In this video, we talk about two strategies in our portfolio that have performed very well on Gold futures in 2023.

The first strategy is based on a bias approach and has earned over $12,000 since the beginning of this year, net of commission costs and slippage.

The second is a trend-following multiday strategy that has earned over $26,000 in 110 trades with an excellent average trade of around $200.

Want to learn more?

Then watch the video now! You’ll discover:
-How the two strategies work
-What rules they use
-All the details about their performance

Enjoy watching 😎

Transcription

Introduction

Hello and welcome back! Today, as usual, we will evaluate the strategies in our portfolio that have achieved the best results over the last period.

One of the coaches at Unger Academy here, where we develop automated strategies and then use them in the major futures markets.

Today, we’re going to be looking at two strategies that have worked very well recently in the Gold futures market, which has made some very interesting moves in the last few weeks and continues to do so.

Here are some strategies that are part of the Unger's Personal Database and work on the Gold futures market.

And today, I'd like to introduce two of them that have performed very well in recent weeks.

Bias Strategy on Gold Futures

Let's start with the first strategy, which is based on a bias approach and so it only trades at certain times of the session.

In particular, the short trades will take place in the first part of the session, while the long trades will take place in the second part of the session.

This strategy has produced a really impressive set of trades over the past week.

Mostly short trades, which was a good thing because the market went down last week, and it managed to produce, as I told you, a very positive series of five profitable trades at $1,490, $310, $40, $2040, and $1,200.

These are already weighted results net of the commission and slippage costs we would have to bear in live trading with this strategy.

But now to the report on how this strategy has performed over the years.

This strategy is no longer in sample, meaning no changes have been made since 2018, and we can see that it is at its equity high.

Now, let's look at the detailed equity. More or less 2018, and at this point here, you can see that while the strategy goes through periods of sideway performance, overall, it's proving to be quite robust over the long term.

Let's take a look at the average trade. As I mentioned earlier, this is a bias strategy, meaning that it holds positions open for a short time, just a few hours.

That means that the average trade won’t be that large.

Actually, it amounts to $126 net of commissions and slippage costs. However, this is already a very good value since it’s enough to cover the costs associated with trading this strategy and, of course, put some profit in our pocket.

This strategy makes a lot of trades. In the 15 years of backtesting that we are seeing right now, from 2008 to 2023, the strategy has made 2400 trades.
And those 2400 trades were achieved by skimming from the initial 7500 or so that it would have made without any filters or conditions.

So, unfiltered, this strategy would indeed make two trades a day, which means about 7500 trades in 15 years.

However, we wanted to filter the best trades through some patterns from our library in order to increase the average trade.

This already happened back in 2018.

Then, as I mentioned, we didn’t make any changes in the strategy since then.

Let's look at the annual results. How did it perform in 2023?

Because at the time of this video being recorded, we are approaching the end of the year 2023.

And we can see that it was definitely a lucky year. The average trade was not quite as exciting as maybe the one in 2021, to give you an example, where it reached, let's say, close to $200.

This year, it was a little bit less than $100, but it's definitely all very positive, and we made a net profit of $12,255.

Trend-following Strategy on Gold Futures

Let's move on to the next strategy, which also trades on Gold. This is entirely different from the strategy that we have just seen.

In fact, this is a multi-day trend-following strategy where positions are held open much longer.

And you can see, the strategy stays in the market for quite a while, whether it's a long position or a short position.

That's because Gold is a market that likes to stay in trend and follow trends. Therefore, taking advantage of this type of scenario with trend-following strategies is generally very profitable.

This strategy has produced an excellent series of trends that alternate with some stop losses that are part of the game.

The last trade that was closed at this point was a short, and it had a positive result of $4,175.

Again, we have already added commission costs and slippage.

Then two more - actually three - remarkable trades: this short of $5,845, again this long of $3,825, and finally another long of $4,455 made in November.

If we look at the report of this strategy, we can see that it, too, was able to bring profits to our portfolio in 2023.

With 110 trades, it has generated $26,670, with an average trade of just over $200.

In general, it stuck to the metrics of the in sample.

The average trade is $213, and since we haven't seen the equity line yet, let's do that right now.

You can see that the strategy is back at its peak right now in this last period. Thanks to this fantastic series of trades.

Conclusion

Gold, like many other futures markets, is a suitable instrument for building automated strategies. It lends itself well to different types of approaches, as we have seen today, be it bias or trend following.

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