More MSv9 Trading System Data

In my last post I shared the launch of a significant update to the MultiStage Trading System.  The back-tested results from that post were actually my out-of-sample test, which was from 2012.  Results from the prior 11 years were even more impressive.

	Version 8	Version 9
Max Drawdown%	36.82%	22.81%
Sharpe Ratio	2.95	3.30
Ulcer Perf. Index	66.13	103.97
Worst Month	-16.7%	-11.0%
Annual Return %	297.57%	315.51%

As mentioned last time, risk management is the primary benefit of the update, but overall reward is not penalized for the extra measure of caution.

Good Trading…

Profiting in a Bear Market – Part 2

As discussed in my last post, I’m taking a look at a better strategy for bear markets than traditional buy-and-hold investing. Specifically, I’ll use the MultiStage Trading System to show the potential performance during down-trending markets. This is the approach I use to trade in my Covestor managed model. The first question we have to answer is, “What’s a bear market?” Here are a few popular definitions:

The wordnet dictionary at Princeton says:

“A market characterized by falling prices for securities.”

Wiktionary says:

“A stock market where a majority of investors are selling ("bears"), causing overall stock prices to drop.”

Goodmoney.com dictionary says:

“A period of time during which security prices follow a downward trend.”

Okay folks, could you be any LESS specific? I think it’s common knowledge among anyone reading this page that a bear market means prices are declining, but I need some sort of measurement to tell me exactly when it begins and ends. There are many, so I picked a fairly simple one: a long term moving average. This is a measure that I believe is widely known and fairly well accepted.

Below is a chart of the of the SPY (SP500 ETF), along with it’s 20 Month MA. This helps us clearly visualize where the bear markets begin and end. I’ll use the simple monthly close to be my indicator. Specifically, if the monthly close is below the MA line we are entering a bear market, and if it closes above we are entering a bull market.

Based on our simple definition, in the last 16 years there have been three bull markets and two bear markets. As the chart shows, the starting point for each is:

• Bull: 2/1/1995
• Bear: 12/1/2000
• Bull: 8/1/2003
• Bear: 2/1/2008
• Bull: 12/1/2009

Now that we have specific timeframes for each big market we can backtest the trading system and see how it performs during the bear markets, hopefully gathering some clues along the way which point us to a better strategy. That’s the topic of the next post.

Good Trading…

MultiStage (v7) System Results - Part Five

(Note: I am reposting from an article done a few months ago. The numbers are updated and accurate for the v7 iteration.)

Drawdowns...

"Drawdown" is a dirty word in the world of trading. Yet, it's critical to understand in order to have some idea of risk expectancy. First, let's talk about what drawdown is, in the event you're not familiar with this term. Drawdown is used to measure dips in your equity curve. In other words, this is simply a measure from the peak of your account balance to the trough, in the event of a dip. If accounts never dipped (for example, a passbook savings account) there would be no drawdown, but that's not my reality in trading... so I measure it.

For simplicity, take a look at the following picture:

As you can see here, there was a peak, at the beginning of the orange arrow. Imagine if this was your account balance... you would experience a dip in your balance that lasted as long as the orange arrow, and went as deep as the blue arrow.

For this reason, it makes sense to look at drawdown from at

least two perspectives... length and depth. The length measures how long it takes to get back to and beyond your peak equity; while depth measures how far your account dipped at the lowest point.

Now, if it's not too painful, let's take a look at some real life numbers. This next chart is a multi-year picture of SPY. This is a reflection of the SP500, and a pretty good view of the stock market as a whole. If your money was all in SPY your account balance would track it closely. With that in mind...

let's see what the drawdown would look like right now.

As you can see, I've marked both the length and depth of the current drawdown. According to this chart, the peak of SPY was back in October of 2007, at about $156. The current price is about $124. The SPY has lost about 1/3 of it's value during that time... from peak until now; therefore, the depth of drawdown is about 33%. The length of drawdown can't yet be measured, as we still haven't reached the peak; but it's now beyond three years (in October 2010).

