Nikl I'm starting to pay real close attention to your approach, I like it, and thinking of writing a trade manager to handle it on a semi-auto basis.
Mike thanks for adding that information to explain your approach. Have you thought about starting at 0.01 and incrementally increasing over time for the long term? I have 2 approaches, depending on the model:
Compounding size based on account balance.
Starting at 0.01 and incrementing every 3 months by 0.01, so it would take 10 quarters to reach 0.10
In reality, While I started out with approach 1, I am now basically on approach 2, and will convert models to approach 1 when their sizing increases to a level where it is practical to compound.
Anyway, on to my daily update:
Unfortunately 2 runs closed in the last 24 hours, both for a loss - the USDCAD and USDCHF:
My balance high was $540.40 so the account after the above 2 runs is in a $215 drawdown, and there is still at least 1 more large loss to swallow (NZDUSD) with my open runs:
For today, I don't like any of the daily signals so no new runs. However, I have been working on a related strategy based on my observations from this demo testing, and that is that I find a lot of the runs are in net profit after 1 or 2 days, and then get susceptible to building some open drawdown, so I decided on a new rule which is the following:
Start a new run based on the same daily signal as for the $50 GP target approach
At the end of each day, if the net position is in profit, close the run
If at the end of each day the net position is not in net profit, let the run continue towards the $50 GP target
Based on the above rules, my backtesting tells me I will average smaller profits, but the results will be more consistent. A big advantage to this approach apart from improving consistency is carrying less open positions for a shorter average time. Anyway, I will run a 2nd demo account side by side with the current one, and compare for the rest of the month.
2 markets I like today with this alternative rules in mind are the AUDJPY and EURAUD:
