you compete with: 1) automated trading excel spreadsheets that scalp for anywherers from .06 to .25 moves 2) you also compete with other automated programs that do similar shaving moves 3) you compete with the supervisory element of these prop shops who see and have access to net positions of all supervised traders and then use those net positions knowledge to their advantage, whether to hedge against or fade their moves 4) you compete with hedge funds that can lose with the intention of bustin other traders, whether they are known to them or not 5) you compete against knowledge shared on these boards by those who read but don't add to the mind share 6) you compete with other pseudo trading groups that pretty much pump and then dump into the move, only to see the stock take on real buying interest and skyrocket higher well beyond the churn and chop, but by that time those in it early are busted out.... you simply compete, so you have to decide whether scalping in its various forms or holding longer term (over 1 or 2 or 4 days) will/would be better
Dude, you need to understand that all the behemoths started out as "maggot wanna be hedge funds". Once you wrap your mind around that, let me know.
hydro there are plenty of legit funds that are recently established by managers who are leaving their own funds.
Is there a prop trading firm that would allow traders to keep trading remotely and through their favorite broker (I currently use TradeStation and IB) and platform, while, at the same time, make capital available to them? I wonder if that is done and how does it work. A monthly fee would probably be necessary to compensate the firm for missed commissions. Any ideas, feedback? TIA.
It can't really be done. It would require the prop firm to deposit cash into your retail trading account. Prop firms have only 1 big account (with hundreds of sub accounts, one for each trader), this is what allows use of the firm's capital to each trader. Of course, you can use TS or eSignal or whatever you like with most quality trading platforms (Redi or OmniPro in our case). Don
Don, Thanks for your quick response - I understand. Do you know of any tool (eg, TradeBolt?) that would allow me to take signals from my TS-based system and place them onto your trading platform in real time? The reason that I am asking is that I have several systems developed on TradeStation that I would love to be able to keep using.
I know that we actually have order entry via eSignal (where you run eSignal, and orders can be entered from their screen). I'll have to check into TS compatbility. I'll get back to you. Don
I went through Chicago, and now to New York. I have a call into the head programmer at GS....I'll let you know as soon as I know. Don