Do you have any piece of advice for a novice trader? Anything that could be helpful?

Discussion in 'Options' started by newbie003, Oct 27, 2019.

  1. raVar,

    What do you mean by "groups" of 30 and 40 trades? Do you mean 40 trades?
     
    #41     Oct 28, 2019
  2. I think you’ve cracked your head.
     
    #42     Oct 28, 2019
  3. newbie003,

    Well, I can say this. What ever you choose, trade sim for 200 trades to see if you are profitable before risking real money.

    P.S. I am not a profitable trader, yet. I study Al Brooks.
     
    #43     Oct 28, 2019
  4. themickey

    themickey

    How long/many trades have you traded this system?
     
    #44     Oct 28, 2019
  5. Turveyd

    Turveyd

    LOL like I've got a brain !!!
     
    #45     Oct 28, 2019
  6. raVar

    raVar

    Depending on the periodicity (the time-frame you are trading in), I view an iteration? Usually around 30 trades. So yes ... a group of 30. And then a group, of another 30. :)

    Then, you compare those "groups" or iterations to one another. There's going to be some give and take. If you are running 45% accurate; you should be aiming for $1 risked to $1.50 reward on average over iterations.

    So in other words? You're not going to lose 1.00 each time you lose, and 1.50x each time you win. But that should be the average, over a few iterations. Hope that makes sense for you.

    I might stretch that out to a group of 40 trades being an iteration. Just depends on the process really, but that's just me nitpicking.
     
    #46     Oct 28, 2019
    SimpleMeLike likes this.
  7. IAlwaysWin

    IAlwaysWin

    The system without the divergence formula, well over a year. With it, coming up on 5 months. Looking to hire a coder to help with fully automating it.
     
    #47     Oct 28, 2019
  8. tiddlywinks

    tiddlywinks


    Just jumping in the fray here...
    completely agree about comparing "iterations". Further, if the trade sample size permits, creating iterations of every nth sample (or day, or whatever slice/nth) helps introduce an element of market environment randomness, which, if understood, provides further (human)confidence to the comparisons.
     
    Last edited: Oct 28, 2019
    #48     Oct 28, 2019
    raVar likes this.
  9. Thank you raVar

    Based on your experience and opinion, which strategy should I trade below? Alll 3 am forward testing. Daying trading CL, crude oil. One contract. Testing since July 2019

    I am leaning toward strategy 2.

    Thank you,


    Strategy 1
    upload_2019-10-28_19-53-4.png

    Strategy 2
    upload_2019-10-28_20-14-25.png

    Strategy 3
    upload_2019-10-28_20-14-50.png
     
    #49     Oct 28, 2019
  10. padutrader

    padutrader

    do you have proof of that?
    otherwise it is quite presumptuous.....also amusing since you are part of that [elite!] forum
     
    #50     Oct 28, 2019