Publication date: 27-5-2026
A week in which oil prices plunged, the AEX set a record, and the ECB left interest rates unchanged, but President Lagarde said it has been considering a rate hike. For the watching investor, something like this feels confusing. To an automated trading system, it's just Wednesday. In early April, Brent was quoting around $117 a barrel. A few weeks later, the price is at around $99. At the same time, the AEX tapped a new record high around 1,036 points on May 6. And the ECB? That one kept the deposit rate at 2.00%, but at the same time left itself audibly questioning whether the next move should be up, rather than down. For the watching investor, that's an uncomfortable combination. Energy prices surging on every message from the Middle East. A Dutch stock market at record highs. And a central bank openly discussing the opposite instead of the long-awaited rate cut. That combination raises a natural question: what do you do as an investor with such conflicting signals?
The problem with "doing"
The honest summary of such a week is that most retail investors are doing something wrong. Not because they are stupid, but because it is human. We react to headlines, not data. We buy what went up a few weeks ago and sell what went down a few days ago. We are guided by the latest push notification. An automated trading system doesn't do that. It looks at the rules it follows, at the signals contained in the data, and acts when those rules say something. Not before. Not later. Not harder because the news feels exciting.
Different systems, different reactions
At Systems2follow, fifteen trading systems are currently running side by side, with risk indicators within the S2f scale from 1 (low) to 7 (high) and with widely varying investment instruments: from global equities, to index options on the AEX, to ETFs and buffer ETFs. A few examples of what that means in a week like this. RVM Strategy (risk indicator 1) trades index options on the AEX, based on an algorithm that calculates an upward and downward price target. For this system, an AEX at record highs is not automatically good or bad news - what matters is whether the algorithm sees a valid signal. Global Strategy (risk indicator 4) tracks a global equity portfolio that tries to outperform the index based on technical and fundamental analysis. For this system, months when stocks set records are basically favorable conditions. ProfitShield (risk indicator 1) works with buffer ETFs on the S&P 500 and Nasdaq 100, which cap the upside of returns while providing protection against market declines. For this system, a downturn in oil and an uncertain ECB is less relevant than whether the buffer levels and caps still work. None of these approaches is "the best." They fit different expectations, different risk profiles, and different phases of the market. This is why many S2f followers work with multiple systems simultaneously, not to hit every move at once, but to avoid being dependent on one type of market reaction.
Why this moment matters
What the past few weeks show is that an investor hoping only for one type of move e.g. "oil stays high due to geopolitics" or "ECB is definitely going to cut" has been corrected twice. Oil dropped. The ECB did not lower, and even discussed the opposite, according to Lagarde.
A portfolio of automated systems is not susceptible to that kind of
beliefs. The systems follow what they measure, not what we hope for. That sounds down-to-earth, and it is. But exactly that, in a week like this, is the most value: not joining the panic, and not joining the euphoria.
What this means for our customers
We are getting similar questions this week.
Should I get out now because the AEX is so high?
Should I get in just because oil is dropping again?
And what will the ECB do?
Our answer is the same as always: let the systems do their job. They are not designed to take every top price and bottom. They are designed to deliver net returns over a longer period of time, with a risk profile that fits what you as an investor can handle.
What you can do, however, is check your spread. If you are on one system, then a second system with a different risk indicator or investment vehicle may be a valuable addition. For example, many followers combine a system that trades index options with one that is in stocks or ETFs precisely because they react differently in a week like this.
What's next?
Would you like some input on the composition of your portfolio, or are you curious which systems are best suited to your situation right now?
Click here to schedule a no-obligation consultation
Until the next update.
Team Systems2follow