BOARD

Inside Darwinex – your Trading Journal

14 August 2013

Imagine accessing the diary of a person you had never met before: wouldn’t this afford you in-depth insight into the personality traits of its owner?

At Darwinex that got us thinking: how about a tool providing in-depth insight into any trading strategy?

Thus came about the Trading Journal: it’s a visualisation containing all the trades in a trading strategy, providing insight into its main attributes – particularly its Risk Management – at a glance.

This is what it looks like (just click the image to enlarge it!) and these are its elements.

tradingjournal

Return:

Measures the strategy’s performance from inception, tracking the value of balance every time a trade is opened or closed (i.e. when a new position starts). The performance calculation takes into account (i) the performance of a trade when it has been closed AND (ii) the performance for the trades that remain open when a trade has been closed.

Range Return:

Shows a strategy’s performance over any user-selected period – offering any potential investor a way to track performance for any period of interest… which comes in handy since recent performance mostly differs from performance from inception!

For instance, a strategy initially losing 50%, the recovering to 100% of the initial deposit could yield 100% performance to investors entering at the lowest point! Range Return is designed specifically to get a more accurate impression of a trader’s performance.

D Leverage:

D Leverage is a measure of risk. It tracks the risk incurred by each position in a strategy in terms of average EURUSD volatility. What does this mean?

  • A EURUSD trade with 1:1 utilised leverage has a D Leverage of around 1
  • A EURJPY trade with 1:1  utilised leverage has usually a D Leverage higher than 1 – this is because the EURJPY is more volatile than the EURUSD in average – and thus riskier
  • What is TS Leverage for simultaneous trades in multiple assets? This is where it shines: D Leverage of 6 means “6 times as risky as the EURUSD over the period”, etc. It captures hedging effects, i.e. two highly leveraged trades in negatively correlated assets can result in a low risk trade

What does a constant evolution of D Leverage say about a strategy? The closer a trader sticks to a D Leverage, the better – this evidences that any positive returns are not engineered by leverage illusions (martingales), where winning trades randomly deploy higher leverage than losing ones.

The D Leverage chart on the Trading Journal uncovers strategies deceiving inexpert investors through such illusions: beware of strategies where D Leverage increases on losing positions.

Trading Journal - Martingale

Open trades:

Tracks the number of simultaneous open trades in a strategy. Combined with D Leverage, it is proof of a trader’s skill at keeping risk constant: good traders open new trades without affecting their D Leverage. In short, this is a powerful tool that evidences a trader’s ability to cover risk by opening new trades (hedging). Beware of strategies in which D Leverage increases with new trades: this is conclusive evidence of the presence of leverage  illusions (martingales).

D Score:

Tracks the evolution of a trader’s D Score. Our goal is to maximise the correlation between a strategy’s current D Score and future returns: our success will empower traders with a high D Score to investor capital!

For now, we offer users a predictive tool of immense potential: the evolution of D Score. Please remember that the D Score is driven by performance and skill: expert traders must prove both to be worthy of investors’ capital.

Distribution of trades:

This chart is useful to know at a glance what kind of strategy a trader uses: frequency of trades, assets traded, duration of trades and simultaneous trades.

It evidences whenever a trader has changed his strategy and is also helpful to find out whether a trader is disciplined when following a strategy.

The trading strategy below shows a good discipline. Note how this trader started trading short trades and kept the number of open trades at a time consistent. Note also how his strategy changed: he increased the number of trades open at a time, being the duration of the trades longer.

Disciplined change of strategy

In contrast to the disciplined strategy above, the strategy below shows no discipline at all. The number of open trades at a time varies constantly and the duration of the trades varies as well…you can tell at a glance there is no defined pattern.

Trading journal - Lack of discipline or strategy

Do you have any question about the Trading Journal? Feel free to e-mail info@darwinex.com, we’d love to improve on the above intro.

Last News

Darwinex Trading Hours for ANZAC Day

19 April 2018

Please note the amended Darwinex trading hours for the upcoming ANZAC Day on 25 April 2018 (all times are in UK time).  Instrument Trading Hours  FX 22:01 Wed – 22:00 Thu   DARWINS 22:01 Wed – 22:00 Thu  COMMODITIES   Gold 23:01 Wed – 21:59 Thu Silver 23:00 Wed – 22:00 Thu Platinum 23:00 Wed – 22:00 Thu Palladium […]

Please note the amended Darwinex trading hours for the upcoming ANZAC Day on 25 April 2018 (all times are in UK time).