With a good understanding of what we are examining, I share the following drawdown information about the MultiStage v6 Trading System:

• Average drawdown was 2.6% and 5.1 days
• Median drawdown was 1.4% and 2 days
• 67% of drawdowns were 5 days or less
• 95% of drawdowns were 18 days or less
• Largest 5 drawdowns: 20.9%, 20.9%, 18.7%, 14.8%, 14.6%
• Longest 10 drawdowns: 54, 44, 43, 42, 34, 27, 27, 25, 23, 22 days

As with the previously posted results, these are the results from about a decade of backtesting. Actual results can and do vary a bit, but this gives me an idea of what has occurred in the past, and therefore what I might expect. No doubt, things can change, so I don't view this as the only set of possibilities, but it's a good framework. If I start experiencing things outside of this norm I will begin looking very closely at what has changed and how I might adapt.

Good Trading...

Introducing MultiStage v7 Trading System

I have spent much time on this blog posting information about the MultiStage v6 Trading System, which I use to trade my Covestor.com model. Today I am ready to migrate trading to the next generation of the model, version 7. This updated model retains all of the characteristics and benefits of the previous version, but improves it slightly. As usual, a picture tells the story most clearly.

As you can see, the new version has many of the same performance numbers. Average gain per trade, win rate, and Sharpe are fairly similar. Improvement, however, is significant in two areas: CAGR and drawdown. The CAGR is a little blinding, and there are a number of reasons NOT to look at the overall number (I address these in other posts). Improvement in excess of 20% is real however. This happens mainly because we increased the number of trades, which ever so slightly increases the exposure. In short, we are able to increase the amount of time we have money in the market, which is earning at the same rate. Said another way, version 7 finds us more good trades than it's predecessor.

The other big improvement, and one I am much more excited about, is a 24% reduction in the Max Drawdown. That's big for those who want to sleep at night. How did we do it? As you can see, we are taking a few more trades, but something more must have changed if they continue to earn at the same rate with reduced volatility. This was primarily attained through a new position sizing algorithm which places a premium on risk. It penalizes position size when the edge is lower and rewards it when the edge is greater.

I will gradually introduce v7 trades into the Covestor model, increasing them as I validate the accuracy and quality of the system. This is normal with any system I trade. There is only so much you can do with computerized backtesting, and then the real money comes into play. I step into it very gradually, validating each trade manually, to be sure the system is working as expected. Only after many completed and validated trades do I increase the automation.

Good Trading...

Stops can hurt...

One of the questions that comes up about the MultiStage Trading System is whether I use stop-loss orders to limit losses. Most people believe that traders aren't traders unless they employ stops. I disagree. This may work for day traders, but stops do nothing to help you against overnight losses except lock in huge losses. All of that, however is just an idea, and I don't work well with ideas. So lets quantify the impact of a trading tactic a bit.

Here is the simple reason I don't use stops: They reduce my overall return and do very little to reduce drawdowns. I back-tested the system using the 500 stocks of the SP500 over a 10 year period. I reran the tests at several stop levels and below are the results.

In my mind, this paints a very clear picture. It's easy to see why I don't use stops. In some ways we might live with lower win rates and lower CAGR if the overall risk was reduced. But as you can see, drawdowns barely move. For some people trading without stops is simply unacceptable, but for me it's the only acceptable way to trade.

Good Trading...

Risks of the MultiStage System

One of the questions I receive frequently is about the risks of my MultiStage Trading System. People want to know what the risks are and how I mitigate them. To some degree there is no good answer. At least not the answer people really want... like, "there is no risk"... or, "it's very low". The fact is, anytime you are investing in the stock market there is risk. Stocks go up and they go down. They react to market fundamentals, economic factors, and news. All of the risks inherent in stock trading apply here, but I can be a little more specific to risks of the system:

• Anomalies: Statistical anomalies occur in the market and can create substantial drawdown (9/11, Lehman, etc.). Currently these are few enough that I am willing to endure the risks, but they exist and should not be ignored. In order to understand these well I’ve done an exhaustive study of the 11 year history of drawdowns of this system. You might want to read that post and you’ll get a feel for what the historical “worst case” has been.
• Neutralization: In my opinion, this is the biggest risk. Not because it has a high probability of happening, but because if it does the gig is over. Market conditions could change in a way that renders the current system ineffective. In all likelyhood this won't happen over night. Instead we would see a gradual diminishing return. In order to understand if this is happening I monitor several metrics and market conditions to be sure that my approach remains effective.
• Human error: While I make every effort to follow the trading parameters precisely, occasionally mistakes are made. Mistakes are tracked and measured to determine their impact, and how to avoid them in the future. Additionally, trading automation is employed for several steps of the trading process. This migration will continue as technology and resources allow, reducing the probability of errors. Finally, each month I compare my actual trades to the trades of the model. Rarely are there variances, but it shows me exactly where I didn't follow the model precisely.

