Renko Day Trading System Week One

The 2 videos below discuss two renko day trading system trade swings from 4/11/2014, and where I am with the system after the first full week of trading.

The first swing was selected, because it is a textbook example of the strength of the trading system.  The trades were a combination of a band extreme reverse, followed by 2 renko midline reject addons.

The second swing was selected, because it was a difficult trading period that would have been a loss.  But the period began with a band extreme reverse and a renko addon that was bigger than the losing trades.

Renko Day Trading System Strengths

Renko Trading System8

Renko Trading System9

First Week Of Trading The Renko System

As mentioned above, these videos come after my first full week of using the renko day trading system – note that all trading has been done on the emini dow future.

It has been a profitable week, especially due to the strengths of the system:

  • The system win:loss has been greater than 50%
  • The average win size has been greater than the average loss size
  • The bigger trades often include a profitable addon, so the overall profit is maximized from increased trading size
  • NOTE:  I have continued to eliminate the band extreme reverse-renko resumption reverse combination, when they occur on consecutive bricks

Two things in the trading system that I would still like to resolve:

  • If a trade goes 4 bricks and is followed by a counter brick a partial profit is indicated – however, using completed bricks makes this partial only 8 points
  • The swings that go 5+ bricks and never have a system entry
    • I am looking at adding a renko 3 brick base setup to the trading system

At this point, I am happy with the results from this first week and am ready to release the trading system.  I now plan to do a series of renko trading system rules videos, a group training system discussing the rules and answer any questions, and then send out the system trading indicators.

I do have to say that I am still going back and forth between system trading a renko 4 brick and renko 5 brick.  There are trade-offs and benefits for each brick size and one week of trading hasn’t been enough to make a final decision – I can see that trading either brick size would have been profitable.