getting to the bottom of damir00's "random" entry trading

[Gordon Gekko]

i don't care who is saying what or what is being said. if facts support something, i'm open to the idea.

after looking at damir00's journal, it appears he is making money with what he calls "random" entries. for the record, i am not against trading that waits for specific setups or a random entry, if it works. there are many ways to trade. who would be against anything that works?!

anyway, my point of this thread is not to argue with damir00. his "random entry..." turned into a bunch of useless bickering. i tried reading the 90 pages in damir00's journal and i still don't really know what he's doing. i know scaling in/out is part of how he trades and i'm pretty sure he's not afraid to add to a loser. i think he also uses time stops.

well if damir00 doesn't want to spell it out for us, i was thinking we could figure out what he's doing in this thread. i want to know what he's doing and why it works, if it does. i'm sure there are others with an interest, too.

 

[Gordon Gekko]

we can start with some interesting statements by damir00:

Quote from damir00:



i trade on the premise that very people know how little they know.

which is???

Quote from damir00:

pick a random spoos intraday chart from a random number of days ago. pick a random tick on that intraday chart. randomly pick long or short.

now follow that trade out.

the reality of the market is that 99% of ticks will provide both a profitable short AND a profitable long. how much higher probability are you looking for?

you already have what you think you need. the problem isn't finding a way to enter the market - you can enter it anytime you want - the problem is figuruing out how to *exit* the market. anybody - absolutely anybody - can pick successful entry points because almost every entry point has the potential to be a successful entry point.

i agree with him somewhat on this. it does seem true that just about any point could be a successful long or short trade. it's when you exit that determined if it was profitable or not. of course, there are occasions when the market will move from a point and not look back (at least not for a while and sometimes possibly never again).

again, i'm not here to say what he does works or not. if it does, i want to know why. that is the point of this thread.

 

[Gordon Gekko]

here's an interesting exchange from another thread:

Quote from abhay:

So say if S&P closed today @996.

Now tomorrow if S&P goes UP then it will go atleast to 1001 - 1002 and if Market goes down then it will go atleast to 990 given that market moves atleast 6 points in a direction.

So if we blindly place buy order @998 to be sold @1000 or 1001
or on other side blindly place an order to sell @994 (if market moves down) tobe covered @992 or 991 or 990

Quote from damir00:

don't have time to give you details, i'll just say don't be dissuaded by the automatic naysayers, get yourself some historical data, and test this out. alternately, use a minimal amount of capital to forward test it or even paper trade it.

i guarantee you, you will learn something.