I accept your corrections for my English. It is fair enough. However, English is my second language. Unfortunately, this wouldn't make you my PhD teacher . My PhD subject is totally different than merely English. Regarding your analysis, it is interesting and compact and i will consider your advice. That is why i keep trading as my hobby and even demo till i find an edge if i could. Thank you very much for your 2 c$.
Charting for trading purposes is equivalent to trying to race in formula 1 with a donkey. This is the era of HFT, data minig, genetic programming and some other things that are not discussed anywhere, certainly not in ET. Charting is a way of enforcing one's own delusions about the market, a perfect way. At best, the longer-tern success rate of a chartist is 50%. Add commission to that and maybe an R:R below 1 and you get negative returns. If you are still not convinced and you believe that charting is a viable tool for trading, there is a fairly good scientific explanation as to why it is not but I am not willing to discuss it. Part of the explanation is manifested in the problem of the "moon illusion". Why most people see a bigger moon at the horizon but few do not? http://facstaff.uww.edu/mccreadd/index.html
I have figured out recently that merely charting-based trading has very little edge. so i agree with you regarding using only the charting as your method of trading. I understood that only the tick data is the most accurate representation of the market. I might be wrong but this is what i think for now. " Newbie" However, I am still working on my strategy with a pro mathematician , statistician and excel developers to develop a viable mathematical model. I believe i could do implement everything without the need of charting but because i am still a beginner so i am trying to have these charting tools to augment my observations. HFT resources still out of my limits. That is why i am trying to find a compromise that give my donkey an edge among their rockets. crazy but i believe it could be possible. " newbie " my understanding for now is HFT is about maximizing profits and minimizing risk than about solely profitability. So profitability could be achieved without HFT but it would be with higher risk and less profits. Still learning. .. and i will never get in the market unless i have a clear edge. Thanks for your opinion and i wish you could share me more so i could learn more. thanks
Good point. However, if you account for capital investment, your return will be much higher. I believe that as the number of HFT firms will get larger they will become like the average trader and 90% of them will be failing on the average.
and maybe also the speed to get into the top 10% is also highly considerable WOW i love this game ONLY IF IT IS A FAIR GAME "However, i doubt about its fairness !!" I think the "0-zero" latency guys throwed some microseconds latency to the public hoping and planning this would buffer the issue and give a cleaner face to the game.. and the game continue
everybody is looking for an edge in this game. if your edge works for you, more power to you. i prefer edge that has less dependences on technologies or 3rd party microsecond hiccups.
. my potential edge is not depending on technologies but would be affected by technologies. I think " Newbie" technology could be used to decrease risk that fortunately would be accompanied by increase profits. So, my priority is to decrease risk but i cannot say NO to increase profits that come with it. So, back to my original question, how could i use " low end" technologies to achieve that?? Experts please share...