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VIW - vkno422

Hi, my name is Victor and I want to introduce you in here to my trading style and my Darwin VIW.

About my strategy VIW.

I have been trading market structure based on Wave Theory since August 2014 when I joined Anil Mangal, the creator of the Wave Theory as I know it.
To me (and others with me) this Wave Theory has proven to work. I had some challenges in trading psychology and learning how to think about trading with people investing in me, more detail about that below under “About my history”.
Based on that I see an importance in Investors seeing how my equity relates to my balance and how I am in line with my goals. For this purpose I share a link to my account on Myfxbook.

Goals/aims

  • For main performance goals, see Myfxbook (Goals)
  • Maximum draw-down on my account of about 25% (Darwin may be somewhat different)

With wave trading there are many levels to trade from big waves to small waves. Big trades have big corrections and small waves of course have smaller corrections. With these goals/aims it is my purpose to make the wave trading a viable investment.

Looking forward to our collective success and thanks to those that have and will put their trust in me :pray:
If you have any questions please add them to this chat topic.

Caution

If you choose to enter an investment on my Darwin please check the equity percentage first. That mostly can still go back to 100% or even to about 90%, which will put me in about break-even or a small draw-down whilst if you start investing at a high it can put you in a bigger loss.

About my history

In March 2012 I learned about the Forex. Before that time I never heard of it and did not know what a pip was.
Then, after a month of studying babypips, I opened my first account the start of April on Etoro (not recommended :wink:), divided my account in 5, invested in 4 others and kept 20% to learn trading myself. In the 1st week I lost 20% of my account. I decided that this was not the way to go and concentrated on learning myself.

A week later I joined a group paying, for me, a lot of money in a monthly fee for charts, learning and a trading room. The good thing with that was I never blew up my account :grin:. I did however see my account decline over time. At some point another student from that group was promoted as doing an advanced course.

In August 2014 I gave that a shot, and this for me was life changing.The first half year I actually already saw my account going up again instead of down. Also I saw that I needed much less tools and after paying once for the course there was no monthly fee either. After about half a year we started a trading room. My learning went up incrementally by being in that trading room. Of course, as it goes with euphoria, I became over confident and came into big draw-downs. Nothing account threatening but still it slowed down things immensely.

So in August 2015 I started a new account and although I had quite some draw-downs it was successful. After 3 months I made it available for copy trading. Within 2 months I had something like $300K following. But I did not really see anything coming back from that in payouts and I was not too happy about how that was going. Then someone from the Darwinex community pointed me in the direction of Darwinex, I studied their site and video’s for about 2 weeks and what I saw was highly impressive.

In the beginning of January 2016 I migrated that account to Darwinex. This started a new journey of learning. Already quickly I noticed that it was very tough because now the equity became much more important than the balance :scream:. On top of that there were some challenges in the market starting February 2016 that caused me to go in a draw-down and this whole thing was a challenge for me in the area of trading psychology. It took me a long time to get out of that and this was, as you can imagine, loosing me investors (WZG Darwin). When having come back reasonably half way last year I saw another draw-down happening And still not having fully recovered (mentally) from the previous one I entered a spiral of loss-aversion.

This has resulted in me trying to get a better hold on that from the end of last year (making a few restarts with new accounts). In wave trading there is a validity in having big draw-downs as long as the structure is still doing what is expected. A challenge in this is to find a right balance in account-size, time and appearance to (potential) investors.This lead me to the the start of this new Darwin (VIW) in February this year. When I saw I could now choose the letters I went for V I W as short for Viable Investable Waves also to keep it as a reminder to myself that trading the waves must be viable for investors.

With respect,
Victor

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Great to see you back Victor! Preserve zen capital, do the small things right & protect your downside, and good things will continue to happen!

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Thanks @PetePan15, that is my intention. Keep watch and I will prove myself :wink:

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Hi Victor @vkno422 ,
Thank you for this well-detailed introduction :slight_smile:

Nice start (and big performance this month)!!

May I wish you to reach success in this new step of your evolution!
Keep us posted often!

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Excellent point, the balance doesn’t mean squat when the spouse thinks a vacation is in order. lol.
All the best in your Darwin.

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Small update on progress since the end of May.

There has been a “stormy” ride over the last few months. Sometimes the waves were a bit higher than expected and I did keep pretty much within the 10% between balance and equity. Although my drawdown went a bit higher than I said it would. This was mainly because it turns out that I didn’t get the concept of drawdown right (pretty much thought it was in relation to my balance, it actually isn’t as I am sure many of you know better than me :wink: It is in relation to the all time high balance (as I noticed in myfxbook). I have adjusted that in the goals/aims because I do feel I need the freedom to ride the waves.

Right now I closed most of my trades (still have a few that currently have together about 2% negative exposure) and my balance made a new all time high (not yet the equity :slight_smile:). The realised profit on my own account is a bit over 22%.

I do see that I still need to work on trying to make the journey more smooth. I understand that potential investors can still be put off by the height of the waves that i ride (and maybe even the risk manager :grinning:). So in the coming month it will be my focus to improve on that.

BTW. I am very happy to see that the new ESMA regulations have no effect on my trading :smiley:

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A small clarification I feel is needed at this time.

Part of my open trades is on Silver buys, these trades I plan to hold on to for some time. This will influence the state of my account and the Darwin. To give an idea of the impact on these and to provide a better idea of the development of the other trades in the account I plan to occasionally give feed-back on the exposure it has.

Currently Silver exposure in the account is about -3.91%

Please let me know if this is useful or not.

