After many years of research, testing dozens of strategies, systems and programs and working intensely with dozens of knowledgeable traders and programmers, I have come to the conclusion - automated trading does not work reliably and profitably in the long run. Thousands of traders are chasing the holygrail of automated money making. They burn (hundreds of) thousands of $ programming and trading to find it doesn't work in the end. The only way to make money in the markets is with discretionary trading. Happy trading, Felix
Buy and Hold does not work... the market just lost 56% of its value in 1.7 years... bingo... the only way to make money in the market is to create a complex billion dollar financial fractional reserve secruitized banking product... have employees 'volunteer' to be embedded in public service at the Fed and Treasury level... make money on your financial scam for a few years... then have it fail to the point of risking systemic collapse... get bailed out to the tune of trillions... by the embedded former employees... pocket money... wash... rinse... repeat again.. thank you... and will someone turn out the lights please...
None of them works. The only sure way to make money is by Ponzi game. Monopoly is likely to make money. Big money can make money most of time, but most of them failed in 2008-2009 miserably.
A complex billion dollar financial fractional reserve secruitized banking product is a ponzi game... thanks... now can someone now puleassee turn out the lights... ...
The only sure way to make money is to make commissions or exchange fees. Become a broker or an exchange or hope.
Money can be made via discretionary or automated means. Some traders do both. If you use a small sample size such as yourself and a few others that were not able to make their method a success doesn't necessarily invalidate the idea that money can be made via either technique. You need a larger sample size. I have known many who failed at both, as well as a few who have succeded at both. You have to start with a good idea and make it better with hard work. If you start witha poor idea, it won't matter how hard you work, it may not be successful. If you start with a good idea but don't execute it well or work hard at it, then you may not be successful.
I gave up on auto trading only a month ago and took up screen trading with the sim account to get a start... I learned so much in the autotrading work that it only took me a month to put together my screen trading strategy.. so automated trading worked great for me...
After many years of research, testing hundreds of strategies, systems and programs and working intensely with dozens and dozens of knowledgeable traders and (many professional) programmers, I have come to the conclusion - automated trading does work reliably and profitably in the long run. But traders can not and do not prepare for the drawdowns that all reliable trading systems have frequently. Trading Automated Always RabbitOne
Amen. Way more then 1/2 of all trades in the markets are not done automatically. Those that aren't are done by rooms full of kids at bingo tables watching for limit orders and hitting F8 and F9 all day to make a living. Oh yes, they have their Bloomberg feeds on TVs on the wall, but that isn't what makes money. I look at it simply. If you need skills to beat a computer in order to play the game-even to belly up to the table-then you'd better bring the goods, or go home. Without an autotrader, you are literally the new poker player sitting down at the table of pros, all of which are sending signals to each other. You are not just playing each player at the table-you are playing the ENTIRE table. And guess what... Everyone at the table is trading with a computer-except you. Watching one stock, eyes glued to the screen 6-1/2 hours/day, might make you money. But doesn't hedging your bet(s) make more sense? If you could scan 10s of thousands of stocks each day for the conditions that put them on the short list, then watch those 80 or so like a hawk until the right conditions in volume, price, and hundreds of other conditions were met, you would be a computer. No human can do that, and certainly not repeatably and reliably. That is what computers are supposed to do. They do what we can do, but in quantity and with higher accuracy. Plus be honest here-who wants to actually sit in front of a monitor and stress over making money when a computer will do it for you and tell you how much in email to the golf course, or in a report when you get home. I'll wager (as do we all) that there is no way to lose money in autotrading if you have entered in at _least_ a conservative winning strategy for the computer to execute. When the conditions aren't right, you hold. When they are, you buy. Simple. So tell me... After all these years, and all these studies, etc. why don't you share with the class what strategies you were using that lost you money? I'd be happy to tell you why they lost, as I'm sure would everyone else here. You threw down the gauntlet, so I for one take up your challenge. Put up!