Monday 21 March 2011

Another major trading enhancement (we hope)

We have been through some major upheavals on the trading. An approach which we quite liked late last year rather fell apart in early 2010 and would have been very poor to have stuck with. But we have moved to approaches which are far more in line with our basic psychology and are now at the stage when we are probably approaching something like a stable basis.

Yet this weekend produces another significant amendment with an apparently small change turning out to make quite a bit profit change. Now if we can actually produce about half the expected profit per day at about the current risk levels, we should be very well set.

But the main thing is that the systems are very user friendly. I personally don't like doing the actual trading, but even I am able to do a few hours at a stretch with it. I am able to read a bit as I trade and that helps me manage. But the main trading is done by Jerome and that is definitely for the better.

My work now switches onto estimates of worse case daily and weekly losses and hence the possibility of estimating maximum position size (which is probably quite a bit above where we are now). I even allowed myself to do a couple of future projections for the next six months. I should really avoid doing this as it always adds to the disapointment if we hit difficulties, as we always seem to do.

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