Eddie T – Journal

[Anonymous]

Getting started on this journal thing..

April 2021

ASX Momo: +6.28%

Had a few problems executing before the long weekend in Aus so only entered on the Tuesday and missed some decent gap ups.. v frustrating. Underperformed the backtest quite badly as a result (+13.9%). The good thing is that teething is over and should be smooth going forward.

Also implemented my US Momo system on Monday. Straight into a drawdown. Going to be a bumpy month. The positive side of it is that USD exposure somewhat texas-hedges broader market risk.

Also have my Small Cap Trend Portfolio to put into place but spreading this out to dilute market risk (I have a mandatory holding period due with work).

[Nick Radge]

Good stuff Ed.

[Anonymous]

May 2021

ASX Momo: -3.92%
NDX Momo: +0.77%

Some steam out of my ASX momo system after a good start. NDX momo went straight into a pretty heavy DD, think it was -13-15% at one stage, amazing rally into month-end all things considered.

Implementing my Small cap Trend portfolio too this month, though as aforementioned I’m spreading out the execution.

Also spent a lot of time trying to get something going with a MOC system late April/Early May but no luck so far. Quite frustrating. Also been exceptionally busy with work the past month so has really taken a back seat the last few weeks.. Hopefully can start looking at it again soon now the (typically) quieter summer months have arrived here in the Northern Hemisphere

[Anonymous]

June 2021

ASX Momo: +1.96%
NDX Momo: +6.25%

Should really get in the habit of posting these on the first day of the month..

[Anonymous]

July 2021

ASX Momo: +11.95%
NDX Momo: +14.93%

Pretty easy going so far, starting my system a few months ago as it was in a 20% DD in the backtest. Moderna driving the bulk of the gains this month as it enters the S&P500

[Anonymous]

August 2021

ASX Momo: -6.27%
NDX Momo: +5.9%

3 changes in my ASX system this month, with some give back in Metals & Miners which were running pretty hot (though still have momentum to stay in the portfolio). No changes to NDX which has run very hot, now +30% since inception in April

Also working to change my trend following system from a daily to weekly timeframe, just a bit hard having to follow everything from this timezone & execute orders

Does anyone know of an easier way to calc EOM returns in IB? Say a separate portfolio/watchlist in Interactive brokers web of some sorts where I can see different portfolios. At the moment im having to manually add up the market value of each position, subtract brokerage, back solve additions etc. All quite time consuming and prone to errors.

Also I’m sure it’s possible conditional orders on stocks exiting/entering my portfolio each month -would be super handy not having to stay up at 1am for Aus market open… Would anyone know a way? Thanks in advance

[JulianCohen]

Do you use STT to track the strategy holdings? I keep a seperate spreadsheet every day that shows the daily P/L of each strategy, that way it is easy to see the monthly/weekly/quarterly metrics. You just keep track on a daily basis of the P&L from each strategy from STT.

Do you have to stay up each night because you can’t place an opening order until you have closed the position first due to the way IB sees each individual order as independent and therefore closing a position is effectively using margin until the order is executed?

[Nick Radge]

Ed,
Take a look at this video on how I do it.

Portfolio Management Software for The Chartist

[Anonymous]

Julian – yes exactly. Says that I don’t have enough cash in my account to complete the transaction. I guess if I used commsec by way of comparison it gives you T+2 until they settle the cash so transactions can be completed before a sale is made

Nick – thanks, I recall you mentioning this. Will take another look

[Anonymous]

September 2021

ASX Momo: -7.09%
NDX Momo: -1.95%

Back-to-back -6%+ Drawdowns for my ASX strategy, gave up some big gains in MIN

[Anonymous]

October 2021

ASX Momo: -2.30%
NDX Momo: +1.28%

Another down month for my ASX strat, in a -15-20% DD which is towards max expected in the backtest. A few changes this month across the systems (no changes in either last 2 months). Bit disappointing to not have stronger returns this month given the SPX was up 8% MoM. Chop continues, hope to find some direction soon

[MichaelRodwell]

I know the feeling Eddie. NDX racing away while
I plod along. Not to worry, your time will come.

[TimothyStrickland]

I feel like almost everyone here has the same experience. My first year and a half after I made my strategy was unsettling. I made my strategy and then the first month I went live it immediately went into drawdown. 4 months later the drawdown was worse than anything I had backtested. Fast forward to today and my system is up over 200% since inception, but it’s been a bumpy ride. I think the market just wants to test your emotions to make sure you have what it takes to make the next 1000 trades! lol

I don’t know your background Eddie but you are in the right place. I wish I would have found Nick before I spent over 100k trying to find someone who could teach me how to trade profitably. It took me 2 years of essentially getting scammed before I found Nick. Most traders selling a course these days are not the most savory of people. I think for every Nick there are 9 so-called traders who are just selling a course but don’t have a clue how to make money in the market.

[KateMoloney]

I think its a given, start trading a new system, expect a drawdown. Market knows you are coming!

Unfortunately many of the “gurus” are in the business of selling courses. I once knew “gurus” who were in real estate, they invested in property that dropped 80% in value (and recommended same property to their clients). Their equity was negative millions of dollars. They were told to declare bankruptcy, instead they scaled their business selling property seminars … which involved them falsely claiming to be multi millionaires.

The experience taught me to take marketing and gurus with a grain of salt.

Often it is the quiet, humble people with the smaller followings that are the ones making money. Like you, I am grateful for Nick, Craig and the team. Nick has certainty that what he is doing works, and he doesn’t need to sell it to you. Craig is super patient and is a great teacher (especially with coding and AB). And of course, give yourself a pat on the back Tim for continuing to search despite spending $100k on programs that didn’t work for you. You could have easily given up and become spiteful towards trading, and here you are now profiting from it.

[TimothyStrickland]

I am thankful I had the experience, as crazy as that may seem. Because I would probably always have wondered if those things might have worked. I also can let other people know that I myself attempted it and it didn’t work.

To be fair, this occurs in academia as well. I forgot the exact number but I think somewhere around 25-30% of people who spend 4 years of their lives and thousands of dollars work in their chosen field. There are several explanations for this but it does go to show us that the road to success or expertise is not as simple as getting a degree or taking a trading course. It lies mostly with the individual making the decisions for their life.

The average retirement savings of a person in their late 50s is 120k. And most people don’t start thinking about investing until they are in their late 40s, so I think overall I am a bit ahead of the average person, or at least I would like to think so, lol.

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