Search results

Your formula is completely different from the definitions that I've found on financial sites (which universally define it as expected return divided by standard deviation). Do most traders on this forum define risk/reward ratio the same way as fan27? I hope I'm not drilling an irrelevant...

I've seen references to a 3-to-1 risk/reward ratio as a good target in several posts (for example: http://www.elitetrader.com/vb/showthread.php?s=&threadid=14617&highlight=risk+reward+ratio). The definition I found was to divide the expected return by the std dev, which means that people...

rlb, I'd agree with most of your points, except for the last. A little too much idealistic commune mumbo jumbo for me. I think in the end the vast majority of ideas that are posted are brainstorms that haven't been refined or meaningfully tested. The posters are looking for any kind...

Surprised that not very many have posted their results. I for one would want to let everyone know my performance if I were doing well. (I don't even have a system yet, which is why I'm not posting anything :D) Must mean that most members of the forum have not been profitable. Thoughts?

So how to explain then the results of the poll? My guess is that above ego, there is a free loader problem. No one wants to post on a site open to the world a successful strategy that took months to develop if it's uncertain that he/she would get the same benefit in return from the rest of the...

Maybe in most cases either ego or cynicism tend to overweigh any desire for a quick buck (particularly for more experienced traders). If someone were to post a successful mechanical system, the egotistical traders will discount it because they feel that their respective methodologies are...

Not sure if this necessarily true. The pre-earnings swing play is a classic example. Before it became conventional wisdom, professional traders were making a fortune buying a couple of weeks before earnings and selling just before or after the release. But, as more people learned of the...

Glad to know I'm not the only skeptic out there. My guess is that while most people would like to find the holy grail through these forums, you can only count on advice for more practical items (what software to use, tax preparation tricks, etc.) and to find like minded people to shoot the sh*t...

Curious as to why someone would post the mechanics of their strategy on forums such as these. My first impulse, if I had a working system, would be to keep it under wraps since if too many traders found out about it, it would quickly dissipate the effects of the system.

I'm still working on my own system, and hope to include it as a journal some day on this forum. I wanted to ask traders out there, though, what kind of real returns have people been experiencing? I'm a swing trader, and I'm trying to target a .5%-1.0% return per trade (net of commissions)...

I appreciate it :)

I'm a novice swing trader using Scottrade, but I'm looking to switch to IB primarily for execution speed (I typically do all my trades as close to end of day as possible) and low commission rates. One of my biggest problems with Scottrade is that I short frequently, and Scottrade is usually...