how do you manage the risk?
What kind of risk do you mean?
When the trade goes against you how do you manage ?
When talking about risk, I have to understand what you mean.
When you ask: When the trade goes against you how do you manage, you have to state what you mean … Do you mean a loss of 1% or 5% or 30% …
I can write about risk management quite a bit because it is my specialty so that I can relate correctly to your question, I’d be happy to understand as much as possible what you mean 
He simply wants to know how much you are willing to risk (in % of capital) on each trade.
In other words, at what point do you say to yourself : “This trade is not working, I must take action immediately to prevent further losses.”
As I explained, the strategies don’t have stop loss…They riding the long term and the short term waves of the volatility.
So your stop is a signal in the opposite direction, yes?
Yes
The short term trade only short volatility and the long term trade both sides…
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Ok, so according to the numbers shown above, your biggest loss on a single trade was 12.49% (trade #303), and yet your system turned $10k into $122 millions, correct?
Yes, theoretically 
Yes of course.
Best of luck.
Continuing the tradition we started here, I wanted to consult with the followers of this amazing strategy about an idea that came to mind today.
In practice, C2 can only show one trade in strategy, and while the strategy does not change direction completely, it will continue to count only one trade when in practice there are trades all the time.
I thought about the idea that once a month for example, I would close the position completely and then open it immediately with the same number of shares it had.
In this way C2 will count a lot more trades which is good for me as the strategy developer and on the other hand you will almost certainly not be hurt by it … There will be some commissions and I assume that in terms of exit and entry prices there will not be a significant difference over time …
How about the idea? 
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What you can do is chose the timing to improve the rank …
I thought about it a lot…
The best idea I came to is once in a month when only the Long Term strategy will be in a position (not like today when all the signals are in Short in both strategies)’, I will close the trade and open it immediately with the same number of shares.
In this way the results and the risk will not change …
I’m curious to know which strategy will ultimately be better… This strategy or my other strategy
My wife finally 
agreed to add money to our children’s savings accounts so next week I will apply these two strategies together on their accounts…
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I am with InteractiveBrokers Europe and cannot trade directly VXX, but I have access to the VXX CFD. Do you know if I can choose the CFD as an investor ? Thanks.
Yes but you will have to trade the signals manually…
Be careful not to put all their savings in any one strategy. Always diversify. With volatility back up this strategy will take a hit.
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OK, I’ll tell you why. I had a fund manager who managed to take my large 7 figure pot to a small 6 figure one. I got cancer due to the stress of losing this amount of money.
Some are indeed “exposed” to unlimited risk but DON’T hedge. I think only those who have lost everything come back to selling options with a new respect for it
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So you’re fine with a strategy that exhibits 8% drawdown on just one trade (4/28/20 14:33), 14.4% maximum drawdown, and 60% losing trades (using 20 consecutive trade sliding window analysis)?
You do realize that having only 40% winners is worse than flipping a coin, right?
Assuming those 12 losing trades (of 20) happened consecutively, with stops set to produce 8% drawdown, where do you think your childrens’ account balances would be? It’s only a matter of time before the strategy exhibits catastrophic losses.
Good post but please avoid comparing to a coin flip, which only makes sense if the RR (if defined by strict SL and TP) of a strategy is 1:1. In other words, a win rate at 40% does not without further conditions imply a coin flip would choose a better entry.
Reposted, C2 somehow didn’t mark it as a reply to you.
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