Maverick74 and marketsurfer's TopstepTrader Combine (daily trade reports and journal)

[Pension_Admin]

I remember back in the days, there was this trader who was able to almost consistently pull in $1,000 to $2,000 per day. Of course, there would be occasions where he will have a $(500) to $(1000) loss/stop-out. However, unlike the Combine, his buying power was much higher--around $300K. I remember one day, he loaded up 15,000 shares of Oracle and earned $5,000 on that day, which was quite amazing to see. The funny thing is, as good as this trader is, I don't think he would be able to beat the combine with the predetermined set of rules. He would still be profitable though.

The thing about the combine is that your starting capital is really not your capital. It is really your buying power or your leverage. Your true capital is your Stop Limit, which is essentially your equity. Once your Stop Limit has been hit, your equity is gone, and no matter how much "starting capital" you have left, you won't be able to trade anymore.

For example: With $50K "starting capital", your loss limit is $1,000. That is equivalent to 50:1 leverage. Getting the required profit of $3,500 within 10 trading days is like trying to get 250% return on your equity in just 10 trading days. Seriously, anyone who can turn an equity of $1K to $3.5K within 10 days with skills and not luck, will be a very threatening competitor to most hedge funds.

PA

 

[austinp]

Quote from Maverick74:

Austin, is that how you normally trade though? Going for .50 to 1.00 moves with a full position?

Yes, actually. All of the trades I take have pre-entry projections of where price is probable to go based on the pattern setup itself. Those pretrade objectives vary depending on the wave size itself.

Some smaller traders project to 40 - 50 cents, others 100 - 200 cents. When I see those bigger ones develop, I will definitely hold thru the stair-step process price takes to get from A to B.

After two small-range, congestive days in CL and rollover ahead next Friday, there will be some straightline moves next week. They exist every week, always. Just a matter of holding those specific trades to fruition, because price action is going there whether one rides it all or exits prematurely. The market don't care, either way. It does what it does regardless

 

[austinp]

Quote from MichaelPatak:

Ian is exactly right. It is not about going for the profit target as much as it is about using proper trading mechanics. Using proper trading mechanic will keep it so you never pay a dime to tst. Profits will come with proper mechanics and a solid trading plan. When profits come naturally you will be getting yourself into position to naturally make the profit target as you are trading profitable consistently. This takes time but the Combine if taken serious can get you to that point.
Mp

I agree with all that, no dispute. The key phrase being, "proper mechanics" defined. In essence we are given risk parameters and minimum profit requirements along with other criteria to meet the objective. What it takes to reach those depends largely on existing market conditions at any given time.

If someone trades ES and for their allotted ten sessions it remains inside smaller than 10-point daily sideways ranges, they are screwed that round. I don't care what mechanics are used, they ain't gonna make $12k that round trading ES, end of story.

There is a pace to maintain or exceed for reaching profit objectives along with other criteria of equal importance. A trader can either book +$1,200 for ten straight sessions, or they need some bigger days to wash some smaller days. That is a fluid, dynamic process which requires playing catchup at times because a hard deadline with fixed objective looms

 

[MichaelPatak]

Quote from Pension_Admin:

I remember back in the days, there was this trader who was able to almost consistently pull in $1,000 to $2,000 per day. Of course, there would be occasions where he will have a $(500) to $(1000) loss/stop-out. However, unlike the Combine, his buying power was much higher--around $300K. I remember one day, he loaded up 15,000 shares of Oracle and earned $5,000 on that day, which was quite amazing to see. The funny thing is, as good as this trader is, I don't think he would be able to beat the combine with the predetermined set of rules. He would still be profitable though.

The thing about the combine is that your starting capital is really not your capital. It is really your buying power or your leverage. Your true capital is your Stop Limit, which is essentially your equity. Once your Stop Limit has been hit, your equity is gone, and no matter how much "starting capital" you have left, you won't be able to trade anymore.

For example: With $50K "starting capital", your loss limit is $1,000. That is equivalent to 50:1 leverage. Getting the required profit of $3,500 within 10 trading days is like trying to get 250% return on your equity in just 10 trading days. Seriously, anyone who can turn an equity of $1K to $3.5K within 10 days with skills and not luck, will be a very threatening competitor to most hedge funds.

PA

Pension- here is the funded trader page which will give you details on the opportunity.

http://www.topsteptrader.com/fundedtrader

Your starting balance is zero as a funded trader. We can set that to the Scouting Combine as well.

mp

 

[austinp]

Quote from iankotze:

To austinp, If I may I would like to suggest you slow things down rather than speed things up. You are only down 3k so I think you should rather now scale down in size and focus on meeting the performance goals and just get back to break even for a roll over.

That way you can start of fresh for free without your mistakes made because of the new platform and will be more prepared to tackle this thing in the next round with a more steady approach.