Aside from these, and as stated above, all of the risks normally associated with stock trading exist. One of the fundamental ways of managing this risk is to pay close attention to position sizing and only take trades that have exceptionally high probability of success, another inherent property of the MultiStage Trading System.

Good Trading...

RUT Calendar Update 8-3

It's been a stinky few days for the Feature Calendar we are tracking this month. Interestingly, implied volatility has stabilized quite a bit, but the price movement has been horrendous. Tonight I have two pictures to provide an update as to where we are. This first P&L graph shows the current position as it stands alone. As you can see, we are just a few dollars from the upper strike of 570. This is the next adjustment point. If we hit 570 I will move the lower strike calendars from 520 up to (probably) around 600. I will model at the time, but that's probably within a strike.

The first picture doesn't tell the whole story however. You might remember that I've already had to make one adjustment. Originally this started out as a triple calendar with strikes at 490/520/550. On July 28 I removed the 490's and added the current 570 strike which is now the upper end. Naturally we took a loss on the 490 strikes (bought for 7.00 and sold for 4.75), so this picture shows the P&L including that first trade. It's not super pretty as it sits, but it can absolutely be salvaged if the price movement will calm down, even just a little. This is where it gets fun!

Good Trading...

RUT Calendar Update 6-23

As suspected yesterday, today I needed to make the downside adjustment. Early on RUT penetrated the $490 barrier and required action. Everything executed as expected when the trades were triggered. The adjustment quite simple: Remove the spread furthest away and place a new one on the opposite side, thus recentering the trade. Specifically, I removed the 550 strikes and bought new spreads at $470. As you can see, the P&L graph shows us centered again, although there is a price for the last two days' (especially yesterday's) heavy downward move. We are down a little, but there's lots of time to come back, so we'll continue to manage the trade according to the plan.

Good Trading...

RUT Calendar Update 6-22

What a day! Things are really moving now... The RUT moved down nearly $20, almost 2 standard deviations, and RVX (that index tracking the implied volatility of RUT) was UP almost 10%. This huge movement took a toll on our calendar trade, but massive increase in IV countered most of it.





The main thing we have to prepare for now is the distinct possibility of an adjustment. My adjustment point is $490, and as you can see by the green box on the bottom, we are only a couple of dollars away from that - an easy move for the RUT on any given day. The two green boxes at the top give you some idea of the statistic possibility of finishing on either side of these lines, which at this point is a coin toss.


My adjustment plan is simple: If we hit $490 I will take down the $550 calendar spreads and move them to a lower strike - at this point it looks like the $460 strike looks good. After the adjustment the price will be perfectly centered in the P&L graph. I don't if we'll get there or not, but we're close enough we need to be prepared.


Good Trading...

Now That's Delta Neutral!

There isn't much to report on our feature trade this month. The triple calendar is dead center and things are looking fine. I wouldn't mind it if the volatility would hold steady, but overall it's going well. Meanwhile I have something pretty wild to share. Today I took a look at my RUT position and here's what I saw:




First, let me say that this is a fairly complicated position. It's a triple calendar on top of a skewed condor. Managing price risk (Delta) is important to me, but it's VERY rare that you see Deltas at exactly ZERO. When I first looked at my monitor screen I thought something was wrong. Normally when I see Delta at .00 it means that my position has been exited... so I was a little shocked. Anyway, I took a quick snapshot and thought I'd share it.

Meanwhile - the Calendar is great, as 500 is our center strike and you can see above that we were at $492. A few more days of sitting on our hands and passive observation, and maybe we'll have some profit to take.

Good Trading...

Another mediocre day...

Days like today are a little frustrating to me. As I've mentioned before, I carry a very hedged portfolio, meaning I have some short and long positions on at the same time. This is a life saver in a down market, as I will never lose as much as the overall market. Unfortunately this is also true of the big gainer days. Today was one of those.

Don't get me wrong, it was a nicely profitable day... in fact, a day that in most cases I would be ecstatic with. But in the midst of monster index gains I feel like I didn't get my fair share. And everyone knows I want my fair share and a little bit more.

