just starting, need advice.

Originally posted by myoffices
I am curious to see how you can benefit with only such a short trading schedule daily. If you play the opening momentum then that may work but what about days when things go the other way. This market is so volatile that a bad trade could make you a slave to the screen all day as it sits in a tight trading range. The syatems will adapt to traders eventually which is why traders have to continue to alter their strategy. The market is about winners and losers. The exchange of wealth is what the the market is all about.

Have you used a simulator to test this thing in real time yet? I think you have the focus to be successful but until you lose big you will be green. So far how much are you up this week?

If your strategy works be prepared for a major following.
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The model shows that the profits are best if I buy right before the close and sell after the open. I don't want to get my emotions involved and would rather stick to it. Having said that, I know that you do have experience in similar situation and I agree that there may be temptation to wait and see if things get better if the open isn't where I hoped it'd be. I appreciate the advice. That's why I'm seriously thinking of automating it...
Do you have any pointers for the best real-time simulator to use?
As for this weeks profits - the lawyers are still setting up the LLC, only when it's taken care of and the $ is wired I can answer that one :cool:
 
Originally posted by Jim Bartley
When I first read your opening post I had to laugh........
then I read it again I REALLY laughed. :)

Seriously though, until YOU trade in real time you have no idea what your'e talking about. I don't mean to sound flippant or rude. There are litterally thousands of people in the markets with very good educations and more money than you will ever see, that you will be competing against. Assuming your strategy is valid, the only unknown variable is you, isn't it? Good luck.
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That's why I'd rather take that variable out of the equation and have everything automated :) As for the competition, you are right. But what gives me hope is that what I've found appears to be a tiny niche that might have escaped their attention :cool:
Or so I hope.
 
Originally posted by vladiator


The model shows that the profits are best if I buy right before the close and sell after the open. I don't want to get my emotions involved and would rather stick to it. Having said that, I know that you do have experience in similar situation and I agree that there may be temptation to wait and see if things get better if the open isn't where I hoped it'd be. I appreciate the advice. That's why I'm seriously thinking of automating it...
Do you have any pointers for the best real-time simulator to use?
As for this weeks profits - the lawyers are still setting up the LLC, only when it's taken care of and the $ is wired I can answer that one :cool:
More...

I seriously hope that you are aware that this "strategy" is one of the oldest and most abused ideas ever....?? It hasn't worked for any period of time to my knowledge in the last 25 years, although it has always popped up as a "new" technique.

I strongly suggest that you do not automate it...since the "off hours" are the most crucial to opening prices of stocks and you are left "out in the cold" overnight....

Before you get into it (I am equally sure that no one will talk you out of it), I want you to back test using critical variables (FV at close vs. open, Market "trend" - sector rotation, etc.)....if you still want to automate it, I will be surprised.....and I haven't even mentioned news items that come right after the closing bell.....

There are a lot of good ideas out there, and I would like to see everyone find the good ones...I just hate to see someone "re-invent" the square wheel.

***Now to be fair*** If you have already included "non disclosed" variables in your formula, and don't want to share them, I understand...

in any case....good luck!!
 
...I just hate to see someone "re-invent" the square wheel. ...
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I think you mean trying to square the circle. :)

A wheel is a "circle" tho...

nitro
 
Originally posted by Don Bright


I seriously hope that you are aware that this "strategy" is one of the oldest and most abused ideas ever....?? It hasn't worked for any period of time to my knowledge in the last 25 years, although it has always popped up as a "new" technique.

I strongly suggest that you do not automate it...since the "off hours" are the most crucial to opening prices of stocks and you are left "out in the cold" overnight....

Before you get into it (I am equally sure that no one will talk you out of it), I want you to back test using critical variables (FV at close vs. open, Market "trend" - sector rotation, etc.)....if you still want to automate it, I will be surprised.....and I haven't even mentioned news items that come right after the closing bell.....

There are a lot of good ideas out there, and I would like to see everyone find the good ones...I just hate to see someone "re-invent" the square wheel.

***Now to be fair*** If you have already included "non disclosed" variables in your formula, and don't want to share them, I understand...

in any case....good luck!!
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Thanks :-)
Naturally, all the selection criteria are "nondisclosed", and they are based on information flow, liquidity pressure etc. I'd rather not go into details :cool:
It hinges on sound theory and all the relationship I have found are so monotonic in the critical variables and so stable over time, I can't wait to see how it performs in reality.
I appreciate the advice, hopefully this is not an old hat.
Sincerely,
V.
PS Actually, when some factors are included, the information flow becomes redundant and well proxied for, which seems good b/c that one might be hard to automate.
PPS One more question though. How good is afterhours trading (liquidity-wise) in large cap/large daily volume stocks???
Thanks.
 
Why go through all that hassle, if your system can do what you say it can, I'm sure Don Bright or someone else can get you in touch with some deep pockets who'll pay you 7 figures for what you got.
 
<i>How good is afterhours trading (liquidity-wise) in large cap/large daily volume stocks??? </i>

In general, imo, it sucks. The exchange, the stock, and the particular events of the day are all intervening variables. The farther you get outside of market hours, the worse the liquidity.

You are not going to really know anything until you try it for real. Get an IB account, start trading 100 share lots, and let us know how it goes.

Good luck.
 
Why go through all that hassle, if your system can do what you say it can, I'm sure Don Bright or someone else can get you in touch with some deep pockets who'll pay you 7 figures for what you got.
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I worked for a company that managed lots of money for other people. I went on my own for a while. Then, I ran into my old boss. I told him that I was trading some very interesting, highly proprietary stuff that I had discovered. He was interested in having me come and work with them again. It seem to all go well, until I found that they wanted me to sign something that said that anything I discovered there was the property of them. I said, what about the stuff I "discovered" before I got here. He said that, if they traded it, they would own that too, _AND_IF_I_LEFT_I_COULDN'T_TRADE_IT_MYSELF!!

After listening to their logic, I actually agreed to with them!

I think that vlad is doing the correct thing - he doesn't have to disclose what he is doing, and it if turns out to have an edge, he will do well and get his seven (eight or nine ?) figures, just has to "work" a little harder for it.

nitro
 
nitro

I'm trading someone's system and he has had 7 figures offered for his system. I just get the trades and put them on @ my discretion.

Everything is negoitable.
 
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