Anyone can be lucky enough to find an edge, but few can figure out how to build real long lasting wealth. That's why you diversify when things are good. Buy non-correlated assests. Apartment blocks, rentals, gas stations, car washes, coin laundry, partnerships in franchise restaurants, oil wells, farm land and lease it out, Buy anything and everything that produces an income outside of trading. Buy with bank loans and in separate corporate entities.
2012: The Battle for Survival
- Thread starter neke
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Anyone can be lucky enough to find an edge, but few can figure out how to build real long lasting wealth. That's why you diversify when things are good. Buy non-correlated assests. Apartment blocks, rentals, gas stations, car washes, coin laundry, partnerships in franchise restaurants, oil wells, farm land and lease it out, Buy anything and everything that produces an income outside of trading. Buy with bank loans and in separate corporate entities.
I agree, but the trick (a very big trick) is to make enough from trading to diversify.
Actually I can't identify a time period in which traders didn't lament
" Market is different now".
Even during the dot com boom.
Weekly Update for week 20/50 ended 6/2/2012
Negative week, down 2K. gave back last week's moderate gain. Too much interference with my automation - closing out positions manually out of fear of losing. Not good for performance. There is some kind of vicious cycle when there is no buffer of gains to play with. Took out 4K for the month ended 5/31/2012.
For the four weeks 5/5/2012 - 6/2/2012, lost 10K against a target of +6K. Dismal performance no doubt capped by the loss on uncovered option two weeks ago. Sizing for the next four weeks (6/3/2012 - 7/1/2012) will be reduced by 33% - max option size now set at 2%. Target will be a measly 3K. The emphasis now is to turn a profitable month no matter how small. Need some steadying of the ship and some shot of confidence.
Negative week, down 2K. gave back last week's moderate gain. Too much interference with my automation - closing out positions manually out of fear of losing. Not good for performance. There is some kind of vicious cycle when there is no buffer of gains to play with. Took out 4K for the month ended 5/31/2012.
For the four weeks 5/5/2012 - 6/2/2012, lost 10K against a target of +6K. Dismal performance no doubt capped by the loss on uncovered option two weeks ago. Sizing for the next four weeks (6/3/2012 - 7/1/2012) will be reduced by 33% - max option size now set at 2%. Target will be a measly 3K. The emphasis now is to turn a profitable month no matter how small. Need some steadying of the ship and some shot of confidence.
Code:
Opening Balance: 149,462
Net loss for the week (2,042)
Cash Withdrawal (4,000)
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Net Balance: 143,420
Since Inception of Thread 01/18/2012 - 06/02/2012
Opening Balance: 203,729
Net loss (33,309)(Down 16%)
Cash Withdrawal (27,000)
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Net Balance 143,420Here is what you said just two weeks ago:
"So finally I am putting a complete STOP on ALL DISCRETIONARY trading during the trading day.".
If you have a problem interfering with your automation, make it impossible to interfere. That's how I run it: there is no option to initiate or close the trades.
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