Richard Hill Forex Net Trap

[lazarette]

Thanks for all the MNT TNT discussion, interesting.

NT vs TNT

did a quick analysis, looking at putting £10/pip on netrap only, vs £7.50 nettrap / £2.50 MNT, vs £5 NT / £5 MNT.

using the month total figures TNT would have producted lower returns overall (I think).

So to me it looks like possibly more work, for lower reward...

DId I get it wrong?

TNT 60/40 set, trapped and profit locked in via MNT+10 pips @ 1.50 pip. NT element still running but impossible for TNT to make a loss now, break even at worst.

This is quite sweet actually. :clap:

M

 

[insidergates]

out for 50pips hurray !!

 

[bombettor]

+50 pips today!

 

[msharma74]

First +50 pips with Net trap. Happy days....

 

[me1234]

out for 50pips hurray !!

Yep +50 pips :clap:

 

[langmeadman]

+50 pips today!

Blimmee: Shows what i know: What a great trade... wish i'd done more per point! Its about time we had as +50 though!:clap:

 

[gav2e]

+50 for me too. Plus I did MNT for first time and took +10 on that too. £1 on NT and £3 on MNT using the 75/25 ratio as suggested. Thanks to all particularly Mark for the MNT system.

 

[Melb]

Thanks for all the MNT TNT discussion, interesting.

NT vs TNT

did a quick analysis, looking at putting £10/pip on netrap only, vs £7.50 nettrap / £2.50 MNT, vs £5 NT / £5 MNT.

using the month total figures TNT would have producted lower returns overall (I think).

So to me it looks like possibly more work, for lower reward...

DId I get it wrong?

No right or wrong - depends upon viewpoint I guess...

The MNT section would be regarded as providing the insurance policy covering NT... Due to the nature of TNT - and its low overall losing trades ratio (ie:- losing trade/break even or winning) you could potentially feel more comfortable increasing exposure to the market and raising from 2% to say 4%...

TNT profits will be less than NT overall but more consistent (assuming the basic NT concept continues to work)... If NT continues to work overall then you would have to be very unlucky to have negative months like February with TNT...

 

[Tanguero]

And I got scared out by the bears today. Good learning experience though: when something is too obvious it's better not to trust it. Well done guys.

 

[peterf1966]

Peter or Mel.....I am out and about today after 8am doing a job so please could one of you do a little post with the TNT results formulated into NT £ equiv pips ( for comparrison).

Thanks


Mark

Today was a nice 50, so all on NT would have yielded better obviously.

At 1.50/pip on MNT = 10 = £15 (ETX's risk)
At 0.50/pip on NT = 50 = £25 (IG, my own money), so total was £40. Normal £/pip would have been £50.
But the R/R comparision...><
Net Trap has done well these last 3 days too.

I've got work deadlines today, will be the weekend until I have time to analyse things properly, especially once ETX offer expires.

 

[Sang Froid]

I'd just like to ask some of you some questions if that's ok? I've been trading for around three years, lost a lot of money in that time, now I've just started to make a bit of money here and there without totally sucking at trading and feel as though the skills I've picked up over the years are now starting to pay off.

In some respects I'm slightly envious of you guys as I wish I could have been schooled in the art of trading by using such a system as the Net Trap.

I'm tempted to give it a try myself however.... What makes you think that the system can stand the test of time? Does Richard Hill modify the NT or is it just as it is now and always has been? I'm under the impression from trading that most systems have a limited shelf life with the so called "edge" until another has to be found.

What happens when the NT starts to fail what will you guys do then? Is the system transferrable to a discretionary type trading on your own? Are the indicators proprietary protected or are the freely available i.e moving averages?

Have you learnt anything from using this system i.e discipline... RR ratios, good MM or do you blindly follow the system regardless? What I mean by that is.. .is there any room for you to decide on Stop Loss levels or ..... do what NT says?

What gives NT it's "edge"? Why does it appear to perform so well at the moment? Is it entering the market at times and places where there are not many other orders... i.e breakouts of daily H/L so avoids the cluster of S/L and T/P's that make the price whipsaw about?

Sorry to ask so many questions, but well, read over the thread and these questions haven't been asked yet and I'm curious to know from people who have been using this why they believe in something so strongly that they would invest their money into it, instead of writing their on system? I don't mean that in a belittling way, just wondering if you now think you guys have learnt enough to..... go it alone or is the safety blanket of a system better for you i.e... it wasn't me who cocked up the trade but Richard Hill

 

[Gregus83]

+60 for me, went £1 NT/ £1 MNT. :clap:

 

[Melb]

And I got scared out by the bears today. Good learning experience though: when something is too obvious it's better not to trust it. Well done guys.

At the time you posted your original comment the market did look to be dropping despite rising ma... It is not a bad call to stay out of the market for valid reasons... Taking that NT trade today would in the traditional sense be considered at best "risky" - if I were not trying to adhere to NT, MNT, TNT then I would have been waiting for the reversal after the fall (price was still falling when we were entering our buy orders) and entering the buy at a lower level which in hindsight (wonderful thing) would have produced more pips! After all the best place to enter the market is at reversal not mid trend...

But this is not trading NT, MNT, TNT... This is using our discretion - which to be honest all successful traders do... Your rules (you decided to stay out) are not wrong...

The important point is that no trade is much better than a losing one... The market is still there other days and there will be better (less risky) looking opportunities that will provide the profit... If you are analysing and applying your discretion you are filtering your entries which is no bad thing for your trading in general (even though outside NT etc)!

 

[mark120169]

Thanks for all the MNT TNT discussion, interesting.

NT vs TNT

did a quick analysis, looking at putting £10/pip on netrap only, vs £7.50 nettrap / £2.50 MNT, vs £5 NT / £5 MNT.

using the month total figures TNT would have producted lower returns overall (I think).

So to me it looks like possibly more work, for lower reward...

DId I get it wrong?

Laz your figures are correct for TNT with same NT 2% MM. But now add a forth chart showing TNT 60/60 , £10 on NT & £10 on MNT daily, so double bet 4% MM risk daily.

Extra profits will suprise you. off out till late afternoon guys. Thanks to all who trialed TNT & MNT today.

M

 

[Melb]

In some respects I'm slightly envious of you guys as I wish I could have been schooled in the art of trading by using such a system as the Net Trap.

I can tell you are looking at the system from a true traders perspective... Although I am following the system, I too have traded quite a few years (not professionally I hasten to add)...

You are right in everything you say... NT is a rigid mechanical system that currently and over the past year has overall been profitable... I don't believe RH has plans to tweak it to suit different market conditions - but look at what is happening to Richard's system in this thread! People are adding their own tweaks and ideas, adding their discretion - there are no set rules for trading and Richard won't be complaining if we choose to add to or modify his system to suit our own styles...

I would like to think that nobody here is under any illusions that NT is guaranteed to work in the long term... It seems to work in the short term because there is not much money in the market following the system... When (not if) word spreads - the money following the system will increase (yes even the big players are always seeking new profitable ways)... At that point in time then the system will be less profitable and even be pushed into a lossy system (the cunning traders at this time will start trading the opposite to NT )...

My view is that NT is a good introduction to trading... It does remove emotion from the trade by its mechanical rigid nature (psychology is more than half the battle - right?)... But the great thing here is that total beginners are already applying their ideas (discretion to the system) and testing them... The art of trading is as you say to develop your own strategies that suit your psychology - those strategies should always be flexible and not totally mechanic in order that your strategies can adapt to differing market conditions...

That is my take on your questions and I am guessing that others may well have a differing view (not to say wrong)...

 

[goldfinger777]

Laz your figures are correct for TNT with same NT 2% MM. But now add a forth chart showing TNT 60/60 , £10 on NT & £10 on MNT daily, so double bet 4% MM risk daily.

M

TNT triallers, am I right in assuming that you're trading NT on one platform (eg IG Index) and then MNT simultaneously on another platform (eg Capital Spreads)?

 

[missionary]

RE: Msg 1432

Sangfroid you make some good points some of which have been covered already, but perhaps you need to read a lot of pages to pick them up.

I am one of those who got 50 today and plusses the previous 2 days, all at £2 a pip. But last week was a disaster.

When you read back you will see that some of us - like you with some trading experience - have reservations and use this 'system' accordingly. Notably that you can't beat a trend in the support and resistance. There have been times when the system indicates one should buy for a 50 pip profit, yet looking at the big picture that profit would be above resistance. Taking that approach I have saved money by not trading at all and in the event the 50 pips have not been reached, or often the market has gone down. Its also the case with the rise in MA (which works on 40 only) where if the indicated rise is the minimum 1 pip over the ten candles on which we base our judgement, then there is rarely a good result. Therefore I keep my money in the account on those days too.

