CavaliereVerde
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[DARWIN] LNT by LokshinTrader
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LokshinTrader
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Thanks @CavaliereVerde
Hi all
LNT stands for Lean Trading. Basically the philosophy is that you don't have to trade all identified opportunities at once. Select a quality trade that will deliver value or where you are likely to suffer minimal loss.
Darwin LNT's main underlying strategy is to trade the good old support & resistance levels where prices reverse. A basket of 18 currency pairs is monitored daily before the start of the London session (actually mid-way through the Asian session). In order to limit the risk I don't trade every opportunity I identify. I do some comparative work in order to select a high probability trade. To contain risk on this Darwin I usually run one trade at a time and occasionally two at most (never more than two). For example I would identify opportunities in three currency pairs ahead of the London session, I would trade only one but on my site I would publish all three charts.
The strategy is entirely manual trading and is purely based on technical analysis. Fundamentals, data releases I sometimes take into account when considering exiting a trade and not to enter. For the most part I do not regard them. Entering a trade is a decision I make strictly from a technical analysis stand point. A trade can run anything from half a day to a few days depending on the technical outlook. The price can run & hit the target or the outlook may deteriorate before price reaches the target in which case I make the decision to exit the trade.
The reason I created this Darwin was so that I could create a track record to complement my work on thetradedesk.co.za. I publish trading videos & chart signals. I don't have a formal educational qualification in financial markets. Everything I know about trading I learned from various sources in bits & pieces over the last 9 years. My formal education is in engineering, so I thought what better way to build some credential than to create a verifiable track record with a reputable broker. I find Darwinex to be a sophisticated way to do it.
I'll be glad to answer your questions.
I look forward to being part of this trader community.
Regards
Hi all
LNT stands for Lean Trading. Basically the philosophy is that you don't have to trade all identified opportunities at once. Select a quality trade that will deliver value or where you are likely to suffer minimal loss.
Darwin LNT's main underlying strategy is to trade the good old support & resistance levels where prices reverse. A basket of 18 currency pairs is monitored daily before the start of the London session (actually mid-way through the Asian session). In order to limit the risk I don't trade every opportunity I identify. I do some comparative work in order to select a high probability trade. To contain risk on this Darwin I usually run one trade at a time and occasionally two at most (never more than two). For example I would identify opportunities in three currency pairs ahead of the London session, I would trade only one but on my site I would publish all three charts.
The strategy is entirely manual trading and is purely based on technical analysis. Fundamentals, data releases I sometimes take into account when considering exiting a trade and not to enter. For the most part I do not regard them. Entering a trade is a decision I make strictly from a technical analysis stand point. A trade can run anything from half a day to a few days depending on the technical outlook. The price can run & hit the target or the outlook may deteriorate before price reaches the target in which case I make the decision to exit the trade.
The reason I created this Darwin was so that I could create a track record to complement my work on thetradedesk.co.za. I publish trading videos & chart signals. I don't have a formal educational qualification in financial markets. Everything I know about trading I learned from various sources in bits & pieces over the last 9 years. My formal education is in engineering, so I thought what better way to build some credential than to create a verifiable track record with a reputable broker. I find Darwinex to be a sophisticated way to do it.
I'll be glad to answer your questions.
I look forward to being part of this trader community.
Regards
LokshinTrader
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Happy new year!
After the festive break trading resumed.
On 7 January 2021 I put up the following charts on Desk View:
EURJPY Resistance
GBPAUD Support
GBPNZD Support
AUDJPY Resistance
As I have said previously that LNT philosophy is to keep the trading lean, meaning out of all identified setups at one time only one is executed (two at max). The market can present a plethora of opportunities, so the lean philosophy is really to keep me grounded & not get carried away by possibilities and to contain exposure. This approach I apply to this Darwin, elsewhere my approach is different.
AUDJPY trade - 7 Jan 2021
I decided to trade short the AUDJPY because it had come back to trade at major resistance, a level last seen almost 2 years ago in April 2019. Prior to this, the level had been a critical one acting as a pivot numerous times. Typically when price approaches such a level it slows down & then pulls back. These instances present good opportunities. I demonstrate this principle over & over in my trading videos.
This AUDJPY trade didn’t work out great. Price was a bit sluggish, dilly-dallying around the resistance with no clear decisive move for a few days; it didn’t react as expected upon encountering the resistance. With hindsight it is clear that one of the other three pairs would have given a better trade. Price on the other three charts went on to make clear moves within 3 days, while price on the AUDJPY pulled back to linger around the resistance and then after about a week it fell. It is not uncommon for price to pullback & linger around the support/resistance before making clear moves. However, when this happens price tends to interfere with trailing stop losses a lot. It is instances like this where a trailing stop loss becomes counterproductive. It flips a good setup into a losing trade. In this trade I decided to move my stop loss closer to break even. Unfortunately, price came back & kicked me out of the trade with a 10 pip loss.
USDCAD trade - 13 Jan 2021
I went long on the USDCAD. I was looking for the upside move beyond the first resistance (1.27083) as price appeared to have formed an ascending channel. Price only rallied up to the first resistance (1.27083) & then reversed to do violence to the support. This time I hadn’t moved my stop. So I took a loss on this trade also.
I find trailing stops be to a double-edged sword. Sometimes they work for me & sometimes they work against me. That's why I use them with discretion, not religiously.
Be that as it may, continue to scour the market & see what else can be traded.
Regards
After the festive break trading resumed.
On 7 January 2021 I put up the following charts on Desk View:
EURJPY Resistance
GBPAUD Support
GBPNZD Support
AUDJPY Resistance
As I have said previously that LNT philosophy is to keep the trading lean, meaning out of all identified setups at one time only one is executed (two at max). The market can present a plethora of opportunities, so the lean philosophy is really to keep me grounded & not get carried away by possibilities and to contain exposure. This approach I apply to this Darwin, elsewhere my approach is different.
AUDJPY trade - 7 Jan 2021
I decided to trade short the AUDJPY because it had come back to trade at major resistance, a level last seen almost 2 years ago in April 2019. Prior to this, the level had been a critical one acting as a pivot numerous times. Typically when price approaches such a level it slows down & then pulls back. These instances present good opportunities. I demonstrate this principle over & over in my trading videos.
This AUDJPY trade didn’t work out great. Price was a bit sluggish, dilly-dallying around the resistance with no clear decisive move for a few days; it didn’t react as expected upon encountering the resistance. With hindsight it is clear that one of the other three pairs would have given a better trade. Price on the other three charts went on to make clear moves within 3 days, while price on the AUDJPY pulled back to linger around the resistance and then after about a week it fell. It is not uncommon for price to pullback & linger around the support/resistance before making clear moves. However, when this happens price tends to interfere with trailing stop losses a lot. It is instances like this where a trailing stop loss becomes counterproductive. It flips a good setup into a losing trade. In this trade I decided to move my stop loss closer to break even. Unfortunately, price came back & kicked me out of the trade with a 10 pip loss.
USDCAD trade - 13 Jan 2021
I went long on the USDCAD. I was looking for the upside move beyond the first resistance (1.27083) as price appeared to have formed an ascending channel. Price only rallied up to the first resistance (1.27083) & then reversed to do violence to the support. This time I hadn’t moved my stop. So I took a loss on this trade also.
I find trailing stops be to a double-edged sword. Sometimes they work for me & sometimes they work against me. That's why I use them with discretion, not religiously.
Be that as it may, continue to scour the market & see what else can be traded.
Regards
Last edited:
LokshinTrader
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One of the errors I used to make as a rookie was to think that as a trader I have to be in the market every day or else I will miss out. As a result, I would end up forcing trades & revenge trade. FOMO was real (Fear Of Missing Out). I slowly learned that it’s actually okay to go on for days without executing a trade.
The LNT strategy is not the one to execute trades daily. Even though I analyse 18 currency pairs daily, trading opportunities don’t appear daily. When I don’t find what I am looking for I walk away. I can go on several days without finding what I am looking for and I slowly learned to be comfortable with that.
Here is a summary of all trades executed in January for LNT.
1. USDCAD long / -30.1 pips / -0.56%
2. AUDJPY short / -10 pips / -0.23%
3. USDCAD long / -50 pips / -0.92%
4. EURGBP long / +25.5 pips / +1.08%
5. EURUSD long / +49.6 pips / +1.21%
6. EURCAD long / +115 pips / +2.19%
7. GBPUSD short / +59.5 pips / +1.35%
8. AUDNZD long / -50.1 pips / -0.78%
Started the month with a few losses and went on to recover to end in the positive territory [+1.67%].
Continue to scour the market & see what else can be traded.
Regards
The LNT strategy is not the one to execute trades daily. Even though I analyse 18 currency pairs daily, trading opportunities don’t appear daily. When I don’t find what I am looking for I walk away. I can go on several days without finding what I am looking for and I slowly learned to be comfortable with that.
