Mi Ahorro is transforming the way we invest. This is all thanks to the advanced Fintech Mi Ahorro implements. Here is a technical breakdown of each algorithm and how it functions.
The momentum bot
Neo is a momentum strategy, aiming to profit on large directional movements trading on a wide variety of assets, which include:
EURNZD, GBPCHF and XAUUSD (gold)
Neo exploits the economic and political differences between these currency pairs, in order to catch large macroeconomic movements in the market. Neo accomplishes this by scouting for patterns that usually present themselves in the early stages of a trend, as well as patterns that present a good opportunity by riding an existing trend. Neo performs exceptionally well when markets are in a state of panic or euphoria. Both of these conditions present excellent opportunities to bank large profits from exaggerated price movements.
The mean-reversion machine
Zen exclusively trades on the AUDNZD AUDCAD and NZDCAD currency pairs.
These currencies share similarities between each other because their economies depend heavily on demand for the commodities they produce. Commodities generally move together as a sector, which leads to a positive correlation between each of these currencies. When this positive correlation is temporarily out of balance our strategy places orders in the direction of the average or mean. This tendency gives Zen a trading edge and allows this algorithm to consistently generate a monthly profit regardless of market conditions.
Once a currency pair becomes overbought or oversold, Zen will begin to scale into a position. The size of the trade depends on the significance of the inefficiency. The larger the imbalance, the higher the probability for a retracement to the mean. All operations that are opened on a particular currency pair are treated by Zen as one large trade and will close together once the target profit is achieved.
The Royal scalper
Rey is a scalping strategy that trades the GBPCAD currency pair. Rey uses two distinct modes of operation that run in tandem at the end of the US trading session and before the Asian session begins. Rey will search for opportunities to scalp during this low volatility period when the UK and Canadian economies are less active. Rey typically places 10-20 trades per week. Trades are usually closed within a few hours of being placed to minimize our exposure and maximize the effectiveness of both strategies.
These three strategies combine to from a powerhouse of performance with each excelling in its own unique trading environment. The result of running Neo, Zen and Rey as a portfolio is less overall risk and a smoother equity curve for more consistent monthly returns and a better overall experience for Mi Ahorro investors.