March 27, 2015

The Diff Code Europe

The Diff Code Europe is a trading system from Thames Publishing who is currently offering a 45 day risk free trial.

As with their Diff Code Oil product, you get a very well written system manual explaining exactly what the Diff code is, and how to trade it, and you get a login to a member’s website where you check each morning before 8am UK time for that days signal.

The signal is either Green buy signal, where you are given the Stop Loss and Limit figures, an Amber signal which is no trade, or a Red sell signal, again with stop and limit figure given.

So all you do is check the website and place the trade if there is one, or close a trade if you are already in one and the signal changes.

That’s pretty much it. It takes less than 10 minutes a day and there is no monitoring of the markets as the trades either go on to win, or hit the stop loss.

If you decide to keep using the Diff Code after 45 days then you are given, on request, the full system details so that you can work out the trades for yourself (takes 10 minutes apparently), and therefore don’t need to rely on the signals, although, obviously it’s quicker and easier to just pick up the daily signal.

To test this system I used a £2000 trading bank and risked 5% on each trade for a period of three months.

On reflection, starting in mid December was possibly as mistake as Christmas is generally a poor period for trading and this was true for the Diff Code Europe too with a difficult December and January knocking the bank down by 15%. The 5% staking rule means the losses are always manageable but it also means it takes slightly longer to recover from a losing run.

Still, it did recover all the loss during February and March finally took us into profit with the bank standing at £2102.75 at the end of the three month trial, which represents a profit of 5.13% for the three month period.

If those figures were maintained that would be a healthy 20% annually which isn’t bad for 10 minutes a day although you’d need a substantial bank to start with to make it worthwhile.

Even though it only takes ten minutes a day, it’s still an obligation and a return of £102.75 over three months on a £2000 bank isn’t, in my opinion, a sufficient enough return for the effort made.

Having said that, if we look at the results since July (and I have absolute confidence the published results are correct as they’ve matched mine exactly during the trial), it shows a return of 135%, which would be 180% annualised. This is a very, very nice return for 10 minutes a day.

So, how do I categorise this?

If I were to base it solely on my personal experience and results achieved, I would be leaning towards a neutral rating with a view to continuing to use the system for the rest of the year and re-assessing.

However, I don’t think this would do the system justice. 135% return since July is not to be sniffed at and I do not believe this is a fluke. The system did struggle over the Christmas period but a lot of trading systems do so I think a neutral would be harsh.

In light of this, I’m prepared to give this system a tentative Approved rating but I shall be continuing to monitor this for the rest of the year and do periodic updates. I’m confident that this is a long term earner and I hope it turns out to be so.

You can get a 45 day risk free trial here:Approved2

http://www.cash-master.com/TheDiffCodeEurope.php

Filed under Spread Betting by CashMaster

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