 Instrument Trading Hours
 FX 22:01 Wed – 22:00 Thu
  DARWINS 22:01 Wed – 22:00 Thu
 COMMODITIES  
Gold 23:01 Wed – 21:59 Thu
Silver 23:00 Wed – 22:00 Thu
Platinum 23:00 Wed – 22:00 Thu
Palladium 23:00 Wed – 22:00 Thu
US Crude 23:00 Wed – 22:00 Thu
Natural Gas 23:00 Wed – 22:00 Thu
 INDICES  
Australia 200* 08:10 – 22:00
 Europe 50 23:00 Wed – 22:00 Thu
France 40 23:00 Wed – 22:00 Thu
Germany 30 07:00 – 21:00
Spain 35 07:00 – 19:00
Japan 225 23:00 Wed – 22:00 Thu
 UK 100 23:00 Wed – 22:00 Thu
 US SPX 500 23:00 Wed – 22:00 Thu
 US Tech 100 23:00 Wed – 22:00 Thu
Wall Street 30 23:00 Wed – 22:00 Thu
*Amended Darwinex trading hours.

As always, at info@darwinex.com we’ll be happy to assist you!

Change in bank account details for GBP deposits

6 April 2018

Over the next few days the segregated accounts for our GBP clients will be transferred over to a new FCA regulated banking entity. Your deposits remain protected under the Financial Services Compensation Scheme (FSCS). The change will be 100% automatic and will not require any action on your part. Nevertheless, due to the fact that […]

Over the next few days the segregated accounts for our GBP clients will be transferred over to a new FCA regulated banking entity. Your deposits remain protected under the Financial Services Compensation Scheme (FSCS). The change will be 100% automatic and will not require any action on your part.

Nevertheless, due to the fact that the bank account details used up until now for GBP deposits have been changed, if you wish to make a deposit via bank transfer, make sure to initiate the deposit from your Wallet in order to receive the new bank account details per email. This should be the way you always initiate a deposit as opposed to copying a previous deposit’s data.

We remain at your disposal at info@darwinex.com

And the DarwinIA winners are… (March 2018)

2 April 2018

The March 2018 edition of our DarwinIA trading challenge came to its end. Below you can find the 48 winners of our € 4,000,000.00 notional allocations for a 6 month period and the 7 traders who won € 1,000 in Darwinian Dividends. Congratulations to the winners! Place DARWIN Notional allocation Darwinian Dividends 1st VQB € 300,000.00 € 1,000.00 […]

The March 2018 edition of our DarwinIA trading challenge came to its end. Below you can find the 48 winners of our € 4,000,000.00 notional allocations for a 6 month period and the 7 traders who won € 1,000 in Darwinian Dividends. Congratulations to the winners!

Place DARWIN Notional allocation Darwinian Dividends
1st VQB € 300,000.00 € 1,000.00
2nd EEE € 250,000.00 € 1,000.00
3rd GUA € 210,000.00 € 1,000.00
4th SYO € 170,000.00 € 1,000.00
5th NCN € 150,000.00 € 1,000.00
6th BAD € 140,000.00 € 1,000.00
7th EWL € 130,000.00 € 1,000.00
8th LVS € 120,000.00 /
9th LZB € 110,000.00 /
10th CBY € 110,000.00 /
11th JHJ € 110,000.00 /
12th CLA € 100,000.00 /
13th FEG € 100,000.00 /
14th VTS € 100,000.00 /
15th VFL € 90,000.00 /
16th SDP € 90,000.00 /
17th OVL € 90,000.00 /
18th RIH € 80,000.00 /
19th STV € 80,000.00 /
20th CJN € 80,000.00 /
21st JMP € 70,000.00 /
22nd AGD € 70,000.00 /
23rd LDD € 70,000.00 /
24th CSP € 70,000.00 /
25th NAF € 60,000.00 /
26th LDZ € 60,000.00 /
27th XYF € 60,000.00 /
28th SCN € 60,000.00 /
29th PFI € 60,000.00 /
30th BGR € 60,000.00 /
31st OSM € 50,000.00 /
32nd ZLA € 50,000.00 /
33rd VRT € 50,000.00 /
34th AAN € 50,000.00 /
35th XSN € 50,000.00 /
36th ZZL € 50,000.00 /
37th ZTY € 50,000.00 /
38th SIX € 40,000.00 /
39th HTS € 40,000.00 /
40th ONE € 40,000.00 /
41st XYP € 40,000.00 /
42nd HFE € 40,000.00 /
43rd AOF € 40,000.00 /
44th MER € 40,000.00 /
45th NSC € 30,000.00 /
46th VOZ € 30,000.00 /
47th FYW € 30,000.00 /
48th QKL € 30,000.00 /

Change in bank provider

26 March 2018

Over the next few days the segregated accounts for our EUR and USD clients will be transferred over to a new banking entity. The change will be 100% automatic and will not require any action on our users part. Nevertheless, due to the fact that the bank details used up until now for EUR and […]

Over the next few days the segregated accounts for our EUR and USD clients will be transferred over to a new banking entity.

