# SK Small Caps Q&A **URL:** \ **Category:** Trading and Markets\ **Created:** [August 20, 2024, 11:18am UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590 "2024-08-20T11:18:20Z")\ **Posts on this page:** 20\ **Page:** 4
**Author:** ![SeriousTrading](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/serioustrading/32/19626_2.png) [@SeriousTrading](https://forums.collective2.com/u/SeriousTrading)\ **Post date:** [October 7, 2024, 5:46pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/64 "2024-10-07T17:46:32Z")
> [@Babbage\_9010](#): > > I personally am very skeptical of backtests, Well, a backtest can at least show us what does NOT work, to begin with. I am talking about serious backtests of course, not highly optimized garbage. More on that later. Cordially. ---
**Author:** ![SeriousTrading](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/serioustrading/32/19626_2.png) [@SeriousTrading](https://forums.collective2.com/u/SeriousTrading)\ **Post date:** [October 7, 2024, 5:54pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/65 "2024-10-07T17:54:31Z")
> [@SeanKelly11](#): > > At times, I have to question the motives of some who join in on these discussions. Your system is doing fine Sean, we are just talking in general and exchanging trading ideas, that’s all. ---
**Author:** ![SeanKelly11](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/seankelly11/32/19323_2.png) [@SeanKelly11](https://forums.collective2.com/u/SeanKelly11)\ **Post date:** [October 7, 2024, 6:15pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/66 "2024-10-07T18:15:08Z")
I value and welcome open discussion. However, I don’t appreciate throwing around baseless speculation in hopes that something will resonate. I’m always transparent and happy to answer any questions you may have, but I kindly ask that we engage in thoughtful conversation rather than harsh criticism without an interest in understanding the truth. This is not the NY Times. ---
**Author:** ![JITF](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/jitf/32/24092_2.png) [@JITF](https://forums.collective2.com/u/JITF)\ **Post date:** [October 8, 2024, 11:21pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/67 "2024-10-08T23:21:50Z")
> [@SeanKelly11](#): > > Could it be that we’re seeing forward testing a bit differently? To me, forward testing seems to imply exactly that—moving forward. So, in a way, every system is technically in forward testing because we never really know what the future holds, right? The system is being traded into the future, isn’t that forward testing? Backtesting is behind us, it worked, and now we’re trading it to see if the results line up with the backtest. And so far, it’s been tracking well. Does that make sense? Not really. 🙂 Customary opinion about collective2 is the place where you can subscribe to trading signals to invest, from their website: ![image](https://canada1.discourse-cdn.com/flex028/uploads/collective2/original/3X/6/7/678eb2a8bd55871b353a918a895a848bda93877e.png) So by default, each trader on collective2 offering paid subscription offers the completed trading system unless otherwise stated. You said on the forum that the system is in the forward testing mode, it would be appropriated to say this in description as well. Simple and consistent. Other traders don’t say that they are in the forward testing mode (nor in description, nor in forum) most of them actually insists on the trading systems, which means that they offer solid complete (based on the opinion) trading system. No need to put forward testing warning for them. ---
**Author:** ![SeanKelly11](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/seankelly11/32/19323_2.png) [@SeanKelly11](https://forums.collective2.com/u/SeanKelly11)\ **Post date:** [October 9, 2024, 1:59pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/68 "2024-10-09T13:59:34Z")
Alright, let me wrap this up in a way that leaves us both smiling. You’ve got your view, I’ve got mine—we’re basically like two people at a buffet, eyeing totally different dishes. You take yours, I’ll take mine, and we’ll call it a day. Fair enough? ---
**Author:** ![SeriousTrading](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/serioustrading/32/19626_2.png) [@SeriousTrading](https://forums.collective2.com/u/SeriousTrading)\ **Post date:** [October 9, 2024, 6:12pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/69 "2024-10-09T18:12:58Z")
> [@SeanKelly11](#): > > You’ve got your view, I’ve got mine—we’re basically like two people at a buffet, eyeing totally different dishes. The problem, dear Sean, is that the Market does not care a bit about our views, no matter how brilliant they appear to be. Happy trading and have a good one. Cordially. ---
**Author:** ![JITF](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/jitf/32/24092_2.png) [@JITF](https://forums.collective2.com/u/JITF)\ **Post date:** [October 9, 2024, 6:14pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/70 "2024-10-09T18:14:32Z")
I just wanted to understand the logic and I made my conclusion. ---
**Author:** ![SeanKelly11](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/seankelly11/32/19323_2.png) [@SeanKelly11](https://forums.collective2.com/u/SeanKelly11)\ **Post date:** [October 19, 2024, 7:50pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/71 "2024-10-19T19:50:09Z")
My latest post is up Now! > **[The 9-to-5 Trader: A Simple System for Outsmarting the Markets (And Yourself)](https://open.substack.com/pub/theseankellytradingedge/p/the-9-to-5-trader-a-simple-system?r=2ubwr5&utm_campaign=post&utm_medium=web&showWelcomeOnShare=true)** > > Well now, you’ve wandered into the wild world of trading. ---
