Hi traders,
First of all let me bring up this poll and yeah, instead of flooding, i wanted to bring them in a single thread!
I have been trading cryptocurrency and forex for a while. But FX & CC doesn't seem so reliable to me. Sometimes i have won sometimes lost. I can't say i was consistently making money.
I have also traded futures but futures is a bit risky for me as risk management doesn't seem easy if you don't have enough capital. Thanks GOD, CME brought e-mini micros.
I see that, if you use stop-loss, your random walk trading probability (coin toss trading) is less than 50% (46%-48%). I have read a thread here recently, another data-scientist claimed there's no winning strategy or it was something like that and he decided to give up. I totally understand this.
I also see that, trading options brings amazing opportunity. That's stop hunting / fishing. If you buy calls/puts, your risk is limited and you don't stop out which sounds amazing. I have never tried them yet but planning to give it a try as soon as i make my algo live.
Finally; I have decided to develop an algo for Stocks. Backtests gave me great results but past performance does not necessarily predict future results as we all know. Below you can find the screenshots of my algo. I know the first one looks risky as it has a huge drawdown but I'm okay to risk a small sized account. I can easily reduce the leverage to decrease the risk and you can see the results if i trade without leverage in the second screenshot.
I only have FAANG + MSFT in my portfolio.
Trading window - 2015-07-08 / 2019-05-01
Leveraged:
Without leverage:
Let me ask you something. Would you trade this algo if you were me? I know there's a lot of work and need to be optimise. But would you trade this?
Thanks
First of all let me bring up this poll and yeah, instead of flooding, i wanted to bring them in a single thread!
I have been trading cryptocurrency and forex for a while. But FX & CC doesn't seem so reliable to me. Sometimes i have won sometimes lost. I can't say i was consistently making money.
I have also traded futures but futures is a bit risky for me as risk management doesn't seem easy if you don't have enough capital. Thanks GOD, CME brought e-mini micros.
I see that, if you use stop-loss, your random walk trading probability (coin toss trading) is less than 50% (46%-48%). I have read a thread here recently, another data-scientist claimed there's no winning strategy or it was something like that and he decided to give up. I totally understand this.
I also see that, trading options brings amazing opportunity. That's stop hunting / fishing. If you buy calls/puts, your risk is limited and you don't stop out which sounds amazing. I have never tried them yet but planning to give it a try as soon as i make my algo live.
Finally; I have decided to develop an algo for Stocks. Backtests gave me great results but past performance does not necessarily predict future results as we all know. Below you can find the screenshots of my algo. I know the first one looks risky as it has a huge drawdown but I'm okay to risk a small sized account. I can easily reduce the leverage to decrease the risk and you can see the results if i trade without leverage in the second screenshot.
I only have FAANG + MSFT in my portfolio.
Trading window - 2015-07-08 / 2019-05-01
Leveraged:
Without leverage:
Let me ask you something. Would you trade this algo if you were me? I know there's a lot of work and need to be optimise. But would you trade this?
Thanks