The change will be 100% automatic and will not require any action on our users part.

Nevertheless, due to the fact that the bank details used up until now for EUR and USD have been changed, any client who wishes to make a deposit via bank transfer will have to enter the new bank details.  

To access these new details, it is necessary to generate a new order to deposit via bank transfer from your Wallet.

We remain at your disposal at info@darwinex.com

Kind regards,

The Darwinex Team

Bank transfers won’t get processed on Friday 30th March and Monday 2nd April

23 March 2018

Easter is just around the corner which means a bit of vacation, reflection and celebration that we hope you enjoy with your nearest and dearest. Please note that Friday 30th March and Monday 2nd April are UK Bank Holidays. Bank transfers to / from your Darwinex Wallet won’t get processed on those days. Should you […]

Easter is just around the corner which means a bit of vacation, reflection and celebration that we hope you enjoy with your nearest and dearest.

Please note that Friday 30th March and Monday 2nd April are UK Bank Holidays. Bank transfers to / from your Darwinex Wallet won’t get processed on those days.

Should you want to deposit or withdraw through a bank transfer next week, you might want to make arrangements to initiate the transfer process earlier.

Do not hesitate to contact us at info@darwinex.com in case you need any assistance.

Happy Easter!

 

Darwinex Trading Schedule Easter 2018

Trading Schedule for the 2018 Easter Holiday Period

Please note the amended Darwinex Trading Schedule for the 2018 Easter Holiday Period. Times are displayed in UK time and changes to regular schedules are highlighted in red.   Instrument Thursday 29th March  Friday 30th March  Monday 2nd April FX 22:01:01 Wed – 21:59:59 Thu 22:01:01 Thu – 21:55:00 Fri 22:05 Sun – 21:59:59 Mon Commodities* 23:00 […]

Please note the amended Darwinex Trading Schedule for the 2018 Easter Holiday Period.

Times are displayed in UK time and changes to regular schedules are highlighted in red.

 

Instrument

Thursday 29th March  Friday 30th March  Monday 2nd April
FX 22:01:01 Wed – 21:59:59 Thu 22:01:01 Thu – 21:55:00 Fri 22:05 Sun – 21:59:59 Mon
Commodities* 23:00 Wed – 22:00 Thu CLOSED  23:00 Sun – 22:00 Mon 
DARWINs 22:05 Wed – 21:59 Thu CLOSED 22:05 Sun – 21:59 Mon
Indices      
Europe50 23:00 Wed – 22:00 Thu  CLOSED  CLOSED
GDAXI 07:00:00 – 21:00:00  CLOSED   CLOSED
SPX500 23:00 Wed – 22:00 Thu  CLOSED  23:00 Sun – 22:00 Mon
WS30 23:00 Wed – 22:00 Thu  CLOSED  23:00 Sun – 22:00 Mon
NDX 23:00 Wed – 22:00 Thu  CLOSED   23:00 Sun – 22:00 Mon
J225  23:00 Wed – 22:00 Thu CLOSED  23:00 Sun – 22:00 Mon
AUS200 23:00 Wed – 14:00 Thu CLOSED  CLOSED 
FCHI40  23:00 Wed – 22:00 Thu  CLOSED  CLOSED
UK100 23:00 Wed – 22:00 Thu  CLOSED   CLOSED 
SPA35 07:00 – 19:00  CLOSED   CLOSED 

 

*Please, be reminded that the instrument XAUUSD closes a minute earlier, and opens a minute later, than the rest of Commodities in Darwinex as shown in the table of Darwinex assets and spreads.

March 30th

In spite of the DARWIN Exchange being closed on Friday, 30th of March, the quote in the majority of DARWINs will keep moving throughout the whole market day due to the fact the the Forex market will remain open as seen in the table above.

March 29th and April 2nd

On the other hand, on March 29th -Thursday, and April 2nd -Monday-, the DARWIN Exchange will remain open even if the underlying assets’ market is closed, like AUS200 on March 29th or UK100 on April 2nd.

Should you want to know the standard procedure when you buy/sell a DARWIN whose underlying asset market is closed, we recommend you to read the following Knowledge Base article: Can I buy and sell DARWINs whenever I want?

Do not hesitate to contact us at info@darwinex.com for support.

Happy Easter!