Truthfully, and all frustration aside, a hedged portfolio is the way to go. I wouldn't have it any other way. Reward can be a little smaller, but so is risk; and they go hand in hand. Spreads, such as iron condors, are by definition hedged positions. In fact they are most profitable if price doesn't move at all, being neither long or short the market.

I guess I'll just have to be satisfied with the few extra shekels the day brought and not be greedy... that's what gets people in trouble.

Good Trading...

Who's Cheating Who?

There is an axiom in trading that goes something like this... "If things aren't going well, did you fail the strategy, or did the strategy fail you?" In other words, if you have a bad month/week/day it's important to figure out why. April expiration was not a great month for me (said sheepishly). When that happens it's important to figure out what happened. Is it something I did? Or did I just fall prey to the law of averages. When things don't go well, whether in a specific trade, or in a broader strategy, the reason usually falls in one of three areas:

• The rules failed me: Traders spend a lot of time developing trading rules, but many times we just don't get it right. There are times that the rules need to be tweaked or modified to take into account changing times, or situations we didn't account for.
• I failed the rules: This is far more common. This is the situation where the trading rules are just fine, but I didn't follow them. It's no surprise that poor discipline charges a hefty toll.
• It just happened: Sometimes the rules are just fine, we follow them perfectly, and we still lose. That's the law of averages at work. For example, when I trade iron condors I know going in that I will lose 2-3 months per year. That's just the way my strategy works out over time.

When we encounter a loss, or a losing period, the next question is "Why?" Which of the three areas above is responsible for the loss? Did I cheat the rules, or did they cheat me? The only way to know for sure is to spend some time in honest evaluation. Personally, I find the quickest way to do this is to Replay the Trade. I go into one of my backtesting tools and replay the trade exactly according to the rules. If the result is different then I know I failed the rules.

So what happened last month? I spent a lot of time evaluating this question. Every trader should keep good logs of every trade. I reviewed the losing trades and replayed them according to my rules. The result? It was actually two things. I believe that my rules are just fine; but items 2 and 3 above bit me. I actually have a couple of different strategies, and with the volatile "v" shaped price action this was just destined to be a losing month no matter what strategy I used. On the other hand, if I had followed the rules exactly I would have lost less than I did. This isn't good, but it's probably not uncommon. I think (at least for me) that it's much harder to be disciplined when I'm in the middle of a loser. Things are going much better this month, and I'm being much more exacting about things... go figure.

Good Trading...

NDX Condor 3-20

The market continued to threaten the upper end of this condor this morning, so I decided to make another adjustment. This time, rather than add a call I chose to roll up the closest group of call spreads - 1325/1350 - to the 1400/1375. I did this for a hefty debit, but as you can see we still have a reasonably good profit picture.

This accounts for the previous trades through simulated trades, so it should be an accurate picture of where we are in the campaign. The good news is there was a nice reprieve later in the day, so we are in really good shape. I don't mind telling you, this months Condor was quite a struggle, but I am optimistic that we can wrestle a nice profit out it in the end. I will certainly keep trying.

Also, here is a quick volatility update. If you've read past posts you know that I keep a close eye on the VIX and RVX. This time I'm showing the RVX, although the picture is pretty much the same with the VIX. You can see that the recent rally took volatility right down to the point of previous support, but was stopped cold. And now we are back in the middle of the range. At some point we will hammer out a bottom and get lower on the vols, but not this time.

Good Trading...

Risky Business - Part Four

In this, the fourth installment of my "mini-series" on portfolio risk management, I bring yet another type of diversification. So far I've talked about Time Diversification and Underlying Market Diversification. I also like to use Strategy Diversification.

What I mean by Strategy Diversification is the type of option spread strategy I put on. Each type of spread strategy has it's own characteristics and it's own risks. So part of risk management is to not get overly lopsided in any one direction. For example, vertical spreads and horizontal spreads have opposite effects on volatility risk. Therefore I can neutralize Vega (to some degree) by blending vertical and horizontal spreads.

Another example is in the area of price risk. For example, in a calendar spread probability of profit is restricted to a much narrower price range than a condor. On the other hand, the yields are generally much better. Blending these two provides a nice balance to price risk management. I also prefer the risk/reward ratio of calenders.

Early on I mentioned that I really only do three types of trades. And each one of these has a purpose.

