Are you sick of hearing about gold? I am sorry if I have lost anyone because of it being the subject of nearly every other post. But, in this episode, we are starring both of my gold bots. Both of their individual skills will be highlighted. With other bots, it is hard to illustrate their individual skills. I hope this will give some clarity on what the gold algo bots are doing. Also, to reinterate, I am not associated with either NURP or University of Options. I am just observing…

Gold Digger (GD)

• GD saw something it liked. This “pattern” caused GD to enter a trade.
• Instead of closing the trade quickly (sometimes only a minute or two) like it usually does, gold went the opposite direction.
• After some period of time in the overnight hours, GD opened another trade at twice the previous lot size. GD was trying to get out of the trade before it continued downward for too long.
• The tactic did not work. Gold dropped even further. GD will ride this out as long as it needs to. Will it open more trades with larger lot sizes? When it is done, I am expecting to see a profit of $100-200.
• I don’t like a drawdown of over $8,000. But, I have seen GD navigate out of similar trades in the past.
• Things I am grateful for: I chose conservative lot sizes for the trades. Also, I chose “frequent” and not “accurate” in the settings. When gold gave its ride last week, those who chose “accurate” had a pretty crazy ride.

Precision

• Based on my settings, Precision comes “alive” at 17:15 Central Time. This is to avoid the typical volatile times. Not last night!
• Usually, Precision puts out a couple of test trades before it “dives” in.
• Once it dives in, it enters MANY trades. Each high or low in the chart is a candidate for it to enter another “scalping” trade. Within a period of time, it will have many trades like those shown above.
• Precision doesn’t have to win every trade. The winner’s proceeds have to exceed the losers losses for the series of trades to close. When gold dropped last week and my lot sizes were higher, I hit the magic number where the bot screamed “uncle” and the bot crawled into its cave to hibernate.
• Normally, the bot is supposed to stop all trading before New York trading starts. Prior to today, that is what I expected. I expected all trades to close, and I would accept the losses. However, the bot stays “active” past that time if it can’t close the trades at a profit. (This is what the evidence shows.)
• When will the trades close? Will the bot add more trades tonight to try and close in a profit? This is all new ground for me. I am voting for PROFIT!