Which of this two systems?

Beginner Questions
1

Hey guys
I have been backesting a couple of systems. The period is the last 6 months. I would like your opinios, on which one would u chose? and you reasons please:

Strategy1.jpg700×462 40.9 KB

Strategy2.jpg700×462 37.8 KB

Both are risking 5% per trade and same initial balance… As u can see the first once producded much more winnings, but the profit factor is only 1.16, so I dont know if it would be susteniable in the long term. The second one has lower winnigs but proft factor is more decente (1.51).

I would apreciatte your opinion

thanks

3

HI, thanks for ur answer. Any particular reason?

4

Sorry to interrupt but which program is this?

Thank you.

5

you realize the drawdown is 60% in the first. I would not like to do that to my capital. Is there any time where you shut down the system? how do you manage the markers when they are strongly trending? do you have any equity stop? do you lock the system of shut it down? and what time frame is this system using? most importantly, what stock/currency pair/commodity or index do you apply this to?

6

Hi
It trades from London Open and all NY session, so around 12-14 hours. The pair is eurusd and the timeframe is 15min,.

7

Eur/$ is a good choice. 15 min TF around 12-14 hours a day. Does anyone monitor the box? how frequent? The lower system has a lower drawdown, suitable choice for low risk profile clients. What is the difference between the two systems? and do you think 5% per trade is small enough? ( i think 0.5% would be much safer).

8

Hey, thanks for your opinion.
I monitor the EA, is my own creation, is programmed to place all the trades and close them. I usually monitor when I wake up for NY session, in case there is a internet connection problem, or something like that; or to avoid trading during big news. About the risk 5%, yes it was just a random number I placed there to test it. Maybe something like 2% should be fine.

9

Hi,
Is the tester option from MT4

10

Neither one, I would recommend that you create your own if you want to be long-term profitable. The first one is just utter BS (look at the DD and the % of correct trades). The second one is a slightly improved version of the utter BS which is not exactly a compliment.

11

Is my own system :57:

In the first one, the DD is the thing that worries me. The correct trades by itself doesn´t tell me that much, as long as I have a win/loss and risk/reward relationship that results in a positive expetcancy. You can have a 30% correct trades and still be profitables with a RR of 2.4.

But, overall I tend to agree that the first maybe will not be sustainable in the long term.

12

Please don’t think me rude or critical, but I’ll tell you how I would react, if they were from my own system-testing.

I would immediately and firmly reject the first, which has both a tiny profit factor and dramatically huge drawdowns: truly a nightmarish combination and not something worthy of further time and attention.

The second I [I]might[/I] try to study further with a view to analysing what to change, to make its parameters acceptable. At the moment, it doesn’t have nearly enough trades to have achieved realistic statistical significance, and it’s also had some not-too-impressive runs (as can perhaps be seen more easily from the graph than from the numerical analysis).

So, for me, the first is a [I]huge and clear[/I] “No”, while the second may possibly have some potential, but after a lot of further analysis.

I strongly suspect that you should probably be thinking in terms of 0.5%-1.0% risk-exposure, with your position-sizing, and certainly nothing like 5% at all.

13

I would prefer the one with less drawdown.