Recap over the month May:
We have in the room now a very nice assortment of systems.
Many starting trader think: Give me a profitable system and I will make money.
But that is absolutely not the case. A system needs to go along with your needs, demands and
personality.
We have the siesta_system that gives a very low hitrate but a very high avg. win/loss ratio (+/-5)
We have the breakout_system that has a bit higher hitrate with a bit lower avg win/loss ratio.
Those 2 systems require to sit all day long in front of your pc.
We have the scalping system with a hitrate that is around 60% with a very small S/L (4-8pips)
where nearly all other scalping systems work with big stops.
This scalping system can be traded whenever one feels like trading a bit for a couple of hours.
Even during Asian session on low volatility.
These 3 systems will produce a profit that depends highly on the trading skills of a trader and can
not be back tested. Because of the amount of trades and adapting himself to the market conditions
based on discretionary elements. But for a skilled trader there is nothing better to try to get the
maximum profit out of the market.
Last month I developed the 2H_BO_system. This is a very simple straight for worth 100% mecha-
nical system that can be easily back tested in an excel spreadsheet without any manual sorting out
of entry’s nor exits. The entry rules and exit rules can be easily programmed in excel because no
indicators are used what so ever.
I am very proud about this system because I can proof over a long period of time that this system
really works. One could think why not test all of the systems you have trough EA’s or this last one
with the help of an EA but as I have said already many times, everybody in the room should have
the same weapons. So the moment that an EA is build to so called back test it can also be used to
trade with. And as in the room only 50% trades true a MT4 brokers, the other half can not benefit
from this EA. So I made a reliable back test for this 2H_BO_system (that I rely more on then a MT4 EA
back test) and witch shows fantastic results.
I took a 2 ½ year period on the eur/usd between November 2006 and May 2009. The reason for this period is over this
period price gave the lowest historical volatility ever (between April and July 2007) and the highest
historical volatility ever (between Oct 2008 and Dec 2008). The profit the system produced in completely
in line with the volatility that market produced over the whole period. So no secrets on why profit would
be smaller or bigger.
Without any MM and based on 1 contract the system produced just a bit short of 10Kpips profit over that
Period with a MaxDD of 900pips witch comes to a R/R ratio (sterling ratio ratio) of 10!!.
Some of you who have followed the item on my SuPeR_MM know how good it performs and that it can
turn bad results into nice results then it should not be any surprise that this system in combination
with the SuPeR_MM gives absolutely insane results. It turns a 10K$ account into 1Million$ over that
period with a remarkable equity curve that shows very low risk.
If one looks to the equity curve it looks like one of those impossible back tests with an EA but I can assure
you this is not a joke.
From now on I’m going to keep track of the results of this system as the official results of the room. One of
the reasons for that is that for the members of the room it is very easy to follow the official trades and there
can never be any doubt over a certain trade and there are very few trades per day (2-3). Some days even
no trades at all.
All trades are taken in trough limit orders. So no re-quotes or slippage is involved. Witch makes the result
also very reliable.
For next month all systems and SuPeR_MM will still be teached where one can trade the 2H_BO_system
along the side because it requires very few time and concentration to trade the 2H_BO_system.
Looking for worth to see you in the room.
Friendly regards…iGoR
To become a member of the room send mail to zorro_trading_group@hotmail.com
The membership is 89€/month. After receiving your payment (only trough paypal) you receive all information,
Indicators and templates and links to the tutorial video’s.
The teaching is done in a paltalk audio room and a live video room
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