Reducing the number of trades

Hello All,

Currently, I have developed a mechanical system which is generating more trades than I have capital for.

Consequently, I am now investigating different approaches that I can take to reduce the number of trades which are being generated. In reducing the number of trades, the idea will be to increase the number of successful trades by filtering those which have the highest chance of becoming profitable.

Has anyone gone through a similar process and if so, what suggestions would you recommend?

Many Thanks in advance,

Is it forex? If so, work out which pairs seem to work best for your system. If it's indices then work out which time things work better for you. Stock? Which sectors? etc etc.

It helps if you're recording all trades taken and their outcomes.

Search for a distinction between best trades and normal trades (test it for robustness of course).

Thanks for the comments.

I'm trading Stocks and my universe is the FTSE250. The sector idea is interesting but the concern I have is that IMO selecting specific sectors would cause curve-fitting and as such there might be more chance of the strategy breaking down in the future.

My universe is the FTSE250 and the timeframe which I'll be trading is Weekly.

Even though your suggestions are great examples, what I'm ideally looking for is something which wouldn't normally be used as an entry condition.

One example I had was to use something similar to the "Bang for Buck" indicator as mentioned in a few published books. (For those unfamiliar with it, it is used to monitor volatility of a stock).

What I'm looking for are other such ideas which wouldn't normally be considered...