Grinding it out, day after day

Discussion in 'Journals' started by lescor, Jan 9, 2010.

  1. I just noticed from your opening post that you killed your yearly
    goal. Maybe you were just being modest. :p
     
    #1241     Dec 2, 2010
  2. lescor

    lescor

    Just barley eked out some green to keep the weekly winning streak alive at 8. +1k on 328,000 shares volume. Daily pl 0, -2, -9, +8, +4.

    On the wrong side of some nasty trends, like CMG today. Also managed to avoid carnage in SWM today, the stock that gave me my worst trade of the year back in February.
     
    #1242     Dec 3, 2010
  3. Holy SWM!! I checked the chart after u posted, absolutely nuts.

    I have respect for u stock guys (11% is a huge move), even if you do spread them....

    Have u considered spreading equity index futures?

    Nice job, btw.
     
    #1243     Dec 3, 2010
  4. Corey, or anyone else... Please offer a clue...

     
    #1244     Dec 5, 2010
  5. EricP

    EricP

    I don't believe Corey offers a bootcamp as he has already pointed out that his trading is in liquidity sensitive issues, and encouraging competition (by disclosing more detailed information) would reduce his likely profitability.

    Actually, that might be the clue in itself => If you have traded many years, and have become very knowledgeable with trading methods that have been successful for you, <i>keep them close to your vest</i>, so that your trading edge is not diluted by other traders - ultimately resulting in the loss of profitability for all such traders (see Don's thread as a reference; pair trading is another example => if lots of people know about it, then you can bet its now just another useless strategy that doesn't work)
     
    #1245     Dec 5, 2010
  6. That's one fundamental difference between the worlds of stock trading and futures trading.

    Enough players can step into an illiquid stock or stocks and destroy them. But that cannot happen in the futures world... it's a game of hedge funds and HFTs who totally control the tape. The actual, realistic amount of active futures traders at any given time cannot push a commodity market one iota.

    Theoretically, enough people could. Realistically, there never has been, is not and never will be enough retail traders in ES or TF or NQ or CL or ZS or ZC or ZG to render any approach useless that has a true, lasting edge by design.
     
    #1246     Dec 5, 2010
  7. I think the basics are

    1) find stocks that are moving well beyond there avg

    2) come up with some some method to find levels where you
    start looking for mean reversion.

    3) Average up or down as it moves away from you.

    4) Come up with an exit strategy (the hard part)
     
    #1247     Dec 5, 2010
  8. gaj

    gaj

    the hardest part to me isn't the exit strategy.

    it is knowing when things aren't reverting as they should, and getting out BEFORE everyone else figures out they aren't acting as they do 'most' of the time.

    though i'm (guessing that) usually not trading the same stocks as les.

     
    #1248     Dec 5, 2010
  9. NOt to turn this into a RTM thread, but I keep reading this, along with "sharply increased volatility."

    Wouldnt the whole point be to avoid unusual (abnormal moves) in the stocks? I thought trying to use statistics or another method in a sideways/uneventful/rangebound (read: boring) market is the goal..

    To me identifying sharp explosive moves is the opposite of what RTM is about. B/c my logic is that such a move is probably driven by news or technical setup, and is an isloated case which research probably didnt account for.

    I remember seeing a link to a .pdf file that discussed variuous market conditions. breakout, rangebound, and trending, I believe. And from I remember (I wish I still has that link) markets were only trending 33% of the time. so RTM makes sense, at least on the surface.
    Couple that with the fact that the majority of traders lose money, and that most of the strategies out there that are "popular" in books/seminars, are trending following and breakouts. which makes sense since the majority of trades are losing, and following such strats. This is my simply logic, feel free to correct me. Just kind of talking out loud.
     
    #1249     Dec 5, 2010
  10. bone

    bone

    Lescor:

    Beautiful work. Quick question, can you claim 1256 blended capital gains tax treatment for Options on Equities? Most of my options experience has been with options on futures which of course is, so curious about options on equities.
     
    #1250     Dec 5, 2010