Validation for Vendor Trading System

SimpleMeLike

SimpleMeLike

Hello,

If a trader buys a vendor trading system online to manual day trade, how can the trader confirm if the system has actually traded with decent historical past performance?

Would you back test yourself?

Thanks,
 
Last edited:
speedo said:
I would advise to not get impatient and continue to work on your own strategy. You can't buy success, it needs to be earned.
More...

Thanks speedo,

Yes, i am very patient and developing and testing my own strategies.

I just always wondered that question I posted as I have bought many trading system online and never verified anything. Just traded live. lol. Then once I lose money, i just stop trading it. That was the past. Lesson learned.
 
Last edited:
SimpleMeLike said:
Hello,

If a trader buys a vendor trading system online to manual day trade, how can the trader confirm if the system has actually traded with decent historical past performance?

Would you back test yourself?

Thanks,
More...

I can only discuss my experience, I have bought horrible systems in 80s where they were computer and when you took a loss the system changed and said there was no loss, so after that I only bought systems where developer showed me monthly brokerage systems and allowed me to chat with broker, very very few. When I have sold systems, I gave them daily and monthly brokerage statements for a year. If you are foolish to buy any system without brokerage statements.....I have some swamp land in Arizona I can sell you.

The main problem of systems, wrong people buy them as almost all systems needs to be adjusted and they don't have to experience to adjust them.

Designing your own systems in beginning is so much frustration as you often don't know what works, you HAVE to learn how to program so you can get huge enough sample size, YOU have to know when not to take good signals.

<<<I just always wondered that question I posted as I have bought many trading system online and never verified anything. Just traded live. lol>>>

You have kids? any system you buy, look at it as an electric wire, now would you allow your kids to touch it without knowing if it is Hot or cold? Cause that is exactly what you are doing.
 
Last edited:
Dont buy systems even with brokerage statements.

A vendor can run 5 systems live in 5 different accounts, and 1 might be profitable over the last year just by luck.

That one system is then marketed.

The reality is no one with a good system will ever sell it.

If its any good they will trade it.

Therefore all trading systems sold to the public are garbage.

Dont waste you money.
 
As traders we very our techniques according to market conditions. Even if you have only one technique and choose to stand aside when market conditions are wrong for that technique. I have yet to see an automated system that can read the existing market structure and alter its entry/exit criteria. As a result automated systems might do well in an enviroment they were designed for but destroy your account when conditions change. Otherwise all trading everywhere would be done by machines not humans.
 
southall said:
Dont buy systems even with brokerage statements

The reality is no one with a good system will ever sell it
If its any good they will trade it

Therefore all trading systems sold to the public are garbage
More...

I agree,

Trading successfully or fruitfully is like being Neo, or The Matrix 1999 movie:
"Unfortunately, no one can be told what the Matrix is. You have to see it for yourself."

'Unfortunately, no one can teach or sell you what Trading is. You have to see it for yourself.'
o_O;)
Great movie, one of the best of all-time, in my opinion. Life-changing if you really understand and digest it with open eyes and an open mind,

You should study all of The Matrix's epic lines/script:
http://www.imdb.com/title/tt0133093/quotes
...they all kind of apply to life and success -- and in trading too,
 
Last edited:
SimpleMeLike said:
If a trader buys a vendor trading system online to manual day trade, how can the trader confirm if the system has actually traded with decent historical past performance?
More...

Theoretically they could show you a broker's statement with good results. Practically nobody does that.

The closest to the real thing is if you use Collective2 and see if it is traded by others or by the vendor himself.
 
SimpleMeLike said:
Hello,

If a trader buys a vendor trading system online to manual day trade, how can the trader confirm if the system has actually traded with decent historical past performance?

Would you back test yourself?

Thanks,
More...

Try investomonials for a start on verification. futurestruth.com as well as collective2.com are other sources of what you seek.

surf
 
You must log in or register to reply here.
Back
Top