Adrian Reid's Freight Train system holds stocks in sustained uptrends for months to years. One trade rose from $7 to $150. The system makes most of its money from the biggest, longest-lasting moves.
Freight Train is a pretty long term trend following system. If you run a backtest in amibroker and you look at the, the backtest report, it'll tell you the average duration of all trades, the average duration of winners and the average duration of losers. The average duration of winners is actually really long.
The way it makes its money is you, you get into stocks that are going up and you hold them for as long as they keep going up in the long term trend, right? And so that could be months or even a year or more. So my very best trade, like the biggest returning trade I ever had in stocks, the stock went from about $7 to about $150, give or take, which is, you know, I mean that's life changing money. It's, it's unbelievable. At the end of that trade, the fluctuations in that one stock in dollar terms were bigger than my entire account at the beginning of that trade. That's how, that's how much that it grew. And that was a long term trend following trade. Much like Freight Train. Not exactly Freight Train, but very, very similar.
So it makes money with the very biggest, longest moves.
A lot of trades that might go for a couple of days, couple of weeks and then get stopped out or exit and they're going to be kind of, you know, a little bit, little loss, little gain. They kind of knit each other out. But the real money comes from the long, long term ones that you'll hold for months.
