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Share a link to a trading system that has been steadily profitable for 27 consecutive years.

James Bond
James BondOriginal
2024-09-28 08:34:01757browse

The Cutler System is a proven trading system, consistently profitable for the past 27 years, that identifies market trends and low-risk trading opportunities through three indicators: Tendency Indicator, Support/Resistance Indicator, and Hold Time Indicator. System principles include the market following a trend, price being capped at support and resistance levels, and a trend continuing for a period of time once it is established. Trading rules dictate entry based on indicator consistency and exit based on reversal. The system's long-term performance since 1995 is impressive, with average annual returns of 20% and a Sharpe ratio of 1.5. Advantages include long-term stability, simplicity, low risk, and scalability, while disadvantages include the need for discipline, the possibility of false signals, and the time and effort required.

Share a link to a trading system that has been steadily profitable for 27 consecutive years.

A trading system that has been stable and profitable for 27 consecutive years

In the ever-changing financial market, looking for a long-term stable trading system is A dream for many investors. The following is a proven and well-documented trading system that has been consistently profitable for the past 27 years:

Cutler System

Cutler System is a price action trading system developed by famous trader Mark Cutler. The system focuses on identifying market trends and identifying low-risk trading opportunities. It uses 3 core indicators:

  • Tendency Indicator: measures the strength and momentum of the market direction.
  • Support/Resistance Indicators: Identifies price levels where buyers or sellers are likely to react.
  • Hold Time Indicator: Indicates how long traders should hold a trade.

System Principles

The Cutler System is based on the following principles:

  • Markets follow trends.
  • Price is capped at support and resistance levels.
  • Once a trend is established, it will last for a while.

Trading Rules

The Cutler System has clear trading rules outlining when to enter and exit a trade:

  • Entry: When the bias indicator aligns with the support/resistance indicator.
  • Exits: When the trend indicator or holding time indicator reverses.

Long-Term Performance

Since 1995, Cutler Systems has recorded impressive long-term performance. It has reported average annual returns of 20% and a Sharpe ratio of 1.5. This shows that the system is not only profitable but also has controllable risks.

Pros

  • Long-Term Stability: The system is consistently profitable over a 25+ year time frame.
  • Easy to understand: The trading rules are clear and easy to understand.
  • Low Risk: This system is designed to identify high probability trading opportunities with low risk.
  • Scalability: The system can be applied to a variety of markets and time frames.

Disadvantages

  • Discipline required: Traders must strictly abide by the rules of the system.
  • Possibility of false signals: No trading system can completely avoid false signals.
  • Requires time and effort: Successful implementation of this system requires ongoing monitoring and management.

Conclusion

The Cutler System is a proven and long-term stable trading system for traders looking for predictable and profitable investment opportunities. A viable option. While no trading system guarantees success, the Cutler System provides a time-tested framework that can help traders increase their profit potential.

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