Design trading systems or trading strategies employed by traders, have to leave the base to be objective and not let the possibility of subjective interpretations affecting when operating.

Systems or strategies both operational manual and systematic operation must be clear and concise, considering all the possible variables that can occur in the market.

If you reach a certain profit liquidate the position if it reaches a stop loss run without delay and be fully autonomous if possible be affected by news or situations volatility, lateral movements, etc.

This is the basis and the most difficult to fulfill, to define in writing the strategy and its possible situations. Once determined all these points, it is time to start operating not earlier, otherwise stress the trader and the different threats lead to ruin any chance of success as investors.

Increasingly, we are seeing that the quantitative algorithms are being implemented in all kinds of investment in both equity and fixed income structuring investment funds, a totally unthinkable years ago.

This suggests that something will be, to have quantified the potential risk to be assumed and if once reached liquidate the position without hesitation and the next.

The same is true on the other side of the balance when consolidating the gains, once labeled a priori the position is liquidated, without expecting new highs that usually fail and instead are turned, taking land the achievements .

With the new financial instruments and short positions that allow, trading systems are created, both upward and downward, following the famous premise that the trend is our friend, and even new strategy is introduced, anti-trend, closing gaps, overbought or oversold market to take advantage of those turns that occur once saturated the market and that usually tend to be very sharp with great potential for trading in the short term.

Both of these ways clearly trending markets as the sides, the latter tend to be longer periods with large drawdowns lost by accumulation of small prey.

Another point to consider in trading systems are the ratios of successes against losses, the ideal is to find strategies that their statistical structure are at least three to one or higher, otherwise psychologically affect a lot and be very hard to hold confidence in them, although they can be profitable.