1% a day consistently: possible?

1% a day consistently, no down weeks: possible?

  • Yes

    Votes: 58 47.9%

  • No

    Votes: 63 52.1%
  • Total voters
    121
  • Poll closed .
So if I trade Forex and there are 365 days of trading...If I AVERAGE 1% per day it would be like this:

If one starts with 100k on Jan 01, 2006.
and on Dec 31, 2006 he has a NAV of 465k...

isn't this a yield of 365%? represented annually. which would be the 1% a day mark...?
 
1% a day? Don't make me laugh. I've averaged 10% a day for the last year. My worst drawdown is 0.5%. I started with $10K and, after numerous withdrawals, my net worth is about $200 trillion.

Don't ask me to prove this because I won't. You just have to take my word for it.
 
Quote from ElectricSavant:

If my above post is true, then I put to you Romik this question?

Is this what you can achieve?

Please excuse for the redundancy...

Michael B.
More...

So far it's working, that' all I can tell you. I am not asking you to believe me, it's upto you. If I were you, maybe I wouldn't believe this statement also. I believe you can't do it though and that's a credit to me.
 
Romik,

Good Trading to you...

Throw some real money at it and take it while you can...

Michael B.


Quote from romik:

So far it's working, that' all I can tell you. I am not asking you to believe me, it's upto you. If I were you, maybe I wouldn't believe this statement also. I believe you can't do it though and that's a credit to me.
More...
 
It is not 'perceived' it is real. Take almost any portfolio and you will see that it's variance increases linearly with the amount of time you are holding it.

Yes, day trading auto-strategies will 'bleed slowly'.. and I can't speak for other strategies.. but my system knows its own performance characteristics very well and it will cease trading if it deviates from them for any significant amount of time.


Quote from Bitstream:

investing long term is a 'perceived' risk imo; much riskier to daytrade any strategy, where your acc will usually slowly but surely be depleted. arguments can be made in favor of investing after looking at long term approaches returns/blow outs against those for daytrading.
rarely a daytrader can be profitable and very often his acc goes belly up, not so when investing although the exposure to risk is greater, it doesn't necessary translate into huge and more consistent losses.
More...
 
Stephen,

Good thread. If you've backtested thoroughly, are comfortable with the historical drawdowns of your system, and find that your slippage/fills are within your expected tolerances, then yes, I think you can approach/achieve/exceed 250% per year. The limiting factors as I see them are as follows (and in this order):

1. Account size - $100k and under gives you the best chance of executing according to plan. As you trade larger amounts, your fills, and slippage will start to vary from expectations.

2. Psychology - the trader/system designer is often the biggest variable in the system. Can you keep trading when you are at the limits of your expected drawdown? Are you thoroughly familiar with the characteristics of your equity curve?

3. Robustness of strategy over time and markets

4. Frequency of trading opportunities

I don't see compounding as an issue, as the practical aspects of trading ever larger sizes would quickly hit a wall in terms of actual execution and market impact.

Your initial post shows that you're on to something. Have faith, and prove it to yourself. It's not easy, but it's possible.
 
Quote from stephencrowley:

It is not 'perceived' it is real. Take almost any portfolio and you will see that it's variance increases linearly with the amount of time you are holding it.

Yes, day trading auto-strategies will 'bleed slowly'.. and I can't speak for other strategies.. but my system knows its own performance characteristics very well and it will cease trading if it deviates from them for any significant amount of time.
More...

As I stated earlier a bunch of diff investors I know pretty well, who once they invested in the mkt rotating pos 1-2times a yr and then switched to online access trading suffered a performance deterioration that was directly proportional with the quantity of trades they opened and closed, at the point of no return in most cases...also I read a comprehensive documented research into traders behaviors when switching from placing their orders by phone to high frequency electronic trading and the results were staggering...almost 80% of them experienced a substantial deterioration in the overall performance achieved when operating via telephone, and never got back either to match past returns or to interact with their broker by phone.
 
Quote from stephencrowley:

It is not 'perceived' it is real. Take almost any portfolio and you will see that it's variance increases linearly with the amount of time you are holding it.
More...
But isn't variance as risk a moot point in this context? The variance increases because price moves over time. If it moves in the direction of your trade, I think you would welcome this variance. If price has little or no variance, then the portfolio has little or no return (excluding options and/or hedging strategies, of which I know next to nothing about).

As an aside, I trade intraday. However, I think your statement is a bit of a red herring.
 
Are you kidding me? Obviously you cant just take some old strategy and "turn it to high frequency". That doesn't even make sense and is in no way a valid indictment of "high frequency" stragies, as if there were only 1 type of intraday strategy.

Quote from Bitstream:

As I stated earlier a bunch of diff investors I know pretty well, who once they invested in the mkt rotating pos 1-2times a yr and then switched to online access trading suffered a performance deterioration that was directly proportional with the quantity of trades they opened and closed, at the point of no return in most cases...also I read a comprehensive documented research into traders behaviors when switching from placing their orders by phone to high frequency electronic trading and the results were staggering...almost 80% of them experienced a substantial deterioration in the overall performance achieved when operating via telephone, and never got back either to match past returns or to interact with their broker by phone.
More...
 
You must log in or register to reply here.
Back
Top