The Harmony strategy
The market has a very large selection of completely different trading strategies that were built on different principles and it is not so easy for an investor to figure out which ones to choose and which ones to bypass.
You can find a lot of tips on the Internet. How to choose strategies, what you need to pay attention to, this is why here I will describe specifically our experience
I do not recommend using strategies that are based on Martingale principles since they all have one end and this is not the type of strategy that will make it possible to confidently increase profits since you are sitting on a powder keg and do not know when it will explode either tomorrow or after 2 years but it will explode!
In general, professional investors bypass such strategies.
It is vitally important to always limit your losses to a certain level. Those who do not limit losses and do not set stop losses are doomed to lose investment in 100% of cases. I hope these basic principles are simple and clear to everyone.
Choosing among many approaches, options, everybody is looking for where the best risk/reward ratio is, as this gives us every chance to survive all the crises and see the account profitable after 10 or more years. In the best strategies, every trade is protected by a stop-loss order.
Having many years of experience and having tried countless strategies, approaches, options, making many back-tests for today, HARMONY strategy is our flagship and attractive to many investors, as it demonstrates a high risk-adjusted return
HARMONY is a scalper built on the principle of mean reversion.
Mean reversion basically means that price would revert to its average. But for greater efficiency, the strategy does not trade for all 24 hours, but only during the Asian session, when the market is calm, with this approach, the results are much better. As you can see on Myfxbook monitoring, risk/reward ratio is at a good level.
HARMONY has a system of dynamic stop-loss control, which uses a hard stop loss combined with the dynamic one which significantly increases the stability of the algorithm.
Broker’s trading conditions are important.
The broker must have a raw spread and low commission since the broker’s high trading costs reduce profits, so we are interested in minimal trading costs. There are brokers on the market that have a raw spread and 2-4 USD Round Turn commission, low slippage while the broker has respected regulation (Prime of Prime brokers). We recommend that customers use these brokers for the best results.
Even the same broker can have different conditions. We even help to choose/select servers, there may be different liquidity pools. But it is worth noting that the strategy can work with a higher commission, but it is always better when the trading costs are minimal this reduces the drawdown and increases the return.
Why HARMONY on Myfxbook has different results.
There are a few reasons :
1. Different trading conditions
2. We use different settings
3. The strategy is spread sensitive
The strategy is fully automated, but in times of crisis (high volatility in the market ) we can manually turn off trade or lower risks if we see danger and sometimes it is better to be outside the market. For example, we did this in March 2020, when we did not trade for a month due to high volatility, and when we launched in April, we reduced the risk in three times,… for a while (the strategy continued to work on a demo account in March and showed high profitability, but we did not regret that we turned it off because in uncertain market situation it is better to be outside the market)
The strategy is not scalable
This means that there is a limit on the amount of money managed on one account, and this is $250,000-500,000. Therefore if you want to invest $1,000,000 you need to open 2-4 accounts of 250-500k each, otherwise, the slippage will be large.
We work with your broker / Managed account
You do not need to open a new account in another broker and transfer money there, we can use your existing account in your chosen broker if there are suitable trading conditions described above.
Swissquote | Prime brokerage
FXCM PRO | Prime brokerage
Equiti | Prime brokerage
CFH Clearing | Prime brokerage
* Our track record on MyFXbook begins in October 2017 at Ortega Capital, but in November 2019, we were forced to stop working with our broker due to the deterioration of trading conditions, namely, large slippage.
* Many investors chase high returns while forgetting about risk management and eventual periods of drawdown. Moreover, as experience shows, most investors are not ready to tolerate a 10-30% drawdown and start panicking. They fall short of believing in the strategy and leave. As a result, they finally stop investing in FX. Therefore, our strong recommendation is to work only with conservative risks! If you are planning long term investments, this is the wisest and least stressful approach.