SysCW: Fraud or Failsafe? (Part 3)

I am wrapping up this long series on CC/CSP trading with a focus on Rich MacDuff’s SysCW trading service.

I continue with content from the SysCW on-line forum.
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> Why not just start small with 10 positions and do ten buy-writes and see
> how it works for you and then slowly graduate into more… and once you
> have experience with selling calls than learn about collars and adjusting
> trades along the way to create a money machine.

I don’t believe there is any such thing as a “money machine” in the world of trading. You are going to have good times and periods of loss. If you never have a big loss then you’re extremely lucky (i.e. people do occasionally win the lottery) and perhaps more hobbyist than someone who trades full-time for a living. Never expect a money machine despite what select proprietors tell you. That encourages trading too large, which can put yourself at great risk for catastrophic loss.

> It becomes really fun and very simple after awhile.

Everything about CCs and CSPs has been fun over the last few years. Same goes for pretty much long anything. What matters with regard to a viable strategy is how it fares during the toughest of times. The toughest of times are easily “out of sight, out of mind” when the going is good. When the going is good, the toughest of times are hard to remember or recreate but this is precisely what we must do when properly researching a trading system.

> Sorry if I didn’t answer your questions. I’m sure Rich will chime in.
> But it sounds like fear is your greatest concern.

Fear should be everyone’s greatest concern until all moving parts are identified, pieced together, and making sense.
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My goal is not to debunk SysCW. My goal is to better understand it and put myself in a good position to evaluate its merits as a comprehensive trading system.

I encourage you to explore and to do the same.