Silver exposure at the end of this week:

Week Exposure
34 -3.34%
35 -2.61% One position closed accidentally
36 -3.60%
45 -3.98%
46 -2.38%
47 -3.05%
48 -3.57%
49 -1.56%
50 -1.74%
52 -0.82%
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Slowly but surely things get aligned :slight_smile:
This week my trading balance passed the 10K, which is a milestone for me :ok_hand:
The equity is still behind, mainly because of my open Silver buys.
The Myfxbook reports a gain of 36.89% (not bad on an account started from February this year, wave trading works :nerd:).

Considering closed trades:
About 50% of the weeks I reached my weekly target (set in Myfxbook) and about 70% of those it was well over target. About 36.5% of the weeks were loosing weeks and about 60% of those I took big hits.

The Darwin shows 13.38% gain on an equity level of 96.66%. That is still quite distant from the results on my account.
So the balance and equity curve on Myfxbook should be much closer to my taste

There is still quite a way to go!! Less large losses and keeping balance and equity closer together…

Wish me luck (but mostly wisdom :grin:)

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New high :slight_smile:

Still moving in the right direction, Myfxbook now reports 49.2% gain on the underlying account. The last 5 weeks I have made my target (see myfxbook: Goals), The last 4 weeks well over target.
At week close the Darwin’s quote (117.84) is actually (just) making a new high (previous high was 117.77) :grinning:

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January has been a nice start of the new year. I am happy to see that the month result of my account and my Darwin are close this month, even though there still are bigger swings in equity. Account 8,69% Darwin 8,24%

Also I am very grateful for the Investment from Darwinia as a result of January :grinning: It is my intent to make it grow the coming months :chart_with_upwards_trend:.

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Which investment do you refer to ?

Nice performance, by the way :grinning: !

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“Darwinia Allocation: 30.000”

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At the standing of last update of the month yesterday I was on 55th place in the Darwinia.
They have now invested € 30 000,- for 6 month. That makes me very happy :smile:

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Thanks for clarifying it :grin: ! And congratulations for the rank :slight_smile: !

@CavaliereVerde : I got confused due to the current VIW rank and couldn’t check the January results as they aren’t yet published :sweat_smile: . I have to dig more about DarwinIA calculations and specificities (as any data “reset” at the beginning of the month, etc.).

Thanks.

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A self reflection

As we have come to the end of the first quarter I thought it to be some time for a self reflection.
My focus in relation to my Darwin has been to try working on making the threshold lower for investors to get interested in my Darwin looking on how to lower the draw down.
I have noticed time and time again that this would be easier if I were able to spent more time with the computer and the charts. I have come to the conclusion for myself that I do not see this to be feasible.

My style of trading is that I analyse the structure of the market based on Wave Theory and make a projection for myself where the market is going. Mostly it works out that way, although the timing may be off. Often I see it may need some more time but I know I won’t be there to to take it and if the circumstances are good enough I may enter already then.
This way of trading will inevitably lead to draw downs and personally I have no problem with that.

If the structure is changed or if I believe I need to make adjustments in how to apply my risk I may close trades, even for a bigger loss.

Where I believe my focus need to be is on growing my own account as consistent as possible and I do believe that I am in the process of getting there:

It is my view that if I keep doing that then the equity has to follow.

As you were able to see from the beginning in my Myfxbook link, my weekly goal is at 1.5%
The first quarter this year started off very well in January. February was a bit tougher and also I closed some trades in there to adjust the risk profile. Here is an overview of the percentages I made/lost in the first 13 weeks:

The red weeks are losses, the yellow ones I made my target. As you can see the average for the first quarter is 1,51% per week.

So I am actually happy with these results so far and the development of my own trading account.
I will focus on continuing growing in this way. I know that probably makes me uninteresting for short term investors and that is fine.
Of course like all traders here on Darwinex I would like to see people investing in my Darwin but my main focus I believe should be and is again, purely growing my own account. In the future I hope it will show to be attractive enough to longer term investors :grinning:

Wishing the best and great success to all Darwinex community members

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Quaterly Update

The last update was at the end of March and I thought to myself that a 3 month period would be a good moment to evaluate how things are going and if I would be investing to assess my position with the investments I made 3 month ago.

I am happy to say that in June I earned another DarwinIA investment :man_dancing::pray: thank you Darwinex!

When I started the blog posts I put in some rules in here that I thought would work out well and would have a positive effect on the relation between my account and my Darwin. Last Quarter I was very puzzled at why my account was up almost 90% whilst my Darwin wasn’t even up 30% (My balance and equity were not that far off at the time and RA didn’t show any red spots).

Of course, as I worked out :nerd_face: this was because of the way Darwinex handles the risk management. The target VaR is 10% and my VaR at the time was about 30%.
Now I have been trying to get my VaR down currently to around 20%) whilst still making my weekly target of 1.5%.
(If anyone knows a tool that would help me to get an idea of how a planned trade will effect my VaR, that will be very helpful :sunglasses:).

Based on the experience with this Darwin account I am now targeting that 20% VaR on my account with a maximum drawdown of 25%. I have adjusted my Excel sheet to include the Drawdown at the end of the week in relation to the beginning of the week (DD Bow) and the Drawdown on the maximum balance the account has been at this year (corrected for withdrawals if applicable)(Acct. DD). There is a color code in that:

* Green - No Drawdown
* Yellow - Drawdown over 10%
* Orange - Drawdown over 15%
* Red - Drawdown over 20%

When the drawdown get’s over 20% I will start cutting trades, even if it is till acting within expected behavior.
As last time I didn’t have the drawdown overview yet I publish the table for the entire year. I plan to release an update every quarter showing only the values for the last quarter.


(seems you have to click on the picture to see all 26 weeks)

Hope this helps to get a little bit more insight in my style of trading.
Have a great 2019 Q3 :smile:

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Good job so far this year, and on VIW in general. Let’s stay focused.

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A real pity that VIW has only one investor.
I will put it in my watchlist.
Keep on!

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