NexusFi: Find Your Edge


Home Menu

 





TST Combine results and strategies for passing


Discussion in Trading Reviews and Vendors

Updated
      Top Posters
    1. looks_one Pedro40 with 48 posts (55 thanks)
    2. looks_two josh with 14 posts (15 thanks)
    3. looks_3 xelaar with 11 posts (1 thanks)
    4. looks_4 vercetti with 8 posts (8 thanks)
      Best Posters
    1. looks_one iankotze with 11 thanks per post
    2. looks_two Pedro40 with 1.1 thanks per post
    3. looks_3 josh with 1.1 thanks per post
    4. looks_4 vercetti with 1 thanks per post
    1. trending_up 38,206 views
    2. thumb_up 139 thanks given
    3. group 26 followers
    1. forum 131 posts
    2. attach_file 0 attachments




 
Search this Thread

TST Combine results and strategies for passing

  #91 (permalink)
 
josh's Avatar
 josh 
Georgia, US
Legendary Market Wizard
 
Experience: None
Platform: SC
Broker: Denali+Rithmic
Trading: ES, NQ, YM
Posts: 6,216 since Jan 2011
Thanks Given: 6,752
Thanks Received: 18,136


Pedro40 View Post
so it is safe to assume, most Combiners are not well established....

Absolutely, which is why it is a worthy consideration as an alternative to the "blow your account while you figure it out" route.

Reply With Quote

Can you help answer these questions
from other members on NexusFi?
ZombieSqueeze
Platforms and Indicators
My NT8 Volume Profile Split by Asian/Euro/Open
NinjaTrader
Deepmoney LLM
Elite Quantitative GenAI/LLM
New Micros: Ultra 10-Year & Ultra T-Bond -- Live Now
Treasury Notes and Bonds
Better Renko Gaps
The Elite Circle
 
  #92 (permalink)
 
ratfink's Avatar
 ratfink 
Birmingham UK
Market Wizard
 
Experience: Intermediate
Platform: NinjaTrader
Broker: TST/Rithmic
Trading: YM/Gold
Posts: 3,633 since Dec 2012
Thanks Given: 17,423
Thanks Received: 8,425

It is surely clear that the Combine model is good practice/profit for the Combine company, but not good for the trader unless you understand to only work with 10% of the full account as your operating account. To be fair that is then a good way to discover discipline (or not) and may lead to great traders. But the Hmmm remains.

Travel Well
Visit my NexusFi Trade Journal Reply With Quote
  #93 (permalink)
 Brewer20 
Denver, CO
 
Experience: Intermediate
Platform: T4/TOS
Trading: ES
Posts: 110 since Jun 2012
Thanks Given: 71
Thanks Received: 93


The thing to keep in mind with the Combine, is the "Account Size" is irrelevant. All the matters is the daily loss limit, and max draw down. These should define the traders risk profile.

Plan your trade, trade your plan.
Reply With Quote
Thanked by:
  #94 (permalink)
 
xelaar's Avatar
 xelaar 
prague, czech republic
 
Experience: Intermediate
Platform: NT7, MT4
Broker: LMAX
Trading: DAX, Gold, Euro
Posts: 1,505 since Feb 2013
Thanks Given: 1,740
Thanks Received: 2,568

I agree about the statement that size is irrelevant. And I don't see a problem in 5k account. All you have to care about is risk. Why I need to deposit 30k and only trade with 1500 as my max loss? I would only deposit my max loss plus the margin, 5k, and this is it. If I blow it, having no margin/cushion to trade will only help to get time to cool down and rethink before your wire hits the trading account. What must be said through is you should not use your LAST 5k and swing for the fences going all margin you can get. But I prefer to keep 25k in the bank safe and only deposit 5k and trade it with the sizes I would trade out of 30k capital. It's simple arithmetic.

Follow me on Twitter Visit my NexusFi Trade Journal Reply With Quote
  #95 (permalink)
 
vvhg's Avatar
 vvhg 
Northern Germany
 
Experience: Intermediate
Platform: NT
Trading: FDAX, CL
Posts: 1,583 since Mar 2011
Thanks Given: 1,016
Thanks Received: 2,824


xelaar View Post
I agree about the statement that size is irrelevant. And I don't see a problem in 5k account. All you have to care about is risk. Why I need to deposit 30k and only trade with 1500 as my max loss? I would only deposit my max loss plus the margin, 5k, and this is it. If I blow it, having no margin/cushion to trade will only help to get time to cool down and rethink before your wire hits the trading account. What must be said through is you should not use your LAST 5k and swing for the fences going all margin you can get. But I prefer to keep 25k in the bank safe and only deposit 5k and trade it with the sizes I would trade out of 30k capital. It's simple arithmetic.

I would still argue that your trading account is 30k. Only your account held with tthe broker is smaller, which makes perfect sense.

