What is the traditional course of study for a career trader?

Most algos are not that smart. Machine learning and hard maths overrated. Use of heuristics is fine. The real advantage algos have is their ability to analyze and react to data in microseconds. Trading is fluid and scalable, simple edges are short-lived.

Good coding skills, basic stats, some microstructure knowledge, and an understanding of how various participants trade. You'll be coming up with profitable strategies in no time.
 
algonoise said:
Most algos are not that smart. Machine learning and hard maths overrated. Use of heuristics is fine. The real advantage algos have is their ability to analyze and react to data in microseconds. Trading is fluid and scalable, simple edges are short-lived.

Good coding skills, basic stats, some microstructure knowledge, and an understanding of how various participants trade. You'll be coming up with profitable strategies in no time.
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Market is dynamic , all profitable strategies and their edges will evaporate fast , there are teams of maths geniuses and brains more powerful than us ordinary people.Of course the grass is always green and the future always rosier , we will keep putting in the relentless efforts and every few years we start from scratch.
 
AbbotAle said:
The famous 7th Law states that dramatic price movements tend to unfold from price structures that minimise participation. .
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The smart money is well in before the event , they have more sophisticated and unknown systems and these work well.

I am already in most of the opportunities well before they happen .

Jack Hershey , please come back darling , we luv ya , you are my only entertainment guru
 
Laugh all your want at the 7th Law. It's been around for many years, fortunes have been made and will continue to be made via its application.

As for the 'smart money' (wish I had a $ for every time I see that cliche mentioned) being in before everything happens. Good for them. But that's not a very smart move in my opinion.

The far more intelligent way to trade is to get in AFTER the event. Why, because then a small stop can be used, smaller than most people realise is possible. And if you don't understand why using a small stop is so important in this game, your returns aren't going to be that good.
 
TRADING EDUCATION BUYER said:
Market is dynamic , all profitable strategies and their edges will evaporate fast , there are teams of maths geniuses and brains more powerful than us ordinary people.Of course the grass is always green and the future always rosier , we will keep putting in the relentless efforts and every few years we start from scratch.
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All edges do not evaporate fast because markets are run by emotions and human emotions don't change, we tend to do the same things over and over again meaning we make the same mistakes over and over again. Markets are therefore the same today as they were 100 years ago. Livermore was right, there's nothing new on Wall Street.

As for these maths geniuses in the markets, I've been hearing about them for decades. And I've been following their returns for decades as well and all I see is half decent at best and pretty dire at worst. There are always 1 or 2 exceptions of course but if superior brainpower was the key to the markets, scientists and PHDs would have taken over a long time ago. These people have a role to play in the markets for sure, but they like the Aglos are nothing to be worried about. There is room for everyone in the markets.
 
AbbotAle said:
Laugh all your want at the 7th Law. It's been around for many years, fortunes have been made and will continue to be made via its application.

As for the 'smart money' (wish I had a $ for every time I see that cliche mentioned) being in before everything happens. Good for them. But that's not a very smart move in my opinion.

The far more intelligent way to trade is to get in AFTER the event. Why, because then a small stop can be used, smaller than most people realise is possible. And if you don't understand why using a small stop is so important in this game, your returns aren't going to be that good.
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my stop is is over 4 % and i make money and my returns are 3 figures %.I am past the tight stop snake oil and emotions
 
AbbotAle said:
All edges do not evaporate fast because markets are run by emotions and human emotions don't change, we tend to do the same things over and over again meaning we make the same mistakes over and over again..
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most traders make money , then they lose it with emotions and costly mistakes .broker statistics are 95% .

Jack Hershey's make profit 95% of the time and are part of the 95% winners :):)club
 
Tight stops are hardly snake oil.

Why use a 50 tick stop when a 20 tick one would be more intelligent?

The key to using tight stops is similar to the middle weight boxer flooring the heavyweight. Normally with such a weight imbalance it's not possible but there's a often a very tight window of opportunity where the heavyweight is off balance, then a single well placed punch by the middleweight will floor the heavyweight.

On many of the good moves there's also a small window of opportunity where a very tight stop can be used. Those opportunities normally happen AFTER event and not before which is why it's normally best to trade AFTER the event and not before. If you trade before the event you can't usually use a small stop meaning it's really hard to get a decent risk/reward on the trade. Hence, the better traders tend to trade after the event when they know they've got momentum on their side. If you buy the low, how do you know momentum is going to materilise? You therefore need people to be wrong and then realise they're wrong and the only way they'll realise they're wrong is if price starts to move higher.

So find those similar opportunities in the market and a tight stop can be used and with a tight stop 3:1, 4:1, even as high as 10:1 trades are very possible. Yes, of course there is a risk of using small stops, even a small blip can take you out. So you have to balance how often this happens versus the larger profits you'll generate. But if you choose right and concentrate the extra profits more than make up for the losses.

As for me being Jack Hershey, no I'm not.

As for me offering entertainment I don't see it. I believe I'm offering good information but as ever I seem to attacked for trying to help.
 
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