Why do folks reveal Profitable Strategies, are they NUTS?

porge · Feb 4, 2007

or let the monkey throw the dart.....

jeffalvinson · Feb 5, 2007

I have given novice traders complete stand alone trading
systems that have 1 to 1 risk to reward ratio's and time proven 70% win/loss records.
Every single time that I have done this for someone, I have found that newbies lack the discipline and intestinal fortitude to follow through and stay the course with those trading systems.
I have had newbie friends win 7 trades in a row, followed by 2
consecutive losers and quit trading because of the 2 losers.
They can't emotionally handle losing. It demoralizes them and then they don't trust the trading system and that causes a breakdown in discipline, which leads them to give up.
In my opinion only a very small percentage of people are equipped with the physiological tools necessary to trade successfully.

Spectre2007 · Feb 5, 2007

i've found it easier to hedge out in another acct. This has worked pretty well.

bsparkyman · Feb 5, 2007

Just hedge with another market, es for ym, if you need to feel safe for awhile.

traderdragon2 · Feb 5, 2007

To answer the original question, only an idiot would share a strategy that works.
Anyone who doesnt understand why, is an even bigger idiot.

austinp · Feb 5, 2007

"To answer the original question, only an idiot would share a (mechanical system) strategy that works.

Anyone who doesnt understand why, is (ignorant to the realities of real-time, human trading) an even bigger idiot."

With a little bit of editing, this statement now reads correctly

traderdragon2 · Feb 6, 2007

Are you saying that non-mechanical systems are immune to saturation? I dont see how that is possible.

For any given strategy, there is a finite price range and shares in that price range where an instrument is mispriced.

Throw enough people into the same boat and it will sink.

Non-mechanical, makes things "fuzzier" and the "edges" of what is considered the strategy is not nearly as clear as a mechanical system, but the same exact thing will happen. It will become overloaded and worthless.

cdowis · Feb 6, 2007

I suggest that you read Van Tharp, "Trade your way to Financial Freedom". Talks about how to develop a successful trading system.

For example, the entry is the least important part of a system. He demonstrates how you can use a random entry and still make money.

callmate · Feb 6, 2007

For me, the entry is the most important part of a system followed by money management.

Each to their own!

jack hershey · Feb 6, 2007

i parsed your comments within you comment in color.

Quote from aeliodon:

First of all revealing a profitable strategy will likely destroy it if enough traders, funds, black boxes, get their hands on it.

This hasn't happened as yet. Had it happened the happening would be a classic example to us all. Mutual funds as conceived by John Bogle come to mind as a use of a profitable strategy that is transparent and that is widely used. the mutual fund industry, probably because of its size and easy reproducibility has grown into an ever increasing institution.

And there is the aspect of the size of things in markets. No one is likely to create anthing that can become BIG. There are no BIG things dominating the markets and the biggest things around are not suffering because of enough traders getting their hands on something.

And second, its better to help people help themselves instead of just giving a 'handout'.

I have several categories where I am glad to help people out. For one thing it frees them to contribute their skills freely to others who cannot ordinarily afford them. In response to being given the handout that I give them, them appreciate a few things personally. They like having the money and they like helping others. They also find it pleasant to be recognizeed for their helping others.

Lets see. if I were to free up 20% of your time what would you do the help others. Your retirement is also taken care of and you also get a lot of capital to hand on to your offspring and theirs.

Here is one you may like as well. I teach you to trade for two years while you teach in a school before taking on your professionally trained life. What is this handout doing? It is getting people who are terrific into teaching for a couple of years. They also get a life time of trading with their own money.

Try this one. A graduate says he will work full time for me ias I teach him to trade. He also has to trade OPM for a few years where the OPM's profits are split between the client and a corporation that is being capitalized to solve a problem that is pervasive because of lack of new capital to solve the problem or the present capital is offered at a rate that detroys the opportunity. The person's trading successor shows up evert three years and the prior trader goes on his way.

As you see the handout is purposeful. It enables an "extraction " from the huge market pools to be put into other places that are more useful

That being said I wouldn't want a mentor (if I had one) to just give me a strategy.

Your wish is being granted day after day. Others may be able to think about it a little further. Were I to hand you a sheet of paper and say write down the left the dates separated by 100 trading days starting in a month. Then place you present capital next to the first date. Below in the same column opposite succeeding date write a number that is ten times larger than the number about it.

What would you do with the sheet of paper. It is an offer to you to make money in the manner noted using stocks as instruments. Would you ever hand a blank sheet of paper to someone else in the future? Someone unlike you who would accept mentoring.

What if I wrote in the capital amount (my capital) and you would pay it back to me sometime or give it to someone else who needed a start.

I'd want him to point me in the right direction as far as understanding the market and trading it with discipline.

Pointing is fun brief and unproductive. for example I have done the very same with you several times so far. You aren't going anywhere at this point, are you? Make a list of the threads you have started as an alternative to beginning to work to make money.

Have you ever noticed the number of people who are working in groups? threads can be divided into two camps: the ones where people are working together to get stuff learned and the other threads which are there for entertainment, etc..

Have you noticed the other special set people who use other peoples names for some purpose of their choosing that is the alternative to working? It is my humor group when they are using my name to be who they create for the occassion.

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