The strategy is a manual grid strategy and not an EA. While it used to trade exotic pairs profitably it now just trades major and minor pairs to reduce the cost of SWAPS. When markets are overbought or close to overbought trades are opened counter-trend. When profit targets are hit trades are closed.If the market continues to move against the first trade then a second trade is opened based on candlesticks and how the market is trading. Up to 12 positions may be opened.
When markets are oversold or close to oversold trades are opened counter-trend. When profit targets are hit trades are closed. If the market continues to move against the first trade then a second trade is opened as based on candlesticks and how the market is trading. Up to 12 positions may be opened.
Risk control is achieved through position sizing. Position sizing MUST be the most important feature of the strategy because there is no hard stop loss and no hedging.
People will often happily accept extraordinary profits and only query the strategy when they experience a stressful draw down in their own account even while the master account remains quite safe. This is because they have failed to understand how crucial position sizing is for the strategy.
While there is no hard stop loss there is a soft one which is market dependent and as follows;
This strategy has produced excellent profits since 2016 and is now one of the oldest strategies on most copy trading platforms. It is the inspiration for three MAM accounts managing $2m of other peoples money. I never place trades in client accounts that I do not wish to place in my own accounts too and as at April 2019 my own commitment to this strategy is $250k.
To give any more information would be to reduce my flexibility and take away the major advantage of a manual strategy and make it automated. As we know most automated strategies are not as old as mine.