Confession

This post should be in the new forum for finance discussions…

The confession is this:

I am for the stop losses, always stop losses, no operation without stop losses. This is an opinion obviously, nevertheless…

I created a system, experimental, named Rebel Out, which has stop profits only and no stop loss at all. My scope was to demonstrate that such a system is not good and for two years it really was not good.



Well… this system in the last three months is gaining a lot, and much more than other systems.



Conclusion: if you have a system with stop losses, automatized and you are respecting it totally, perhaps you cannot gain in this period, just because there are stop losses. Today we could have been stopped three times in USD/CHF.

So what to do? Nothing. Probably it is not the case to rebalance your ‘stopped’ systems.