Monday, 15 August 2011

A great leap forward in the trading

It has been an extraordinarily wild week in the markets.

On Monday I traded while Jerome sought to follow everything. This went ok, but towards the end of the evening there were some huge swings and for various reasons we didn't win them all Nontheless, we were +2% for the day. On Tuesday we had early maximum wins in CL and DJ, up 200 pts in each. EC whipsaws, then explosion at 7:20. A calmer middle of the day but I struggled to stay focused and missed perhaps 4 maximum profits during the late evening. But the market moves were absurd post FOMC annoucement. The Dow falls 3% in 10 mins to 7:30, then rises 6% in the next hour. We made +2% for the day, but it could have been +4%. Wednesday, I started start the day, but Jerome was happy to take over early afternoon after morning of shadowing me. He does good job through to close. Steadier day, with a strong finish, and another +2%. Thursday, we seemed to have problems of slippage all day in all markets. Missed some good exits. Should have been +0.75%, but finish flat. Friday, horrible day in CL, lots of whipsaws. and an overall -1.5% for the day

So the week in total is just under 6% which is very pleasing indeed, especially given the market chaos at the moment. I have loads of plans for the weekend - a key set of ideas to test, then building up back test. Huge amount of work to do this - hoping for 10 hrs a day Saturday and Sunday, then talk to Jerome on Sunday night

Ihave also begun to develop some very vague ideas about approaching outsiders for additional funds. The key selling point is the high Sharpe ratio which allows the possibility of a high notional capital, but a very low upfront requirement. I am thinking of a managed account structure something like the one that Oxeye run. This could be very good, so I need to boost record keeping to support this.

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