Here is a summary of all trades executed in January for LNT.
1. USDCAD long / -30.1 pips / -0.56%
2. AUDJPY short / -10 pips / -0.23%
3. USDCAD long / -50 pips / -0.92%
4. EURGBP long / +25.5 pips / +1.08%
5. EURUSD long / +49.6 pips / +1.21%
6. EURCAD long / +115 pips / +2.19%
7. GBPUSD short / +59.5 pips / +1.35%
8. AUDNZD long / -50.1 pips / -0.78%
Started the month with a few losses and went on to recover to end in the positive territory [+1.67%].
Continue to scour the market & see what else can be traded.
Regards
LokshinTrader
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I always say trading is not a perfect science. What looks possible in the market doesn’t mean that’s how things will unfold. I found this month to be very tricky. Several trades didn’t play out the way I was expecting, with several trailing stops hit. When it comes to manual trading decision-making is a big aspect. Admittedly there are decisions I feel I could have & should have done better.
Here is a summary of all trades executed in February for LNT
1. AUDNZD / +3.7 pips / +0.06%
2. EURCAD / -60.6 pips / -1.11%
3. EURUSD / +73.6 pips / +1.75%
4. AUDJPY / -21.3 pips / -0.46%
5. AUDJPY / +2.6 pips / +0.06%
6. USDJPY / -10 pips / -0.22%
7. GBPUSD / -49.8 pips / -1.19%
8. EURGBP / -32 pips / -1.14%
9. EURAUD / +6.8 pips / +0.14%
10. GBPNZD / +49.9 pips / +0.95%
11. USDJPY / +24.2 pips / +0.58%
12. EURAUD / -30.3 pips / -0.58%
13. EURCAD / +45.6 pips / +0.98
14. CADJPY / -33.6 pips / -0.86%
Poor performance overall ending the month in the negative [-0.71%].
Continue to scour the market & see what else can be traded.
Regards
Here is a summary of all trades executed in February for LNT
1. AUDNZD / +3.7 pips / +0.06%
2. EURCAD / -60.6 pips / -1.11%
3. EURUSD / +73.6 pips / +1.75%
4. AUDJPY / -21.3 pips / -0.46%
5. AUDJPY / +2.6 pips / +0.06%
6. USDJPY / -10 pips / -0.22%
7. GBPUSD / -49.8 pips / -1.19%
8. EURGBP / -32 pips / -1.14%
9. EURAUD / +6.8 pips / +0.14%
10. GBPNZD / +49.9 pips / +0.95%
11. USDJPY / +24.2 pips / +0.58%
12. EURAUD / -30.3 pips / -0.58%
13. EURCAD / +45.6 pips / +0.98
14. CADJPY / -33.6 pips / -0.86%
Poor performance overall ending the month in the negative [-0.71%].
Continue to scour the market & see what else can be traded.
Regards
LokshinTrader
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March was quite a difficult month for this Darwin navigating these forex streets.
1. EURCAD / -42 pips / -0.83%
2. EURCAD / -7.9 pips / -0.16%
3. EURUSD / +32 pips / +0.81%
4. USDJPY / -50.4 pips / -1.26%
5. EURCAD / -61.2 pips / -1.35%
6. EURUSD / +70.6 pips / +1.98%
7. USDCAD / -52.2 pips / -1.12%
8. CADJPY / -28.9 pips / -0.71%
9. AUDJPY / -19 pips / -0.51%
10. EURUSD / -21 pips / -0.62%
11. AUDJPY / +8.6 pips / +0.24%
12. EURUSD / -23.8 pips / -0.71%
13. EURGBP / -36.1 pips / -1.42%
A cluster of losing trades sends LNT into negative territory for the month at -3.98%, the worst since inception, with drawdown reaching a new low of -5.12%.
Continue to scour the market & look for better trades.
Regards
1. EURCAD / -42 pips / -0.83%
2. EURCAD / -7.9 pips / -0.16%
3. EURUSD / +32 pips / +0.81%
4. USDJPY / -50.4 pips / -1.26%
5. EURCAD / -61.2 pips / -1.35%
6. EURUSD / +70.6 pips / +1.98%
7. USDCAD / -52.2 pips / -1.12%
8. CADJPY / -28.9 pips / -0.71%
9. AUDJPY / -19 pips / -0.51%
10. EURUSD / -21 pips / -0.62%
11. AUDJPY / +8.6 pips / +0.24%
12. EURUSD / -23.8 pips / -0.71%
13. EURGBP / -36.1 pips / -1.42%
A cluster of losing trades sends LNT into negative territory for the month at -3.98%, the worst since inception, with drawdown reaching a new low of -5.12%.
