Hi All,
I thought I create a post on this strategy as I have ran the strategy without too many issues over the last couple of weeks.
https://www.simpletrader.net/signals...o=view&id=7200
Last month I found this strategy on the signal-start network.
I managed to get the in touch with the signal provider & asked him to publish the signal on the simpletrader network.
Thales - Strategy Description
The Thales core strategy is based on trading high-impact news events, in particular central bank monetary policy announcements. The strategy seeks to capitalize on circumstances where the values of currencies deviate from their fundamental value in relation to unexpected policy shifts, unexpected data or overreaction to expected data. Such deviations tend to occur in short intervals when the market is still digesting the impact of new information.
The core premise of the strategy is the ability to interpret information better than other market participants. This ability is based on a deeply specialized research process which is followed by sophisticated pre-trade plans. The strategies contain research of price action during previous similar events, research on current market expectations and condition, pre-determined trading conditions for entry, risk, stop losses and exit signals for each scenario. Despite being a discretionary strategy, it allows standardized trading approaches as the strategies are adhered to the point. This approach minimizes any psychological biases typical for discretionary strategies. Thus, the trading results are based principally on quality of research and execution, instead of directional biases (i.e. trying to forecast where the market is going).
Trades are typically held for a few hours to a day. Although the system is far from trend-following, in some cases part of the position is left to run for longer time if there is a perceived fundamental shift in information, which might establish a new trend. In these cases, the positions are typically winning and stops are set to break even. If no real trading opportunities arise, the strategy might stay in cash for longer periods.
The Thales strategy is in the risk category F (high-risk) as it seeks to achieve high returns, notwithstanding any market conditions. However strict risk management techniques are always utilized in accordance with the pre-determined trading strategy in an attempt to keep exposure and maximum intra-day and monthly drawdowns within acceptable tolerances. Trading is stopped if one of the pre-defined intra-day and/or monthly drawdown is hit. Stop losses are used on every trade and trades are never left unmanaged. Before each trading session a thorough analysis is performed, to evaluate whether the trades can accommodate larger positions with regards to quality of signal, market conditions, liquidity and possibility of external events such as currency interventions.
Question - The strategy had a 7+ loss in July - Response from trader:
On July we were trading with slightly higher risk, and we simply ended up in a situation where we were wrong multiple times in a row, with one of the events being a high conviction trade where we had a high-risk configuration. Back then we had set ourselves max DD per event 6-8%. Since that event, we have lowered the DD threshold per event to 4%, to counter these instances. It has not impaired our returns in any significant way, as we did this already in August 2016.
I run this signal along side others (Math Prof/Titan/Steady Capture) on different accounts.
If you have issues running the signal there is a managed option available as well. (See below)
I thought I create a post on this strategy as I have ran the strategy without too many issues over the last couple of weeks.
https://www.simpletrader.net/signals...o=view&id=7200
Last month I found this strategy on the signal-start network.
I managed to get the in touch with the signal provider & asked him to publish the signal on the simpletrader network.
Thales - Strategy Description
The Thales core strategy is based on trading high-impact news events, in particular central bank monetary policy announcements. The strategy seeks to capitalize on circumstances where the values of currencies deviate from their fundamental value in relation to unexpected policy shifts, unexpected data or overreaction to expected data. Such deviations tend to occur in short intervals when the market is still digesting the impact of new information.
The core premise of the strategy is the ability to interpret information better than other market participants. This ability is based on a deeply specialized research process which is followed by sophisticated pre-trade plans. The strategies contain research of price action during previous similar events, research on current market expectations and condition, pre-determined trading conditions for entry, risk, stop losses and exit signals for each scenario. Despite being a discretionary strategy, it allows standardized trading approaches as the strategies are adhered to the point. This approach minimizes any psychological biases typical for discretionary strategies. Thus, the trading results are based principally on quality of research and execution, instead of directional biases (i.e. trying to forecast where the market is going).
Trades are typically held for a few hours to a day. Although the system is far from trend-following, in some cases part of the position is left to run for longer time if there is a perceived fundamental shift in information, which might establish a new trend. In these cases, the positions are typically winning and stops are set to break even. If no real trading opportunities arise, the strategy might stay in cash for longer periods.
The Thales strategy is in the risk category F (high-risk) as it seeks to achieve high returns, notwithstanding any market conditions. However strict risk management techniques are always utilized in accordance with the pre-determined trading strategy in an attempt to keep exposure and maximum intra-day and monthly drawdowns within acceptable tolerances. Trading is stopped if one of the pre-defined intra-day and/or monthly drawdown is hit. Stop losses are used on every trade and trades are never left unmanaged. Before each trading session a thorough analysis is performed, to evaluate whether the trades can accommodate larger positions with regards to quality of signal, market conditions, liquidity and possibility of external events such as currency interventions.
Question - The strategy had a 7+ loss in July - Response from trader:
On July we were trading with slightly higher risk, and we simply ended up in a situation where we were wrong multiple times in a row, with one of the events being a high conviction trade where we had a high-risk configuration. Back then we had set ourselves max DD per event 6-8%. Since that event, we have lowered the DD threshold per event to 4%, to counter these instances. It has not impaired our returns in any significant way, as we did this already in August 2016.
I run this signal along side others (Math Prof/Titan/Steady Capture) on different accounts.
If you have issues running the signal there is a managed option available as well. (See below)
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