My Biggest Loss Ever and the Lessons I Learned

[They]

Wow, looks like nobody here has bad days! Glad to be in the company of super traders.

I lost a little over $2k today trading my systems. Sure, it sucks, but I wasn't "gambling and really hoping". I was just letting the law of large numbers do it's thing and therefore I did not become "frozen like a deer in the headlights" and end up a "psychological mess over that loss". I just followed my system's rule-sets and did not deviate.

I just don't think that with the type of gambling/hoping behavior Andrew displayed he should be educating others. He should be receiving education or psychological/life coaching assistance from @Andrea Wylan in order to stop self sabotaging himself and the live's of others. Did he at least offer those in the chat room who sheepishly followed his gamble trade down the drain a few free months?

 

[themickey]

I lost a little over $2k today trading my systems. Sure, it sucks, but I wasn't "gambling and really hoping". I was just letting the law of large numbers do it's thing and therefore I did not become "frozen like a deer in the headlights" and end up a "psychological mess over that loss". I just followed my system's rule-sets and did not deviate.

I just don't think that with the type of gambling/hoping behavior Andrew displayed he should be educating others. He should be receiving education or psychological/life coaching assistance from @Andrea Wylan in order to stop self sabotaging himself and the live's of others. Did he at least offer those in the chat room who sheepishly followed his gamble trade down the drain a few free months?

No of course you weren't gambling, you have this spiv you beaut sophsiticated technical system like no other that works on the law of large numbers (wtf this means), but it lost money today.
Oh no! Dare not call it gambling, we are too upper class!

 

[They]

No of course you weren't gambling, you have this spiv you beaut sophsiticated technical system like no other that works on the law of large numbers (wtf this means), but it lost money today.
Oh no! Dare not call it gambling, we are too upper class!
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That's right, no flies on me cobber. How'd you get that picture of me?

 

[SimpleMeLike]

Wow, looks like nobody here has bad days! Glad to be in the company of super traders.

Qlai,

It's not about the guy having a bad day. It's about the guy having a bad day and people PAYING to see him have a bad day.

If I lose $2000 today because I broke a rule of my trading plans such as moving the stop loss back or putting on too much size, then I am Stupid and it's my mistake and only I see it.

Now if I'm charging people $100 per month and trading stupid, I'm unprofessional and I am Wrong for doing this type of business. People should not be paying to watch me trade widly hoping to hit a big lick.

This guy could have been trading wildly like this for other trades and made big profits, then boast to members how good the system is. Unknowingly to members he taking unprofessional risks. The members will think "wow, this guy is a pro, I'm following everything this guy says and do". After this the members should ask to audit his prior trades for outliers or too big or win trades.

Doing the wrong things and getting good results is same thing as doing the wrong things and getting bad results in trading. It's wrong things.

Does this makes sense now to you?

 

[qlai]

It's not about the guy having a bad day. It's about the guy having a bad day and people PAYING to see him have a bad day.

If anyone joins chat room to shadow trade, then that is on them. Every chat I attended encourages people to make their own trades, not to follow blindly. The thing I like about Andrew is that he never claims to be a great trader. As I mentioned in the beginning, he is consistently profitable. Learning from other people mistakes is quite valuable. One can stop paying any time.

 

[SimpleMeLike]

If anyone joins chat room to shadow trade, then that is on them. Every chat I attended encourages people to make their own trades, not to follow blindly. The thing I like about Andrew is that he never claims to be a great trader. As I mentioned in the beginning, he is consistently profitable. Learning from other people mistakes is quite valuable. One can stop paying any time.

qlai,

I agree with you. It is a lot of learning that way as well. It could be bad learning and it could be good learning.

 

[qlai]

Our algos risk certain percent of overall AUM on any given trade. It is really this simple.

So you don’t try to press the “good” times? You don’t try to “optimal f” your strategy? You don’t make any adjustments or judgment calls?

 

[SimpleMeLike]

So you don’t try to press the “good” times? You don’t try to “optimal f” your strategy? You don’t make any adjustments or judgment calls?

qlai,

@RedDuke is trying to avoid making those decisions during "good" times and "judgement calls".

Can you quantify "good times"? I am assuming you mean, big range days/weeks/months.

This is why he simplest risk X% of his capital per trade. Because it removes his judgement calls from the system regarding risk. He knows for every trade he makes the decision of risk is already logically defined.

If my capital today is $20,000 and I risk 2% per trade, I risk $400 today on all my trades. That is one less decision the system or my brain have to think about.

 

[qlai]

Can you quantify "good times"? I am assuming you mean, big range days/weeks/months.

There are times in the markets where your system/style shines! One must take full advantage of such times to achieve outperformance. For example, momo traders, especially low floats, are killing it this year. I see them increasing risk which is supported by their equity curves.

 

[RedDuke]

So you don’t try to press the “good” times? You don’t try to “optimal f” your strategy? You don’t make any adjustments or judgment calls?

the only thing that static is risk. 50 basis points, if risk is greater algo will skip the trade. Algos analyse and adopt to volatility. The hardest times is when volatility gets low for a prolonged period of time.

it is 100 percent automatic. We turn it on before 6pm on Sunday and any trade left gets closed at 4pm on Friday.

good time for us is high but not crazy volatility, Algos programmed to take advantage of that.

we currently in redesign phase as performance while good is too volatile for serious OPM.