Tuesday, March 6, 2007

Research Project

During the next few weeks I will undertake a "real-time" testing of my new trading rules, risking 1/20 of my normal "R value" (ie: risking only 0,05 % of my trading equity per trade).

The purpose of these "Research Trades" is to forward-test those trading rules and to rehearse them in "battlefield-conditions" in order to increase my confidence in them. I will monitor them and validate them (and my execution) after at least 30 trades before increasing my trading size and incorporating them into my trading arsenal.

The first set-up is a "Mean-Reverting" trade that takes as a filter "Bullish" or "Bearish" divergences of the Strength Index in the "Strategic Window".

The second set-up is a "Strong Momentum" trade that targets "High momentum" moves.

1 comment:

Anonymous said...

Great! I will be following this project closely.

All the best.

Gav