Version 1.2. updated on 03.08.2020
Aren’t we investors and traders all looking for a trading system that generates a “reasonable” return with manageable risk? Both terms are of course elastic and individual. For us as developers of the trading system “1234 Trading” this means:
- Planned return per year of approx. 12%
- with the lowest possible draw downs
- with the shortest possible holding period per trade (< 3 days)
- with as few simultaneous open positions as possible
- with a maximum short-term leverage of 5
- at the highest possible profit rate (>2)
- with the highest possible Sortino Ratio (>2)
- and this in a market that is as unmanipulable as possible and highly liquid
We believe that we have developed a trading system that fulfilled exactly this requirements! The goal is to find a return curve that is as close as possible to the linear regression. The fewer deviations from this desired line, the more tolerable and predictable the trading system is in everyday use.
We try to avoid big draw downs under all circumstances. We don’t want a system that brings an annual return of 18%, but a draw down of 50% of the planned annual return must be expected at all times. In this case that would be 9%. We consider such a system to be unacceptable. In other words: it is far from acceptable.
Who are we? We are the team of the company Continuum Management Anstalt from Vaduz, Liechtenstein. We have 25 years of experience in the Forex market. Much has been developed and tested by us, but very little has met our expectations. We have also viewed and tested at least 150 purchased systems. Exactly NULL systems have met our requirements.
What does 25 years of experience in the Forex market mean? In any case many good and extremely many negative experiences. Cruel experiences that you would not wish on anyone. We believe that we made many mistakes in the past. And this is exactly the crucial point. The negative experiences make a very good trader, as long as he draws conclusions from these experiences and develops mechanisms to make these mistakes with the utmost probability no more. And this is exactly where we stand today. We have learned from the mistakes of the past.
Even the best education is of no use if you succumb to the lure of fast money (= greed). The most important thing is to stick to the rules. Sounds easy, but it’s not. On the contrary, it is one of the most difficult tasks in trading. In our training in Orlando/Florida we learned The winner is already decided before the start! A risky statement, but if you understand the deeper meaning behind it, then you can only agree. That means: before I enter the trade, I know with what percentage of my assets I will enter, where is my entry and where is my profit target. AND where is my stop loss. The planning of the entire trade is done BEFORE the entry.
Our strategy can be described with few points as follows:
a) The path of small steps (even with big movements we only want small profits, in other words: we are satisfied with a small piece of the cake)
b) From quantity we make quality (out of many potential trades only a few trades fall through our selection mechanism)
c) Risk reduction through low holding period (the less we are in the market, the lower our risk)
d) Self-regulation (this point is sometimes the most difficult to implement. For this reason we work on the principle of dual control)
All our developers and traders have completed the courses of the online university “Market Traders Institute” in Florida/Orlando (see www.markettraders.com), which employs 180 people. Our Master Trader, Mag. Martin Mayer, born 1963, has even completed the Master Course with the visionary, founder and owner of the MTI, Jared Martinez, several times on site in Florida. With this knowledge we have been able to perfect our trading strategy in recent years. To give you a short insight, we have created a test deposit in the trading platform Metatrader 4 on June 9th, 2020, which we have connected to www.MyFxBook.com. Our trading results are recorded here fully automatically, and above all, the data records cannot be manipulated. We will present the detailed evaluations in detail in the EBook, but first a short overview:
This eBook was created to provide you a manual for a simple and fast trading strategy. The 1234 Trading Strategy is easy to learn and this manual gives you the basics.
Approximately 80% of the trades entered reach the target within one day.
This trading system can be managed very easily, with an average of 2-3 hours per day preparation. In the morning you should get a quick overview of the currency pairs and the interesting pairs should be notified. . After that, during the day you can only react to emails. More about this in the chapter Notifications.
It has proven to be 100% effective to apply the trading strategy on a paper trading account at least 3 months before the start of real trading. The intention is to get to know the system with all its peculiarities in order to achieve “trading self-confidence”. Good trading is hard work. Anyone who says otherwise will tell you the untruth. Good trading also means being able to perfectly master the trading strategy to be applied. Our professor in America used to say: “The winner is already decided before trading, but only if the trader has done his homework completely…
We deliver a trading system where the quality of each trade is very high. The more volatile the market is, the more return is possible. At 50% investment level an average monthly return of 2-3% at normal vola can be expected. If the volatility is low, the monthly return is 1-2% and with high volatility a monthly return of 3-4% may be possible. It must be noted, however, that a draw down of up to 5% is possible over a few weeks. It is therefore important that you always follow the trading rules and work precisely.
If you want more information about our 1234 trading system, please send us an email to firstname.lastname@example.org. Please include your contact details in the email so we can contact you.
Neither the company nor the authors are in any case liable for any loss or damage of any kind (including consequential or indirect damages or loss of profit) that may arise from the study and use of the contents of the eBook.
Trading in financial products (such as foreign exchange, contracts for difference, shares, options) is associated with high risk and therefore not suitable for security-conscious investors. Especially trading with leverage involves a high risk. The high leverage can work for you, but also against you. Carefully consider your investment or speculation objectives, your financial situation, your risk tolerance, your needs and your experience and knowledge of the subject matter before you start trading online in the financial markets or on over-the-counter trading platforms.
There is always a correlation between high profit and high risk. Any kind of trading and speculation with financial products that can generate an unusually high profit (yield) means an equally high risk.
Please note that past profits are no guarantee for positive results in the future. You can lose all or part of your capital investment in speculative trading with foreign exchange, contracts for difference or (binary) options. Only trade with money that you can easily afford to lose. Be aware of all the risks involved in trading financial products online. If possible, gather in-depth experience in trading fictitious capital before depositing any money. This will allow you to test your chosen strategy without financial risk and familiarise yourself with the financial products being traded.
It is advisable to trade on a demo account over a longer period of time and acquire the appropriate knowledge and experience before trading with real money. Never invest money that you are not willing to lose. An investment must never endanger your existence or that of your family.