Hi Forum Members,
We have received plenty emails regarding our trading and most related to our money management algorithm.
First things first, we utilize a proprietary and dynamic trading strategy involving the most liquid currency pairs. Our trading tools and analysis are designed to detect market patterns on particular currency pairs; these patterns may be identified through a myriad of technical and market indicators. Due to the relative stability of certain currency pairs over defined time periods, our methods identify when a pattern has been temporarily breached due to an increase in market volatility. Our strategy initiates long or, short trades on a currency pair during a pattern disruption and realizes profits when the pattern has been restored. Our managers look for breakouts, pull backs and reversals in the Forex Market. Support and resistance levels are discretionally observed whilst also monitoring order flow to substantiate directional bias. Our time horizon on a particular trade may range from 1 day to 3 months. Saying this, we use 3 different time-frames and that s the main reason investors can see several buy/sell orders, with different order lots. This strategy don t have at all nothing to do with martingale or averaging trades as it is completely "out of the box".
More to say, we seek to manage risk in order to capitalize on opportunities and improve our performance. Disciplined risk estimation and management are deeply integrated components of the investment process across each one of our strategies. We believe a well-constructed portfolio upfront will outperform in good markets and protect our clients capital in difficult markets. For this reason, we establish risk management as a core discipline. This approach begins with a dedicated governance group that oversees risk management. An emphasis on liquid markets, proprietary risk models and a diversified funding structure seeks to further strengthen our approach.
Onikami Capital establishes risk guidelines along three axes:
Risk level: Defines how much risk should be consumed at the PAMMs, strategy, or portfolio manager level. Our risk management department monitors performance in real time through multiple channels using innovative analytics and flexible aggregation tools.
Stress exposure: We run different stress tests on portfolios daily, testing the risk tolerances that have been set. These tests include historical and forward-looking scenarios.
Liquidity: Our PAMMs maintains a liquidity reserve to ensure it is able to meet daily cash requirements. Our strategies primarily focus on liquid asset classes so that we are able to dynamically reposition portfolios to capitalize on market opportunities.
To conclude, we expect this explanation clarify once for all the question of our money management algorithm and is distinct behavior related to what everybody have seen in the financial markets till now.
Happy Trading,
Onikami Capital Trading Desk
------------------------------------------------------------------------
To show , and as usual , from our side complete transparency to our investors and future ones, we show a picture of our current orders in our showcase account to show that we are currently running several cycles on trading pairs, and as nothing to do with common money management algorithms.
