Thanks for asking. I trade my own live account. What about you?
Can we talk about day trading?
- Thread starter schizo
- Start date
Well, sure, position sizing is important. But position sizing is like a double-edged sword. It also goes hand in hand with risk management. You can't just increase your position without knowing the risk parameters in advance. Also before you can trade large orders, you really should already have a winning strategy in place. Otherwise, it's just a matter of time before you blow up.
I just have few beliefs about daytrading gained over the years
1. ev=avg win x win% - avg loss x loss%
If you can make this to be positive say after 100 trades executed methodically, you might have something.
2. Breakout is easier than mean reversion.
Breakouts just mean price expansion from beginning of session/day. I don't need to spend too much time figuring out what my "period" should be to get my range. Just find a volatile period and you're likely to make money. Mean reversion is too subjective. The historical price needs to be long enough to get that proper "mean".
3. I prefer stop and reverse than hard stops
I don't know why. I guess I prefer that when I'm wrong, I'm wrong on the direction and that magnitude of the price reversal will tell me that.
4. 1:1 RR, all in and out.
I never caught on to the scaling method. I just swing for the 1st bases consistently (see rule 1)
5. Emotions/psychology
The fuck you worrying about? Set your rules and just follow it. I personally think discretionary trading is a load of bullshit. Follow your rules, or have an algo execute them.
1. ev=avg win x win% - avg loss x loss%
If you can make this to be positive say after 100 trades executed methodically, you might have something.
2. Breakout is easier than mean reversion.
Breakouts just mean price expansion from beginning of session/day. I don't need to spend too much time figuring out what my "period" should be to get my range. Just find a volatile period and you're likely to make money. Mean reversion is too subjective. The historical price needs to be long enough to get that proper "mean".
3. I prefer stop and reverse than hard stops
I don't know why. I guess I prefer that when I'm wrong, I'm wrong on the direction and that magnitude of the price reversal will tell me that.
4. 1:1 RR, all in and out.
I never caught on to the scaling method. I just swing for the 1st bases consistently (see rule 1)
5. Emotions/psychology
The fuck you worrying about? Set your rules and just follow it. I personally think discretionary trading is a load of bullshit. Follow your rules, or have an algo execute them.
Damn, I bet you absolutely HATE choppy days with narrow ranges then. The ol' chop-n'-slop.
Don't vent your anger about the Rams not making the playoffs this year on me. I'm on your side, man! I wanted to see the Rams in the SBowl again, really did! Alas!
That was today. Yet I traded 3200 shares UVXY during its run up this morning. Day trading is great because no overnight gap risk. Not easy tho.
Nice run in bbby
Yes I do. But I have a price 'filter', that kind of saves me from too many chops. Price can do 1 of 3 in breakouts
1. Breaks clean
2. narrow zig zag
3. expanded zig zag
Again, this is why you just don't trade at random times. That's why i like index futures, it's easy to know when to trade, vs say forex