What is your edge ?
- Thread starter oilfxpro
- Start date
TheBlackHand
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This is still the only post on this thread that mentions what a real edge is. Murry Turtle also eluded to an edge in his approach.
All this nonsense about edge being patterns, psyche, exits and other 'skills' just explains why so many have a different reality to the one they hoped for when they first opened an account.
How can anyone expect to make money consistently when they base their business on a sequence of random outcomes they mistake for a recurring pattern? Beauty is in the eye of the beholder.
So long as "proprietary analysis" is categorized under "access to special information", I don't see anything wrong with that taxonomy per se, although "access to special information" makes me think of insider trading type stuff, which obviously happens, but isn't the only kind of information edge available.
Some people are just doing things with the same raw data everyone has that no one else has thought of before.
I think you do have to start with the data, though, because if you start with any transformation of the data which is already publicly available, you decrease your odds of success. You really need to build the entire analysis engine from scratch. In order to that, you first need an original idea, which is actually the hardest step of all.
The point being here once again logicman-- it's all about the timing of the entry that dictates the effectiveness of a tight stop above/below HOD/LOD...
"Cherry pick"? Not at all. Examples of the right set ups-- yes. Big difference. They exist every day...
I have no idea what an "EMG" is...
I don't sell education.... I educated myself everyday...
Something you should consider doing--- there is a wealth of free information available to you if you seek it out and find it...
Your responses continue to prove you have no desire to truly learn... instead you appear you just want to be cynical and tear down.
Im done with you-- lack of an intelligent rebuttal and refusal to address price action examples given is enough to figure out you either are ignorant as to how to respond or are too stubborn to do so.
Just like in many businesses, R&D is at the heart of the value creation process. What you call 'proprietary analysis' I call R&D, that's really the same thing.
What I disagree with (and it has nothing to do with you, logic_man), is the generic formulation "access to ...", which implies some privileged status. The reality is that in all cases, it involves a lot of work, knowledge/experience/skills & dedication, to make things happen.
Retail traders are at a huge disadvantage, as anything they do they pretty much do it just by themselves, out of their very limited resources (be it time, money, brain-power, knowledge, experience, business & trading relationships) ... yet most strongly believe this is the best course of action for themselves - BS.
As for those "never thought-of before" concepts, I have to laugh - this is what I hear all the time from my kids. But I would agree with "never publicly disclosed" concepts.
I AM NOT SELLING EDUCATION!!! I AM A FULL TIME DIRECTIONAL OPTIONS TRADER WITH EXECUTION OF ORDERS BASED ON UNDERLYING'S PRICE ON A CHART!
Is that the best you can respond with when confronted with critique???
Where did I once say anything about paying for a seminar/course/dvds etc???
Look at my entire post history on this thread-- please point out one post that infers I am trying to profit here...
Olix- it is becoming crystal clear to me now why you started the "Day Trading is For Losers" thread...
Yes, alot of after the fact examples exist, from which you can cherry-pick. On that, I agree.
I set my initial stops to not get hit. My initial stops get hit less than 3% of the time. Clearly, I know what I'm doing.
How often do your initial stops get hit?
Plus, regarding position sizing, I already can't get enough leverage to fully exploit my strategy (my Kelly "bet size" for my primary strategy is over 40%, but since my strategy also requires that I occasionally hold overnight, using day trading margin to get that amount of leverage is impossible), so what do I care about upping position size?
Traders with huge edges have different problems than traders with tiny ones.
True, the "access" really comes at the end of a much longer process of strategy conception, development, refinement and iteration.
There is always the question of how original something is. I guess when you look at the public discourse on trading and see what's discussed vs. what isn't discussed (it also helps that I have an MBA and have worked with a lot of Wall Street veterans, although not in a trading capacity), you can get some kind of idea, but it's true that all the really good stuff stays as secret as the recipe for Coke, if not more so.