...to be semi-serious for a demi-moment, I have several robust mechanical systems that net chump change (about 2.5-3 NQ points) per trade, trading maybe every other day for maybe 30 minutes each. What I am looking for from this illustrious group of posters is ideas about how to design systems which trade all day every day, or more often than that if possible. Jack's approach IMO holds the most promise. Last night I proved to my own dissatisfaction that Voodoo-Jack doesn't work. That's why I was so pleased today with the performance of Jack-Off.
Hypostomus Tests Jack
- Thread starter hypostomus
- Start date
Grabbing any short-term time frame is just like grabbing a live wire...it is hotter than Hades if you aren't prepared to handle it properly.
Automating anything tradable should embrace the concepts of simplicity and repeatability. It reads like you have a system that is presently working somewhat like a frog works. If something draws near of the approximate size of a flying bug it snatches if from the air. If something passes by that is of any other size it ignores it or prepares to flee if threatened.
Maybe I'll see you around again, I have to go, now.
Automating anything tradable should embrace the concepts of simplicity and repeatability. It reads like you have a system that is presently working somewhat like a frog works. If something draws near of the approximate size of a flying bug it snatches if from the air. If something passes by that is of any other size it ignores it or prepares to flee if threatened.
Maybe I'll see you around again, I have to go, now.
...I believe that you are exactly right about my pitiful little systems. Without getting proprietary, can you give me an example of something that is "simple and repeatable." I disciple as well as I guru. Thanks.
Frogs? Way too much sexual inuendo?
OK ok wait a minute here... I think at this point in this thread
there shall be no more cheap shots about Jack and his methods
being obtuse
bdixon - I believe what you are suggesting is to scalp the
would-be scalpers... any general approach to share on this?
JT
OK ok wait a minute here... I think at this point in this thread
there shall be no more cheap shots about Jack and his methods
being obtuse
bdixon - I believe what you are suggesting is to scalp the
would-be scalpers... any general approach to share on this?
JT
What I was refering to was my characterization of hypostomus' current portfolio of systems. If he has a system that captures one aspect of market behavior profitably, my suggestion would be to look for similar systems. By increasing his portfolio of systems he has more opportunity for turning over his capital, the faster his turnover rate the greater his profitability.
Do you know anyone who understands the way the market works all the way down to nuances? I don't. There isn't anything wrong with going to market with a spoon to dip your profit. You just must dip more frequently to meet your goals.
Scalping is a hard endeavor. I can tell you from my own experience scalping the ES last year, you have to be right a lot to overcome the commissions. If you can learn to scalp it is a good way to get commission money. If you can automate it, you can focus on learning to trade with the trend. Overcoming the desire to scalp can be a very financially rewarding endeavor. But, once a trader shifts the focus from the scalp to the trend, there is less "to do", so it becomes important to guard against the desire to trade to experience the "thrill" of trading.
Do you know anyone who understands the way the market works all the way down to nuances? I don't. There isn't anything wrong with going to market with a spoon to dip your profit. You just must dip more frequently to meet your goals.
Scalping is a hard endeavor. I can tell you from my own experience scalping the ES last year, you have to be right a lot to overcome the commissions. If you can learn to scalp it is a good way to get commission money. If you can automate it, you can focus on learning to trade with the trend. Overcoming the desire to scalp can be a very financially rewarding endeavor. But, once a trader shifts the focus from the scalp to the trend, there is less "to do", so it becomes important to guard against the desire to trade to experience the "thrill" of trading.
...that's the best advice I've gotten since a girlfriend slapped my hand and said "Stop that! I can do that myself!"
Let me give you and example and see if it is along the lines of what you mean. Back in my misspent youth, I traded morning price breakouts. A few were immediately and significantly profitable, but most quickly retraced and ended up with little or no gain. So I quit trading breakouts and waited for the RETRACE from the BO before entering. (I don't trade either now.)
Another possible example is adding a reverse to a system which you currently simply stop out of. (I know that Jack thinks stops are for losers, but because of the futility of trying to predict retraces after entry, they test out as useful.)
Speaking of simple shit, FWIW, on a five minute NQ chart, simply selling every high and buying every low with a market order has nearly a tick net expectancy. I don't play it because it gives the market makers a tick and the broker a half-tick, so they make more than I do. Greedy bastards.
And speaking of the boredom of trend trading, while I was trading mid-day I watched the 5 second chart almost exclusively as an antidote to Traders' ADD. It was a most extraordinary experience, seeing the binary ebb and flow of volume, and the split second runs against pivots and candidate S/R. It totally turned Jack's concept of the price/volume dance on it's ear. It don't work that way in a very fast time frame.
Let me give you and example and see if it is along the lines of what you mean. Back in my misspent youth, I traded morning price breakouts. A few were immediately and significantly profitable, but most quickly retraced and ended up with little or no gain. So I quit trading breakouts and waited for the RETRACE from the BO before entering. (I don't trade either now.)
Another possible example is adding a reverse to a system which you currently simply stop out of. (I know that Jack thinks stops are for losers, but because of the futility of trying to predict retraces after entry, they test out as useful.)
Speaking of simple shit, FWIW, on a five minute NQ chart, simply selling every high and buying every low with a market order has nearly a tick net expectancy. I don't play it because it gives the market makers a tick and the broker a half-tick, so they make more than I do. Greedy bastards.
And speaking of the boredom of trend trading, while I was trading mid-day I watched the 5 second chart almost exclusively as an antidote to Traders' ADD. It was a most extraordinary experience, seeing the binary ebb and flow of volume, and the split second runs against pivots and candidate S/R. It totally turned Jack's concept of the price/volume dance on it's ear. It don't work that way in a very fast time frame.
Well, I don't know exactly what you want from me, I'm trying not to take myself too seriously as this seems to be a light-hearted look at what doesn't work for you. I agree, you shouldn't sacrifice at the alter of the Goddess of Losses to enrich the parasites feeding off your energy. Maybe you should give the breakouts another look, perhaps with some maturity gained in these other pursuits, you will be able to see something there you didn't, at first, notice.
I'm really not in the business of dispensing advice. I've shared all I care to in the way of trading ideas. All I can really offer you here is to practice patience with yourself, give ideas and notions a chance to percolate. Ideally, you want the force of your personality and character to be reflected in the way you trade, so it is a natural sort of activity, a truthful sort of activity. So, logically, it may not make sense, but if it is profitable and you wear it well, that is all that matters.
...thank you for your most thoughtful and inspirational reply. Definitely advice for anyone to ponder. I am temporarily shamed into sobriety. And thanks for contributing to this thread.