The Daily Index Trader

[leonarda]

I agree with every word you've written wildwaters.

Welcome and good luck with your trading

Steve,
I think you know my opinion that from a technical/fundamental traders point of view this system doesn't have much merit, but as wildwaters says no harm in testing... I think i've given all the opinion I can now, so good luck, and i'll be keeping an eye on things from my inquisitive side of me...!
Cheers!

 

[SteveBanks]

Steve,
I think you know my opinion that from a technical/fundamental traders point of view this system doesn't have much merit, but as wildwaters says no harm in testing... I think i've given all the opinion I can now, so good luck, and i'll be keeping an eye on things from my inquisitive side of me...!
Cheers!

Your contributions have been very welcome leonarda and if we get a private forum I'm sure there will be posts here to keep you updated. I almost feel like giving you an honourary membership.

Thanks again and best wishes

 

[vintrader]

Another double loss yesterday. Buy DAX sell CAC and reduced stakes.

presumably you did well today if you entered @ c. 6240ish and avoided the early am drop.
GL for 2moro

 

[Richmond3]

Hi Baldeaglebloke and others,
Having had a read of the posts here over the last day, it would seem to me that the strategy behind DIT is not dissimilar to a horse racing betting plan which is based on form or past performance. More experienced posters have looked into the correlation of the DAX/CAC and it's when this doesn't follow form that it fails. Now at this point, it's difficult to pin point the factors, and without access to good charts on the SB platform, it would take more work to sort out if its worth it against other systems which may not need this input.
Another point made several times is that the 2:1 loss/win ratio cost is a real drawdown, and the only resolution for this is good MM and if overall the strategy works more often than loses. This will take more than 45 days to test, especially if the published results are suspect.
However, the bottom line for me is whether I enjoy using DIT as part of an overall trading plan? This I don't know yet, but as ever the comments on this forum keep me interested.
I am sure others as well as I are grateful that Baldeaglebloke and SteveBanks are willing to administer this forum, so thank you for that.
On a final note, testing this system with real money has made a difference to how I think things through, and fired up my enthusiasm for learning more. Good luck to all today, and I am too. The Enhanced Profits Plan has halved my trade for both DAX and CAC based on past performance. Cheers Rich 3

 

[SteveBanks]

Hi Baldeaglebloke and others,
Having had a read of the posts here over the last day, it would seem to me that the strategy behind DIT is not dissimilar to a horse racing betting plan which is based on form or past performance. More experienced posters have looked into the correlation of the DAX/CAC and it's when this doesn't follow form that it fails. Now at this point, it's difficult to pin point the factors, and without access to good charts on the SB platform, it would take more work to sort out if its worth it against other systems which may not need this input.
Another point made several times is that the 2:1 loss/win ratio cost is a real drawdown, and the only resolution for this is good MM and if overall the strategy works more often than loses. This will take more than 45 days to test, especially if the published results are suspect.
However, the bottom line for me is whether I enjoy using DIT as part of an overall trading plan? This I don't know yet, but as ever the comments on this forum keep me interested.
I am sure others as well as I are grateful that Baldeaglebloke and SteveBanks are willing to administer this forum, so thank you for that.
On a final note, testing this system with real money has made a difference to how I think things through, and fired up my enthusiasm for learning more. Good luck to all today, and I am too. The Enhanced Profits Plan has halved my trade for both DAX and CAC based on past performance. Cheers Rich 3

Hi Rich,

I think you reflect a lot of people's view on the system. Only time will tell.

Good luck today

 

[Ian HDIT]

How is todays trade looking, I was still without the evaluator so couldnt get involved again today. Martin has now emailed me with a new one so should be back in the saddle again tomorrow albeit I have now lost all my data since the start and will now have to undergo another 2 weeks with the enhanced staking plan before it kicks in again. Has the trade done much this morning or is there still chance to get involved?

 

[leonarda]

More experienced posters have looked into the correlation of the DAX/CAC and it's when this doesn't follow form that it fails.

there is a simple solution to this one that another member pointed out. It is:
1. Open a IGIndex AND a CityIndex account (both are good I use both)
2. In IGIndex bet Long DAX with your usual SL/TP settings
3. In CityIndex bet Short DAX with your usual SL/TP settings

100% gauranteed to be 100% correlated ALL the time!
QED!

 

[SteveBanks]

How is todays trade looking, I was still without the evaluator so couldnt get involved again today. Martin has now emailed me with a new one so should be back in the saddle again tomorrow albeit I have now lost all my data since the start and will now have to undergo another 2 weeks with the enhanced staking plan before it kicks in again. Has the trade done much this morning or is there still chance to get involved?

Hi Ian,

it hasn't done much so far but whether you want to get in now is up to you. It's been pretty calm since 9:15.

 

[george0]

More experienced posters have looked into the correlation of the DAX/CAC and it's when this doesn't follow form that it fails.

And as others have also pointed out it fails when the market fails to trend clearly in one direction, i.e. move far enough to hit the limit, and instead ends up taking out both stops.

 

[SteveBanks]

Hi Baldeaglebloke and others,
Having had a read of the posts here over the last day, it would seem to me that the strategy behind DIT is not dissimilar to a horse racing betting plan which is based on form or past performance. More experienced posters have looked into the correlation of the DAX/CAC and it's when this doesn't follow form that it fails. Now at this point, it's difficult to pin point the factors, and without access to good charts on the SB platform, it would take more work to sort out if its worth it against other systems which may not need this input.
Another point made several times is that the 2:1 loss/win ratio cost is a real drawdown, and the only resolution for this is good MM and if overall the strategy works more often than loses. This will take more than 45 days to test, especially if the published results are suspect.
However, the bottom line for me is whether I enjoy using DIT as part of an overall trading plan? This I don't know yet, but as ever the comments on this forum keep me interested.
I am sure others as well as I are grateful that Baldeaglebloke and SteveBanks are willing to administer this forum, so thank you for that.
On a final note, testing this system with real money has made a difference to how I think things through, and fired up my enthusiasm for learning more. Good luck to all today, and I am too. The Enhanced Profits Plan has halved my trade for both DAX and CAC based on past performance. Cheers Rich 3

Actually I think those couple of hours were too much for baldeagle yesterday. He hasn't been around this morning. I hope he's ok.

