Search results

So you don't have capital constraints or position limits? Are you indexing momentum as a factor?

@Baron please add this to OP under "what's my goal/why me" My goal with this thread is to help the average retail trader move up the information curve. This will not turn you into a high skilled trader, but it will give you a leg up on the average new hire at an investment bank or hedge fund.

Where did you learn this from? Reposting again for relevance:

Sure if you are pure quant or HFT then you can skip the econ part and start at lesson 3 - market microstructure. :thumbsup:

Yes but you need to know when the regime changes or you will constantly be buying winners just to sell them as the regime changes. This is because momentum in SNs suffer from reversals which can be violent and trend changing. So you need some way to qualify the trend, evaluate volatility in the...

Tom doesn’t really trade. There may have been a time where DeMark was useful, especially given his more thoughtful approach to technical analysis, but this was before computing became cheap enough where anyone can easily run multi-variate analysis in real-time. Using static models and...

The people at Biontech are high up the information curve — higher or at similar levels as Pfizer folks. Most traders on this forum have negative information because of all the BS that is peddled. They are overconfident in their very limited understanding of how markets function and how to spot...

There are lots of different types of institutional investors and each will have their own mandates. Typically, most funds will invest once a stock has launched its IPO, and they may have followed the stock for some time before they enter. There are funds that can invest in pre-IPO companies...

I guess my point is that things like TD indicators don’t really add value and may have a negative impact on your return. I’ll compare a simple pct change vs TD vs pct change + std later and post it.

It's not good or bad but if you see leverage rising to very high levels, you will know that a move down in prices will result in a lot of pain as levered traders unwind positions or blow up.

The beauty about momentum is that you don't need a fancy indicator. A simple ROC will suffice. Assets exhibit autocorrelation, so you can profit by buying a trend. CTAs, which run their strategies almost entirely around trend following, use filters for a reason -- they are much better at...

what I’ve always found interesting was that the simplest indicator (momentum) is the most useful. Yet very few traders here seem to keep it that simple & move on to risk and sizing management.

Then what exactly are we arguing about? I said that fibs have no predictive value, and you’re saying you don’t really use them, so I guess we’re good. :thumbsup:

lol this is also what the book warned against -- overfitting data lol. How about you make the next 10 trades using fibs and then tell me what the win/loss ratio was. Also, your timeframe looks really long for a "trader"....:rolleyes:

Execution management system. It's like the order tool you use, but will typically have a few more features (custom routing, order management, etc.).

You are making an implicit bet that there will be someone for you to sell to at a price better than what you bought it at. What would drive that behavior? If a price is falling, why wouldn't it continue to fall? There must be a perception of value or a characteristic about a future buyer/seller...

Then you missed the entire point of his book, which is that there is little to no predictive value in technical indicators. If you are trading, the best price signal is momentum. In fact, I provided a link to a great paper which details methods that can improve your trend analysis (buy with...

Trading is speculation about what investors will do.

Geez you haven't read many papers before, have you? It's a student research paper under supervision of a professor. Formal hypothesis testing follows a specific format so you can review their methods and findings. I suppose you prefer zodiac symbols, though. You should read this book (but you...

When preparing a trade, my EMS screen has a 2-day 5-min candle chart and market depth to see price, volume, and exchange liquidity. My trades are no longer thaaat big, but sometimes I will still soak up the entire displayed liquidity at marketable prices. For smaller trades, I use the midpoint...