What about Market Crashes?

There is always a potential at any point in time of a large market crash or movement. The good news is that we have taken this into account with our software design so that these won’t cause any great losses - in fact, it could even profit from them.

One way we protect ourselves is by only having only a very small amount of our capital in the market at any one point in time. If we did get a large adverse movement in the market, the stop loss orders would be hit quickly and the trades closed out with small losses. It is also possible that the take profit orders could be hit and we get some nice quick profits.

We also ensure we have no open trades over the weekend so we are not exposed when the market is closed.

After a big movement or period of high volatility, the software will standby for a period of time before trading again. This also helps us stay out of wild markets.

Posted 20 September 2023