Elite Trader's Gambler's Anonymous ETGA

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Here is even a better brainstormer...

Take all those pairs and put a long period WMA on the weekly from 1992. Then go long with those 50 pip increments & targets on the ones that trend up, and go short on the vice versa....

This has been suggested in a PM to me, or on one of the Forums (I can't rememeber).

Michael B.
 
You can't do it in Oanda..You need a subaccount which creates extra calculations. So it is possible, I suppose.


Quote from jasonjm:

why no long and short in the same pair?

can someone explain in simple terms why this would be bad?

why not just do the long side of the trades in one account and the short side of eurusd in another account?
More...
 
well, the range from .8222 to 1.4472, with positions in 50pip increments, is 393,750 pips in unrealized if all are held.

Over a 10yr span, you would need to average 39,375 pips per year, or 164 pips per day (assuming 240 trading days) in order to breakeven.

Seems like a lot of work to breakeven!
:D
 
I believe, Sympatico has traded this and has done so for over a year. I just am not smart enough to figure it out. Perhaps what Mogul has posted is true. It seems reasonable.

I still am studying this and maybe something will come to me (it sometimes takes years, while others make a fortune).

Meanwhile when positive parity is reached, I will decide if I will continue with new ideas or end this Journal.

Thank you all for reading and I open this Journal up to all of you for reflection and thoughts on both systems.

I feel I am real close to removing gambling from trading, and no reason to feel sad. I need some more brain power...perhaps some more vitamin b-12 will do. :)

Michael B.
 
Quote from jasonjm:

why no long and short in the same pair?

can someone explain in simple terms why this would be bad?

why not just do the long side of the trades in one account and the short side of eurusd in another account?
More...

Call it opportunity cost.

Go long 1000$ and then hedge yourself short 1000$. The pair goes up, why on hell didn't you go long 2000$?? You cut your return in half, eat half of your capital to unproductive means.

Hedging is good to reduce risk, but i find it a rather expensive way to do things.

The best way to make money is still to pick the absolute bottom, go all-in and let it ride. Anything less than that is done to reduce risk, and so it comes with a price. It's not a bad thing, but you got to know that you will make less money (and lose less) than you could.

And with all due respect to Electric, this system is very vulnerable to trends. I'd say about 100% chances that your unrealised P/L climb to the roof one of these days. One improvement would be to find a way to pick the right time to close bad positions, when they are less expensive.

Other than that, i like your system. May be i'll incorporate some concepts in mine.
 
I have received nothing but kind words from the community. This was well worth it.

Thanks max.

Michael B.


Quote from Maxprofit$:

Call it opportunity cost.

Go long 1000$ and then hedge yourself short 1000$. The pair goes up, why on hell didn't you go long 2000$?? You cut your return in half, eat half of your capital to unproductive means.

Hedging is good to reduce risk, but i find it a rather expensive way to do things.

The best way to make money is still to pick the absolute bottom, go all-in and let it ride. Anything less than that is done to reduce risk, and so it comes with a price. It's not a bad thing, but you got to know that you will make less money (and lose less) than you could.

And with all due respect to Electric, this system is very vulnerable to trends. I'd say about 100% chances that your unrealised P/L climb to the roof one of these days. One improvement would be to find a way to pick the right time to close bad positions, when they are less expensive.

Other than that, i like your system. May be i'll incorporate some concepts in mine.
More...
 
The Journal will continue.

I have dialed down the variable trade ticket to take effect after 17:00 or 17:15 est today (according to when Oanda posts the interest to the accounts). The variable trade ticket will be halved(see capsule 4 )

I am looking at adjusting the trade increments now, but have not decided. Pivot Points are currently being used on the previous days bar. There is not a new pivot point drawn if closer than 10 pips. I am considering to change that "10 pip rule" to a "20 pip rule". Any comments?

With all the help I am receiving I am determined to remove the "gamble" from this. I had a very confusing talk with Sympatico last night in Oanda. He truly is the master of this system, but we are on our own to discover how and when to accelerate increments and to implore multiple pairs without diluting the performance. If any of you plain speakers can help explain...chime in by all means...

I am trying to achieve less labor and have procrastinated the use of more pairs. I am told that 5k is not enough initial capital to cover the labor costs....We shall see if the trade increments can be modified...Weekly Pivots really space it out, but I think the loss of profit on the wider flow and the cost of carry need to be examined.

Michael B.
 
I'm afraid Electric is in deep now...

A retrace up to the top will be needed to reset all these resting orders to his new settings....If not the reductions will not cover the magnification of the resting orders.

This is gamblers anonymous?


Wifey
 
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