Quote from bwolinsky:
Well, I had assumed by now I'd have recognition.
But oh well, I'm only better than 97.3% of all traders.
<a href="http://www.collective2.com/cgi-perl/systems.mpl?want=p&systemid=25716110">
<img src="http://www.collective2.com/cgi-perl/badge.mpl?systemid=25716110"/>
</a>
I see no succesful discretionary traders on that site. None, and I welcome anyone who would like to prove otherwise to come on the site.
Quote from bwolinsky:
It's as close to an audit as you're going to see on the net. Think about my system specifically.
What is different between real life and my trades? I place all the orders the night before, and while there might be slippage, do you really think a few cents is going to matter on it? If you wanted to do it that way, then the results are identical if not better than what you'll get, b/c I guarantee I'm not paying 0.015 through IB to do my trades, and that's cost me over $10,000 of commission. I can tell you I've paid nowhere close to that, so it is extremely accurate and even a pessimistic estimate having exorbitant commissions plugged in.
Quote from Mav88:
Trading systems are built by people and a set of rules created by people is completely arbitrary, that is- they are discretionary.
Applying the exact same set of rules over and over again is called consistency, but the rules themselves are discretionary. It is by no means the holy grail to profitability since markets change over time.
Quote from ivanbaj:
Agree 100%.
If the coder has never achieved discretionary trading competence, than his algo will not work for long.
IMO, algos work when used to automate the entries and exists of a successful discretionary trader.
IMHO, This was the best response to the OP's question. There are days when external events quickly take the wind out of your sails and there isn't much you can do about it. When it happens, I do my best to get back as much of it as possible but I make sure not to dig the hole much deeper. It's part of doing business and it just happens.Quote from TraDaToR:
It depends if the - 4K day came out of an extraordinary event, like a fat finger or a surprise rate cut...In this case, you can maintain the same size, it just happens from time to time...
If you bleeded all day long and possibly felt that conditions are now different, you'd better pay attention.
Quote from nukethewhales31:
doesnt apply to all styles statistical traders will use stops that are proven to work well for the currency historically and also take profits... entrances as well.. not really any discretion but i do agree that it does apply to almost every other.