I am only 22 but want to be a CTA. I trade some on my own and spend a lot of time looking over chart histories and idiosyncrasies of candle charts on oil, ES, gold, nat gas, coffee. Have been pretty accurate, trading UCO and SCO and also on my call that coffee would get at least a nice bounce a few months ago). If I passed the Series 3 despite no firm affiliation or anything, what can I do with that Series 3? And then if I wanted to start say a small fund of friends and family, probably a commodities based one (I think they are way oversold) and one part of it more so positional trade setups, the other just long term investing in cmdtys based on longer term trends like currency debasement everywhere) what Series do I need to pass/how do the logistics work for running a fund like that? I only have experience literally with my own Scottrade acct, but how would I actually pool the money and obviously keep segregated? And then for backtesting, how would anyone with experience recommend importing candle data (I look for idiosyncrasies like long tail wicks which bode bullish, and want to find a risk/reward probability model in general, such as a long tail wick which should be bullish but mkt still goes down a ways, not is even more 'ripe' to buy as chart history says those wicks are very bullish and ultimately followed up by sizable moves up-5 hr charts to longer term). Just some questions, any help would be great.
You might start here: http://www.cmegroup.com/education/files/CTA_guide_1-3-08.pdf As for how to do backtesting, there is not much I can suggest. Everybody has their own preferences.
Yeah, I'll look into it obviously. I have a knack for picking spots and identifying value areas such as oversold conditions in a bear market on a commodity looking to scalp long positionally, etc. I'm also considering opening a forex account because my Scottrade I like positional trading/daring hte market to move a ways against me so I actually legitimately am proven wrong vs. just flushed out. Can one open a forex acct (and where?) with say $500 and start trading, and what would tick value be on something like USDJPY, etc., vs. trading the actual futures 6E, 6J, etc.?
series 3 show that you can get over 70% on a test and have basic knowledge; no sponsorship needed its about $90. you can do friends and family at IB. as for backtesting you get data, go through history, and see what you would have done.
You may have been influenced by the movies. When I lived in Greenwich I enjoyed gong to get a haircut. (Across from the Pickwick Hotel) All the barbers were millionaires. If you wish, go to barber school and get a job in a community where wealthy traders live. Then get tips from customers. My haircuts could have been free but I insisted on paying. I really had to insist. My tips were considered priceless. So take a shortcut, learn to cut hair and listen. .