Weekly P&L: -15.8%
- Having more than one open position
- Taking on too much drawdown risk
Too much focus on potential valuation of securities. Not enough focus on trading edge which comes from trend following overlooked assets. Added drawdown risk metrics to increase visibility of the risk of blowing up.
Going forward, valuation techniques will only be used to determine if its preferable to hold a specific asset instead of USD as our base currency. These calculations are rough and hence only extremely safe and obviously undervalued securities should be held as a “base currency”.
Posted a new set of trading rules to make sure we continue to focus purely on our edge of trend following overlooked securities. Cutting all existing positions. Will restart trading following the rules.