Interview with CavaliereVerde (DARWIN $LSC)

25 July 2017
The Market Owl

Fellow trader CavaliereVerde is by far the most active user on our website and our Community Forum. Since he signed up back in 2015, he has visited our site more than 5000 times… Impressive!

On top of being an active user on our site, CavaliereVerde is a good trader, too: his DARWINS $KVL and $LSC have both managed to get DarwinIA allocations in the past.

Want to know more about the most active user on Darwinex? Read on! If you want to interact with CavaliereVerde, you can always visit the topic on DARWIN $KVL he started on our Community Forum.

So, tell us a little about yourself. How did you get started and how long have you been trading for?

My first experience with the markets was in 2000, I bought a couple of tech stocks just before the explosion of the bubble and the bear market. Then there is big gap until 2012 when I saw a banner of a forex broker.
The adventure with real money began with eToro, it was simple: just copy 5 “traders” and make 10% per month…

After losing the entire investment I started to study the real trading. I started with EOD trading on 1D timeframe and then I tried other rule-based systems.
When I learnt that following some rules that make sense wasn’t enough, I got interested in algo trading. I was inspired by a chapter of a book written by Enrico Malverti with a lot o backtests on momentum indicators.

So I studied Pardo, I read a lot of articles about algorithmic trading and I started to work with MT4 tester.

After one year with my momentum strategy $LSC, I designed my second strategy $KVL with a mean reverting setup.

About your trading strategy: what pairs do you usually trade? Do you always trade the same timeframes?

I trade all the main forex pairs, both my strategies $LSC and $KVL are a portfolio of 7-10 markets. The main timeframe is H1 but there are some strategies running on M15.

As a trader, what would you say is your greatest strength?

Patience and curiosity, I like to study and to evaluate trading systems, both mine and from other traders.

And your biggest weakness?

I am bit lazy, but it helps with my patience.

 

Our algos tell you are very good when it comes to Performance & Risk Stability. Any ideas for other traders who need to improve on those attributes?

I think Loss Aversion is relative to the system, it is good with momentum setups that require an high RR to work. Risk Stability is very important in every system.

Traders that aim to be good DARWIN managers have to learn the art of driving their VaR. You chose a risk profile that you are able to endure and you have to stick to it.

VaR has to be kept stable, even if it means adding or withdrawing money from the account to compensate gains,  losses or changes in the volatility of the markets.

What is the most important lesson you have learnt in your trading career?

It takes a long time to be successful, but commitment and honesty get prized in the end. You should never give up!

Finally, any comment you’d like to share with the fellow traders who read this?

Never think to be the only true trader or the best one. Learn to spot and evaluate other traders and you will become better traders.