Continue to scour the market & look for better trades.
Regards
LokshinTrader
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Here is a summary of completed trades in April for LNT
1. GBPJPY / +122.8 pips / +3.57%
2. EURCAD / -19 pips / -0.47%
3. USDJPY / -28.9 pips / -0.75%
4. EURGBP / -5.6 pips / -0.21%
5. GBPNZD / -74.2 pips / -1.62%
6. GBPJPY / -51.5 pips / -1.56%
7. GBPUSD / +69.1 pips / +2.33%
8. EURCAD / +103.6 pips / +2.61%
9. EURGBP / +34.5 pips / +0.59%
10. EURCAD / -17.8 pips / -0.41%
11. GBPJPY / -51.7 pips / -1.34%
It was an interesting month overall which saw the drawdown reach a new low [-6.22%] and on the other hand for the first time, LNT spend some time inside the DarwinIA top 120, and at some point reaching position 55. However, the last 2 trades not working out pushed the Darwin down the standings to end the month outside of the top 120 at 174.
Nonetheless, the month ends on a positive note [+2.13%].
Continue to scour the market & see what else can be traded.
Regards
1. GBPJPY / +122.8 pips / +3.57%
2. EURCAD / -19 pips / -0.47%
3. USDJPY / -28.9 pips / -0.75%
4. EURGBP / -5.6 pips / -0.21%
5. GBPNZD / -74.2 pips / -1.62%
6. GBPJPY / -51.5 pips / -1.56%
7. GBPUSD / +69.1 pips / +2.33%
8. EURCAD / +103.6 pips / +2.61%
9. EURGBP / +34.5 pips / +0.59%
10. EURCAD / -17.8 pips / -0.41%
11. GBPJPY / -51.7 pips / -1.34%
It was an interesting month overall which saw the drawdown reach a new low [-6.22%] and on the other hand for the first time, LNT spend some time inside the DarwinIA top 120, and at some point reaching position 55. However, the last 2 trades not working out pushed the Darwin down the standings to end the month outside of the top 120 at 174.
Nonetheless, the month ends on a positive note [+2.13%].
Continue to scour the market & see what else can be traded.
Regards
LokshinTrader
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A summary of May trades
1. USDCAD / +22.2 pips / +0.52%
2. CADJPY / +5.6 pips / +0.14%
3. EURCAD / -27 pips / -0.59%
4. USDCAD / +11.7 pips / +0.27%
5. EURGBP / -21.3 pips / -0.83%
6. USDJPY / +10 pips / +0.26%
7. AUDCAD / +38.9 pips / +0.89%
8. GBPUSD / +1.8 pips / +0.05%
9. GBPNZD / -70.2 pips / -1.41%
10. EURUSD / -11 pips / -0.32%
11. EURNZD / +82.9 pips / +1.72%
12. USDJPY / -31 pips / -0.80%
May ends in the red at -0.48%. The Darwin is still stagnant, with the year proving to be quite challenging so far as it has been unable to make new highs since January.
Nonetheless, will continue to scour the market for the next better trades.
Regards,
LT
1. USDCAD / +22.2 pips / +0.52%
2. CADJPY / +5.6 pips / +0.14%
3. EURCAD / -27 pips / -0.59%
4. USDCAD / +11.7 pips / +0.27%
5. EURGBP / -21.3 pips / -0.83%
6. USDJPY / +10 pips / +0.26%
7. AUDCAD / +38.9 pips / +0.89%
8. GBPUSD / +1.8 pips / +0.05%
9. GBPNZD / -70.2 pips / -1.41%
10. EURUSD / -11 pips / -0.32%
11. EURNZD / +82.9 pips / +1.72%
12. USDJPY / -31 pips / -0.80%
May ends in the red at -0.48%. The Darwin is still stagnant, with the year proving to be quite challenging so far as it has been unable to make new highs since January.
Nonetheless, will continue to scour the market for the next better trades.
Regards,
LT
LokshinTrader
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On Friday, June 4 I traded short the GBP/AUD. I entered the trade at 1.83975 with the stop loss at 1.84600. The day's high reached 1.84499, which was 10.1 pips away from my stop loss, but apparently, the stop was supposedly hit & I got stopped out at 1.84617. This setup would have bagged over 100 pips which could have been just over 2% for LNT. But instead, the Darwin took a -1.42% knock.
