14 Dec Best Automated Strategy of 2022
Best Automated Strategy of 2022
Dec. 14, 2022
You’re not supposed to do it this way.
To make quick online marketing sales, you have to drag out your presentation and then hit ’em with a big offer at the end.
We’re not doing that, though.
We’re starting with the best tested automated strategy first. Then we’ll talk about the others.
But there’s a deeper question involved here.
It’s not just about what makes the most money.
First, the result.
The Turtle 60-Minute Breakout robot on the GBPJPY Only is the most profitable. You can get all the details on this strategy here: https://youtu.be/v89WSLNCJC0?t=691
Hypothetically trading 1 lot each time with no compounding, this robot has produced $14,086.
That seems like a lot of money. But how good is that exactly?
Well, the max drawdown for this automated strategy since 2003 is $15,000 (trading 1 lot). So, if we used a $15,000 account, the hypothetical return for the 60M Turtle Breakout is 93.9% for 2022.
Wait, isn’t that too dangerous?
Possibly.
If the worst drawdown of all time happens precisely at the time you turn on the robot– and your trade size never changes– then you could lose your whole account. How likely is this to happen? About as likely as crossing the street at exactly the same time a blinded bus driver is driving down your street going 78 mph.
It could happen. It’s happened before.
But it probably won’t happen to you.
To be safer, you could use a $20k account. That way, if even you get hit by a bus driver with no eyes, you still have some money left over. In that case, your hypothetical return on the 60M Turtle would be 70%.
If you’re risk-averse, you could use a $30k account. Then the tested return would be 46.6%.
And so on.
That’s the bigger, very important issue.
How aggressive are you willing to be?
When studying the most successful traders of our lifetimes–say, the ones who go from $20k to millions–one thing shows up over and over again.
The method isn’t very important.
The trade size is.
The traders who went from nothing to $10 million don’t know very much about trading (for the most part). What they do know is risk.
They are completely willing to bet massive size and cut losers short (for the most part). They don’t worry. They don’t regret.
They don’t test and re-test and triple-check their double-check.
They just go.
Hard.
What’s an example of this?
A multi-million dollar trader you see on TV or YouTube wouldn’t think, “Golly, that $15k drawdown on the 60M Turtle seems like a lot. To be safe, I better trade that on a $100k account. That way, my worst-case scenario is a 15% drawdown.”
Yes, that trader is “safer” from a drawdown perspective. He also only hypothetically makes 14% this year on the 60M Turtle. That’s better than the market, of course. No shame in that.
But the YouTube traders think differently.
They’d say, “A $15k drawdown isn’t that much and probably won’t happen to me. And even if it does, it’s going to happen to me AFTER I’ve already made a boatload of money. Plus, the typical drawdown is about $10k. And that probably won’t happen to me either. At least, it won’t happen until after I’m in profit. I’ll trade this strategy on a $10k account.”
In that case, the YouTube trader would be hypothetically up 140% this year.
Same robot. Totally different results.
So, it’s one thing to have a sound strategy based on timeless principles that produces profit over the long-term.
It’s another thing entirely to make life-changing money on that strategy.
In our next Newsletters, we’ll look at the runners-up. They make less money, but are they better?
We’ll find out.
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Disclaimer:
It should not be assumed that the methods, techniques, or indicators presented in these products will be profitable or that they will not result in losses. Past results are not necessarily indicative of future results. Examples presented on these sites are for educational purposes only. These set-ups are not solicitations of any order to buy or sell. The authors, the publisher, and all affiliates assume no responsibility for your trading results. There is a high degree of risk in trading.
HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER- OR OVER-COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN.