Laissez Faire has now been running 24/7 for over a month and is doing even better than expected! Currently we’re averaging around 1.4% every time Laissez Faire makes a winning trade, and only losing about .79% every time it makes a losing trade. Every day I’m looking for ways to understand the space and status of the crypto-currency markets, and I’m looking to add a new function into the algorithm during the next opening – Stochastics!
A Stochastic is a price derivative oscillator (meaning it moves like a sine wave based on price action) that utilizes inflection points (supports/resistances). When used on a weekly chart on BTC, it can predict price trends with above 65% certainty roughly. This will help Laissez Faire position itself accordingly for being on the right side of the trend at the right time, and weighting positions accordingly. I’ve visualized the Stochastic below the chart of BTC/USD, green rectangles signalling a buy, and red rectangles signalling a sell. This will be a nice, lightly weighted decision maker for laissez faire in the future – which I’ll plan on having ready next month for the next opening period!
Also it should be noted that the NVT signal is currently flashing red on the weekly! Something that happened at 20,000, 7,600, and the tops of the prior 2 market cycles.
Laissez Faire will stop trading for a week to allow new investors whom missed the start date to open accounts, and old investors to withdraw or add to their existing accounts.
During this time:
-A patch will be implemented to the current algorithm that will add the Stochastics, and change the timeframe of some of the signals to optimize returns in the current market.
-New investor accounts will be added, credited, and their share of the club balanced to one another.
-Current investor accounts can be withdrawn from, added to, and will be re-balanced in share to the total.
Excited for the summer!