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Investing on the Darwin's Equity Curve

Hello,

My idea is to invest with the pullback on the Support AND with the Breakout on the Resistance.
Buy & Hold more on year but Sold 1/3 on the recovery on the High Water Mark.

Here the darwins RAY and XXR (the same strategy UXXAR2 but mono currency for RAY).

Why ?

Cause i master MY strategy UXXAR2 ! So, i analyse the EC of my strategy and the darwin.

I built a portofolio of (my) darwins based on exclusively the chart.

what do you think about it? The Equity Curve Trading !

3 Likes

Salut @TheCheetah ,

Yes, the idea of investing in a financial instrument that you can “control” is very interesting.

It’s like investing in shares of a company where you are the CEO.

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Just with my strategy UXXAR2

Uxxar2RAY

Uxxar2XXR

So, it’s the best timing to invest on my strategy UXXAR2RAY and the RAY darwin ?

Here, i will update my equity curve trading.

Good week-end

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Uxxar2XXR
This strategy is on the Support (up trend) and no down trend Resistance so…
I buy the darwin XXR

++

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Exellent comercial. :slight_smile:

My day-trading strategy uses one trade per day at fixed risk (stop loss = daily loss limit), stable VaR (4,5% upto 5,5%) and maximum risk reward ratio (1 upto max)
See UAT https://www.darwinex.com/fr/product/UAT.3.17/

So, you understand your max risk per trade, per day, Max 3% !

So, you can invest on the equity curve AFTER a contact on the support or a break on a resistance.

And, you stop this Buy trade after a break on the support and you know your risk on this unique trade.

Right !

Important Nota:
This trading on the darwin equity curve works ONLY with a strategy which have stable VaR and a **FIXED Daily Loss Limit.(= tyour risk after your invested entry on the support) **

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Sorry dear @TheCheetah, I really don’t see the interest of buying low here. This may make sense if the underlying strategy has one or several open trades and the low in the Darwin equity curve represents a drawdown in these trades, i.e. I get a better entry price on the trades that are being replicated for me. But in your case: whenever I purchase your Darwin (assuming no trades are open in the underlying strategy), the probability of the next trade being a winner or the next series of x trades having more winners than losers is EXACTLY THE SAME no matter whether I’m buying high or low. Please correct me if I misunderstand what you are proposing?

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Yes but not.:smile: The general idea is to succeed in avoiding the periods of series of loss (drawdown) while cutting the investment quickly (a stop loss under the support = a loss daily loss limit = 3%) and to let carry the investment when period of success.
This strategy is 100% discretionary, thus periods ago when the feeling functions less better or the psychological state is more impacting or the chance is less or the reading of setups is badly interpreted etc this will be reflected by peaks and valleys, supports and resistances.
I will follow here in all transparency the evolution of this idea of trading on the darwin’s equity curve.
At this moment the investors should expect an end of the day on the traced support.:grin:

The trading on the darwin equity curve could be a solution for investors who buy highest and sell lowest.

Wait the support, the valleyis better and riskless especially if I can know my risk in a guaranteed way as with the UAT darwin.

The chartism on equities, indexies = Chartism on darwins ? Why not ?

The price movement of any particular equity is based on the input of a massive amount of people, the idea with chart patterns is that in the aggregate people tend to repeat themselves.

Your Darwin receives no input in regards to its fluctuations other than how well you trade, there is no opinion of the masses to supposedly be exploited.

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Listen ! When you invest on a darwin, as on a index, etf, bonds, gold, currencie, you place a stop loss, right ?

So why do not put a stop loss on a darwin (for moment mental) ?

And if you must stop your Aum, you must do it under a support or a lowest price.

Else if i agree with you, it’s the mass of people on the support.

I agree with @Aware the concept of someone buying and and then selling a DARWIN at key “levels” does not make sense to me personally as those levels consist of “nothing”. Maybe the short selling of DARWINs when traders consistently trade badly could work, but even then it won’t be about levels, it will just be about predicting whether the trader behind it is going to be profitable or not as you do when deciding to buy a DARWIN.

In your defense however @TheCheetah - as the owner of a strategy that you “believe” you know works, I can see why you may be tempted to “think” along these lines, but I can’t see it holding any water I’m afraid.

What you are suggesting is different to an investment approach where you wait for good performing assets to retrace before buying and holding.

Just my opinion.

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On which criteria would sell you a financial product as a darwin from a graphic point of view if it is not on a support ?

The investor buy the darwin highest and stop on a valley ! It is necessary to try to make the reverse as you understand @TheMarketBank.

Bad or Good darwin, it does not matter, a support is a support and it will break at a fixed risk
, at maximum 3% on UAT for example.

My idea to trade the darwin equity curve can not work with gambling strategies, grid strategies, non FIXED daily loss limit !

It’s different - there is no investor sentiment behind your DARWIN’s performance as is the case with other asset classes - there is one person (who controls everything) behind it which is why I am suggesting that your theory won’t work … but ultimately, it’s your theory and you are of course entitled to try and make the most of it.

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Let me test this strategy of purely graphic investment. But don’t forget; the essential, that i know how lost after every investment, not all the investors.

Fixed Daily Loss Limit is the ultimate key with a break of the support stop loss.

What is that platform? How can you draw that lines?

Are u trader or investor? is your own Darwin?

You might need patience if you expect an answer.

1 Like