OpenBookTrader's Open Journal

[magicwords]

 

[magicwords]

 

[N54_Fan]

Quote from magicwords:

Hi there.

Yes, I don't use stops. My research shows that for the type of mean-reversion trading that I do, stops degrade trading performance.

What I do to protect capital is by 1. not investing more than 20% of capital per stock, and 2. to go both long/short at the same time. These tend to be more effective at reducing drawdowns/losses than using stops, at least of course with the type of trading that I do.

Thanks.

So how is that working out for you? Like I said,...I have been in your shoes. YOU MUST TRADE WITH A STOP IN PLACE ON EVERY TRADE THE MOMENT IT IS PLACED.

 

[N54_Fan]

Looks like you got hammered on SINA as well. You more than DOUBLED your losses on this trade today.

"Your best loss is your FIRST loss"...

You have a POTENTIAL with your system. The way I see it all you need is a little tweaking and you could be profitable. This method you are trading will eventually blow up.

If you would like some advice I would be happy to help. If you want to tell me to fuck off,...thats fine too. Realize the only reason I am pointing this out to you is because I think all of us at some point in our trading careers were where you are now.

 

[N54_Fan]

Quote from magicwords:

Also notice that your system of no stop in place is forcing you to ride your losers and cut your winners short.

 

[magicwords]

 

[magicwords]

Quote from N54_Fan:

Looks like you got hammered on SINA as well. You more than DOUBLED your losses on this trade today.

"Your best loss is your FIRST loss"...

You have a POTENTIAL with your system. The way I see it all you need is a little tweaking and you could be profitable. This method you are trading will eventually blow up.

If you would like some advice I would be happy to help. If you want to tell me to fuck off,...thats fine too. Realize the only reason I am pointing this out to you is because I think all of us at some point in our trading careers were where you are now.

Hi there.

Yes, the SWKS trade hurts. SINA did pretty badly too.

But my testing shows better performance without the use of stops on this particular system and relying on diversification instead (going long and short across different stocks).

Thanks.

 

[N54_Fan]

Quote from magicwords:

Hi there.

Yes, the SWKS trade hurts. SINA did pretty badly too.

But my testing shows better performance without the use of stops on this particular system and relying on diversification instead (going long and short across different stocks).

Thanks.

OK... Your testing is flawed!

Good luck reinventing the wheel. I will ignore your thread now.

 

[Sharp2be]

Quote from N54_Fan:

OK... Your testing is flawed!

Good luck reinventing the wheel. I will ignore your thread now.

N54 you are wrecking a good thread, let the guy do his work, it's his system, if you have a sucessfull method/system create your own thread and prove your point.

 

[magicwords]