hankee replied to the topic Nature of Markets – Power of Probability, Compounding & 1pip in the forum Trading Systems Discussion 10 years, 10 months ago
I was just thinking that by waiting until marigin call we are actually assuming a stop loss. In the case of a 0.4% per pip trade, of aproximately 185 pips (assuming margin call at 25% equity). Is that right? For example if we had a 100 dollars balance, 0.4 USD * 187 = 75 dollars loss, the ammount necessary to get MC.
I would like to have an…[Read more]
hankee started the topic Forex Tri-Arb signals as predictors of price in the forum General Discussions 10 years, 10 months ago
Yesterday I was checking out this thread at FF –Triangular Arbitrage @ Forex Factory– and I found it extremely interesting.
So the story is this: for any forex currency cross (say, EURJPY) there are combinations of two other currencies (for example, USDJPY and EURUSD or EURGBP and GBPJPY) from which you can create a “synthetic” EURJPY. So if…[Read more]
hankee replied to the topic What is the minimum edge necessary to beat spread? in the forum General Discussions 10 years, 10 months ago
Today I was thinking about this same issue, and I remembered this thread and i thought “Well, let’s go check it
“.So now i understand what I didn’t at the time: to calculate how profitable a system is you have to include the spread before calculating the risk/reward, not after.
I also always wondered what the “profit factor” was and now I…[Read more]
hankee joined the group
TZ and SS. 10 years, 10 months agohankee started the topic What is the minimum edge necessary to beat spread? in the forum General Discussions 11 years, 3 months ago
Suppose I have a system with a 1:1 RR that gives me, say, 10 pips 60% of the times I make a trade. I intuitively know that with a 3 pips spread, this system is probably going to be profitable. But is it? And what if for example I had a win ratio of 55%? Would it be profitable? And how much?
I suppose there is some mathematical formula to calculate…[Read more]hankee started the topic What is the minimum edge necessary to beat spread? in the forum General Discussions 11 years, 3 months ago
Suppose I have a system with a 1:1 RR that gives me, say, 10 pips 60% of the times I make a trade. I intuitively know that with a 3 pips spread, this system is probably going to be profitable. But is it? And what if for example I had a win ratio of 55%? Would it be profitable? And how much?
I suppose there is some mathematical formula to calculate…[Read more]hankee joined the group
Fractal Arrow Prediction 11 years, 3 months agohankee became a registered member 11 years, 3 months ago