Developing my trading plan

Snake Pliskin said:

Tech,

Your Techtrader system has been taken up by people on reefcap since 2002 right?

Has the system changed much in that time and how many variations are there?

Could you post the basics of the system as it stands today with particular emphasis on entries? Does discretion come into the system or is it purely robotic.

Snake

Click to expand...

tech/a said:

Snake

Techtrader

Entry.
Todays high must be trading above the 40 day moving average of the close.
The close must be less than $10
The close must be greater than the open
Liquidity must be greater than $500,000 on average over a 5 day period
Todays high must be the highest high for the last 70 periods
In making the 70 day high it must cross the highest high for the previous 10 days.

The 2 discretionary "Eyeball" filters
(1) The stock must be clearly in an uptrend or clearly breaking out of a downtrend.
(2) The stock cannot be in a tight range over a period of years.

The universe of stocks chosen to trade the system it the BT Margin list which is very close to the ASX300.

Initial stop is 10% of the initial purchase price and parcel size is $10000 or 10% of the $100000 initial capital.Risk is then 1% on each trade.

Exit is a cross of price below the 180 day EMA of the close.
Profits are pyramided.

Click to expand...