As we are in the middle of earnings season for most stocks, I thought it appropriate that we report our own results for Q2 of 2009.
We started this hypothetical portfolio with $50,000, which is approximately twice the margin required to trade the above markets. The reason behind that is that we de-leverage every futures markets and this allowed us to continue to take signals with little or no pressure. The other key for our success is that we are diversified into six markets. Some may argue that the grain markets do not provide true diversification, but I would not argue with that point.
See Q2 results on next page.
For the quarter we had a gain of $3,827.50. This is before any kind of slippage or commissions were charged. Over the 24 months that we have tracked these markets we have shown a cumulative gain of $313,918. This represents gains of around 300% per year. I do not think that these gains are sustainable or even possible in the future. One only has to look at the enormous profits that were made in crude oil to see how this one market may have distorted the picture.
That being said, if you're making $3,827.50 on $50,000 investment you're still doing very well. This equates to a return of over 30% a year. I think most traders and investors would be very happy to see that type of return.
We did nothing more than follow MarketClub's "Trade Triangles" using the specified rules for each market. During the course of the past two years, we have only had one losing quarter and that represented a loss of around 5% of $50,000 investment. So with seven winning quarters and one losing quarter during the most volatile markets in history, you can see that we're very proud of these results.
Trading in the markets is not for everyone and it should not be assumed that these results can be replicated in the future.
We recommend that you watch our educational trading videos that will show you the "Trade Triangles" in action. As always you can call our offices if you need further clarification or help using this methodology.
All the best in every success in the future.