Two Questions For Practicing Day Traders

[VSTscalper]

I know both of you are good traders. It is OK to have different opinions, don't be too hard on each other.

Hope you two have a good day trading.

ironchef,

You are also welcome to come into a room - watch for a bit - I will explain how it works - whenever you have time. The beauty of it is - you do NOT need any indicator. If you notice - there are NO Indicators on my chart.

There is approximately 2 hours left before the market closes - but it doesn't have to be today. Look at what I said in Post 240 - to toucan - same for you. It is FREE - NO sales pitch - LOL. Just killing time now - trying to stay busy - so my lady doesn't ask me to do something. Basically - I would be using you or toucan - to get out of work.

 

[ironchef]

ironchef,

You are also welcome to come into a room - watch for a bit - I will explain how it works - whenever you have time. The beauty of it is - you do NOT need any indicator. If you notice - there are NO Indicators on my chart.

There is approximately 2 hours left before the market closes - but it doesn't have to be today. Look at what I said in Post 240 - to toucan - same for you. It is FREE - NO sales pitch - LOL. Just killing time now - trying to stay busy - so my lady doesn't ask me to do something. Basically - I would be using you or toucan - to get out of work.

Thanks for the offer. Perhaps later, I am a trend follower, have my hands full refining my trend following methodology.

 

[tiddlywinks]

I am a trend follower, have my hands full refining my trend following methodology.

Just a reminder... trends occur on all time based price charts, and dare I say, on all types of charts that plot price. You should take a peek at what @VSTscalper is doing.

Of course, if your definition of trend is so refined as to be near unrecognizable versus the norm, well, then maybe refining THAT definition should be your saveur du mois.

 

[ironchef]

Just a reminder... trends occur on all time based price charts, and dare I say, on all types of charts that plot price. You should take a peek at what @VSTscalper is doing.

Of course, if your definition of trend is so refined as to be near unrecognizable versus the norm, well, then maybe refining THAT definition should be your saveur du mois.

It is on my to do list.

May I ask if you have taken a peak at what @VSTscalper is doing?

 

[VSTscalper]

Thanks for the offer. Perhaps later, I am a trend follower, have my hands full refining my trend following methodology.

When I first started day trading - I was a trend follower also. That is what I was taught. I did well - most of the time - but quite often - I would give up a lot of profit - and/or go negative - and lose on the trade. I would basically - kick myself - many times saying - "damnit" - why did I do that - when I could have made money on the trade. More and more - I started moving my stop - at the very least - to break even or into profit - even a small profit. I wanted to give price a chance to get to my profit target - but at the same time - NOT lose on the trade. That was actually the beginning of my Scalping. For me - all I want to do is end up with Profit - at the end of the day. I said in my old thread - Scalping kind of came natural to me - as I was taught how to do that - by both my brothers-in-law - both - American Indian - LOL.

For many years now - especially with Grand Kids - I never trade more than 2 hours in the morning - as I prefer spending more time with them. I have a Net Daily Goal in Dollars - that I have to make - within that 2 hour period of time. It doesn't matter to me - if I do or don't reach that goal. Again - for me - I find Scalping - very relaxing. I do some Scalp_Trend combination trades also - say I have 5 contracts - I would take of 4 contracts as a Scalp - move my Stop - to at least Break Even - then possibly get a Runner on the remaining contract.

I do NOT use Indicators - just the Green or Red Arrow. I always wait - literally seconds - most of the time - for Price to go Lower for a Buy - Higher for a Short - just a Tick or Two - hit a Market Order. Most of the time - I get the Price I want - and sometimes - a better price - so - NO Slippage. Just little things like that - can make a big difference.

I think - we - as traders - ME included - tend to make trading - way too complicated. In the past - I used to use several indicators on my chart - thinking I needed all that information - to make good trades. At one point in time - I had maybe 5 or 6 indicators on my chart - and was having more losses. I finally realized - the more indicators I had on my chart - my Winning Percentage went DOWN. I had one of those - "duh" - moments - started getting rid of Indicators - started making money again. WE - meaning TRADERS - can be our own worse Enemy.

Look at this chart below - it has Support and Resistance lines - NOTHING else. I could trade this chart all day - it is an old setup of mine - after I got rid of all the other Indicators. And guess what - I really don't even need my Algos - and neither does any other trader. Now - that is a good sales pitch.

I started out trading Equities - then some Forex - then Futures. I much prefer Futures - so much easier to trade - at least for me.

