Adrian Reid shows how to cut slippage in half by running the same trading system twice daily, once at market open and once at close. Splitting trades across the day reduces the price movement between signal and execution. Most trend-following systems are robust enough to handle the timing shift.
I want to give you one of the simplest tricks to reducing your slippage dramatically, and it's dead easy. Are you ready for it? You could trade exactly the same system, market on open, market on close, two versions of the system. You're reducing your slippage. Yeah, and that's actually a really easy solution, right? Very easy to backtest. Most of the trend following systems, at least, are going to be robust to that. So you could very easily split it in half and know you're going to take the same trades, but at different times a day and you're reducing your slippage. There's a 30-second trading tip for you that can really improve your results. If you want more trading tips like that, give this video a like so that you don't miss the next one and go to enlightenedstocktrading.com/free to download your free resources to improve your trading today.
