Trade to lose

Discussion in 'Trading' started by Kap, Jun 9, 2003.

  1. Kap

    Kap

    away from fast stochastics, momentum etc , lets face it, your instincts are wrong.

    Oh My God its gonna dump any minute now ! = buy
    WOW this is brewing up for a massive rally = Sell

    Try and lose money, i think you'll be surprised how well u wont.

    works for me :cool:
     
  2. william gallacher, in his book, "winner take all" talks about hosting a "world cup for losers" in the futures market. you would win the grand prize by losing the most money. i guess you can figure out the results !

    enjoy !

    surfer
     
  3. Kap

    Kap

    Interesting idea huh, if the stats are right and 97% of us are all losing trying to win, how about trying to lose ?

    don't tell anyone, its my secret edge :D
     
  4. LOL

    Great way to die.

    Trader beware.

    ~Scientist
     
  5. If you try to lose, you will be successfull. Successfull in losing that is.

    the truth for most people is that trading is a money drain for most people most of the time, you have to hit some big winners or its a losing game.
     
  6. Kap

    Kap

    My reference is to the futures markets chart traders, not to Buy, hold and pray stock pickers.

    surprise me
     
  7. Fade the market.. try this on the S&P: If the market close is higher than the previous close, sell/short. If the market close is lower than the previous close, buy/cover. If you are already short/long, then ignore the signal and do nothing. You can use the time 10 seconds before the close and place the order before the close, or you can use futures which trade until 16:15. If I remember correctly, this method has worked since 9/11/2001. Someone can check this.. I don't have the data right here.

    Anyway, since aug 1, 2002 thru may 30, 2003 it has returned over 220 SP points (not accounting for slippage + commission, but there is less than 1 trade per day average), with a max drawdown of 70 points (around mar 20, 2003). Using futures, a 15k account would be worth 26k. A 10k account would be worth 16k. Do your own due diligence.
     
  8. ctrader

    ctrader

    over the long haul this will burn your ass.

    Since the 1970s that strategy has returned an unbelievable return if you do the opposite :) . A 1 day moving average crossover system is the most successful of the MA Xovers.
     
  9. Kap

    Kap

    I'd prefer to be long since 1970