The Price-Proxy Systems on Thursday
Posted on October 8th, 2009
Written by Richard
Posted in: N/A (old archives)
My favorite continues to be System Two, though System One has always performed very well itself.
System One
Here’s system one today (click to enlarge):
Nine trades, with six wins and three losses. Probably the worst performance I’ve seen from System One. Of note:
- Two of the three losses went 1 full point in the right direction, but I don’t assume we can lock in profit unless it goes five ticks. So, one tick of difference would have meant 8 wins and 1 loss.
- If you choose to exit on VR4×2 color change, then the last loss would have only been 1 tick.
- I’m assuming the last trade scratches at the close of the cash session. I wouldn’t advocate holding through the cash close unless you are trailing a big winner.
System Two
Here’s the chart (click to enlarge):
That’s six wins and zero losses (as with the other system, the last trade needs to be scratched at the end of the cash market, if you even take it at all). While this system doesn’t enter as often as System One, it sure picks some prime spots to get in! I really appreciate that aspect of it.
I will be releasing the trend-corrected EMA that System Two uses to our newsletter subscribers tomorrow afternoon. If you want it, be sure to subscribe. Otherwise, you will have to wait until it goes out here on the blog in a week or two.
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© 2010 Richard Todd. I am not a financial advisor, and nothing on the site should be considered investment advice or actionable recommendations. I'm just an individual, saying what I think, and sharing my experiences.