But the edge is for the life??

Hi members,
I find my edge after years of research in the futures markets,
I need to understand if this edge now can I use for all the time that I need , with regolar change with the change of the markets where I use it; I wait for advice and answers, sorry for my bad english,
Steve

 

YES?

 

Dear ikx. Could you please be more specific. I think many of us could help as long as we understand the question.
Cheers,

 

mean: when a trader find an edge that make to him/her money, is it possible that this is for the trader life ? So the trader not need to search another edge again?But only change that already have?
Steve

 

I suppose it is possible to uncover an edge that lasts a lifetime, perhaps one with slight tweaking.

However, in my un-expert opinion, I think that would be highly unlikely.

There are those that claim their trading decisions come from some sort of intuitive 'feel' for the markets, which if successful over the long term I suppose could be called 'an edge'.

A tidbit of advice: If your plan in trading is to find an edge that you can sit back and exploit for the rest of your life, you're probably setting yourself up for quite a disappointment.

 

I think he's trying to say that if a trader finds an "edge", does that mean he's set for life. Does the trader need to search for an edge again?

I think this is the question. Then yes, because markets are changing so the edge has to adapt to that.

Chinook

 

Hi Chinoook,

You write:"""""because markets are changing the edge has to adapt to that"""",
this was my idea too, the same edge that change with the change of the markets,

Steve

 

What do you think Richard Dennis, Julian Robertson, even Jesse Livermore might say?

 

Yeah, well, if you have an edge it means you're stealing money from someone and when they catch on, they go away, and you're standing there holding your ****.

That's why so many sell information, after a supposedly illustrious career. They had an edge, it was taken away, and now its better to sell it than to trade it.

 

I think it depends on whether markets are structurally stable or whether the underlying structure shifts.

Based on my own research, I am convinced of the latter.

The strength of auto-correlation in the S&P for instance has diminished greatly in quality from 1960s to 1990s. Simple trend following no longer works because of that.