Its a biotech stocks system with a very short holding time trading biotech stocks trading in the pennies ! Are the fills accurate ? Are they tradeable in real life ? I think an investigation is required here … DYOR before considering subscribing …
The system filled 10,000 shares of scng @ $0.00 and sold 7 minutes later for .45c. Unless the subscription comes with the gift of free shares from these bio tech companies its a complete scam. The manager of the fund does not respond to questions on why he chooses to not correct the inaccurate fills his system is displaying.
Can we get someone from C2 to weigh in here regarding the possible security breach of manipulated market data being passed through C2’s platform. How else is he buying atock at 0.00? Or is that 0.0001 rounded and we’re raising a stink about nothing?
Fraud compromises all track records established here. I hope C2 can update us on the status of their investigarion into Mehta Biotechs performance results.
I think C2 shows low penny stocks prices rounded to 0.00 , but still the holding time was very short . Anyone who wants to subscribe to this system should investigate the fills , something is fishy IMO .
The profit calculation in the closed trade implies that the 10,000 shares were purchased at 0.002 and sold at 0.45. The problem with this track record for those penny stocks is that a) in almost all cases the actual daily trading volume was significantly less than the quantity that this system hypothetically transacted and b) the C2 fill prices in most cases are buying at the bid price and selling at the offer price.
Looking at the time and sales including the historical bid and offer prices, it is clear that real life executions could primarily only buy near the high price (shown as the trade exit price) and sell near the low price (shown as the trade entry price). The implication is that limit orders to buy near the bid and sell near the offer would frequently go unfilled, ergo all of this system’s big profits are “fake” and the likelihood of such transactions occurring in real life trading is about 0.000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000001%.
C2 Members -
Obviously the strategy is ridiculous. It’s trying to buy thousands of shares of some penny stock that has almost no trading volume. That’s absurd.
The reality is that - up until now - C2 has not paid attention to trading volume, or quantities used in a Model Account, for three reasons:
-
The Model Account is meant to be a conceptual model, designed to show hypothetical trading performance at some arbitrary capital allocation. It’s not meant to suggest there is a single real trading account trading at this volume.
-
The fill prices shown in the Model Account fill prices are self-correcting, in any case. That is: when there is a real AutoTrade of a strategy, the fill prices shown on C2 get automatically changed so that they equal the average fill price of all real-life trading accounts.
-
Most important: I never imagined a strategy owner would simply not care that his strategy seems silly. I always assumed strategy owners would want their strategy to be tradable in a real life, and would want them to pass the most basic smell-test. Further, I always imagined a strategy owner, confronted with community ridicule here on these forums, would want to say, “You are wrong. And I will prove this to you by AutoTrading my own system on C2.”
But the owner of this strategy doesn’t trade his own strategy in real life. And he doesn’t seem to care that the C2 community regards his strategy as mere mental masturbation. I was hoping for better, and I was wrong to do so.
I will remove this strategy from public view, pending further review, because this strategy is giving a bad name to C2 and our community of traders and trading strategies.
5 Likes
I understand your idea that in most cases Collective2 and its community will be self-regulating. I believe that unfortunately the most determined charlatans will simply ignore the self-regulating activity in order to maintain the false illusions (and perhaps scam a few people along the way).
In such cases, it will be up to you to put the kibosh on them. I notice that this system owner in particular was trying to solicit "investors" outside of C2 by posting an email address directly in the system description with a message that no subscriptions are available through C2.
Yeah that’s a huge red flag. Basically a run of the mill con man looking to make quick bucks. Would be surprised if Mehta is his real name or if even of Indian descent?
At least there aren’t too many of these guys. I suppose liquidity concerns and fill execution are variables that will vary with the robustness of the system, it’s not C2’s place to regulate those things if you think about it. If i have a strat that only works on low volume small caps then im going to have to limit my subscribers or risk subscriber blowback.
i am so surprised to learn that there are even bigger fools around here
where most participants are more advanced, i believed, in practically
all areas of trading and such.
well, wishing everyone profitable trading.
