Ramblings of a degenerate gambler

Discussion in 'Journals' started by Millionaire, Jan 26, 2022.

  1. Millionaire

    Millionaire

    My automated system can trade by itself but it only makes money in 70% of months. So can have multiple losing months in a row.
    I have the automated system running in the background in a different account.
     
    #31     Jan 29, 2022
  2. qlai

    qlai

    So is it intra-day or not?
     
    #32     Jan 29, 2022
  3. Millionaire

    Millionaire

    Yes, intra day, but its relatively low frequency, only about 240 trades per year. Makes about 40% a year in back testing. And multiples of that depending on how much leverage is use.
     
    #33     Jan 29, 2022
  4. hello Millionaire,

    I love it. I feel the same way. Trading is pure gambling and taking a good guess to make money.

    Good work.
     
    #34     Jan 29, 2022
  5. themickey

    themickey

    Good to hear others have no stigma with gambling.
     
    #35     Jan 29, 2022
    Rams Fan likes this.
  6. Q.E.D.

    Q.E.D.

    I was in same office, Wall St area, where Ed was I believe just starting /heading, about the first technical trading program on The Street. I was basically salesman / Registered Rep, but Ed & I discussed mkts, & I spent time copying researching items while he was developing / refining his program. Aside from mkts, Ed & I had an interest in Ayn Rand.
    I think Ed always stayed a long-term system trader, which it turned out was a good idea for the time period. I always stayed short-term, to this day. Ironically, I was once compared to Jesse Livermore -- but not favorably. An old-timer, whom I think new Livermore, thought I might jump out of a window, as Livermore did after going broker. In that respect, I may be a disappointment! Regards,
     
    #36     Jan 30, 2022
  7. Q.E.D.

    Q.E.D.

    Two significant differences between trading & gambling:
    1. In trading, the risk exists in the real world -- existence/success of a company; size, etc. of a commodity, etc. In gambling, there is no real-world risk. Nothing depends on the outcome of a card game, except to the players in that event.
    2. Trading / speculating, from the Latin, relates to gaining insight, in short, analyzing real-world conditions. Success in buying a lottery ticket makes no difference to how much one studies, etc. Regards,
     
    #37     Jan 30, 2022
    SimpleMeLike likes this.
  8. themickey

    themickey

    Two significant similarities between trading & gambling:
    With trading one does not know with certainty the outcome, we may calculate probabilities but even that is a guess.
    With trading we place our bets just like a casino, the difference only, we can escape with much of our money intact.
     
    #38     Jan 30, 2022
    KCalhoun and SimpleMeLike like this.
  9. Millionaire

    Millionaire

    Livermore did not jump out of a window he blew his brains out :(, but still same outcome..

    Hmm, The lotto machine decides if you win or not, in the same way the market decides if you win or not on any given trade. A trader is doing well to be right 50% of time. Most of a traders edge comes from cutting losers and riding winners although study helps too.
     
    Last edited: Jan 30, 2022
    #39     Jan 30, 2022
    smallfil, SimpleMeLike and themickey like this.
  10. themickey

    themickey

    Gambler brings up thoughts of losers, because the casino always wins.
    Gamblers are also asscociated with compulsion and addiction.

    The reality; ~90% of traders lose.
    Traders once they start are usually hooked for life unless they blow up out of existence.

    Successful traders only get to where they are due to perseverance (compulsion and addiction).

    When does a noob loser gambler trader not become a gambler?
    They don't!
    What happens is they refine their gambling into an art form where they beat the bank.
     
    #40     Jan 30, 2022