Let's start with a sample backtest....

Backtest Info

  • Backtest Period: Jan 2014 to Dec 2024 (10 years)

  • $100,000 Initial Investment

  • Risk (R) per trade= 1% of capital

  • Channel Breakout Entry

Trading Results

The following data is from an actual backtest of a trading strategy created using the trading rules outlined in the trading course:

  • Compound Annual Growth Rate = 16.25%

  • Maximum Drawdown = 17.34%

  • Total number of trades= 338

  • Winning trades= 145

  • Losing trades= 193

  • Win %= 42%

  • R multiple on winning trades= 2.97

  • Total profits =. $350,769

  • (Past Performance is not an indication of future results. Background, education, and experience all play factors. Your results will vary.)

What's covered in the course...........

  • Rule #1 - What Markets to Trade

    In the first module of the training we will work together to build a diversified portfolio of approximately 30 markets that you will trade. By trading diversified, uncorrelated markets it will help smooth out your equity curve by targeting your trades within the strongest trending markets. To get started it is recommended that you build your market portfolio using Exchange Traded Funds (ETF's) within the 4 main financial markets including: Equities, Bonds, Commodities, Currencies

  • Rule #2 - How to Identify Trending Markets

    In this module you will learn how to identify and trade the strongest markets in your market portfolio. This goes against the conventional investing advice of buy low, sell high. When trend following trading, you want to buy high and sell higher. The majority of trend following traders will buy on a breakout from some defined level. This defined level could be a channel breakout, a 52-week high, a new all-time high, or some other level that allows you to catch the momentum of the trend.

  • Rule #3 - How to Enter the Trade

    To be a successful systematic trader you must have a clear trigger that allows you to enter the trade without second guessing the decision. In this module you will define your entry trigger. If you are using a breakout system, the trigger could be close above the breakout level. Each day you will review your watchlist to see if any markets meet your entry trigger criteria; and if they do, you place a buy stop order at or above the high of the close with presumption that the trend will continue on the next trading day. Your buy stop would be hit, and you would be in the trade.

  • Rule #4 - How to Exit the Trade if you are Wrong

    You need to accept the reality that with trend following trading you will be wrong more often than you are right. Before you enter any trade, you need to define the price in which you will get out if the trade does not go as originally planned. In this module you will formulate your stop loss exit. There are many ways to determine your stop loss exit. Like the rest of your trading system, it must be something you are comfortable with and clearly understand the logic behind it. You can consider using a percentage stop loss (i.e., sell if stock price drops x% below purchase price) or a stop slightly below the breakout price, a specific moving average, or some multiple of the Average True Range (ATR).

  • Rule #5 - How to Protect your Capital

    Money management is the most important component of your trading strategy. In this module you will determine how much money you are willing to lose if you are wrong. Many studies have been undertaken that prove that you should not risk more than 2% of your portfolio on any one trade. In the previous trading rules you determined your entry price and stop loss exit. You can then apply your defined risk % per trade to calculate how many shares you can buy.

  • Rule #6 - How to Exit a Profitable Trade

    Finally we will move onto the fun stuff. Your Trading Strategy has followed the successful traders mantra of"Cut you losses short and let your profits run." As such a number of your positions have continued to follow the prevailing trend, and you are making money on these positions. With a trend following trading strategy, you need to resist the urge to sell your profitable positions and let the trade continue so you can capture as much of the trend as possible. You should, however, have a trailing stop that follows your trade up and is always active; so that when the trend eventually ends, you will automatically be stopped out, so you can capture as much profit as possible.

"How to Build a Systematic, Rules-Based, Trading Strategy"

Full Course Curriculum...

  1. 1
    • Introduction - The 6 Trading Rules every Trading Strategy Must Include

    • Trading Strategy Template

  2. 2
    • Why Trend Follow

    • Which Markets to trade

    • Creating a Diversified, Uncorrelated Portfolio

    • Assignment - Define your Trading Rule #1 - Market Portfolio

    • Sample Market Portfolio

  3. 3
    • Creating a Market Portfolio Chart List

    • Identifying Trending Markets

    • Developing a Daily Market Scan Routine & Creating a Watchlist

    • Assignment - Define your Market Rule #2 - Identifying Potential Trade Set-Ups

  4. 4
    • Methods for Entering the Trade

    • Assignment - Define your Trading Rule #3 - Entering the Trade

  5. 5
    • How to Determine the Stop Loss Exit

    • Assignment - Defining Your Trading Rule #4 - Stop Loss Exit

  6. 6
    • Defining How Much Money You are Willing to Risk on a Trade

    • Assignment - Defining your Trading Rule #5 - Money Management

  7. 7
    • How to Exit a Winning Trade!

    • Assignment - Defining your Trading Rule #6 - Profit Stop Exit

  8. 8
    • Trading Strategy Overview

    • Backtesting Your Trading Strategy

    • How to Consistently Execute Your Trading Strategy

Still wondering if this trading course is for you? This breakdown should help............

If this is your first time creating a formal trading strategy or if you've created one already but are not seeing results, this masterclass is for you.

  • TRADERS - A rules-based trading strategy systematically executed allows you to treat your trading as a business. Your trading strategy is your business plan. Each day you execute your plan independent from the market noise . You are in control of your own destiny.

  • INVESTORS - Buy and hold index investors occasionally have 50% drawdowns on 8% annualized returns. A systematic trading strategy can help you avoid the large drawdowns while generating above average annualized returns.

  • FREEDOM SEEKERS - A systematic trading strategy only takes about 15 minutes a day to execute. This gives you the freedom to live and work anywhere in the world. You can be independent from routine and not answer to anybody.

Meet your Instructor.....

Learn from over 30 years of trading experience

BRUCE GRUNDON

Bruce Grundon has over 30 years of trading experience. Over those three decades he has studied hundreds of trading books, podcasts, courses and historical trades coming to the conclusion that the secret to successful trading is the ability to execute a systematic, rules -based, trading strategy that fits your personality. Bruce worked in the engineering field for over 30 years. After selling the consulting engineering company he co-founded he shifted his focus to the world of trading and investments. Bruce saw an opportunity to utilized the analytical engineering mindset to improve investment and trading processes and results. With this goal in mind Bruce founded Voodoo Trading to help others "Trade Like an Engineer" to become a more systematic and profitable trader.

What other Traders are saying........

  • Amazing Course!

    "I have a very limited knowledge about trading. I have been too scared to try trading as I did not understand trading. This course has given me some really great rules, strategies, and information to help me become a successful trader. I am looking forward to backtesting my choices and then start trading! I would highly recommend this course to help you learn more trading strategies and give you the best chance of being a successful trader by consistently applying the rules." - Denise B.

  • Trend Following Course

    "This is an excellent course for people to learn a simple yet an effective way to make money via trend following and not having to be glued to the screen all day long. It takes you step by step to build a simple method to trade/invest in the stock market by following mechanical rules whereby emotion can be removed from it. I recommend this course." - Sergio A.