• Neutral Vertical Spreads (including Iron Condors): These are mainly used for their high probability of profit and good Theta.
• Neutral Calendar Spreads: Used to balance the short Vega of the Vertical spreads, to boost Theta, and sometimes to provide some directional bias.
• Directional Vertical Spreads: I mainly use these to balance my overall portfolio Delta, while adding Theta.

I begin each month by entering trades that are Delta neutral, like condors and calendars, and which balance Vega to some degree. My balance of these varies a little depending on my opinion about the direction of implied volatility. As the month goes on I will enter directional positions to either balance or bias my price risk, depending on my opinion about the market. Hopefully this explains the portfolio balance that I strive for, although I will say that it's very difficult to really be precise. I get as close as I can to a moving target.

Good Trading....

Risky Business – Part Three

This is the next installment in the area of risk management, particularly through diversification. I mentioned in the last post that the first type of risk management I employ is what I call Time Diversification. In other words, I like to scale into a trade across time.

The next area of diversification is in the underlying market. I think this is what most people think of when they consider diversification. The challenge I have is to find markets that are not too heavily correlated. For example, if I were to place a trade on the SPX and the RUT, there is a good chance they will win or lose together. When one increases, the other usually increases.

Market correlation is also ever-changing and we have to shift underlying markets to reflect that. Lately, for example, oil has been tracking the major markets quite closely. But that has not always been the case. In fact, for a long time it was rising oil that was blamed for a falling stock market. This is an ongoing analysis, but generally I bounce between equity indices, oil, metals, agriculture and real estate.

Once I determine what markets I want to trade I have to consider how to trade them. There are lots of ways to do this, so to keep it simple I generally use ETFs or Indices. These are also handy for directional trades. One of my favorites for bearish trades lately has been RKH (Regional Banks) as the financial markets have been hammered.

So, what does this do for my overall risk tolerance? As I mentioned previously, my overall tolerance for risk is 2% of my total capital per trade. In other words, in a worst case scenario I don't want my account going down more than 2% because of this trade. Given that, how does diversification in different underlying markets impact capital allocation? I've made the decision that each underlying is different enough that each one gets a fresh capital allocation. In other words, if I am willing to risk 2% on an oil trade, I might also risk another 2% on a SPY trade, believing that it is not likely I will lose 4% by doing both trades if they do not move together.

Good Trading…

Risky Business – Part Two

In my previous post I mentioned that I have several strategies for reducing my overall portfolio risk. This is an area I've spent a lot of time on, as I'm constantly concerned about any major hit my account might take. In case you haven't figured it out – I HATE losing… especially losing money. The first type of risk management I'll discuss is what I call Time Diversification.

When I evaluate a trade one of the things I consider is the possibility of spreading my capital across time. This works especially well for "campaign" style trading – those trades that I do every month on a consistent basis.

With condors, for example, I usually start about seven weeks out looking for my first entry point. I start watching the charts for a strong pullback opposite the trend for an entry point. If I can do it early in the week I will try to get the second side on before the week is over. My goal is to get the full position on that week because I'm going to want to get the rest of the capital on the following weeks.

The way I diversify over time is to allocate only 50% of my capital for this first week. The following week (about six weeks out) I will try to enter another condor with 25% of my capital, and then the final 25% during the following week or so. I don't have exact time frames for this. As I've explained many times, it depends on how the chart looks. Now why do I put 50% of my capital on the first week? Why not 1/3? There are a couple of reasons:

• By putting 50% of my capital to work up front I have more time to collect a larger premium. There is more time for decay, and therefore more time to collect.
  
• Sometimes it's hard to get all of the capital on… the charts just don't cooperate with my after-hours trading schedule. By starting out with 50% on I can at least get the lion's share in play, while still providing some diversification.
  

Spreading the capital across time accomplishes one of two things. On the one hand, it might allow me to spread my trades across a wider range of strike prices. If that doesn't occur because price stays flat, I can still add to my position with some confirmation of a fairly steady market.

