I am a subscriber since Jun2015. The profits are huge but you need to dig into the trades for realizing what´s up in MD. I am trying to write this comment letting the easy emotions aside.
What amazes me is the accuracy in the trades. Although inevitable failures, you can see how the trades changes direction, short and long, yielding constant profits. Of course there are bad trades, or days, but that is part of the game. In this case, this is not for faint hearts, because this may wipe out 10 k in a single day… or just a couple of hours.
When this happens, the system developer usually apologizes or justifies what happened: those comments are welcome, but when you trust a system like this one, it is easy to accept the lost with poker face because better moments are assured to arrive tomorrow
The frequency and number of contracts played makes this system very volatile. I read accusations of martingale system. I disagree. The trades do not change his view and positions (I guess) when something goes wrong… never adds positions (they are always opened at the beginning of the trade). Example: after FED meeting, 9/17/2015, (probably moments when many systems fail) the system goes short.. losses accumulate as SP goes up and up. The first trade is closed. The ES goes up, a second short trade, 7 contracts, as usual, some points above the close of the previous… again, another loss. Then the system goes long…(!!!) the SP drops hard and we end up with another loss. This is the description of a bad day, luckily very uncommon. Good days are just the opposite… nailing down the longs and shorts, and often times changing direction. You simply ask yourself…â€How the f… he does it..!!â€
So, if you dare start autotrading MD, and if you do not want to have a heart attack, you can simply limit the number of contracts. This is what I did: I started with 2, then 3, then, after being clearly in the money, I did the big jump and let the system without constrains. I hope you will not regret it… otherwise I will as well. Good luck
Not sure how many people have the coin to auto trade MD but a lot of money has been made for those who can. It's had it's ups and downs since inception but far more ups and while other systems burn out or outright explode MD has managed it's risk is and hitting all time highs.
I wonder if the developer could put together a similar system using ETF's where anyone could participate.
This system basically tells it all in the trade record. I think almost anyone would be happy with the net results of 450% in a few months correct? Look closely at the size of the positions taken. Look closely at the drawdowns intraday and intratrade. Can you take a $20,000 hit intraday and keep on going? If not I would stay away. If you have a few hundred thousand and want to allocate a portion to this system, I think that might be a viable strategy. I still think at this leverage level a flash crash or other black swan event against the position could wipe out your account since he trades at a very high position size for the equity shown.
From watching the trader in action, I would say there is some discretion going on adjusting orders and using a martingale type entry. In other words, he lets himself be stopped out of part of a position and re-enters more just beyond the stop. It is still very impressive in net result, so you have to say he is a good trader. Just be aware that you will have to auto trade due to the very high activity level, and also be aware that the holding for longer trend statement in the description has not really happened in the last 2 months that I can see.
Last thing is that if you trade a partial position, I'm not sure your results will mirror his. Since he trades around an idea, getting stopped out and re-entering, the partial trade will only get a portion of the record shown.
Overview:
I have been in contact with this signal provider for over two months and have carefully monitored the system.
Overall, I am **very impressed** with:
1) excellent responsiveness to messages,
2) good market timing,
3) cumulative performance, AND
4) frequent updates.
Concerns include a:
1) limited time-horizon for performance evaluation, AND
2) limited information regarding the financial position of the signal provider. (Note: This applies almost sitewide.)
As such, I believe 4/5 stars is the appropriate rating, with the potential for an upgrade following more time.
Downside Risk:
All and all, there appears to be good risk control and stop-limits. There was two (significant) mistakes regarding treasury bonds resulting in a large drawdown, but I am confident that lessons were learned from that episode.
Securities trading (like forex) is a zero sum gain and constitutes significant risk. The only way to be successful in this space is to be right most of the time, and ALWAYS prioritize capital preservation. This provider appears to understand that.
Historical Performance:
Statistically speaking, the ratios this strategy has obtained (especially the Sharpe Ratio) are unheard of, and are exceedingly unlikely to remain THIS favorable. Considering that this strategy realizes gains/losses daily, it can be tempting to continuously increase scaling; don't do this.
Forward 14 Economic Events:
This strategy becomes more lucrative due to major economic events, whether it be from China or Greece. These events significantly move the market and are largely the cause of the gains made thus far in the strategy. Absent these events performance may suffer.