn't use "intangible/fuzzy discretion" for ...

(binned per thread starter's request) super short day trading sys

How do you define inefficiency, when you don't know efficiency other than statistics occasionally lining up. I can create a non-forex "Synthetic" for USDCAD (btw given that any relative such as pair pricing becomes a spread why would adding more or ...

Simple High Profit low Drawdown Triangular Arbitrage

Correlation in non-stationary timeseries is based on a faulty concept. Co-integration is a better approach for Statistical Arbitrage, but all the inherent challenges of choosing the right sample size, dealing with stochastic trends, etc remain and ...

Simple High Profit low Drawdown Triangular Arbitrage

Very last one: you mention your lag of 300-400ms. Your aim must be to get that down to zero. With the exception of your client receiving ticks, all your procedures in MT4 are sequential. You can get around the tick based refreshes by using a ...

Simple High Profit low Drawdown Triangular Arbitrage

It will remain theoretical then, unfortunately. Nevertheless, your thread brought me back to my own studies into identifying the currencies causing the imbalance and finding the pair(s) to trade it - ideally only one. Both the arb and accumulated ...

Simple High Profit low Drawdown Triangular Arbitrage

The backward tests are good to iron out your bugs in the code, but that's about it. You can skip the demo forward test right away and go to live. Demo servers are sometimes reflecting the same feed like the live servers, but not necessarily. It ...

Simple High Profit low Drawdown Triangular Arbitrage

I had triangles and whole baskets running live while tracking every tick of equity change over many days. Neither bars nor ticks are truly synchronized in MT4 or MT5, so backtests are meaningless. Again, I don't want to put a negative spin on your ...

Simple High Profit low Drawdown Triangular Arbitrage

Looking at your statements you are not doing what I am referring to. I am saying to build hedged positions on a pair during its most liquid times - e.g. when the spread on EU is zero - and, when you have a fully stocked triangle - i.e. long & short ...

Simple High Profit low Drawdown Triangular Arbitrage

I theorized once a slightly different approach, maybe it helps you: 1) You wait until each one of your chosen pairs runs a very low spot spread+commission (=most liquid pair at that point in time) and enter with a long and short order in order to ...

Simple High Profit low Drawdown Triangular Arbitrage

Interesting findings, jvbJ, and hats off, if you get it to work. So far, I believe you are still in the Fata Morgana stage of backward testing a multiple currency pair spread dependent system. Even if you'd have tick feed for each currency pair, it ...

Simple High Profit low Drawdown Triangular Arbitrage

...or funding/speculative pair EURUSD on M1.

Another Trading Journal

...or even the result of a calculation of non-synchronized bars. I noticed the USDIndex indicator you referred to having that problem. Please advise.

Another Trading Journal

Hi UP, I wonder if the imbalances you are observing are mere reflections of your broker's books. I attached an example showing NZD and JPY indices, the direct NZDJPY pricing as well as a 50:50 coefficient pricing via CAD. No matter what combination ...

Another Trading Journal

Most important learning of this week for me: 1) Risk must be proportional to your funding, not to what you want to achieve absolutely. 2) You cannot predict the actions and extent of individual whales (i.e. news, interventions, etc.), but much more ...

Channel-to-pivot approach

Big Picture 11/5/17 Lucky, NZDCHF dropped back back to 23.6%. What a coincidence, or not !? Nevertheless, I did get out.

Channel-to-pivot approach

What a move - no relevant retracements... SNB?

Channel-to-pivot approach

Big picture 10/5/17 I refined the regression algo further. The previous version was dependent on a minimum number of samples - e.g. 72 bars (=3 days on the H1) - but independent from the previous swing. That could create situations whereby price got ...

Channel-to-pivot approach

Speaking about coordinated market intervention... What the heck is going on with the CHF and the USD ! Safe haven switch ??

Channel-to-pivot approach

Coming back to the picture posted before and managing my open positions: Since I am already in short trades from the time when all 3 channels were aligned, I will continue trading my short bias until price goes above the 38.2 line. The stop loss of ...

Channel-to-pivot approach

NZDCHF with the respective channels.

Channel-to-pivot approach