Robert Carver's Advanced Futures Trading Strategies is a comprehensive practical guide featuring 30 fully tested strategies across more than 100 tradable instruments. As a former AHL hedge fund manager, Carver moves beyond theory to provide a systematic framework for independent traders. Core Trading Philosophies Systematic Over Discretionary
(Note: 16 is the approximate square root of 256 trading days, used to de-annualize volatility). Step 3: Calculate Volatility-Adjusted Position Size
Decide on an annualized risk target for your total portfolio (e.g., 12% annualized volatility).
: Detailed sections on the "plumbing" of futures trading, such as optimal execution , cash management, and when to roll contracts. Core Strategy Categories advanced futures trading strategies robert carver pdf
This is Carver’s signature advanced concept. A standard trader buys 1 Crude contract (approx. $10k risk per $1 move). Carver calculates "risk per contract" using ATR or standard deviation.
Instead of using aggressive market orders, advanced systematic traders use passive limit orders or time-weighted average price (TWAP) algorithms to accumulate or distribute positions slowly.
If a market's volatility doubles, the system automatically halves the position size. This ensures that every asset in the portfolio contributes an equal amount of risk, preventing highly volatile instruments (like Natural Gas) from overwhelming lower-volatility instruments (like Eurodollars). The Instrument Weights Matrix Robert Carver's Advanced Futures Trading Strategies is a
You need a rule that tells you when to buy or sell. A simple example is a Moving Average Crossover. You might buy when the 16-day average price crosses above the 64-day average price. 2. The Position Size (The Amount)
By treating futures trading as an exercise in accounting, statistics, and risk management rather than a search for the perfect entry candle, traders can build a robust system capable of weathering any market regime.
Most retail traders use time series momentum (Is Gold up? Buy Gold). Carver advocates for cross-sectional momentum within futures sectors. A standard trader buys 1 Crude contract (approx
The book categorises strategies into five distinct logical groups:
: Standard and advanced methods for capturing price momentum.
Back-month is more expensive than front-month. Short sellers gain a structural edge; long traders suffer a roll loss.