I do not know if the MA has altered since Richard Hill published the system. His weekly comments are not ground breaking stuff. They usually reassure people of some of the rules and answer some obvious queries, and no more. (More related to newcomers). He does not offer alternative strategies or figures, except that he has suggested changing stop levels for those who are on a wide spread or guaranteed stop. He reinforces the need to keep to the system and take a long view. On your query on stops, just remember that this system relies on making gains from early trading spikes by 8.30 am., therefore tight stops are inadvisable.

I am delighted that some of our colleagues here have immediately put their sharp minds to the system to make some modifications - especially see the XL posted yesterday. So there is an alternative to hedge one's funds. But I can't see the rewards/risks changing much as this is a purely mechanical system no matter where the market goes. But certainly, making judgements based on experience do help. A late night or early morning look at Wall Street and Asian markets is good preparation before placing the trade. Like yesterday when things dropped late in the day with an obvious result fofr the exchange rate. So a quick look at the charts to see that the sentiment fed through to prices overnight is advisable. In the event the Asian markets brought the rate down so there was a good chance that it would not have an adverse move at start of London trading. so it was, and the market rose nicely for us.

This is not advertised as a way to make a living, but more of a bonus cash income. To make a living one would have to put maybe on £15/pip, though I guess some might try it. The recommended risk is 2% of the pot which is about right. HTH

cheers

mish

 

[lazarette]

Laz your figures are correct for TNT with same NT 2% MM. But now add a forth chart showing TNT 60/60 , £10 on NT & £10 on MNT daily, so double bet 4% MM risk daily.

Extra profits will suprise you. off out till late afternoon guys. Thanks to all who trialed TNT & MNT today.

M

Yes, but over the last 6 months £20 a pip on NT would get better results than £10 NT & £10 MNT.

 

[Tenapenny]

I can tell you are looking at the system from a true traders perspective... Although I am following the system, I too have traded quite a few years (not professionally I hasten to add)...

You are right in everything you say... NT is a rigid mechanical system that currently and over the past year has overall been profitable... I don't believe RH has plans to tweak it to suit different market conditions - but look at what is happening to Richard's system in this thread! People are adding their own tweaks and ideas, adding their discretion - there are no set rules for trading and Richard won't be complaining if we choose to add to or modify his system to suit our own styles...

I would like to think that nobody here is under any illusions that NT is guaranteed to work in the long term... It seems to work in the short term because there is not much money in the market following the system... When (not if) word spreads - the money following the system will increase (yes even the big players are always seeking new profitable ways)... At that point in time then the system will be less profitable and even be pushed into a lossy system (the cunning traders at this time will start trading the opposite to NT )...

My view is that NT is a good introduction to trading... It does remove emotion from the trade by its mechanical rigid nature (psychology is more than half the battle - right?)... But the great thing here is that total beginners are already applying their ideas (discretion to the system) and testing them... The art of trading is as you say to develop your own strategies that suit your psychology - those strategies should always be flexible and not totally mechanic in order that your strategies can adapt to differing market conditions...

That is my take on your questions and I am guessing that others may well have a differing view (not to say wrong)...

Good luck to you, but I have to say that even if every retail trader out there used NT, they wouldn't move the market one bit. Believe me, the real "big players" will not be using NT.

 

[Melb]

TNT triallers, am I right in assuming that you're trading NT on one platform (eg IG Index) and then MNT simultaneously on another platform (eg Capital Spreads)?

Personally IG on both...

But I note 1 or 2 have opened accounts at ETX and their new customer offer is to cover losses up to £250 for the first 10 business days... Those that have taken this route are using ETX for the MNT trade (effectively a 'free bet') and IG for the NT trade...

Of course if I were being analytical on the ETX deal I would suggest picking any pair and place an order with ETX against the trend and another order in the opposite direction with any other broker... If ETX loses (other broker profits) then the will refund your loss = overall profit...

If the trend doesn't continue and reverses you can close both positions for an overall no win no lose... Rinse and repeat a few more times to fulfill minimum trade requirements for the offer until ETX have paid out their £250 to you... Not sure ETX would be happy with this 'trading' approach though