The problem with my trading is that I risk 10% of my account on every single trade I open with 1 minute daily. So before every trade I look at my Balance and put it into my calculator and count number of micro lots to trade with. I started with 1-3 micro lots, now I am trading 15-40 micro lots (1,5-4 mini lots), but I always count it before every trade. Why I see a problem in this is obvious. It is way too much for trading bigger account. Nobody would like to see his/her account go down 30-40% like nothing if the account was for example 10.000 USD. So I will lower my risk to 5% as soon as I get to 3.000 USD. The volatility should lower after that. When I get to 10.000 USD I will probably lower the risk to 2%...
Some statistics...
here is a picture of my account summary. It does not contain the time before starting with 1 minute daily, but I does contain other trades I took in last 6 months. 1 min daily system should be more than 80% of my trading though. Since last month or so I have been trading only 1 minute daily on this account.
You can see that the drawdown is huge, but it will get lower with decreasing my risk per trade. The most important for you guys starting with this system is that it has MORE WINNERS THAN LOSERS! Almost 60% of trades are winners and that is why the system works even with fact, that SL is a little bit bigger than TP. This is important for our psychology because we see we can trust this system and easily overcome losing periods...
What about results with traded pairs? GBPUSD had 193 trades (overall in my account, but most are 1 min daily), it made me 1.801 USD with 2368 pips (the GU has wider band all the time). USDJPY had 166 trades, it made 220 USD with 622 pips. This tells me that I might consider trading only GU, but I will wait till the end of the year for one year statistics. All of this you can read at myfxbook, if you click on advanced summary and then click on charts by particulars pair...
I think this is enough for this post. I will write something about my improvements to the system in next post...
Hi Tomas
ReplyDeleteFirst of all, thanks for taking the time to share your thoughts on this blog. I also started trading this system this month. So far I am doing good.
I just wanted to comment and discuss one thing you mentioned. As you have noticed that so far this year the GU has performed tremendously and UJ much less. I found another blog where this person started trading only the GU for the same reason. I have been thinking about it myself. The only thing that strikes me is, that the future is unknown. We don't know which pair will perform better by how much and when!
If we just look at the performance stats of the past few years, than UJ has done pretty good, or even better than GU over the long haul. As we don't know what will happen in the future, and if you decide to trade just one pair and suddenly the other pair starts performing better you will miss that opportunity. What do you think about this?
And by the way, even if UJ is performing much less, it's still more than any savings account rate.
I am also wondering if it helps to have them both, because it looks that it helps grow the account faster, because if one pair is performing and the other not, it smooths things a bit. It's only when both stop performing for a while it goes downhill. I am still backtesting the difference of trading one pair or two together. What are you thoughts regarding this?
traderHB
Guys,
ReplyDeleteI have to say that it is a bad system! A system that has such a bad drawdown can not be a good system. Of course with such a little amount the drawdown is not so amazing in USD, but what will you say when you have 100.000 USD on the account and goues to 30.000 USD? You kidding me. You can never use ur money, withdraw back because never known what is your balance next month.
I recommend u guys to find another system that works, because there is a lot of that has lower DD.
Hi traderHB,
ReplyDeleteI keep my fingers crossed for us on this system:)
Exactly what you say is true. We dont know, when UJ starts to perform great again. I totally agree with you that at least some performance is better than none. And I would still be very happy for 100% a year! I will stay with both pairs till the end of the year for sure. Then we will see... I am not greedy, I am happy with this performance:) Also it is a little bit of diversification which is needed.
Take care!
Hi Anonymous,
ReplyDeletethank you for posting here and for your opinion. Unfortunatelly I have to strongly disagree with you. I find this system AWESOME! I have been trading for several years, I found thousands of systems, bought a few, but NONE has suited my busy schedule and also made such performance for me... I believe you, there are better systems than this one, I sure do. I hope you won't keep it for yourself and write us what system you trade and how you do... That would be great and I would appreciate it...
I don't have much time to watch the charts. Also I found that my psychology when trading takes over me every time I lose too much or win too much. That is why I love 1 minute daily, you can just place the orders and leave it and it works.
You probably didnt read all my posts, but I said, that when my account grows, I will lower my risk. Also by the time, when I experienced such dradown, I was trading EURJPY which I should not have (the system doesnt trade this pair) and it caused the drawdown go further. You can look at my statistics on myfxbook on this pair in the worst months May and June. So when I grow my account to 100k USD, I will not try to improve the system with any other pairs (I will maybe demo trade them) and I will risk only 2% of my account. That means I might experience DD like 10% most, which is just fine...
But as I said, I would really love to hear of some system that has better results but doesnt take too much time of your life. Please write here about what you trade...
Take care and good luck
Hi Tomas,
ReplyDeleteInteresting blog. I have been trading 1MD since last year and agree it's a great system. However, if you had started trading it from January 2009 at 10% risk, you would have experienced the mother of all drawdowns (example: starting 1st Jan 2009 with $5000 and down to $717 by 25th Mar 2009 (over 85% D/D). Trading the remainder of the year would have given an equity high of $12,376 but ending the year at a loss ($4283). I trade with 3% risk to keep the drawdowns down to a manageable level.
Good trading.
Dave
Hi Dave,
ReplyDeletethank you for great post here... I am glad there is someone here with longer experience with 1 minute daily.
Well, I am happy that the mother of all DD as you say:) didn't happen this year. However I think the DD in May-June was quite big as well. I know 10% is way too much, that is why I will lower it as soon as I get to 3k...
Thanks and please post some of your experience here if you can...
Dear Slurpee,
ReplyDeleteUnfortunately I need still to say the system is bad. Not just your DD was high, but the official Excel database shows 75% DD for 2008 (or 2009) August (with 5% risk).
I still say, that it is abnormal.
I tried the system in May, June and July 2010 and the performance was always worse then the official performance issued in the EXCEL table by the author. It is caused because of the spread, because you (as you are not a robot) can sit at the computer not at 10 always, but sometimes at 10:15 or later and you loose some pips due of that, and you can loose some pips because of your broker etc. (For example the broker closes 1 pip higher or lower the trade as should be closed or at the broker you use the price did not hit the TP but at a different broke hit).
Because of the everyday life is goes just as it oes, this system does not work. And I can prove it based on maths. The official winning ratio is about 40% - 60% of this system (but I consider it is about 45%-55%). So the differnece is so low for winning trades that the small losses that was mentioned above, cover this small profit. I am not just saying, I experienced it for 3 months. Each trade was worse then it was published officially by the author.
I am wondering if Slurpee is working for 1 Minute Daily to get some extra profit for the guys who register from his link.....
Hi Anonymous,
ReplyDeletenow you made me laugh:))) No, seriously I don't work for them. And if you look at my post and read it, you will see, that I made a printscreen of my stats. There you can see that my winning ratio is 57,86%. I think you cannot make a reasonable statement about some system after 3 months of trading. It is too short. Not mentioning that July was nicely positive, second half of June as well. If you want, I can send you my trades in history, or you can have a look for yourself at myfxbook.com.
Important thing. Do you know that you should place Buy stop and sell stop orders? What you say about placing a trade at 10:15 is nonsense. If you look at your computer at 10:15 and the price has already broken the band you CANNOT enter the trade! It is against the rules... You can enter only if the price gets back to where your entry should be. Probably you don't understand the manual properly, that might be the problem. And regarding the broker... my broker has fixed spreads, GU has 2 pips, UJ 1 pip. So what you write isn't true as well.
I will give you an advice. Demo trade this system for half a year at least, learn something about it and then you will see. I don't say it is great for everyone, of course there are better systems. But this one suits me and I think to some other people as well.
So good luck to your trading, Anonymous!
And just to add. Of course I get something if anyone buys the system from my blog. And it is 38 USD from every purchase and it doesn't increase the price for the buyer. This is the only thing I get for my time that I spend answering the emails, making posts and so on. I initially didn't mean to put the link here but after emails started to come and I had to spend some time every week with this blog (at first I just wanted to post the results here) and this is just a small reward for me for my time, that is really precious. So just to answer that. Nonetheless everyone who is not satisfied can cancel their subscription from 1 minute daily...
ReplyDeleteHi, Everybody
ReplyDeleteI can agree with anonymus. The system does not work in life only theoretical unfortunately. And still it has huge, unacceptable drawdowns.
I have been using it for 4 months with 5 % risk each trade and the wins were alwys much lower (by 10-15%) then the losses. It means that the system does not work as the winning ratio is only about 40-60%.
Stay away from this system.
Bests,
Greg
Hi Greg,
ReplyDeleteI think you are the same person as Paul... Show us your real results, what you write is NOT truth!
Hi Slurpeee
ReplyDeleteGreat site. What's the 2nd system you say you use in one of your earlier blogs?
thanks
Hi Anonymous,
ReplyDeleteThank you very much!
the second system was position trading from RB Loper's Forex SST... you can look it up on youtube, he has some nice videos there.
Take care and good luck to you!
Interesting..
ReplyDeleteWe should understand and work with money management. I never tried the IM system but have another 2 systems from the same developer. Choose the system that suit to our own personality. Thank to Slurpee for his posts, not everyone would share their trade and its performance like this.
Zul
Hi Zul,
ReplyDeletethanks for posting here... What systems do you have and what are your results, if you are willing to share?:)