Is fully automated trading a fantasy? Your opinions here

Discussion in 'Automated Trading' started by ybfjax, Mar 13, 2007.

Is a 100% automated system possible for a $10k (futures/forex)? To live off of?

  1. Yes, you can print money in the markets (large, consistent short term gains).

    106 vote(s)
    37.9%
  2. Yes, but not to live off of (very slow gains long term).

    27 vote(s)
    9.6%
  3. It may be possible, but no one would sell it.

    73 vote(s)
    26.1%
  4. No. Strictly a trader fantasy.

    74 vote(s)
    26.4%
  1. <i>"Appears you program easylanguage Tradestation."</i>

    Appearances are deceiving :>)

    At first I worked with TS canned strategies, then had some custom-written source code ELDs developed. I am not fluent in easy language or any other programming.

    Once I had my own ELD product, I was able to make any number of systems based on the same study but using different settings, initial stop loss and profit targets. That can create "sister" systems with a different outcome to run as a pair. One can also program the same custom logic in any market = symbol to create an unlimited number of systems.

    So... that's the extent of my system's writing career. I can do a number of things with what I possess, but no ability or interest in writing further from there.

    Hope this explanation helps clarify :)
     
    #141     Mar 24, 2007

  2. austinp, FWIW, my partner and I have found exactly the same things to be true. GBPUSD often tests best for whatever reason, which is the reason we focus so heavily on it. Yen pairs are exactly as you described them at times.

    Interestingly, most people tend to focus on finding "one system that 'prints money,'" but the true route to success is multiple systems trading multiple markets. This way the dead periods for certain systems can be overcome by gains in other systems and markets...
     
    #142     Mar 24, 2007
  3. <i>"austinp, FWIW, my partner and I have found exactly the same things to be true. GBPUSD often tests best for whatever reason, which is the reason we focus so heavily on it. Yen pairs are exactly as you described them at times."</i>

    GBP makes the widest relative price swings, while EUR tends to be choppier. Not a lot different than ER2 versus ES tendencies.

    As for the yen crosses... they are jusy plain buzzy. One look at the wicks on their candles across any timeframe says it all. EURJPY and GBPJPY test out best in systems, but when they have a bad month or two it tends to be frightening.

    Run together in a basket portfolio, they help smooth the curves out.

    *

    If I were trading-investing a large sum of money, I'd expose some of it to basketed FX systems. That would also entail rock-solid conectivity from software to trading source, be it in-house with a brokerage ~ clearing firm or otherwise.
     
    #143     Mar 24, 2007
  4. That's a nice curve apex... my hat's off to you. I'm still working on developing a robust automated strategy myself. It seems whenever I get a system with an equity curve like yours, I inevitably find a bug in my code that brings me back down to earth. :eek:
     
    #144     Mar 24, 2007
  5. 2006

    2006

    How often does it trade and if you don't mind me asking how many points per trade is it gunning for.

     
    #145     Mar 24, 2007
  6. Nice system!!! What markets? ES? Did you write the code?
     
    #146     Mar 24, 2007
  7. Now I see ER2. Good market! Must be following Renaisance
     
    #147     Mar 24, 2007
  8. I would be curious to know the time frame the system is based on. 10 min?
     
    #148     Mar 24, 2007
  9. Sorry, I am not releasing any info about it. I dont want to jeopardize its performance.
     
    #149     Mar 24, 2007
  10. 2006

    2006

    Dude that's ridiculous. Telling us whether it makes 1 trade a day or 1 a week is not going to degrade its performance !!!!
     
    #150     Mar 24, 2007