Ever wanted to trade one of the most volatile and profitable markets in the world but figured you never had the kahoonas for it?…. then think again, profits from oil are possibly within your grasp!
This offering, also from Martin Carter of MRP (Mean Reversion Profit) Strategy fame, uses a signal generated by his proprietary software to advise whether to take place a trade on the oil markets.
The instruments are UK Brent Crude and US Nymex which are almost identical (but at compound / molecular level very different), although very comparatively priced at market level.
The buy/sell signals are advised via Martins website, to which subscribers have password access.
A spreadsheet trade size calculator is also provided for you to easily determine your trade sizes (determined by your bank size), place your trades and leave to ‘mature’…..
I am trialling a ‘set-and-forget‘ method to see if the profits are available for novice trader, like myself. The signal to trade is often online from 6.30am. So, I have placed the trades at a conveninent time in the morning generally between 8am and 9am. I check periodically, when I can perhaps 2 or 3 times during the working day. I will close regardless of time of day if the trades are showing a profit within a prescribed range. If the trades are showing a loss, the strategy suggests keeping open for a maximum of two nights.
Crucially and quite cleverly, because these particular financial instruments move at similar rates and generally in differing directions, there is no need for a protecting stop loss that is the usual rule of thumb when trading the markets.
Because upto a maximum of three pairs of trades can be running at any one time – you will need to have a bank accomodating at least 4x the margin requirement in your account. For this reason, trading a nominal £1 unit will require a bank of approx. £2,500. This fund size may be considered over cautious by many, but this is what is suggested in the manual as to keep stakes sensible and not too concerning if and when a losing trade appears. So my starting bank on this trial will be £2,500
As you can see for the time period shown – there have been 4 trades of which 2 have been profitable . Overall, the bank is showing a loss of £19.66 for the period !
I will update in a couple of weeks.