**Author:** ![SeanKelly11](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/seankelly11/32/19323_2.png) [@SeanKelly11](https://forums.collective2.com/u/SeanKelly11)\ **Post date:** [October 19, 2024, 7:55pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/72 "2024-10-19T19:55:34Z")
The reason I appreciate trading with hedges becomes clear when I reflect on how the last week or two have played out. While the markets have been gyrating unpredictably, my portfolios remain relatively stable, patiently waiting for the right movement. It’s a more measured, risk-averse approach that allows for steady management even amid volatility. ---
**Author:** ![JITF](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/jitf/32/24092_2.png) [@JITF](https://forums.collective2.com/u/JITF)\ **Post date:** [October 19, 2024, 11:22pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/73 "2024-10-19T23:22:36Z")
> [@SeanKelly11](#): > > While the markets have been gyrating unpredictably, my portfolios remain relatively stable, patiently waiting for the right movement. two last weeks per c2: ![image](https://canada1.discourse-cdn.com/flex028/uploads/collective2/original/3X/9/7/97bb687dd922088fb77112ba98ad30c208e78f1f.png) seems opposite - market goes up, system goes down and up ---
**Author:** ![SeanKelly11](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/seankelly11/32/19323_2.png) [@SeanKelly11](https://forums.collective2.com/u/SeanKelly11)\ **Post date:** [October 21, 2024, 5:41pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/74 "2024-10-21T17:41:11Z")
Mark, I hope you don’t mind me being candid here, but I’ve noticed that you tend to analyze and overthink things quite a bit. Please feel free to correct me if I’m off base. Once you’ve had a chance to reflect on that, could you help me understand how the two-week chart you shared supports your argument? I have to admit, I find your approach somewhat unique. ![download - 2024-10-21T134047.056](https://canada1.discourse-cdn.com/flex028/uploads/collective2/original/3X/3/5/359a7ecfcc92f5e7eb218a5989d868135b0d05d4.jpeg) ---
**Author:** ![JITF](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/jitf/32/24092_2.png) [@JITF](https://forums.collective2.com/u/JITF)\ **Post date:** [October 21, 2024, 7:43pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/75 "2024-10-21T19:43:16Z")
> [@SeanKelly11](#): > > but I’ve noticed that you tend to analyze and overthink things quite a bit. yep, i look on the stats, analyze and think. this is the essential skill here at c2 where traders sometime use marketing pitch and sometime can mix up the reality a bit. in their favor mostly. > [@SeanKelly11](#): > > could you help me understand how the two-week chart you shared supports your argument? sure. if we look on the figure above we will see that market was going up rather then `gyrating unpredictably` and your system went down and up which hard to call `relatively stable`. very simple. ---
**Author:** ![InteractiveAssets](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/interactiveassets/32/13320_2.png) [@InteractiveAssets](https://forums.collective2.com/u/InteractiveAssets)\ **Post date:** [October 21, 2024, 8:11pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/76 "2024-10-21T20:11:19Z")
Have you backtested this strategy on something like SPY? I’d love to see your results. ---
**Author:** ![SeanKelly11](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/seankelly11/32/19323_2.png) [@SeanKelly11](https://forums.collective2.com/u/SeanKelly11)\ **Post date:** [October 21, 2024, 8:14pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/77 "2024-10-21T20:14:19Z")
Oh, the fascinating phenomenon of people who seem to believe they’ve been appointed the moral compass for the rest of us—standing tall, pointing fingers like it’s an Olympic sport. It’s like their way of proving their value in this world is by policing everyone else’s behavior. Now, I know what you’re thinking, this sounds like a roast of Kamala and her crew, right? But surprise, surprise—it’s not. This one’s for you, Mark. Yep, you. Tell me, am I wrong about you? Or did I hit the nail on the head? If I did, you can always clear the air. I’m all ears. Well, maybe not _all_ ears… but enough to hear your defense! ---
**Author:** ![InteractiveAssets](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/interactiveassets/32/13320_2.png) [@InteractiveAssets](https://forums.collective2.com/u/InteractiveAssets)\ **Post date:** [October 21, 2024, 9:01pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/78 "2024-10-21T21:01:18Z")
@SeanKelly11 This is what I get when I do a backtest of it. ![image](https://canada1.discourse-cdn.com/flex028/uploads/collective2/original/3X/4/9/49f14535028bef91e20eec5fc74e91dedf599080.png) ![image](https://canada1.discourse-cdn.com/flex028/uploads/collective2/original/3X/9/8/98d57a0d3c5c5eee05a995a125ba7c7e68c053fd.png) ![image](https://canada1.discourse-cdn.com/flex028/uploads/collective2/original/3X/4/3/43eaafa331c1ba0d86d29c20e58acbd6383fa7d9.png) _Strategy buys at open if the open is above yesterday’s 200 SMA and 9 EMA. Uses 2 ATR as stop and 3 ATR as profit target. This assumes that if both the stop and the profit target are crossed in the same day post open it assumes the profit target is what is the exit._ > **[9 to 5 Trader](https://howiinvest.com/2024/10/21/9-to-5-trader/)** > > I often critique other traders and investors on the collective2 platform. Since this is done via the interenet it rarely results in them actually listening. But in this one I hope people listen. On… ---
