Lets talk about Runestone & the VIX

Forums › ProRealTime English forum › ProOrder support › Lets talk about Runestone & the VIX

Viewing 13 posts - 1 through 13 (of 13 total)
  • 11/16/2017 at 8:45 AM #52913
    jebus89

    I want to tell you all about a norwegian named Rune that has started Runestone Capital, and who is making MILLIONS of dollars trading the VIX, i wanted to see if i could make something for the VIX. (google runestone capital or check out norwegian article written here http://e24.no/boers-og-finans/fond/norske-rune-trader-svingninger-i-hjertet-av-london/23769629 )  He says in the article(s) that the robot is in the market at all times and they have gone from small sums to MILLIONS of dollars (from investors) and they keep making serious money doing this..

     

    From the article: “– Vi har 10 millioner dollar til forvaltning nå, og tror vi kan ha 20 i løpet av et par måneder.” (“We have 10 million dollars to invest right now, and i think we might have about 20 in a couple of months”) …. Newsflash, they are now at 65 million $  (http://e24.no/boers-og-finans/boershandel/hedgefond-faar-en-halv-milliard-i-lommen/24185554)

    I’ve never looked at the VIX for trading but it looks interesting. First thought is that its basicly FLAT with spikes up and down, and very fast movement and very few trends lasting for very long. So instantly i thought about the classic 2/10 RSI system and mean reversion even.. I then saw that the only contracts available via IG is 200€ pr pip or 1000€ pr pip. Also theres “no data” for hourly/2h/4H/minute charts.. Daily candles only i guess..

    Anyone here currently trading or have traded the VIX?

    Thoughts on trading the VIX?

    What systems do you think would work in the VIX?

    11/16/2017 at 1:58 PM #52989
    Despair

    I’m trading the VIX. I think it is a great asset for mean reverting strategies.

    1 user thanked author for this post.
    avatar jebus89
    11/16/2017 at 2:40 PM #52991
    jebus89

    @Despair, do you mind sharing some more info?

    Are you on a daily timeframe?

    How many trades (roughly if u dont wanna be accurate) do you get from backtest?

    I have something that might be something, but its on a daily timeframe and backtesting on vix is not that easy seeing how it has so little data compared to say dow jones on a daily chart…

     

    Any info shared is info ill cherish mate! 😀

     

    edit: i think mean reversion would be best seeing how its basicly a flat market full of “fake outs” going up 🙂

    11/16/2017 at 3:07 PM #53001
    Despair

    Yes, I run this on a daily timeframe. Just had a look in an excel-file from this strategy and there are about 90 OOS-Trades in the period december 2013- august 2017. I’m not sure if this result is from the version I’m currently running or an older version. I have this strategy quite some time and made changes…

    But I think this is bout what I get.

    Mean reversion is the way to go for the VIX.

    11/16/2017 at 3:12 PM #53003
    jebus89

    Big thanks for the info despair!

    Now, im not sure but this MIGHT just be a little too good to be true hehe, with accumilation to the left, without on the right:

     

    I do realise its a bit few trades and probably not very profitable in the future. Am keeping it in demo tho so we’ll see.

    11/16/2017 at 3:18 PM #53005
    Despair

    Did you run a WFA? With so few trades one has to be extra careful not to curve fit.

    11/16/2017 at 11:32 PM #53065
    grimweasel47

    Permanent contango in the  VIX is what is leading so many to short VIX on spikes. It’s all fine and works well until it doesn’t-  then blows your account in a nano! Akin to picking up pennies in front of the steamroller IMHO

    11/17/2017 at 12:15 AM #53068
    Vonasi

    All this talk of VIX got me a Googling and then a whole day of my life has been lost playing with the Williams Vix Fix indicator. The VIX index itself seems too much like a high stakes coin toss to me but the Williams Vix Fix indicator seems like a damned fine indicator for finding bottoms in various indices. I’ve ended up with something that seems like a very good medium term strategy on the FTSE100 daily that uses a blend of averaging up and averaging down to provide a very nice return. Now I just need to lose a couple more days of my life fine tuning and testing on different time frames and different markets. Good thing it is raining here in Greece!

    Is anyone else running Williams Vix Fix based strategies? It would be very interesting to compare ideas.

    11/17/2017 at 12:56 AM #53070
    Despair

    Nice idea. Will have a look at this.

    11/17/2017 at 12:30 PM #53105
    Despair

    Oh this one also deleted from yesterday night. NICE! I really LOVE PRT!

    11/17/2017 at 1:32 PM #53108
    jebus89

    haha  @despair. I have lost so many systems now…


    @vonasi     When you say average down/up what do you mean?

    11/17/2017 at 2:12 PM #53113
    Despair

    @Jebus89: Did you report this to PRT? They always reply as if it was only me.

    11/17/2017 at 2:40 PM #53115
    Vonasi

    Averaging down = adding to a position if price goes the wrong way.

    Averaging up = adding to a position if price goes the right way.

    Averaging down can help turn a disaster into maybe a small gain but can also destroy an account if it keeps on going the wrong way! A little averaging down is ok but you have to be able to admit you were wrong and to stop doing it at some point before all your account disappears. There is a place for averaging down in trading as it is exactly what all the big institutions do. As price falls and everyone else is selling the big boys are buying. Then when price goes up they sell those positions. They have big balances to play with though.

    Averaging up can turn a small profitable trade into a very big profit. You have to have a winning trade though!

  • Author
    Posts
Viewing 13 posts - 1 through 13 (of 13 total)

Find exclusive trading pro-tools on ProRealCode Marketplace

Similar topics:
a question about hidden marketplace indicators operators
help about stop trading strategy
help about stopp trading after 2 losses
question about acumulated positions
very concerned about ig’s data and/or prt execution of data

Create your free account now and post your request to benefit from the help of the community
Register or Login