Is it possible to make money automated trading?

[MarkBrown]

if you experience slippage then your trading the wrong direction! lol

 

[SeventhCereal]

It's possible to make money but that really is the least of your worries. I know that most people have problems just having a positive PNL post on their account, but if they ever figure out that problem they will run into another problem. That problem is getting PNL to covers costs both economic and accounting costs, which is quite another story. It's quite easy to be a profitable trader and be like the typical brick and mortar storeowner and just barely get by.

Quote from kivd:

I was reading an interview with one of guys who's doing very well in automated trading championship, and he's said that he doesn't do automated trading with real money because its too hard to make money with all the slippage.

Is this true?
Because I've been working on making an EA for a while and the backtests seem good, but...

Is it really possible to make money with EAs?

Thanks

 

[SeventhCereal]

Your post is about 50% correct.

Quote from Look4aSine:

Bingo.
I read that most HFT firm algos are coded without safety features to make them faster.
Faster = greedy, sloppy, careless = Flash Crash.

As for the original question, "Is it possible to make money automated trading?"
Yes and No.
Yes, for a deep pocket firm.
No, for anyone else.

To break down "anyone else":
A) Computer geeks - No, they lack the balls to go for it (it will always be a theory on paper).
B) Those not in group "A" - No, they lack computer skills to create such systems.

 

[SeventhCereal]

If done correctly profits can be over 1 million a day consistently. How to get there: get good grades, and hang out with people in the know. Then work hard to be able to work for a company that makes sick money and realize that these companies exist for a reason.

Quote from kivd:

I was reading an interview with one of guys who's doing very well in automated trading championship, and he's said that he doesn't do automated trading with real money because its too hard to make money with all the slippage.

Is this true?
Because I've been working on making an EA for a while and the backtests seem good, but...

Is it really possible to make money with EAs?

Thanks

 

[CT10Gov]

Quote from SeventhCereal:

If done correctly profits can be over 1 million a day consistently.

How do you know when someone is talking out of their depth? They talk in raw dollar amounts.

 

[Humpy]

Quote from CT10Gov:

How do you know when someone is talking out of their depth? They talk in raw dollar amounts.

Probably talking roubles, shekels, rupees or something.

 

[SeventhCereal]

when people can't believe the numbers thats when I know they are poor. Nope these are cold hard USD.

Quote from Humpy:

Probably talking roubles, shekels, rupees or something.

 

[piezoe]

Isn't Knight Capital the expert when it comes to automated trading? I suppose we should be soliciting their opinion.