I am curious at this stage as to how wide do Darwinex spreads really get. In this pair it is clear that the spread widened by more than 11.8 pips, it could have been by 20 pips for all we know. In fact, some traders have claimed that with other brokers spreads can widen by as much as 10, 20, or even 50 pips. I have requested some sort of a trade audit from Darwinex which should shed some light.
Have you guys experienced anything like this with Darwinex?
I am curious at this stage as to how wide do Darwinex spreads really get. In this pair it is clear that the spread widened by more than 11.8 pips, it could have been by 20 pips for all we know. In fact, some traders have claimed that with other brokers spreads can widen by as much as 10, 20, or even 50 pips. I have requested some sort of a trade audit from Darwinex which should shed some light.
Have you guys experienced anything like this with Darwinex?
IlIlIlIlI
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The highest spread I have ever seen at Darwinex about 4 weeks ago was 448 points (44.8 pips) on NDX during the US market opening. But that's a real exception.
The bad: it was NOT visible at MT4, there the usual 8 points spread was shown.
trilobite
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trilobite
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It's not unusual for spreads to widen a lot around rollover and the first hour or so after opening on Sunday night. I've frequently seen Cable trading with a spread of 10 to 14 or more pips during this period (floating around 0.0 to 0.6 pips as I write this). I was curious myself, so checked some other brokers at these times, and they were all around the same. It's just due to the low liquidity at these times rather than broker tricks. The way get around it if I have a trade I think may get nicked out is to increase or remove the stop loss until liquidity returns. There is of course a risk associated with doing this, but trading is a risky business anyway!
If you are using MT4 there are loads of free indicators out there which will monitor spreads, some will log min/max spread as well.
If you are using MT4 there are loads of free indicators out there which will monitor spreads, some will log min/max spread as well.
LokshinTrader
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I know.
But my trade was running on Friday during the London session.
Captain Currency
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NFP?
LokshinTrader
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Yeah that's what Darwinex just told me.
They said low liquidity was because of NFP.
LokshinTrader
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Here is Darwinex response 👇
LokshinTrader
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It appears that the spread on Darwinex widened by as much as 26 pips.
Much of my trading over the years has been with a broker with fixed spreads, so I have never had to worry much about widening spreads during data releases or any other such period.
It reminds me of the exact same GBPAUD setup I traded in the past with another broker👇. I left the trade overnight & it came to came to 11 pips away from SL. This broker generally has wide spreads and on this pair I think it was about 4 - 5 pips but the trade was never stopped out.
I like trading these kinds of setups I just wonder how much of a problem I am going to have
.
Much of my trading over the years has been with a broker with fixed spreads, so I have never had to worry much about widening spreads during data releases or any other such period.
It reminds me of the exact same GBPAUD setup I traded in the past with another broker👇. I left the trade overnight & it came to came to 11 pips away from SL. This broker generally has wide spreads and on this pair I think it was about 4 - 5 pips but the trade was never stopped out.
I like trading these kinds of setups I just wonder how much of a problem I am going to have
.
CavaliereVerde
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For similar reasons I stopped trading GBPCAD and XAUUSD in my old darwin KVL .
I think that if they can't guarantee decent condition those assets should be closed to trading
I think that if they can't guarantee decent condition those assets should be closed to trading
CavaliereVerde
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When I subscribed Darwinex ther was no XAUUSD , the selection of assets was very narrow.
->https://blog.darwinex.com/trading-conditions-applicable-to-indices-commodities/
They worried to offer the best liquidity.
Quality over quantity.
->https://blog.darwinex.com/trading-conditions-applicable-to-indices-commodities/
They worried to offer the best liquidity.
Quality over quantity.
LokshinTrader
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What happened in post #9 has happened again in another pair.
I traded short AUD/JPY. The trade got stopped out with price being 19 pips away from the SL. The spread widened by more than 20 pips.
It is becoming increasingly difficult to trade this strategy with Darwinex.
I have asked Darwinex to at least consider broadening their offering to include providing accounts with fixed spreads. Floating spreads for some of us are just terrible.
I traded short AUD/JPY. The trade got stopped out with price being 19 pips away from the SL. The spread widened by more than 20 pips.
It is becoming increasingly difficult to trade this strategy with Darwinex.
I have asked Darwinex to at least consider broadening their offering to include providing accounts with fixed spreads. Floating spreads for some of us are just terrible.
