Of my last 54 trades, I have 43 closed winners, 6 open winners and 5 open losers. If this strategy is wrong, I don't want to be right. So many of you guys get on here and lie on your backs and kick and scream about why it is bad to hold losers. So please tell me...I blatantly violate your sacred rule of cutting losses yet I continue to make money....why would I want to do anything differently?
It's not 'ET's sacred rule'. Stop losses are a widely acknowledged and proven trading precept born out of decades of many traders' successful methodologies. The reason, or reasons, you'd want to do things differently, regardless of whether you use stops or not, is because your method ties up capital which creates unseen costs in the way of lost opportunities or conversely, in acquisition of new funds for new opportunities. Another reason would be that 12.6 percent on average returns per trade taking a few months to a few years to achieve could be improved upon. There are a few other reasons I can think of as well. These factors are being cited to you, though not as often as you keep mentioning your alleged stats in dual threads, but for some reason you wish everyone to hold your stats in the same regard you do, while you seemingly never deal with regarding these other factors in the same regard as they do.
To be honest, all I often see criticism of my method that makes a lot of money by people who don't post their trades for others to see. Teddy Roosevelt did say it better than I could: "It is not the critic who counts, not the man who points out how the strong man stumbled, or where the doer of deeds could have done better. The credit belongs to the man who is actually in the arena, whose face is marred by dust and sweat and blood, who strives valiantly, who errs and comes short again and again, who knows the great enthusiasms, the great devotions, and spends himself in a worthy cause, who at best knows achievement and who at the worst if he fails at least fails while daring greatly so that his place shall never be with those cold and timid souls who know neither victory nor defeat."
Mr. Market- More power to you, and thanks for posting. You have had some good trades, and I even participated in one (it met my technical criteria). My only question is - do you know your monthly/annual return? I know your return per trade - but, have you ever put it in a time format instead of an individual trade format. IE - you are averaging 25% per quarter, 100% per year, or whatever. Keep them coming!
Yes I do know it, but it is so ridiculously high that no one would believe me....and if I did post it here, someone would complain that I'm grandstanding and hogging bandwidth and then my ID would be suspended.
PM it to me! FYI - I don't think you would catch anymore flack than usual - the majority of criticism comes from how long you hold - especially losing positions. Posting a return tied to time (monthly, quarterly, yearly) would give you more credibility.
You wrote that you were looking for comments, not others' trades. Here's my current holdings: Entered Ticker Price Current %Return 18 & 19-Nov LEND 27.45 < average price of accumulated shares // Current: 29.80 8.56% 19-Nov INSP 25.00 24.85 -0.6% 20-Nov SNIC 18.12 18.03 -0.49% 20-Nov KYPH 25.41 26.08 2.63% 24-Nov LAVA 22.99 23.43 1.91% 24-Nov MTLG 24.50 26.61 8.61% But you're still avoiding answering the questions in both your threads concerning your methods, even though you've written that's what you want to share.
He has designed a system to do 15 streams of capital where he holds for 4 to 6 weeks to make 15% per hold cycle. This makes about 400% a year. All he needs to do is keep the streams perking away just like Roosevelt says. There is a small catch in his design though. He uses a restart strategy occasionally. Prestarts are preceded by periods of no picks these days. It used to be that he picked and added a money stream. By going from 2 to 4 to more and more, he finally got to a refined level of 15 streams and a restart technique. Currently his pace of picks has slowed to one every 14 days. This is somewhat slower than the pace required to do 150 picks a year to cover the 15 streams 10 cycles (4 to 6 weeks per cycle). If he keeps this up for a month or so, he will have to shorten the hold period or make more money per cycle to stay on pace. DHI (10 to 12 NOV) is the last pick, he has published here. I am sure there are others elsewhere that are rolling along. We just have not heard of them as yet or he is about 8 behind schedule so far for November. We all will know soon enough.
Actually, I'm not being negatively critical, though I'm assertive and don't like spin and BS. mr.market has a screening selection that's just fine with me, as it provides more probable momentum type winners than losers, or seems to. That being the case, I think he really loses his grasp because he doesn't then apply a technical m.o. to his trade duration, though he'd disagree about the need to do so. But rather than disagree out of a 'I'm doing so great, how could i do better' type of mentality, if he would put that aside for a moment, and rather than fight the idea of stops, if he would put that aside, and if he were to get away from profit targets and put that aside, he could probably see his captital work much, much harder for him than it is now and reap profits on an increased pace. I think there's no doubt about that.