**Author:** ![SeanKelly11](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/seankelly11/32/19323_2.png) [@SeanKelly11](https://forums.collective2.com/u/SeanKelly11)\ **Post date:** [October 21, 2024, 9:29pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/79 "2024-10-21T21:29:25Z")
Of course, that’s the very system I wrote about on my blog. I traded something similar a few years back with modest success, so I see where you’re coming from. I honestly believe if you put in the effort to tweak it, you could really refine it into something solid. There’s definite potential. If I were still trading it myself, I’d focus on being more selective—maybe filter out trades when the market gets choppy. That alone could make a big difference. That said, I personally don’t trade technical systems anymore, including the one we’re discussing. I walked away from them a while ago, not because they don’t work, but because they just don’t align with my personality or trading style. Still, that doesn’t stop me from constantly tinkering with ideas and searching for edges in the market. I share systems I’ve seen or developed on my blog (link below), not necessarily to offer a perfect solution, but to encourage others to think critically, experiment, and make it their own—just like @interactiveassets did here. It’s all about sparking ideas and learning from the process! > **[The 9-to-5 Trader: A Simple System for Outsmarting the Markets (And Yourself)](https://open.substack.com/pub/theseankellytradingedge/p/the-9-to-5-trader-a-simple-system?r=2ubwr5&utm_campaign=post&utm_medium=web)** > > Well now, you’ve wandered into the wild world of trading. ---
**Author:** ![JITF](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/jitf/32/24092_2.png) [@JITF](https://forums.collective2.com/u/JITF)\ **Post date:** [October 22, 2024, 4:53am UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/80 "2024-10-22T04:53:12Z")
> [@SeanKelly11](#): > > Tell me, am I wrong about you? Or did I hit the nail on the head? For sure you are wrong about me. Hope you can get that nail out of the head with no significant harm. On the other side you confirmed my thoughts about you with your answer below. > [@SeanKelly11](#): > > I personally don’t trade technical systems anymore ---
**Author:** ![SeanKelly11](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/seankelly11/32/19323_2.png) [@SeanKelly11](https://forums.collective2.com/u/SeanKelly11)\ **Post date:** [October 22, 2024, 12:11pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/81 "2024-10-22T12:11:50Z")
If you’re interested in dissecting the articles on my blog, feel free to head over and do so. The blog covers a broad range of trading topics, not just my personal strategies. It’s free to access unless you’re looking for specific insights into how I trade. Most of the subscribers are happy with the general content and don’t really care about the specifics of my trades, which is totally fine! That being said, if you want to discuss what I’m trading on C2, I’m more than happy to chat about it. I’ve already shared quite a bit about my approach. For example, I’m not a fan of technical trading—it didn’t quite suit me. While I did okay with it, it always left me feeling uneasy, and I found myself thinking about trades non-stop. I really admire those who can trade technically without letting it take over their lives, but I think the truly great traders know how to keep that balance. Personally, I focus more on probabilities. I look for edges in the market and work to exploit them. That’s where I’m comfortable, and that’s what works for me. ---
**Author:** ![SeanKelly11](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/seankelly11/32/19323_2.png) [@SeanKelly11](https://forums.collective2.com/u/SeanKelly11)\ **Post date:** [October 23, 2024, 6:24pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/82 "2024-10-23T18:24:02Z")
It’s days like these, I’m so glad I trade the way I do! ---
**Author:** ![SeanKelly11](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/seankelly11/32/19323_2.png) [@SeanKelly11](https://forums.collective2.com/u/SeanKelly11)\ **Post date:** [October 29, 2024, 2:54pm UTC](https://forums.collective2.com/t/sk-small-caps-q-a/16590/83 "2024-10-29T14:54:34Z")
In times like these, it’s crucial to stay committed to your principles. Personally, I’m confident that the small caps I hold in this system, as well as my other small cap system on C2, will outperform the broader basket of small caps. It may not always be flashy, but this approach consistently delivers both stability and profits—proving that boring can be very profitable! This has held true for me in real-time trading for almost a year now, on C2 since April 3rd of this year, and in backtesting over 20 years! [Previous page](https://forums.collective2.com/t/sk-small-caps-q-a/16590.md?page=3) [Next page](https://forums.collective2.com/t/sk-small-caps-q-a/16590.md?page=5)