Get A Free Report on building Breakout Strategies FAST!
Sign up below and so you can get started now.
100% Privacy Guarantee. Your email address is safe with us.
In the previous articles, we went through the anatomy of the breakout ATS. I explained all the components of the model I’ve been successfully using for many years, and I went into each component more in detail. In this final part, I would like to show you some examples of what you can realistically expect from my breakout model and I’ll also add some more information which are quite important.
This strategy is, again, a typical example of a simple breakout ATS. It uses moving average as POI, ATR as distance, moving average as filter and is allowed to trade anytime during the day. Exits are on stop-loss (in this case 1000 USD) or at the end of the day. The maximum drawdown of the strategy is 5.590 USD. These strategies give you a solid example from both sides of the spectrum: a strategy trading rather infrequently and a strategy trading pretty frequently.
Of course, not all the strategies work that well. Some of my breakout ATSs have suffered bigger drawdowns than anticipated and a few breakout ATSs in my portfolio had to be switched off completely. But this is part of the game; in markets you never have any guaranties. Although you do all the best you can, sometimes it simply happens that a strategy fails. We aren’t in a business of guaranties.
Fortunately, a well-built portfolio can pretty well handle hiccups like these. I present some other strategies on my own web, with real, live results. The strategies are tracked by Futures Truth Company and Striker.com too, so the numbers are independently verified. On top of that, if you were interested in seeing what a complete breakout ATS strategy from my portfolio looks like, you can download one (with the code included) from my blog, Systems On The Road, too.
It’s a real strategy that I currently trade in my portfolio. That’s basically all. The main purpose of the 3-part article was to present the breakout ATS model, explain its components further, and give you some examples of what to expect. The rest is up to you. Good luck.
— By Tomas Nesnidal of Systems on The Road.
Please log in again. The login page will open in a new tab. After logging in you can close it and return to this page.