Always Profitable Trading System

flipping burgers and tossing coins are why 90% traders lose money because they are as good as technical and fundamental analysis that rely too much on accuracy/probability/infomation.

There are techniques out there purely based on money management/logical algorithms and not news/charting...true winners
 
Quote from scalpmaster:

There are techniques out there purely based on money management/logical algorithms and not news/charting...true winners
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Theoretically yes, you may be correct. You could profit by just applying money management but you need a huge account. Probability of ruin kills small accounts in favor a larger accounts.

Think of it this way: if we start flipping coins for $1 per flip, and I have just $10 but you have $1,000 you will win eventually regardless of what money management strategy I use.

Ron
 
Quote from ronblack:

Theoretically yes, you may be correct. You could profit by just applying money management but you need a huge account. Probability of ruin kills small accounts in favor a larger accounts.

Think of it this way: if we start flipping coins for $1 per flip, and I have just $10 but you have $1,000 you will win eventually regardless of what money management strategy I use.

Ron
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That's why I said flipping coin and burgers are as bad as FA/TA...

Please invest your $10 in lottery and I will invest my $1000 in
writing a trading book and printing 100 copies(paid by myself)
to display at $50 on consignment in bookshops.

:p :D
 
The simpliest and most reliable way I have found over the last 25 years to weed out the shucksters and thieves , is to just scroll down their webpage and look for the words "simulated or hypothetical results". They are smart enough to cover their ass once you discover the falicies of their grail.
 
So people that believe that the market is random rely upon luck?


Quote from trade4succes:

money management: suppose the market is random, you will always end up around 0% roi, whatever system you might use. add to that risk of ruin.
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Hey! ...you could call it scalpmaster :)


Quote from scalpmaster:

That's why I said flipping coin and burgers are as bad as FA/TA...

Please invest your $10 in lottery and I will invest my $1000 in
writing a trading book and printing 100 copies(paid by myself)
to display at $50 on consignment in bookshops.

:p :D
More...
 
I believe something was discussed like this a long time ago.... if i recall it went something like:

if there is a 50/50 chance of a stock moving up 5 points or down 5 points, applying proper risk management creates a winning system. Stop loss at -1 point; take profit at +2 points.



It got a lot of people thinking...wish I could find the thread.


If this strategy could ever be successful, I think it would work best with option trading. Manage a system based on "hitting homeruns" on highly volitile stocks.:confused:
 
Quote from horribilicus:

You might enjoy researching "Shannon's Demon" on the web. It's an algorithm for making money from a stock whose price is a random walk.
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This seems to be a widely held point of confusion. The expectancy of the so-called "random walk" is hugely positive. There is nothing special about making money on a +EV wager.

Fletch
 
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