I received a fantastic question from a curious trader, and I thought, “Why not share the wisdom with everyone, not just the brave soul who asked?” Here’s the gem:
“Hi Sean! To what do you attribute the success of this strategy as opposed to the 4 failed strategies that you ‘killed?’ Also, I’m waiting on a meaningful drawdown before I pull the trigger, but when that happens, would you recommend ‘joining trades in progress’ or not? Thanks!”
Great question, right? I’d give it a gold star if I wasn’t too busy dodging bear markets!
My Answer:
Most of the strategies I’ve tested and hilariously “sent to the great trading floor in the sky” were wild, high-risk, high-reward experiments—think of them as my mad scientist phase in the stock lab! This strategy, though, is my pride and joy, one I’ve crafted and trade myself, with more care than a chef perfecting a secret sauce. I ditched the name “SK Small Caps” because my trades aren’t always small caps—sometimes I sneak in a big fish, just to keep the market on its toes! In a bullish market like today’s, this system roars like a bull on a caffeine bender, delivering jaw-dropping results. My personal trick? I steer clear of trades when the big indexes—SPY, QQQ, DIA, IWM, and friends—dip below their 50-day Simple Moving Average (SMA), because who wants to swim against a grumpy market tide? As for joining trades in progress, I’d say it’s like jumping onto a moving rollercoaster—possible, but wait for a drawdown dip if you’re not a thrill-seeker! Thanks for the awesome question—may your profits soar and your drawdowns be gentler than a bear market’s hug!