Why does it take so long?

profitlocker said:
Looking at the gray hairs on my partially bald head just made me think back. I'm no Einstein, but far from a dummy.

Why did it take me 15 years to get my mind right in this game?
More...

I just guess:
Trading options would probably take even longer time! Perhaps due to harder books and more complex mindset might be required! :)

Longer timeframe could be also a major factor for forward testing or paper trading.

http://www.elitetrader.com/et/index.php?threads/trading-long-straddles.222085/
falconview said:
About 25 years ago, I made note of a strategy, trading Long Option Straddles. Since I am currently out of idea, I was re reading my notes. Somebody back long ago had what they said was a long option straddle method that worked.
So I am trying it in paper money. 25 years ago they did not have the internet resources, charting and paper money trading they have today. Just got one week at it, too soon to tell anything, but will see by the end of the month. In the meantime, I have heard sporadically of people making, or losing oodles of money trading long option straddles. So just wondered if there was any body out there successful at it?
More...
 
Last edited:
profitlocker said:
Looking at the gray hairs on my partially bald head just made me think back. I'm no Einstein, but far from a dummy.

Why did it take me 15 years to get my mind right in this game?
More...

You had to deprogram yourself of losing psychology/ societal norms long accepted as truths eg don't give up, however in trading giving up on a losing position in most situations is the most sensible thing to do....
 
Not sure what markets that you've been trading, but the real money is made by positioning in long term trends and growth of the U.S. equities markets via small cap value and mid cap growth stock universes. Short term trends reflect randomness and chaos; hard to tell the "why" of why a short term trend is doing what it is doing. The "why" of what establishes and drives the long term market trends are positive expected earnings of companies that produce goods and services, and with a little help, Fed stimulus. A simple price / 10 month moving average cross applied to the S&P500 has defined long market trends pretty methodically for many decades, for example. Oft times, money is made by waiting in cash.

James
Director of Quantitative Reseach
 
Stockmarketmap said:
Not sure what markets that you've been trading, but the real money is made by positioning in long term trends and growth of the U.S. equities markets via small cap value and mid cap growth stock universes. Short term trends reflect randomness and chaos; hard to tell the "why" of why a short term trend is doing what it is doing. The "why" of what establishes and drives the long term market trends are positive expected earnings of companies that produce goods and services, and with a little help, Fed stimulus. A simple price / 10 month moving average cross applied to the S&P500 has defined long market trends pretty methodically for many decades, for example. Oft times, money is made by waiting in cash.

James
Director of Quantitative Reseach
More...

You are essentially saying that the 'real' money is made buy and hold investing. Thats not trading in my book, that's investing which has its own pros and cons.
 
Sadly i fear, it's time goes by too damn quickly mainly as you get older you have to waste your life doing more and more tedious crap, it doesnt really leave a lot of time to do what you want to do, and this annoys me.

Or when you have got time, your too fecking tired to care.


99% of the time its annoying woman, that nag you into doing crap for them, cause there lives are soo much more important, he says sitting outside a gig in the car on the ipad bored smegless.


Got to move to Spain by the beach, start a new life, zero contact with anyone ever.
 
Stockmarketmap said:
Not sure what markets that you've been trading, but the real money is made by positioning in long term trends and growth of the U.S. equities markets via small cap value and mid cap growth stock universes. Short term trends reflect randomness and chaos; hard to tell the "why" of why a short term trend is doing what it is doing. The "why" of what establishes and drives the long term market trends are positive expected earnings of companies that produce goods and services, and with a little help, Fed stimulus. A simple price / 10 month moving average cross applied to the S&P500 has defined long market trends pretty methodically for many decades, for example. Oft times, money is made by waiting in cash.

James
Director of Quantitative Reseach
More...

Only ONE person on earth did this successfully: Warren Buffet.
Don't know of any other investor who did this.
If it would be that simple there would be millions of rich investors.

I suppose you are very rich?
 
It requires a lot of time because it's very high up on the list of competitive competitions. The simple solutions are generally speaking impossible to find without a good grasp of numerous underlying principles. Like trying to play chess or another game where u know a few moves but your opponets are using a broader based principle approach which governs or applies in all contexts or scenarios they encounter. They generally beat most of us most of the time. :D

It takes a huge effort to compete with them, understand what they're doing, and join them.
 
OddTrader said:
I just guess:
Trading options would probably take even longer time! Perhaps due to harder books and more complex mindset might be required! :)

Longer timeframe could be also a major factor for forward testing or paper trading.

http://www.elitetrader.com/et/index.php?threads/trading-long-straddles.222085/
More...

http://www.elitetrader.com/et/index...ions-trading-system-plan.299019/#post-4268116

Robert Modd said:
I have developed countless systems over the last 24 years. I call them systems because I think systematically. At first I started using fundamentals (Picking direction based on a story). I later moved into technical analysis. Today I trade options based on picking a range rather than a direction. It was an evolving process. I only used real money (Paper money couldn't keep my interest). If you can use paper money I strongly recommend it.

I choose a trading system after trying something and failing then trying a variation and failing. When you have failed 100 times you have learned something. Each failure was built upon. The more failures you have the more you understand risk. Risk management is key.

I have found many that work in a back tests then the market does something it hasn't since 1985 or some crazy random thing and its back to the drawing board.

I have a great system that took approximately 23 years to create. Even though I have a great system I'm always looking for new ideas because its challenging and I like it.

I would number your systems. I wish I did from the beginning. I just started numbering them my best is system #8. Even though system #8 is profitable, I have tried to create 7 variations of system #8 and I have I variation a probable system #9 working in one of my real money accounts.

To back test I use TOS analyze tab then think back button. You can place an option trade in the past and move time forward for results. It sounds like a lot of people on this forum have a more sophisticated back testing method but this one works great for me.

Learning options can be a tall order but I have found through trial and error that they are the best vehicle for me.
More...
 
You must log in or register to reply here.
Back
Top