TL;DR -> I explain how and why i suck, loss porn, then humble brag about how many books i read like a nerd, then ask for your opinion on Richard Dennis/turtle methods/trend trading and how you implement such principles in your strategy. So I suck at trading and basically just place discretionary options bets that have taken my account in the past month from $50k -> $100k -> $50k...I just realized a $10k loss today which in combination with day drinking whiskey has inspired the creation of this thread. The major fluctuation doesn't bother me so much as far as a deep feeling of loss goes but I am annoyed because I know I can do better and I have a strong will to succeed...so feeling more pissed than depressed. Spare me the sympathy but please savor the loss porn as it is only natural. (XEC, WWE, HAL, CLR will all expire worthless today for -$9,555) I have been reading constantly about trading...pretty much obsessive at this point. When im not reading I am listening to "Reminiscences OASO" audiobook (on my 5th listen currently)...in the past month the books have been "how to trade in stocks" -> "Trading for a living" -> "market wizards" -> "The complete turtle trader" -> "The way of the turtle". Not finished with Curtis Faith's book yet but so far like it infinity better than Covel's...which wasn't "complete" in any way. Like so many before me, the Richard Dennis chapter in MW was really inspiring. I read that and thought "Damn this guy is sharp". I have become obsessed which has led to the "turtle" books, tons of online articles and some youtube videos. "Buy strength, sell weakness" is one of those sayings that really makes sense to me...and it jives well with Livermore's trading philosophy whom i worship as the god of speculation. ***IMO*** The bear trend was broken APR 6th after the S&P gapped up over the weekend. I was sitting there bag holding puts, I look at a month long chart, I knew the trend was broken, and like a retard i said "naaaah the big drop is right around the corner" so i held, and held, and am still holding...and a light bulb went off I said to myself "if i had been implementing a trend following strategy, i would have closed out my puts and bought calls around APR 6th and made an absolute killing the past few weeks". SO, At this point i realize that I must use some type of system with some type of edge or i will wind up living in cardboard boxes behind the waffle house giving handies for crack. I plan on sticking with options. I like them a lot. I believe in "buying strength and selling weakness". I know i need to utilize stop loss orders, everybody knows that, but i havnt been at all lately as i've been waiting for another drop (which likely will never come) basically hoping and praying like a typical poor person. So lay it on me, how do you feel about about the turtle principles and applying them to options trading? I know they traded pretty much all markets but commodities and currencies are a bit much for me and my baby account. How do you implement it (even if it is only bits and pieces) in your strategy? (its ok if you dont trade derivatives am still interested in hearing your opinion). I am sure you all are familiar but for those of you that are not i will post a link to an investopedia article about it below. https://www.investopedia.com/articles/trading/08/turtle-trading.asp @PoopyDeek bro i know you are big smart, if you could take the time to read this post and give me some advice it really would mean a lot and i will listen...please dont murder me with mystical sarcasm.
mr zg, that's quite a ride, better give your horse some of that whiskey too. are you an options trader exclusively?
%% Ive seen turtle rules/turtle interviews; but never on options. Don BRIGHT DAYTRADING noted ''options are made for selling'' Stocks + ETFs pay dividends also. But options are good for thrills/fun + limit losses.;sounds like you are having fun.
What you need to do is buy a program such as Quantshare or Amibroker and develop relatively simple Moving Average/Breakout systems..Develop them with stops and without stops.You should be able to get a pretty good idea of the distribution of the returns. At that point you can decide if its feasible to trade options as opposed to the underlying.. Keep in mind,you should look at the MAE and MFE..That will give you a hint as to whether trading options isthe way to go..or not... Either way,if you dont to the testing,you are punting
Turtle trading is nothing more than trend following. Understand what you are doing. There is always a trend, no matter if you day trade, swing trade, trend following for the longer term. Nothing has changed in the stockmarket. The only change is the market participants. Most retail traders blow up their accounts. Wall street sharks (hedge funds, mutual funds, banks, brokers) run the stockmarket. Know your place and you will be fine. Get in the sharks way, they will bite you into tiny pieces.
Haha fuck you I’ll never quit. I came close then decided that nobody ever gets good at anything by quitting.
ouch - my recommendation, stop trading options and invest in equities instead. buy boring companies with strong balance sheets and sleep well at night.
Thank you dozu. And honestly if we reach ATH without another leg down multiple members owe you at least a beer. Probably should all lick a fresh dog turd to admit defeat.
Never. I sleep fine no matter what. Boring companies with strong balance sheets give me the heebie jeebies.