Well - as usual - I talk too much.

 

[tiddlywinks]

May I ask if you have taken a peak at what @VSTscalper is doing?

I have not. But I get the gist just reading/looking at his posts. We are simpatico in our philosophies, not necessarily our methods.
More important however, is that I had discussions with him, in days of yore.
Both of us are ET veterans...
Sadly, at least for me, my join date for this nick, is at least 3 years short of actual.
As such, my "first" post is not correct either...
IOW, the ET archives do not offer any proof of my days of yore.

 

[VSTscalper]

You and ironchef - are both welcome to come into a Zoom Room - I promise - I won't try to sell you anything.

Seriously - I really believe - when it comes to Indicators - "too much information" - on our charts - is the cause of traders failing. I am no different than any other trader starting out - I went thru a LOT OF PAIN - before I turned my trading around.

 

[toucan]

I hesitated to respond - because it looked like the thread was turning - to shit - so to speak - like a lot of threads seem to do. It's all about what works for a trader. We all trade different - but it doesn't mean one trader is right- the other trader is wrong.

Toucan - I am replying to your post - because you mentioned "Winning trades versus Losing trades and Ratio. A trader can have a VERY LOW - Winning Percentage - and still do VERY WELL. I have Algos - that have Single Digit Winning Percentage - and they do very well.

While I do have Algos that have a VERY HIGH - Winning Percentage - a trader can do very well - with a VERY LOW - Winning Percentage. Below - are some snapshots of what I am talking about. This is actually my favorite Algo setup.

Please look at the "Total Trade Analysis" - the Percent Profitable - Average Winning Trade versus Average Losing Trade - and the very important - the Ratio Avg Win/Avg Loss.

Look at the Chart - notice all the Break Even trades - which gives a VERY LOW Winning Percentage - but good results.

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Hi vstrader


I just reviewed your post with charts and trade analysis and have a few questions:


Are you using multicharts for charting… I use tradestaion

Who are you using for trade execution… I use tradestation

Is your algo written in some multicharts coding language… I use tradestation’s easylanguage

Are you trading from home… I trade from home

What computer cpu speed and memory is your computer… mine is 3.75ghz and 16gig memory

Your chart looks like 25 tick range bars.. is that correct.. I use tick charts and vary the tick size

With a 25 tick range bar, what is the size of your initial stoploss and if you have one, what is your profit target… I trade longer timeframes and multiple futures, so my tick size varies depending on what futures contract I am trading. If I were to trade NQ, I’m guessing that my initial stoploss would be between 10-15 points and profit target about 30-45 points.

I see that you execute a trade on every bar… how did you overcome your computer running your algo faster than the lag due to sending orders to your execution broker and them sending the order into the market. this is problematic when executing continuous orders bar after bar when you have to clear out old standing orders and receive confirmation from the market and your execution broker before sending a new order. tradestation takes more than 5 sec to clear my waiting orders before sending the next order in.

Your trade analysis shows the average losing trade is about $8.47 and that’s about 1 NQ tick $$ plus exchange fees. There were 602 losing trades, including breakeven trades, out of 805 total. Given that your average stoploss is about 1 tick, if you remove your breakeven trades, what would the average loss be. I typically use stop market orders for losing and breakeven trades and if I were trading NQ most exits would be at least 1 tick difference above or below breakeven and a few exactly breakeven. What are you doing to get out of your breakeven trades at exactly breakeven. what order type or other technique are you using to exit losing/breakeven trades that gets so many exact breakeven trades.

Your trade analysis shows 805 trades over 10 trading days. How long do you run your algo each day and what time period within a day. I trade 5 days per week for up to 4 hours per day 8am est to 12 noon est.

It looks like you started with just under a $10K account and over 10 days, increased that account 600% did you just start running this algo about 10 days ago. That’s just under $100K monthly profits or about $1 million per year using 1 contract. With this profit, why haven’t you added more contracts.


Thanks in advance for your response


toucan

 

[VSTscalper]

Hi vstrader


I just reviewed your post with charts and trade analysis and have a few questions:


Are you using multicharts for charting… I use tradestaion

Who are you using for trade execution… I use tradestation

Is your algo written in some multicharts coding language… I use tradestation’s easylanguage

Are you trading from home… I trade from home

What computer cpu speed and memory is your computer… mine is 3.75ghz and 16gig memory

Your chart looks like 25 tick range bars.. is that correct.. I use tick charts and vary the tick size

With a 25 tick range bar, what is the size of your initial stoploss and if you have one, what is your profit target… I trade longer timeframes and multiple futures, so my tick size varies depending on what futures contract I am trading. If I were to trade NQ, I’m guessing that my initial stoploss would be between 10-15 points and profit target about 30-45 points.

