FOREX REVIEWS

If you have been following my blog for a while then you may be aware of the fact that I have been interested in the development and trading of the Turtle trading system - developed by Richard Denis in the eighties - using automated trading systems. Through the past few years I have made several important developments which began with the simple implementation of systems No.1 and No.2 and the final implementation of the Ayotl trading system which is my fully automated - portfolio enabled - version of the turtle trading system which includes all correlation and trade limiation rules used by the original turtles. Within this post I want to talk to you about my latest analysis of the turtle trading strategy which includes a 10 year performance review of a combined portfolio trading several instruments. When you analyze the performance of the turtle trading system for the past 10 years (jan 2000 to Jan 2010) on separate instruments things do not appear to look that good for most pairs. The ...

In the first part of this post I gave a little introduction into the turtle's trading system and some insights into it's money management technique. From now on, I will start to talk about it's entry and exit strategies as well as it's pyramiding characteristics. If you read the pdf (there is a link to it in the last post) that details the whole turtle trading system, you will notice that the system follows breakout strategies with a pyramiding approach in order to exploit the trend. This strategy ensures that the system gets a very high profit when a large trend is caught and also tries to minimize the risk associated with ranging markets. This is specially profitable in long time frames. You should have also noticed that the Turtle technique has two different systems, No.1 and No.2. We are going to trade the system using the No.2 trading system with an 2N stoploss and an exit strategy based on the 20 day breakout signal. This of course, with the corresponding pyramidy...

During the last 50 years of trading, no trading system has ever brought so much commotion and excitement than the turtle trading system developed by Russell Sands (it is useful if you read this document which explains the system first before venturing into it's analysis for mt4). This legendary trading method turned ordinary people into extraordinarily profitable traders, showing everyone that the average Joe was as capable of being successful in trading as any finance major. The turtles success, as they were called for following up this system, was primarily based on their ability to follow some simple rules that were geared towards bringing in profits if followed to the letter. The system focuses on catching long term trends and gets its profits from 2 or 3 positions each year. This system works but is very difficult to follow for the regular forex retail trader, mainly because it involves long periods of sustained draw downs in order to achieve periods of positive results. The ...