4 years, 3 accounts... Impossible to blow!

Discussion in 'Journals' started by focusonmoney, Aug 23, 2011.

  1. Ok here's the deal.. I have been trading for 4 years, I blew up 3 accounts and now I'm back at it.. So why did I say "impossible to blow"? Well I came up with a mathematical strategy that allows me to not blow up.. So what's the mathematical strategy? Well, I have a night job on the side.. So every time my account goes below a certain amount, I will stop trading and save up what I lost.. For example, right now I have a 2k account.. So if it goes below $500, I will stop trading and save up $500.. And then put that money back into my trading account... I will only do this if it goes below the 2k amount.. At the same time I'm saving up, I will study and try to figure out what went wrong.. Was it me? Was it my strategy? Etc... This will make me stronger..

    A little bit about me. I took off a year from trading to clear my mind. In between that time I've been studying from others, and I also learned new things that I discovered.. I have backtested over 100 different strategies (smh), and I didn't like 98 % of them.. So now, I decided to trade a system that I came up with recently.. I have other systems that I would like to test out (like 29 more), but I haven't backtested them yet..

    The system I'm trading now is based on movement.. THAT'S IT! If the market moves too much, and I don't get a signal then I will not trade.. Today is a perfect example.. In the morning I didn't get a signal at all, and the market moved up too much.. So I decided to call it a day... Were there other signals during the day? Yes of course, but remember my strategy is based on movement.. Recently I've figured out that most of the time the market doesn't move that much when it hit a certain time or point(s).. I could trade all day if I want to because I get signals all day.. But my chances of winning are low if I do that.. I need movement that is decent enough.. So if the market goes up or down too much, and I don't get a signal.. then I will not trade for the day..

    I just opened up a new account today, so overall I didn't make any trades this week yet.. I was going to trade the YM, but I don't like it as of right now.. Not for the system I'm trading.. So I will be trading the 6e... I will be posting charts here and there, and I will drop some knowledge too.. That's it for now.. I got to go.. Tomorrow I will see if I get any signals..
  2. Wow!! I was real nervous today as soon as I put on my first trade.. I was mostly nervous because I haven't trade for a year... I was eating a sausage and egg sandwich while I was trading and I will tell you this.. I was so nervous I couldn't even finish my sandwich lol..

    Anywho, I got a signal around 9:37 am, so I went long... The market pushed up real nice and gave me my profit for the day.. I was done trading around 9:43 am... There was enough movement to give me what I wanted.. Like I said before, I only trade movements (high probability movements).. and In the morning the market gives you good movements..

    Anyways, I'm out for now.... See ya'll tomorrow!!

  3. Opps...I forgot to tell ya'll that I'm only trading one contract for now..and also my last trade was a 12 tick winner... Cheers for now..
  4. I'm getting used to trading again, so I really wasn't too nervous today.. I got a short signal around 9:38 am and I got out around 9:47 am for a quick 12 ticks... It's kind of tempting to hold the position a little longer for more profit.. but I rather not because it's all about being consistent.. I rather open up another account for my longer term trades.

    Ok I got to go. Cheers for now!

  5. A strategy where you put in more money if the strategy works is not necessarily a good idea. More often loses come sudden and unexpected. This catastrophic kind of risk is the real risk in trading (not some minor fluctuations). I.e. you be more worried about third moment (the tail events) of your strategy, than the second moment (volatility).
  6. I really don't understand your post.. Well I do understand it, but where did I say I was going to put more money into a strategy?
  7. Your original post.
  8. Oh ok now I see.. Maybe I confused some people, but if you read closely, I said I was going to put money back into my account (not back into my strategy).. Also I said if it hits below $500, I'm going to stop trading and look to see what went wrong.. Was it me? Was it my strategy? etc...

    But I do agree that it's not wise to put money back into a losing strategy..
  9. What a day... The market was moving real nice today. I guess Bernanke needs to speak more often :) I got a long signal at 9:35 am and closed out the trade at 9:40 am.. I wasn't really sure if I was going to get my profit, because I thought the signal was kind of fishy. But things worked out pretty good...

    Obviously my default profit is 12 ticks just in case you are wondering why I'm always getting $150.. One thing I notice today is, I might be able to trade news or the fed day.. I got some nice signals around 10 am when the news came out.. Remember my strategy is based on high probability movements and the market definitely moves during news and the fed day...

    Anyways, have a great weekend, I gotta go.. Cheers for now.. Oh yea, I will be posting a video later on..

    Day +$150
    Week +$450
  10. Here and there I'm going to share with you what help me out with my trading.. So here's the video that I was talking about earlier..

    <iframe width="420" height="345" src="http://www.youtube.com/embed/yNJReWi_MeU" frameborder="0" allowfullscreen></iframe>
    #10     Aug 26, 2011