Matz Derivative Trading Group ("Matz Derivative LLC") is a company that has developed a proprietary algorithm that automatically trades crude oil futures.
Matz Derivative is looking to share its success with others who are looking to take on the risk and rewards of derivative day trading. We are leasing out a very limited amount of licenses to use our proprietary strategy in an effort to ensure minimal slippage.
We use NinjaTrader 8 to execute our proprietary strategy. The strategy automatically enters and exits trades Monday - Friday starting as early as 1:30 am.
The strategy is omnidirectional and allows for both long and short trades in order to take advantage of both bull and bear markets.
TESTING & RESULTS
Crude Oil moves in $0.01 increments, which translate into a $10 move per contract. Our proprietary strategy uses a strict set of rules that must be followed in order for a trade to trigger. Our strategy is automatically entered and exited via the NinjaTrader platform autonomously and requires minimal human intervention. The benefit of an automated strategy is that there is no emotional connection to a trade and no second guessing on when to get in or when to get out. The strategy was created with the help of NinjaTraders backtesting capability yielding consistent hypothetical positive results over approximately a three year period. The strategy yielded a profit of about $26,700 with a single contract and only had a max drawdown of $2,400 (includes commission rates). The backtest strategy resulted in a win rate of 52%.
Hypothetical Performance Disclosure:
Hypothetical performance results have many inherent limitations, some of which are described below.
No representation is being made that any account will or is likely to achieve profits or losses similar to those shown; in fact, there are frequently sharp differences between hypothetical performance results and the actual results subsequently achieved by any particular trading program. One of the limitations of hypothetical performance results is that they are generally prepared with the benefit of hindsight. In addition, hypothetical trading does not involve financial risk, and no hypothetical trading record can completely account for the impact of financial risk of actual trading. for example, the ability to withstand losses or to adhere to a particular trading program in spite of trading losses are material points which can also adversely affect actual trading results. There are numerous other factors related to the markets in general or to the implementation of any specific trading program which cannot be fully accounted for in the preparation of hypothetical performance results and all which can adversely affect trading results.