Been studying the system for over the last month now and have to say, based on the chart of the system’s performance and trades and dd, it looks as though this system has finally worn its wheels out. I also was heavily critical on the creator over his (again, common theme amongst C2 traders for some reason) entrys on short and long side for example, would see shorts as market just begins a large momentous uptrend in the 15 min and hourly time frame. I don’t know why, but it takes everyone along for an unnecessary swing. Other than entries, the exits are good, but overall it just looks as though this system is not performing well with the S&P’s recent trend towards the upside. What do you all think about it?
Before any one starts to say, “Martingale”, I get it, Martingales are very risky systems but I think they can be great if the trader is taking a winning side of a trade as an added bonus. To keep adding into losers just because that’s a gambling theory does not make it a good system at all. I do not think this is a martingale, personally.
A Martingale strategy is always betting against trend.
Martingale strategy and follow trend strategy have conflict principles.
Martingale strategy believe and bet on market coming back.
While follow trend strategy assume trend will continue and has smaller chance coming back.
So if a trader takes winning side,he doesn’t need and will never use Martingale.
A developer of Martingale strategy has no idea what is a trend.
If he knows he will not use Martingale strategy.
So he always bet against market moves, hoping market coming back.
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I see. Usually how I understood them with trading was they would add to losers so yes, they would be betting against a trend. Aye, I don’t like those systems, but either way, this author is adamant that this is no martingale but it sure acts like one.
I’m just wondering, how does it work for margin requirements at IB ($3,500 per contracts), can allow16 contracts SnP for the acct only $24k? Something is not right
His account is around 50-60k. Check out other then Typical commission scheme.
And I think that C2 uses raw account value to identify their margins.
It was on a very thin ice from day 1. Not even worth a further discussion.
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I had the same question regarding the margin and IB. I contacted the AO strategy publisher and he does not trade is own system. If you look at his early trades they are in decimals i.e. 1.33. You cannot do that with eminis. Ninjatrader brokerage will allow you to trade eminis with $500 per emini margin though. Lastly, from what I can tell, this strategy is a crude implementation of a grid strategy found in Forex. It has potential but I would not trade this system based on the author’s implementation.
It’s in decimals because it was rescaled here on C2.
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Not much to study here. Good luck.
Everyone should look up the definition of “Martingale.” Martingale doesn’t add to losers. A martingale system actually uses stops. But when it loses the next trade is entered with double the size of the previous.
Example, buy 1 lot… gets stopped out. Next trade… buy 2 lots… get stopped out. Next trade… buy 4 lots… get stopped out. Next trade… .buy 8 lots… etc, until you win.
Martingale can be any strategy. Simply refers to doubling the size after each loss.
You can use Martingale principle with any strategy.
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Interesting thing - c2 is showing around 15 more new subs since Apr 20. Hope for bounce back?
Avg win
$531.20
Avg loss
$4,110
It’s just that the pigs are going to the slaughter. People don’t know what Sorintino ratio means, they don’t get “Draw Down”. Like I used to not get it, I can’t fault them for not seeing it! They see Max Drawdown, but ignore it for Winning % lol. Happens all the time, called “Human Greed”. “Oooo 96% win rate, I can really quit my job and live off of this if it stays!” haha, but it never does. These traders making the trades for them are not real traders. They are “system developers” and even that’s a stretch for most of them. (Not to undercut the true good ones who lye on this site)
In general, please analyze these high/heavy draw down systems(I beg to say ANY one of them) and you will see the unnecessary risk they take at their subscriber’s expense. I say as a System Dev, make good trades and the traders will follow. Right?
And as I said earlier to @MatthewKlein,
There has to be a way to filter out “For use of no better words” the shitty traders who are here for a Money grab. Because we, as traders lose too much money on people’s thesis’s that don’t pan out and if you really carve the roots out of them with a fine magnifying glass, you will just see how bad these “traders” or “system devs” really are, and don’t know what the hell they are doing. Grandma can make better trades with an eye closed and a press of a button. Seriously!
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High % win rate, averaging in, no stops, win/lose rate out of whack = the obvious.
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Not to those 15 people who signed up this month alone though, Scott.
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They may have their own reason to sign up. I don’t judge, just make comments as I see it.
I can speak for all of them, (Most likely), they saw that winning %.