6 days is plenty so I think you should be trading no more than a 5 lot. Remember that you also have to get more than 50% win day ratio.

Ian

That is excellent advice, and is part of my strategy. But there are certain situations, roughly 50% of all sessions where CL makes predictable, measureable moves of 100 cents or greater which can be targeted.

Along with smaller trade sequences as well, when I see a situation like the one above from last Tuesday unfold, I'll purposely work to enter a 10 - 15 lot order and hold for price-action measured objectives.

Past two days have not offered such. Tue & Wed sessions both did. At least two or three if not more sessions next week will offer the same... they have been doing exactly that since before any of us here traded anything.

I know it will happen, I'll be watching for it to unfold and I'll try to work the trades accordingly. Same as I've done many times for years now, long before this project now

 

[austinp]

Quote from eagle11:

Interesting development. BEFORE you do a combine, you should know your odds.
I would change this, change that.... TST guys are trading veterans and they know what they are looking for.
Only a pro will pass the combine AND trade live(funded) over the long term with steady income.

happy trading

eagle 11

Before I began, I calculated various scenarios of what it takes to succeed or fail. All I did earlier today was offer insider viewpoints of my perception and observations. Whether that is taken into consideration or discarded out of hand is another story.

If indeed available capital is unlimited and skilled, capable traders are the scarcity, my suggestion as to easier qualifications for graduating more successful traders to alleviate scarcity of such versus unlimited capital was meant to help rectify that imbalance.

 

[austinp]

Wed 10/10 session: CL offered three different +80 cent to 100+ cent price swings from trade-entry signal zones to distance covered.

When those type of setups measure out, scaling in and holding for distance places statistical odds of probability in the trader's favor.

10 - 15 contracts x 100 cents = standard operating procedure, along with smaller trades from inside smaller waves as price action unfolds.

But enough talk for one week. Time for action will come soon enough. Now it's time to enjoy the weekend, live life and return to the working world on Monday

 

[baggerlord]

This is OT but kind of in line with the current discussion in this thread. (lol?) I have in the last month dramatically changed my trading. I am now entering positions with the current trend, with a 1:1 RR. I have stopped trying to predict movements, ranges, volatility, etc because quite frankly I suck at prediction. I can however look at a chart and gauge trend easily. I am actually having the best results of my mediocre trading career.

Side note: It isn't exactly 1:1 in ticks because I adjust based on spread(spread only, I'm trading forex). It is 1:1 in absolute $ terms.

Why it relates to this thread...I know that when I was starting out I lost way too much money, like most people do. If I had started out with a 1:1 approach, with no adjustments once in a position, I would have limited myself to at worst case simply random results.

I don't think this is a bad starting point for a beginner to limit losses.

 

[pma]

Quote from baggerlord:

This is OT but kind of in line with the current discussion in this thread. (lol?) I have in the last month dramatically changed my trading. I am now entering positions with the current trend, with a 1:1 RR. I have stopped trying to predict movements, ranges, volatility, etc because quite frankly I suck at prediction. I can however look at a chart and gauge trend easily. I am actually having the best results of my mediocre trading career.

Side note: It isn't exactly 1:1 in ticks because I adjust based on spread(spread only, I'm trading forex). It is 1:1 in absolute $ terms.

Why it relates to this thread...I know that when I was starting out I lost way too much money, like most people do. If I had started out with a 1:1 approach, with no adjustments once in a position, I would have limited myself to at worst case simply random results.


I don't think this is a bad starting point for a beginner to limit losses.

I like this approach Baggerlord. I can honestly say that I never hear of a 1:1 R/R.

 

[austinp]

Quote from pma:

I like this approach Baggerlord. I can honestly say that I never hear of a 1:1 R/R.

Everyone likes that approach... it meshes perfectly with basic human logic = emotion. Now here's the reality:

You need to sustain a 70% or greater average win rate over long periods of time, like six months, one year, two years before considering such an approach has staying power.

Invariably, the law of statistical probability dictates that somewhere along the line, you will surely experience 4-5-10 straight winning trades in a row. That feels great.

But the exact-same statistical odds dictate you will likewise experience 4-5-10 straight losses in a row. Regardless of your system or approach, statistical odds of probability and distribution make that a certainty. It cannot be overcome, period, end of story.

So how do you handle those periods in reality? If trading CL for example using -$150 stop / +$150 profit, you will run into sessions where five straight losses of -$150, -$160, -$150, -$160 and -$190 due to slippage has your account at -$810.

Now what do you do in reality? Do you steel yourself to trust the process, stick with your parameters and +1/-1 (or worse thru slippage) from there, or do you change the approach thru mental = emotional weakness?

**

cut losses short, let winners run is a market adage that predates anyone in this site for good reason. Give that 1/1 (minus slippage) approach six months to a year of steady applicatoin thru all market conditions, and judge results after that.