Counter Trend Index Options Strategy

[rajesheck]

Do I have to sign up and use Snapquote or can I get the info from my trading platform?

Its always inbuilt info inside your trading platform.

At last i remembered it's terminology : "Market Depth"
http://www.investopedia.com/terms/m/marketdepth.asp

 

[rajesheck]

Trading "Edge" is more in psychology and less about technicalities.

This strategy has that "Edge" of trading psychology. An Edge that improves the success rate decently.

Trading is psychological skill to read the psychological war between speculators and market.

This is reflected in the strategy to get that unfair edge over the rest of the world of traders

 

[d08]

Another cool newbie. "Demand data" or rather DOM feeds are definitely available for back testing, how do you think HFT firms build their models? You're trading on hope and prayer, good luck.

 

[rajesheck]

Another cool newbie. "Demand data" or rather DOM feeds are definitely available for back testing, how do you think HFT firms build their models? You're trading on hope and prayer, good luck.

Thanks for the info

In countries like India, automation is still in prematured stage !

 

[d08]

Thanks for the info

In countries like India, automation is still in prematured stage !

False, just yesterday I was reading how India has the greatest amount of HFT trading in all of developing countries markets. It's a very popular area in India. Think of HFT as automation on illegal steroids.

 

[lawrence-lugar]

Think of HFT as automation on illegal steroids.

...HFT and "steroids" returns in the same sentence sounds like an oxymoron;
HFT firms make an extremely tiny % of a return

 

[rajesheck]

False, just yesterday I was reading how India has the greatest amount of HFT trading in all of developing countries markets. It's a very popular area in India. Think of HFT as automation on illegal steroids.

By "prematured" I mean to say that in India automation is virtually not available for regular retail traders for two reasons:
1. Retail traders have to write exam conducted by Exchange and get certified for automation
2. Automation cost is too high for an average trader in India

 

[d08]

...HFT and "steroids" returns in the same sentence sounds like an oxymoron;
HFT firms make an extremely tiny % of a return

Not true at all. If I take 1 cent profits all day in thousands of equities, I will return thousand percent returns. One trade doesn't matter at all.

 

[d08]

By "prematured" I mean to say that in India automation is virtually not available for regular retail traders for two reasons:
1. Retail traders have to write exam conducted by Exchange and get certified for automation
2. Automation cost is too high for an average trader in India

How would they know if you're using a broker like IB and their API to trade? Pretty sure you don't need any certification for that.

 

[rajesheck]

Let me get straight. BROAD market knowledge had got NOTHING to do with ROI. What is needed to generate profits is DEEP trading skills.

I am NOT A BIG FAN of BROAD knowledge. I am a trader with only DEEP trading skills which i am proud of.

I see trading forums flooded with knowledgeable people. Its natural for them to be proud of their knowledge.

What these people "Dont Know That They Dont know" is market knowledge alone is useless in trading.

More we acquire knowledge, more we get into "analysis paralysis".
More we develop skills, more we know what to do with the knowledge.

Feel free to read my thread on "Trading Knowledge VS Trading Skill"
http://www.elitetrader.com/et/index.php?threads/trading-knowledge-vs-trading-skillset.298662/