Developer seems to have re-captured his trading edge. His equity curve has broken back above his downtrend line and he's started out the year with solid winning trades. He's maintained his 'capital preservation' motto by staying within a controlled <2% DD and decreased his position sizes.
Six consecutive losing months, 14 losing trades out of the last 20, max drawdown now about equal to expected annual return. Why does the system vendor continue this recklessness? The “strategy†of Spy 2X is to pick a trigger about 1% above or below the EOD price, commit the ENTIRE amount of current equity to a long/short position once the trigger is hit, then pray that the trade will continue in a profitable direction. If that was all there was to trading, we’d all be rich. The vendor needs to close this system and go back to school.
The results really have been disappointing for some time now. A lot of setting stops at turning points. Often shorting "into the Hole" after a decent pullback has already occurred and on false breakouts.
I think in the last 3 months the system went out of phase with the market and vulnerabilities are evident. Before that, performance was great. I think that if the (skillful) developer reforms the system and fix the vulnerabilities, the system has the potential to have good performance, filter out bad times and be 5 star worth. Worst case, it's better to be out of the market and wait for better fishing season. Until then I'll be keeping an eye on it and hoping for its comeback.
I like Andrea. He will quickly respond to messages and plus he keeps his subscribers up to date with emails. Now, the question is how many stars do I give a system that I have been trading for 6 months and have lost money? I hope the system can start working again soon.
I think the reason why the vendor got constantly whip-sawed during the last three and a half months is that he is trying to avoid day trading to protect people with small, non margin accounts. I think he should create another system, either with futures or one requiring a larger account balance so he is free to get out of or reverse positions whenever it becomes clear during the trading hours that he is on the wrong side of the market. Otherwise I might not renew my subscription.
This is an excellent trend following system with defined stop losses, responsible money management, and excellent communication and strategy sharing from the developer. When the market is not trending and is volatile, like in the Fall and Winter of 2013/14, the system has not done well. During a sideways market, the developer should consider 1) remaining all cash, 2) trading low size to avoid large draw down from consecutive losses, or 3) reducing the trading time frame and even day trading the system when appropriate.
Andrea once told me that he's been trading since he was 18, and now that I've been a sub for almost a full year, I have to say I believe it. A true professional, setting up trades with planned entries for optimum profit, protecting capital and cutting losses quickly. Tends to enter with half equity and will double the position size only if next stop level is reached. Doesn't use margin so what you see is what you get. Tirelessly communicates, complete with charts, educating subs along the way. Safest 30-35% APR I could ever hope for in a system. Many thanks, Andrea.
Very good system, you never feel fear, because the author control the position very close with stops and he always comunicates by messages what is he seeing and what we can expect, recommended.
Spy 2x is a real gem. First, for any given trade set-up, the system developer sets out, and sticks to, specific rules for entry and exit. Second, the developer always uses stops, which he often adjusts mid-trade as necessary. So far the stops have shown a nice balance between avoiding disaster and allowing enough room for a losing trade to turn around and become profitable. Third, the developer is patient and does not try to enter a trade unless the set-up shows a reasonably favorable chance for profit. Fourth, the developer exhibits caution by often scaling into a position (50% of system equity at first, then the remaining 50% if conditions are favorable). Easy to see why the annual return has been so high and the drawdowns have been so low. Highly recommend.
Andrea pays close attention to the markets and manages this system exceptionally well. He communicates often. Signals are mostly issued before market open, making the system easy to follow. Highly recommended.
I've been a subscriber for over 4 months and I've been withholding my judgement during this bull run, since the system has mostly made money riding the trend up during that time. On 5/22/13 the vendor closed out a profitable long position and made a well-timed short trade that produced about a 5% profit in less than 24 hours. I don't think it was luck -- this person really seems to know the market and how to interpret charts. Good position management -- does not take large losses and locks in profits by tightening the stop. Very good communication with the subscribers as well.
Compared to other stock systems over 300 days old SPY 2x has few equals with a max draw down of 8.6% and high profit factor. The developer communicates often and sends signals before the market opens. She also attentively protects gains in open positions by moving up stops.
This is a good system: it doesn't take excessive risk, and the manager pays close attention to his trades and communicates well. The system manager is a real professional, with a good long-term track record (not all of it on C2). He avoids trading during periods of market stress. Trade fills are simple. Very good so far!
This system is easy to follow and trade. The developer communicates frequently and works hard to protect your capital while striving for gains that easily beat the S&P.
