We are often asked how long a trade will take before it hits the target (Take Profit / TP) set in the trade signal.
While we are still working on algorithms to get an exact time expectation for every trade at present time the best we can offer is an approximation of a trade duration based on our past trading history over the last 7 years.
The difficulty to predict accurately elapsed time to target resides in the constant change in market volatility, volume and news events that have an immediate impact on a specific symbol or pair of symbols (XAUUSD, EURUSD, UK100…) and their algorithmic predicted price equilibrium.
Each of our signals come with a trade comment giving an expected time frame for the trade. Please note that “no comments” refer to a short term trade as it is our most common trade and we opted to leave it blank. Refer to the below table for a trade duration expectancy based on signal comment.
The provided values need to be understood as a mean over 1000s of trades and are not absolute values. Most trades will close sooner while some might take longer than expected.
Short Term | Short/Mid Term | Mid Term | Mid/Long Term | Long Term |
---|---|---|---|---|
4.5 Days | 3 Weeks | 7 Weeks | 3.5 Months | 5 Months |
You should scale the lot size in relation to the expected time frame (longer time = smaller contracts)
Some traders will cut their position if a trade goes over the expected time frame. In our simulation this strategy provides some benefits but offsetting positions have shown better results.