A Complete Portfolio of Forex, Precious Metals & Equities.

Greetings,

If some of you enjoy reading about another traders seemingly never ending journey at trading profitably, then check in from time-to-time to see how I am doing...You are most welcome.

I am 49 years old married for 21 years and live in Denver, Colorado. I live a modest lifestyle and believe in paying cash for everything, long before Dave Ramsey had his show on Fox Business. I am a car enthusiast and love to detail out my Hummer H2. If someone came up to me a said would you like to have this Maserati...I would say ok...then sell it for the cash (to lose in trading ☺) and keep my Hummer. I do not want another car for the first time in my life.

I update this link below, often. The portfolio is my attempt at diversification, with a focus on Forex. I use the link below as it is much easier to update one place and post it on different locations. I hope that it is ok.

Why am I posting this? Well hopefully for your comments, criticism's and to share your experience. I just like to post in these Forum's and I like traders. Trading is my life's work, eventhough I cannot say I have conquered it...actually far from it. I still have the passion for trading and have delt with my denial...and my gambling....I am human. I once thought I wanted to trade OPM, but I have reasoned that this is not for me...I have realized that I should learn to trade my own money successfully...and I am not the superstar that is required to make others money professionally and have absolutley nothing to offer. One needs talent to be anothers money investing machine or advisor...this I am not.

I am always seaching for new MA's, EA's, MF's and Equities to add to the portfolio, but I move slowly. I have a commentary tab that I post to with each update.

To date I have not done so well and have suffered a 43% drawdown. I am concentrating on controlling the drawdown and the candidates for this portfolio must demonstrate that. I prefer lower drawdown vs. higher yield...silly I know...but I got to survive and find a place where I can park my money for retirement while working at my full time job and make a better yield than a CD.

Hopefully, this thread will be the beginning for me to make some money ...but I realize that over my lifetime of trading I can never gain back what I have lost in time and money. This thread is for the passion...

www.ElectricSavant.com/BrightIdeas.xls
updated 05/06/08
updated 05/10/08

ES

Overall, I am very pleased with the Trendchaser EA's and the JLungu Forex Fund managed account. These are my favorite parts of the portfolio...I admit it...I like the speculative parts the most.

There is a managed account in there named, Sigma. I still believe in this fund, eventhough he has had quite a sizable drawdown...but it was not nearly as much as the earlier MA's I had at that time such as Galleon, Sentiment and the five LJW funds.

ES

I just updated the portfolio spreadsheet. There was a mild increase of $115.13 over the last two days. See the opening post for the link. The Franklin Precious metals fund is responsible for the bulk of this increase.

ES

did you see pipboxer

No,

Could you share some commentary on it? I would appreciate some information, if you might consider to share. Your opinion is most important...not just a link.

ES

well the EA has a track record of live trade calls with 100%+ gains in less than a year

the man that owns the EA is al parsai from canada

there is a thread here where al posts all his live trade calls and updates it every day. some people gave the thread a bad rating because the account drew down 50% this year... BUT.... that's why you have an account in the first place, right?

anyway, i don't own PB and don't have an opinion one way or the other. the fact that he has posted good returns with live calls is great.... he links you to a live broker statement every time he posts.

I open this thread talking about drawdown and then you post a one-liner about PiPboxer with its 50% DD...I just do not get you TD...

but ok you got my interest..I highlighted in red something you wrote below...what do you mean?

ES


some people gave the thread a bad rating because the account drew down 50% this year... BUT.... that's why you have an account in the first place, right?

I consider risking 50% to make 100% unacceptable...is this why I am not profitable?

ES

well, that is a chicken before the egg type question IMHO

it all comes down to whether you believe you are gambling when you trade, or whether you truly have an edge

here is the question:

is there any reason, after losing 20 times in a row, that your system will not lose another 20 times in a row?

think about that....

a system in 50% drawdown can drop to 75% drawdown (1/2 of 50%) and then what would you do?

i think the only way to make huge returns is to overleverage, but then again, you risk blowing the account....

so.... perhaps put only 5% of your bankroll in such systems.

just a thought

hey es just another thought

if 15% drawdown is so important, why even bother having the other 85% in the account?

sure, you need some margin money, but most of your 85% sits dormant and unproductive

that's why i said "that's what you have an account for, right?" in other words, the account is committed to drawing down.... otherwise, it isn't helping (except to draw interest from oanda???)

td,

I think your missing the point.

For a system to FIRST be judged it should not drawdown by much at the MINIMUM lotsize. Then when you can determine its volatility and find a low drawdown there is nothing that stops you from ramping up lotsize and letting the markets movement maximize your profit, not your leverage. The market moves up and down enough for you to hone your skills and derive your profit from THAT movement, not the value of the pip only...The real good trader can let the market do the work...this would be a master trader IMHO.

The robustness of a system should be a minimum of 2:1 of yield to risk BUT like no more than 17% would be best for the risk...exposure and leverage simply hold that value and get more bang for the buck...if you start out with a lower drawdown and can get twice the yield, imagine what ramping up would do to your profit? you need to start with a low DD to ramp up from...this is best.

But Pipboxer needs to risk 30% to make 60% for a dealer to allow you to stay in the game at 200:1. 50% for a 100% is too rich for my blood and I would have to have my finger on the transfer in funds button 24/6 to avoid the margin call....it just gets to close for comfort.

ES

P.S. Here is the question that many forget...How much lotsize does PipBoxer use to get that 100% with that 50% loss?

P.P.S. The most robust system would be the lowest lotsize to maintain 2:1 ....that would be 0.01 in IBFX or 1 unit in Oanda...then ramp up from there...Your balance does not matter in this calc, other than yield on your money tied up...but I think your getting my point now right?

You see folks...I talk the talk...but I am not profitable...

ES

Here are some questions for me to ask myself:

1. Do I stick with anything long enough?
2. Do I exercise discipline over my long term outlook?
3. Do I grow frustrated and turn to gambling to fill the void?
4. Am I too stubborn?...am I in denial? .....am I an ego maniac?
5. Do I have a vision and focus upon it?
6. Do I chase rainbows?
7. Have I lost so long that I do not know how to win?
8. Did my mother think I was a loser?

Well you guys know the rest...as all of us struggle from within at some point...
ES

I just did a portfolio update...do not forget to read the commentary in the commentary tab towards the bottom, for those of you interested.

ES

It was a slow day for this portfolio today. Not much to report. The Sigma Fund is encouraging and holding his gains...

ES

How long have you let them manage your money?How about their performance?Can you show me their performance?If they good,i wish to let them manage my account too

I wanted to tell you about a solid managed forex account to you that fits our needs as an investor. Here are the results.

Up 18.33% in 2008
2007 made 80.52%
With max open drawdown of 16.66%
Minimum is 10k.
Fee is 25%

Hey is ranked one of the top 10 currency traders by Barclays. So this is no mom and pop shop.

Please let me know if you would like more information.