I see that you execute a trade on every bar… how did you overcome your computer running your algo faster than the lag due to sending orders to your execution broker and them sending the order into the market. this is problematic when executing continuous orders bar after bar when you have to clear out old standing orders and receive confirmation from the market and your execution broker before sending a new order. tradestation takes more than 5 sec to clear my waiting orders before sending the next order in.

Your trade analysis shows the average losing trade is about $8.47 and that’s about 1 NQ tick $$ plus exchange fees. There were 602 losing trades, including breakeven trades, out of 805 total. Given that your average stoploss is about 1 tick, if you remove your breakeven trades, what would the average loss be. I typically use stop market orders for losing and breakeven trades and if I were trading NQ most exits would be at least 1 tick difference above or below breakeven and a few exactly breakeven. What are you doing to get out of your breakeven trades at exactly breakeven. what order type or other technique are you using to exit losing/breakeven trades that gets so many exact breakeven trades.

Your trade analysis shows 805 trades over 10 trading days. How long do you run your algo each day and what time period within a day. I trade 5 days per week for up to 4 hours per day 8am est to 12 noon est.

It looks like you started with just under a $10K account and over 10 days, increased that account 600% did you just start running this algo about 10 days ago. That’s just under $100K monthly profits or about $1 million per year using 1 contract. With this profit, why haven’t you added more contracts.


Thanks in advance for your response


toucan

Are you using multicharts for charting… I use tradestaion I had Tradestation many years ago - stopped using it when the Cruz brothers owned it. There were many problems at the time - not just with me - but other traders. So - I finally dumped them - couldn't take it any longer.

Who are you using for trade execution… I use tradestation I have more than one broker I use - but I do like AMP. I also have NinjaTrader - working on some of the code for that platform.

Is your algo written in some multicharts coding language… I use tradestation’s easylanguage Multicharts has 2 languages - PowerLanguage (basically like EasyLanguage) and C# - same as NinjaTrader. I code in both languages.

Are you trading from home… I trade from home I do trade from home - although - maybe 17 - 18 years ago - I had an office with a small group of traders.

What computer cpu speed and memory is your computer… mine is 3.75ghz and 16gig memory I would have to look it up - as far as the "ghz" - but I do have the 16 gig. I may be putting the Algos on a server - in Aurora - soon - near or where - the Matching Engine is for the CME_CBOT - in the Chicago area.

Your chart looks like 25 tick range bars.. is that correct.. I use tick charts and vary the tick size I do use Range Bars - but the Algo works on any size or type of chart - without changing anything.

With a 25 tick range bar, what is the size of your initial stoploss and if you have one, what is your profit target… I trade longer timeframes and multiple futures, so my tick size varies depending on what futures contract I am trading. If I were to trade NQ, I’m guessing that my initial stoploss would be between 10-15 points and profit target about 30-45 points. Will show you - if you ever decide you want to see. Same for the questions below. My old brain is starting to hurt - just reading - LOL.

I see that you execute a trade on every bar… how did you overcome your computer running your algo faster than the lag due to sending orders to your execution broker and them sending the order into the market. this is problematic when executing continuous orders bar after bar when you have to clear out old standing orders and receive confirmation from the market and your execution broker before sending a new order. tradestation takes more than 5 sec to clear my waiting orders before sending the next order in.

Your trade analysis shows the average losing trade is about $8.47 and that’s about 1 NQ tick $$ plus exchange fees. There were 602 losing trades, including breakeven trades, out of 805 total. Given that your average stoploss is about 1 tick, if you remove your breakeven trades, what would the average loss be. I typically use stop market orders for losing and breakeven trades and if I were trading NQ most exits would be at least 1 tick difference above or below breakeven and a few exactly breakeven. What are you doing to get out of your breakeven trades at exactly breakeven. what order type or other technique are you using to exit losing/breakeven trades that gets so many exact breakeven trades.

Your trade analysis shows 805 trades over 10 trading days. How long do you run your algo each day and what time period within a day. I trade 5 days per week for up to 4 hours per day 8am est to 12 noon est.

