When 337 pips isn’t enough

The last few days I’ve been watching an uptrend in GBPJPY. My interest was sparked when my Shock and Retrace strategy, on the 1 minute timeframe was triggered. If you’ll recall, FXCM asked me to run the strategy at 1m timeframes to gather some data, which isn’t what the strategy was designed for but I […]

Panic and Retracement Implementation

I have now implemented the panic and retracement strategy – called PANIC1 for now. It looks like this strategy can be used in two ways. 1)    The original design of this strategy, i.e., a large sudden move in the order of several standard deviations, with the expected retracement afterwards. This of course does not happen […]

Strategy Idea: Panic and Recovery

How about this for a strategy. Panic Recovery 1: If there is a sudden spike in the market, assume there will be a retracement. Open position if the price moves a lot (standard deviations or pips based off range of previous n bars)… Once we have a close that closes lower than the open of […]

Limiting losses during spikes – must use Stop Orders

Something I noticed today while investigating loss trades in my backtesting results. Suppose our strategy will automatically close out the position if on some condition, say either we have lost a certain amount of pips, or some lines cross signaling an exit. However, the strategies logic is only executed per update of the instrument. Let’s […]