So, what does this do for my overall risk tolerance? As I mentioned in the previous article, my overall tolerance for risk is 2% of my total capital per trade. In other words, in a worst case scenario I don't want my account going down more than 2% because of this trade. That part of my plan never changes, but this does change my capital allocation for this trade. Let me work through an example to explain:

• Let's say I have an account of $10,000. I don't want to lose more than 2%, or $200 in a trade. My maximum loss for a condor trade is a loss of about 10% for that trade. Therefore, I can risk $2000 of capital out of my $10,000, because if my max loss happens I will lose 10% of the $2000, or $200 (2%). Hopefully that makes sense… in short, $2000 capital = $200 risk.
  
• Now, if I break the capital apart and spread it across time, I believe it reduces my risk. How much? Who knows. I'm not a good enough mathematician to figure it out, but my point is that More than $2000 capital = $200 risk. I wish I had a way of pinning down exactly how much more, but I'm not sure how to measure it. In any case, I should be able to employ more than $2000 capital using this approach without increasing my 2% risk.
  
• So what have I done? Absoutely nothing. As far as Time diversification goes, I believe it reduces risk, but I don't put more capital at risk. In other words (for the example), $2000 capital = Less than $200 risk. I am doing well enough in deploying capital right now that I've chosen to simply reduce risk.
  

Good Trading…

Risky Business – Part One

Trading options is risky business. It stands to reason then, that all good option traders are first risk managers. As I've said before, my main objective is to manage the losses and the risk. The profits seem to come from the best risk management I can muster. Letting a condor or vertical spread slip away from you can easily eat up a month (or months) of profits.

With that in mind, I have some risk management ideas that I try to use in order to minimize significant losses. The first guideline is that I have a 2% risk limit for every trade. In short, that simply means that I don't like to put more than 2% of my total account value at risk on any one trade. At the same time I want to put as much capital to work as possible; so I have to think of ways to capitalize many trades and diversify them in such a way that I don't fall prey to deeply correlated trades.

Correlation risk is one of the great challenges when trading equities, whether options or stocks. Markets seem to move together, even when it doesn't make sense. Particularly lately, the market seems to drag everything down regardless of sector or market. It's impossible to avoid risk altogether, and if it were no one would want to pay us for assuming it. My objective then, is simply to minimize risk through diversification, which I primarily consume in three flavors:

• Time Diversification: When I take on trades of any size I begin by spreading my capital across time. In other words, I slowly scale into the trade. With condors, for example, I usually start about 49 days out, then add another condor at the 42 day mark (or so), and possibly more at 35-38 days. As you may remember from my ongoing condor trades, this also happens in conjunction with technical analysis, but the main point is that it doesn't all go on at one time. This accomplishes one of two things. First, it allows me to spread my trades across a wider range of strike prices. Second, if things don't move much I may not get the strike prices much wider, but I can add to my position with some confirmation of a fairly steady market.
  
• Underlying Diversification: Diversification on the underlying is another way I've been spreading risk. For example, I frequently use RUT for equities, as you've seen in my condor trades. But I also use OIH (or others) for oil. In recent months oil seems to be moving along with the market, but it hasn't always been that way (nor do I think it always will be). In fact, for a long time it was rising oil that was blamed for a falling stock market. At times I may also use other ETFs or Indices to represent agriculture, gold, or other commodities.
  
• Strategy Diversification: The final type of diversification that I try to use is a variety of strategy. Vertical spreads (including condors and butterflies), horizontal spreads, diagonals and stocks all have their own unique characteristics. They often balance one another to minimize risk in price and volatility.
  
• Trend Risk: While this isn't a type of diversification, it's worth noting that one of the ways we minimize risk is to pay attention to the trend. I was talking to a friend just today who is desperately looking for a good stock to by. He said, " I believe the market is low… beaten down… but I can't seem to find anything that is going UP!"
  
  Well, that's the nature of a super-bear market. Fighting the trend is risky. Check out my final results for the March condor legs… five winners and two losers. The five winners were bearish trades and the only two losers were bullish trades. If there's one lesson that teaches it's, "Go with the flow, baby"… "The trend is your friend". I guess that's two lessons, but you get the idea. There's a reason that I put on five bearish trades and only two bullish ones.
  

Over some future posts I will elaborate just a bit on each of these. Mainly, I will share my specific rules for balancing my level of risk tolerance with the reduced risk assumptions of above ideas. The idea is this: If I can tolerate no more than 2% risk per trade, then I should be able to use more capital if I break it into parts and spread it across time, underlyings, etc. because presumably the risk is lower if I diversify. But how much? I will share more on this later.

Good Trading…