Vvhg

Hic Rhodos, hic salta.
Reply With Quote
  #96 (permalink)
 
xelaar's Avatar
 xelaar 
prague, czech republic
 
Experience: Intermediate
Platform: NT7, MT4
Broker: LMAX
Trading: DAX, Gold, Euro
Posts: 1,505 since Feb 2013
Thanks Given: 1,740
Thanks Received: 2,568


vvhg View Post
I would still argue that your trading account is 30k. Only your account held with tthe broker is smaller, which makes perfect sense.

Vvhg

Absolutely, I would just use term "trading capital", not "trading account". I trade live in Forex for years and I would never deposit my whole capital with any single broker. It has no advantages or benefits, just downsides. Risks that broker will go down, risks that you may get mad and open huge positions against any risk management rules, etc.

Follow me on Twitter Visit my NexusFi Trade Journal Reply With Quote
  #97 (permalink)
 
xelaar's Avatar
 xelaar 
prague, czech republic
 
Experience: Intermediate
Platform: NT7, MT4
Broker: LMAX
Trading: DAX, Gold, Euro
Posts: 1,505 since Feb 2013
Thanks Given: 1,740
Thanks Received: 2,568

But again, if you saved 5k capital and ready to risk it, and knowing if you blow up you can save another 5k to try again - it still makes sense to put that 5k capital at work. However if you have a large capital, or been given one, you have your max risk cap and you work from there differently. All those 1B$ funds we hear about rarely trade highly leveraged products like futures, they need that capital to work their positions and this is why they are geared for smaller profits and losses percentage wise. Just because you need that much capital for their strategies that are mostly illiquid and you can't use any leverage or it will be a very expensive proposition. I think those funds that trade in Futures or Forex with high leverage don't need that much capital and only get a part of it from their investors, but then their risks are much higher in relation to that part of capital and profits larger. But for investor it is the same - he would give for example 10M to a regular hedge fund and expect risks up to 10% before he pulls off, or he gives 1M to futures trading fund and risk it all. Result is the same 1M at risk.

Follow me on Twitter Visit my NexusFi Trade Journal Reply With Quote
  #98 (permalink)
Pedro40
Pittsburgh, Pennsylvania
 
Posts: 564 since Jan 2013
Thanks Given: 33
Thanks Received: 379


xelaar View Post
Why I need to deposit 30k and only trade with 1500 as my max loss? I would only deposit my max loss plus the margin, 5k, and this is it.

And that is what TST is doing. So one must wonder, why are they talking about 30K,50K,100K etc account, when the real account what they are backing with is about 1/5th of that size??? It is as you stated, max. DD plus intraday margin multiplied by the max. number of contracts...Their 100K account can be traded with a 10K real account, if you trade the ES...

Reply With Quote
  #99 (permalink)
 
xelaar's Avatar
 xelaar 
prague, czech republic
 
Experience: Intermediate
Platform: NT7, MT4
Broker: LMAX
Trading: DAX, Gold, Euro
Posts: 1,505 since Feb 2013
Thanks Given: 1,740
Thanks Received: 2,568


Pedro40 View Post
And that is what TST is doing. So one must wonder, why are they talking about 30K,50K,100K etc account, when the real account what they are backing is about 1/5th of that size??? It is as you stated, max. DD plus intraday margin multiplied by the max. number of contracts...

I guess because most people are primarily concerned with the account size, not absolute risk numbers. For funded traders they have account size set to 0.

Maybe someone has an answer to this question: their max DD is calculated in regards to the initial balance or from any peak balance you may have? I.e. if I have 30 000 balance and start making losses right away I can only go 500 usd down a day and 1500 at all. But what if I make 500 first? I understand that I still can only go down 500 next day (I believe intra-day gains are not counted) but what about max DD? Will it be 1500 from peak 30500 and therefore 29000 or will it still be 28500 and max dd is counted from the initial balance? Their writing on the website suggest the later, but I suspect it will be the former.

Follow me on Twitter Visit my NexusFi Trade Journal Reply With Quote
  #100 (permalink)
Pedro40
Pittsburgh, Pennsylvania
 
Posts: 564 since Jan 2013
Thanks Given: 33
Thanks Received: 379



xelaar View Post
Maybe someone has an answer to this question: their max DD is calculated in regards to the initial balance or from any peak balance you may have?

From the initial balance. That's why it is a good strategy to increase size once you have a profit cushion, both generally and daily.

Now it is said to be the same for the Live traders, but I disagree with it. Let's say you are trading Live with the 100K account and you made 8K. Then you start to lose. They say you are allowed to lose all the profit back and the max DD, but I say you should be stopped long before that. If you were up 8K and you lose 4K back, I would stop you and evaluate why the losses happened, but that is just me...

Reply With Quote
Thanked by:




Last Updated on June 9, 2013


© 2024 NexusFi™, s.a., All Rights Reserved.
Av Ricardo J. Alfaro, Century Tower, Panama City, Panama, Ph: +507 833-9432 (Panama and Intl), +1 888-312-3001 (USA and Canada)
All information is for educational use only and is not investment advice. There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
About Us - Contact Us - Site Rules, Acceptable Use, and Terms and Conditions - Privacy Policy - Downloads - Top
no new posts