College Fund Challenge

You know at 3 losers in a row will wipe you out. So your strategy is to hope that doesn’t happen. There are no safeguards in place to stop it happening.

This is not a strategy, you are gambling. Your $2m relies on the fact that you will be lucky from now until you get the money. You have no idea on what the return is, how long it will take, how likely 3 losers in a row actually are in a year let alone up to the $2m.

This is basic information you need to research. Let’s say your system would have blown up once in the last 10 years (but you don’t know that because you haven’t done enough backtesting!) therefore we’ll say you have a 10% chance of wipeout in a year – if you trade it for 5 years then the chances of losing all your money is 40% before the time is up. Trade it for 10 years – it’s 65%. Would you trade a system for 10 years that you know only has a 35% chance of success?

But you don’t know. You don’t know how long £2m is going to take. You don’t know how likely you are to get there. What if you get to $1.5m in 3 years and you get the 3 losers – how sick will you feel then?

This is why people fail at trading. Their strategies are based on assumptions and hope, they ignore the risks and deluisionally believe they will be lucky.

You will only ever succeed when you’ve studied your strategy, understand the risks & rewards and have plans in place for worst case scenarios.

It's a pile of cr@p - how can you think he's on to something if you're allegedly a "professional trader". I think someone must be telling porkies!

I won't feel sick at all because I started with $500 and I have two other working systems so no big deal. It won't be fun but I've lost $500 before so it wouldn't be the first time.

By the way, I've had three losers in a row already and made it. You don't realize that within the losses there are wins being made from the hedging. To a degree, these wins are off-setting the losses. True, it gets the DD out there but it still managed to stay afloat and bounced back.

Ok, I'm back from vacation so back to trading again.

Hooray

How are you finding the cable DD on Toms EA at the moment

It's currently at a 20.06% DD. I've personally seen it at 48% DD with other dips like this since Aug 2011. That's just how it works. It usually is 10-12% DD with occasional dips like this. The balance stays steady on the rise so no worries.

Well, I got some bad news about Hotfx. They are eliminating all USA accounts by June.

Sooo, I will have to close out all open trades soon. I have two open with my morning-trade system and hope they close out by themselves.