This article is going to describe two slightly more advanced trading techniques: how to trail a stop and how to maximize profits by trading multiple lots. Let’s cover using multiple lots first… Since as traders we always want to minimize risk as much as possible, I offer the following cautionary note: each time a trader […]
I was really excited about my Pilum strategy two months ago. The research looked great and everything was ready to rock and roll. Demo testing began and then… not much happened. The Quantilator is (mostly) finished, which finally gave me time to circle back and review what happened with Pilum. Live demo trading of Pilum. […]
If you are cooking something and you check on it and you see that it is “overdone” or “overcooked”, what is your immediate reaction? Exactly. You take the dish out of the oven. Remove it from what caused its current overdone state and the sooner the better. Too late for our chicken dinner below… What […]
So, you believe you have found a sound forex trading system or Expert Advisor (EA) and you are feeling ready to dip your toe in the water. It’s important not to rush in and instead take a step back to thoroughly test the strategy or EA through back testing. Before we look at how to […]
William Hurst was a hydrologist working on what seems like a straight forward problem: how tall should a damn on the Nile river be to contain all possible floods? Hurst encountered a unique problem where the mathematics to answer the question did not yet exist. Hurst’s work found broad applications in many unrelated areas of […]
Because of the unique characteristics of different currency pairs, many quantitative Forex strategies are designed with a specific currency pair in mind. While this can produce many profitable trading strategies, there are also advantages to developing strategies that can be traded across multiple currency pairs. This introduces an element of diversification that can provide an additional […]
Because of the unique characteristics of different currency pairs, many quantitative Forex strategies are designed with a specific currency pair in mind. While this can produce many profitable trading strategies, there are also advantages to developing strategies that can be traded across multiple currency pairs. This introduces an element of diversification that can provide an additional […]
It’s the 4th of July weekend. My wife is running errands this afternoon and my youngest son is napping. I can’t go outside for a run – it’s July in Texas (i.e., incredibly hot) and, what if the baby wakes up? The only ways to spend my holiday afternoon was either to a) watch TV or 2) […]
Converting back of the envelope ideas to trading algorithms is extremely challenging, but requires significant attention. This could be the single item that makes your system great. In this post, I suggest a way to find more defined support and resistance metric using limit order books. Creating a Order Book Metric To start, I want to create […]
by Shaun Overton For traders who have a real talent for forex, yet very little capital of their own, prop trading may be the pathway to a good career or supplemental income. What is proprietary trading? To avoid confusion, it’s important to understand that the same term is also used in a different context to […]
