Have you had more success with systematic trading, or discretionary trading?

[murray t turtle]

Most successful discretionary traders have a system that follow religiously.
When the system is matured it can be automated.
I don't really know how someone could trade without a system or some kind of a plan.

%%
Good trend comment/trend addict[TA] LOL.
NOT sure one could automate this discretionary pattern, but anything is possible.
Part female pattern, part joke, part wisdom;
LBR noted this one.
One trader bought home a $199 .00 can of sardines \;
his wife warned him about bringing home a can of stinking sardines ;
those sardines are for trading/ not to bring home. Fish really is brain food.

 

[mikeriley]

This is a misleading premise. Many people think they have a "system" but what they have are a bunch of ill-defined rules, that are not actually rules at all, but more like guidelines. (is that a quote from some comedy movie?)

"Clearly defined ruleset" are scriptable-able. If they are not, then by definition, they are not clearly defined. And-Or worse, they are incomplete, meaning there are cases where there are no existing rules but should be.

One can't actually backtest, in a meaningful way, these ill defined "system".

I would council the OP to actually write up some rules in a scripting language:

When and how to enter.
When and how to exit.

Probably it will be an eye opener that these "Clearly Defined Rules", are so badly defined that they are incomplete (leave out too many situations), or so basic, they have no reasonable profit.

Another thing is these rules are usually created by cherry picking a few setups that had positive outcomes. That leaves out when they: go straight to negative, when they go negative and then recover, or are positive and then go negative, or go nowhere and the market closes.

Do your "rules" cover all those situations? If not there is work to be done.

OTH, just go discretionary, and pretend that you are experienced enough, technically, logistically, operationally and emotionally to master it. Then, try to sustain it for a couple of years. Not recommended for full time serious traders except as a "tour of duty" with support.

Some of us ill-defined discretionary traders average $500/day
Your diatribe was complete nonsense. Why do you have negative animosity
towards discretionary traders?

Apparently you have no idea, that FORWARD TESTING is 1000%
better than any back testing software, and actually teaches a trader
how to trade their chosen market. It actually TAKES WORK, HARD ASS WORK
TO DEVELOP A WINNING EDGE FORWARD TESTING.

Takes no work to use a back testing machine, that millions are using
and still unable to gain an edge.

 

[virtusa]

Some of us ill-defined discretionary traders average $500/day
Your diatribe was complete nonsense. Why do you have negative animosity
towards discretionary traders?

Apparently you have no idea, that FORWARD TESTING is 1000%
better than any back testing software, and actually teaches a trader
how to trade their chosen market. It actually TAKES WORK, HARD ASS WORK
TO DEVELOP A WINNING EDGE FORWARD TESTING.

Takes no work to use a back testing machine, that millions are using
and still unable to gain an edge.

I know several computer nerds that think that a pc can make them money. As I know some of these nerds, I saw that they have no clue what trading is, neither what the market does, neither where to start from. They just pick some indicators and let it run with various parameters, hoping they will catch profits. What they catch is a system that worked in past but never worked in real trading. They even don't understand that optimizing past date only affects past results.

Many times they ask me: where do I start? What shouldI do?
That confirms my POV.

 

[PPC]

I know several computer nerds that think that a pc can make them money. As I know some of these nerds, I saw that they have no clue what trading is, neither what the market does, neither where to start from. They just pick some indicators and let it run with various parameters, hoping they will catch profits. What they catch is a system that worked in past but never worked in real trading. They even don't understand that optimizing past date only affects past results.

Many times they ask me: where do I start? What shouldI do?
That confirms my POV.

Totally agree with you.

As a general rule, those who have not learned how to read and trade the market have no other choice (apart from quitting or selling courses) than to build computerized systems which make very little money and have large drawdowns.

However, there is nothing wrong with any approach. A hybrid method works quite well and fits many people.

Whatever fits one personality is the way to go.

 

[traider]

Both approaches are making good money

 

[deaddog]

It can probably be partially automated.

Just like defining all the rules for driving a car is impossible.

And I was under the impression that self driving cars were just around the corner.

 

[virtusa]

And I was under the impression that self driving cars were just around the corner.

Nearly 400 car crashes in 11 months involved automated tech, companies tell regulators


Map shows every crash involving driverless cars in San Francisco

 

[deaddog]

Nearly 400 car crashes in 11 months involved automated tech, companies tell regulators


Map shows every crash involving driverless cars in San Francisco

I said just around the corner.

Just the fact that driverless cars are on the road today means that you can program a car to be driven.

No mention of how many crashes drivers had or how many driverless car crashes were caused by cars with drivers.

 

[murray t turtle]

Trade plan, system, logic, whatever you called it, everyone has one. It is not randomized entry or exit.

%%
GOOD drive, some Indians actually could shoot a bear or bison off a horse;
I like a .30-06,Remington, myself moves about 3,000+/ fps.
Driveless or driverless cars are driven less now, news reporter noted people dont like them + some put traffic cones on them\ another algo blow Up..............................................
One lady asked something like ''is that 3,000 fps plus 1''??
NO its 3,000 more or less

 

[TheDawn]

Have you had more success with systematic trading, or discretionary trading?

Systematic trading all the way!!

Systematic trading allows you to have effective control of risk which is the most important aspect of trading and with clear profit objectives on a systematic and sustainable basis. And most important of all, it takes the emotion out of trading so you won't hesitate to enter a potentially profitable trade at a relatively attractive price or exist a losing trade at a relatively favourable price that still does not result in much losses.

Discretionary trading can still be implemented if needed but it should be only in the context of and within the framework established by the systematic trading.