I've sent him a private message to check he's alright. Haven't heard back yet.:|

 

[terrysmith2000]

And as others have also pointed out it fails when the market fails to trend clearly in one direction, i.e. move far enough to hit the limit, and instead ends up taknig out both stops.

Hi, I am Terry from Wiltshire, I am new to the posts, but I have followed them with some interest, I have also purchased the DIT system. I do struggle with some of the "emotional" stuff I have read here, because I seem to recall that when emotion creeps into this then any profits around fly out of the window. I share some of your concerns, particularly the risk/reward ratio, however I am sure that there might be something that can be bolted on or changed to salvage this plan.

Two thoughts come to mind:

1. What was going on in the market when the winners were around? Has it fundamentally changed since then? Was it in a longish term rising trend, so the system just worked? This might be worth looking at to see if the current conditions have changed at all, and so caused the higher incidence of losing bets.

2. I have read too, that the correlation is a possible answer to the problem. ie it only works when the markets are very closely correlated, and, of course there is some movement as well - enough to trigger both stops and leave you with some money. What occurs to my relatively uninformed trading mind, is to dump one of the indices and just trade on one of them. That way the correlation becomes perfect every time, and you are only looking for a bit of movement. Is it that simple? Or have I missed something here. I guess you would need two spread betting accounts to place the two separate bets, but, again, it might be worth looking at. I would value a few opinions. If it did work you could still trade both indices if you wanted to, placing two bets on each accounts. Have I trod on someones toes here, or does anyone think this might work?

Your thoughts would be most welcome. Terry

 

[leonarda]

What occurs to my relatively uninformed trading mind, is to dump one of the indices and just trade on one of them. That way the correlation becomes perfect every time, and you are only looking for a bit of movement. Is it that simple? Or have I missed something here. I guess you would need two spread betting accounts to place the two separate bets, but, again, it might be worth looking at.

exactly, as I mentioned earlier open 2 SB accounts and bet only on the DAX (or any other if you wish...) Long and Short as you do now, but this way you are 100% correlated.
Also, a way to enhance this even more is if you can "determine" via moving averages, RSI, or whatever, whether the market is good for such a trade, then you can choose the best "index" for the day, FTSE, CAC, DAX, ...

 

[Ross Spur]

How is todays trade looking, I was still without the evaluator so couldnt get involved again today. Martin has now emailed me with a new one so should be back in the saddle again tomorrow albeit I have now lost all my data since the start and will now have to undergo another 2 weeks with the enhanced staking plan before it kicks in again. Has the trade done much this morning or is there still chance to get involved?

As T2W is so widely read, it's surprising that Martin Carter doesn't participate in this thread to defend DIT. After all, he must have plenty of time to spare after he's spent 'ten minutes pressing keys on his computer' to place the daily trade?

 

[Ross Spur]

exactly, as I mentioned earlier open 2 SB accounts and bet only on the DAX (or any other if you wish...) Long and Short as you do now, but this way you are 100% correlated.
Also, a way to enhance this even more is if you can "determine" via moving averages, RSI, or whatever, whether the market is good for such a trade, then you can choose the best "index" for the day, FTSE, CAC, DAX, ...

A cunning way of limiting your loss to twice the spread?

 

[Astarte3141]

As T2W is so widely read, it's surprising that Martin Carter doesn't participate in this thread to defend DIT. After all, he must have plenty of time to spare after he's spent 'ten minutes pressing keys on his computer' to place the daily trade?

I have in the past e-mailed him suggesting this but nothing has happened. I'm sending mine back today although I will continue watching this thread with interest.

 

[leonarda]

A cunning way of limiting your loss to twice the spread?

yes! if you follow this logic further you will end up with a rather different but workable traditional system if people want it to become that. In short:
a) So you have a Long & Short on one index to start with now.
b) As you say not very efficient on spread nor R:R, if you think about it what you have simplified would be better done as 2 Buy & Sell Orders, one "Buy" at price+X, one "Sell" at price-X. Stop would be at "price", Limit at price+-2X.
c) Lets take this further why would you want to Buy or Sell at price+X or price-X ? Come up with a indicator that would signal why you would, eg.current price is at a weekly pivot point, price+X and price-X would be half way to R1/S1. So you are betting on a move to R1/S1 either way...
d) enhance etc etc...

 

[Astarte3141]

There have been comments in the past on here regarding the Martin Carter/Mark Rose identity crisis. Interestingly in the past when I have corresponded with Martin I have received emails back signed 'Martin Carter'. Today I sent an e-mail again to Martin (using one of his previous replies as my 'handle') saying I was returning the manual. I had a very efficient e-mail straight back confirming that my refund would be made on receipt of the manual but schizophrenically signed 'Mark Rose'.

Has the mask slipped? Is Norman Bates really his own mother? Or Hamlet his own father?

 

[Astarte3141]

Well b****r me backwards. A win. A palpable win.

 

[george0]

Well b****r me backwards. A win. A palpable win.

Indeed

 

[SteveBanks]

DIT strikes again