It looks like you started with just under a $10K account and over 10 days, increased that account 600% did you just start running this algo about 10 days ago. That’s just under $100K monthly profits or about $1 million per year using 1 contract. With this profit, why haven’t you added more contracts.


Thanks in advance for your response I don't trade all the time now - and when I do trade - it is a Maximum of 2 hours - starting - at or near the market open. I used to trade all day - in my early days - I would make money early - and sometimes give most of it back - or go Negative - trading all day. My brain was much younger then - but it still would get worn out - looking at charts all day - which leads to bad trading decisions at times. I am all about keeping things as Simple as possible. You may have seen this - but my motto is - "Discipline plus Simplicity equals Success". I can almost guarantee - if a trader does NOT keep things Simple - and trade with Discipline - they will be out of business in a very short time.

 

[toucan]

Are you using multicharts for charting… I use tradestaion I had Tradestation many years ago - stopped using it when the Cruz brothers owned it. There were many problems at the time - not just with me - but other traders. So - I finally dumped them - couldn't take it any longer.

Who are you using for trade execution… I use tradestation I have more than one broker I use - but I do like AMP. I also have NinjaTrader - working on some of the code for that platform.

Is your algo written in some multicharts coding language… I use tradestation’s easylanguage Multicharts has 2 languages - PowerLanguage (basically like EasyLanguage) and C# - same as NinjaTrader. I code in both languages.

Are you trading from home… I trade from home I do trade from home - although - maybe 17 - 18 years ago - I had an office with a small group of traders.

What computer cpu speed and memory is your computer… mine is 3.75ghz and 16gig memory I would have to look it up - as far as the "ghz" - but I do have the 16 gig. I may be putting the Algos on a server - in Aurora - soon - near or where - the Matching Engine is for the CME_CBOT - in the Chicago area.

Your chart looks like 25 tick range bars.. is that correct.. I use tick charts and vary the tick size I do use Range Bars - but the Algo works on any size or type of chart - without changing anything.

With a 25 tick range bar, what is the size of your initial stoploss and if you have one, what is your profit target… I trade longer timeframes and multiple futures, so my tick size varies depending on what futures contract I am trading. If I were to trade NQ, I’m guessing that my initial stoploss would be between 10-15 points and profit target about 30-45 points. Will show you - if you ever decide you want to see. Same for the questions below. My old brain is starting to hurt - just reading - LOL.

I see that you execute a trade on every bar… how did you overcome your computer running your algo faster than the lag due to sending orders to your execution broker and them sending the order into the market. this is problematic when executing continuous orders bar after bar when you have to clear out old standing orders and receive confirmation from the market and your execution broker before sending a new order. tradestation takes more than 5 sec to clear my waiting orders before sending the next order in.

Your trade analysis shows the average losing trade is about $8.47 and that’s about 1 NQ tick $$ plus exchange fees. There were 602 losing trades, including breakeven trades, out of 805 total. Given that your average stoploss is about 1 tick, if you remove your breakeven trades, what would the average loss be. I typically use stop market orders for losing and breakeven trades and if I were trading NQ most exits would be at least 1 tick difference above or below breakeven and a few exactly breakeven. What are you doing to get out of your breakeven trades at exactly breakeven. what order type or other technique are you using to exit losing/breakeven trades that gets so many exact breakeven trades.

Your trade analysis shows 805 trades over 10 trading days. How long do you run your algo each day and what time period within a day. I trade 5 days per week for up to 4 hours per day 8am est to 12 noon est.

It looks like you started with just under a $10K account and over 10 days, increased that account 600% did you just start running this algo about 10 days ago. That’s just under $100K monthly profits or about $1 million per year using 1 contract. With this profit, why haven’t you added more contracts.


Thanks in advance for your response I don't trade all the time now - and when I do trade - it is a Maximum of 2 hours - starting - at or near the market open. I used to trade all day - in my early days - I would make money early - and sometimes give most of it back - or go Negative - trading all day. My brain was much younger then - but it still would get worn out - looking at charts all day - which leads to bad trading decisions at times. I am all about keeping things as Simple as possible. You may have seen this - but my motto is - "Discipline plus Simplicity equals Success". I can almost guarantee - if a trader does NOT keep things Simple - and trade with Discipline - they will be out of business in a very short time.

So you would be up for a zoom call starting at the open for a couple of hours watching the
algo trade and answering my questions