Schwalbe revised

I

Ignatz

Active member
Aeromir Expert
i made some decent adjustments to my Schwalbe trade and tested it now with all available ES-data from Dec 2010 until now,
39 trades, average 27.59 % per quarter, 110 % per year.
only End of day signals or limit orders. earn money while you do nothing most of the time, let´s have the time work in your favor

new trade starts on monday Sept 21st.

Schwalbe 2010-2020 revised.png
 
hi Mark
curve fitting ? not at all. It´s just a matter of reducing adjustments and planned capital for them and limit it to the bare essentials.
As i mentioned in the pdf: the planned capital is now without adjustments, because the adjustments doubled or tripled the planned capital while 20 % of the trades can´t have any adjustment.
example:
Upper expiration line 1 Vertical, 2 Butterflies: $ 183 planned capital incl selling one wing of the butterfly: 1600, result 11 %
new version: 1 Vertical $ 210 (no butterflies bought) planned capital, incl no selling 800 , result 26 %
 
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NoMoWork said:
How much capital will I need to have in my trading account to trade your new monthly Schwalbe trade?
Click to expand...
i calculate about 3 to 3,5 k per tranche and there will be 3 trades running at the same time later on. Please take into account that a Knock-Out can happen in all 3 trades at the same time and relationship between winner and loser is about 1 to 1. If i would enter a trade now then my lower expiration line would be about 2,6 and the upper expiration line at about 1,4. so a loss can be at about 1,4k, often lower, really depends, when it happens, right after the start or later or short before end. I recommend to close the trade when you get above the 90 or 95 % level of max Profit.
 
I cannot clearly understand what you are doing, which may be the result of some translation difficulties. I have watched the video of the May presentation, but Im confused.
1/ Are you entering first the short put spread with the short strike 2-3pct below the money?
2/ Do you enter all "six" trades at once with varying expirations (2 @ 30dte, 2 @ 60 dte, 2 @ 90dte), or do you enter the trades only after time has gone by (meaning you start with 2 @ 90dte, then wait 30 days to enter two more at 60 dte and finally enter the last two with 30 dte). I am confused by your reference to the "younger" trades.
3/ When you say you are entering a back ratio at approximately 2.5weeks prior to expiration, don't you mean a "backspread" (by Thinkorswim terminology, a back ratio is +1/-2, while a backspread is -1/+2). If I understood the screenshot correctly, it looks like you enter backspreads in a 2/3 ratio (i.e. sell 2, buy 3 for a small debit)
4/ As you can see, the protection of the backspread is only available for the 2.5 weeks to expiration, suggesting that you must be entering 3 different expiration dates (otherwise you are exposed to risk for 90 days less the last 18 days (when you put on the backspread). But it was not clear to me how you actually enter your position and with what expirations.
5/ You referenced an 'adjustment' that yields more premium where you 'move the put up'. I'm presuming that means you move the "extra" long put from your backspread towards the money... but that will be another debit, not a credit, so i'm not sure where you are collecting more premium. From the screenshot of your IB account, it seems as if you have a backspread (-2/+3) in position, with a GTC trade waiting. But again that is a debit trade (unless you are simply disposing of the 'extra' long put.

I would like to consider subscribing but the presentation left me with more questions than answers. I consider subscription services to be payment for monitoring, but of course I cannot (will not) pay for 'black box' proprietary systems where I do not understand or cannot replicate the results.

Perhaps the proprietary nature is essential to you business model; that is fine, but if so, I must pass on the opportunity.

Rick
 
Rick,

If you allow me to answer instead of Igi, I will say that may or may not like the trade structure or it might not fit your trading style,
but there is nothing proprietary about this system. Once you subscribed you will get access to all videos where Igi makes it quite clear how
he approaches trades. This is absolutely not a black box.
There are some inconvenient parts in this strategy, for example during drawdowns like the last week you may need to enter multiple adjustments in 20 mins timeframe before market close, that means you need to be at your trading workstation to make adjustments, but there is nothing black box in this strategy.

RJM said:
I cannot clearly understand what you are doing, which may be the result of some translation difficulties. I have watched the video of the May presentation, but Im confused.
1/ Are you entering first the short put spread with the short strike 2-3pct below the money?
2/ Do you enter all "six" trades at once with varying expirations (2 @ 30dte, 2 @ 60 dte, 2 @ 90dte), or do you enter the trades only after time has gone by (meaning you start with 2 @ 90dte, then wait 30 days to enter two more at 60 dte and finally enter the last two with 30 dte). I am confused by your reference to the "younger" trades.
3/ When you say you are entering a back ratio at approximately 2.5weeks prior to expiration, don't you mean a "backspread" (by Thinkorswim terminology, a back ratio is +1/-2, while a backspread is -1/+2). If I understood the screenshot correctly, it looks like you enter backspreads in a 2/3 ratio (i.e. sell 2, buy 3 for a small debit)
4/ As you can see, the protection of the backspread is only available for the 2.5 weeks to expiration, suggesting that you must be entering 3 different expiration dates (otherwise you are exposed to risk for 90 days less the last 18 days (when you put on the backspread). But it was not clear to me how you actually enter your position and with what expirations.
5/ You referenced an 'adjustment' that yields more premium where you 'move the put up'. I'm presuming that means you move the "extra" long put from your backspread towards the money... but that will be another debit, not a credit, so i'm not sure where you are collecting more premium. From the screenshot of your IB account, it seems as if you have a backspread (-2/+3) in position, with a GTC trade waiting. But again that is a debit trade (unless you are simply disposing of the 'extra' long put.

I would like to consider subscribing but the presentation left me with more questions than answers. I consider subscription services to be payment for monitoring, but of course I cannot (will not) pay for 'black box' proprietary systems where I do not understand or cannot replicate the results.

Perhaps the proprietary nature is essential to you business model; that is fine, but if so, I must pass on the opportunity.

Rick
Click to expand...
 
RJM said:
3/ When you say you are entering a back ratio at approximately 2.5weeks prior to expiration, don't you mean a "backspread" (by Thinkorswim terminology, a back ratio is +1/-2, while a backspread is -1/+2). If I understood the screenshot correctly, it looks like you enter backspreads in a 2/3 ratio (i.e. sell 2, buy 3 for a small debit)

Rick
Click to expand...
This is from Thinkorswim
1633464613239.png
As you can see, it uses "Backratio" terminology
 
hi SergB thank you for answering the questions. If there are any more questions, no problem. But of course all the details are explained and showed in the confidential part and also in all the recorded meetings. I show my trading account and what I do in MY account. Always trying to protect my account for a reasonable price.
 
Just curious about the knock out levels ?
Is that proprietary or anyone can use that software after they sign up ?
 
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