you are such a sleezy little fuck. http://www.elitetrader.com/vb/showthread.php?s=&postid=3030916#post3030916 You're pumping you're own damn website. Same BS there Don't even waste your time with that fool. [
THE idea is not to trade Against them, Let alone try to Beat them... but rather to LEAN on them, and ride them.... like the disgusting, risk subsidized, fat bitches they are.
Woohoo we are crushing the Vikes, winning the division, Hester set the all time record for td returns, Favre took a career ender to the dome (wishful thinking)and a Bears fan chimed in with the correct answer to the question of this thread. Dont argue with this guy, what he just laid on you was exactly right. If you disagree, try to figure out what you are thinking that is incorrect.
how about you f&#k off and go back to your demo account? I dont know what I despise more your jealousy or your envy about his success...
Of course institutions and investment banks have advantages in market knowledge, current market play at any one time and money power to deploy. This is WHOLLY IRRELEVANT to the amateur trader with limited capital who wants to make his money in the markets. You as an individual trader have only to apply rationality to what you see occuring on market charts. Yes, thats correct, you see price doing what? Going up and down? Correct - gyrations, waves, swings, whatever you want to call what you see. Shut out all irrelevancies. Get down to your study and preparations. Concentrate where the money is waiting for you to collect it. Plan how you will exploit the markets daily gyrations (eg CL). Sim test your proposed methods. And accordingly either devise or adopt a reliable methodology to take as much you can from the sequential swings which make up the days price gyrations. Remember, bottom line, making yourself rich is still a choice.
First of all, Wall Street guys vs Average Joe comparisons are often monochromic, and thus simplistic. Relaity is more complex: not all prop desk or hedge funds make money and not every average joe trader loses, allthough a vast majority does. For the sake of the discussion and to keep it simple I'll stick to WS vs AJT. WST's edge is multidimensional and mostly structural: 1) Better technology Local traders used to have an edge in the pit by seeing the paper coming in and trading the order flow. That went to the screen, today algos snif out AJT liquidity and make the spread. Another example is the use of quote stuffing by some HFT boutiques to saturate the quotation sytem for latency arbitrage purposes. AJT watches the free manipulated CQS NBBO while WST algos use the non lagging Openbook data feed. 2) Better information It has been said before, big houses spend millions of dollars in information research, networking and intelligence. There is a reason for that. 3) Larger accounts Larger enough to move markets. NYSE Trading Programs used for index arbitrage, etc 4) Less constraints While WSTs have to perform, they have way less constraints than AJT. They get paid a fixed salary, so they can have a 0% return or even negative and yet pay their bills; and probably keep their job. That's less pressure than AJT that needs to make money to live. Secondly WST has access to more capital and usually uses little leverage if none so they can sit on a loss, dollar cost average it on the way down and wait it out. On the other hand $10K AJT uses maximum leverage, is forced out of his loss by a margin call, is prone to overtrade/trade in unfavorable market environements. 5)More sophisticated strategies AJT mainly focuses on directional bets and concentrates the risk. WST may use more sophisticated/less risky strategies and diversify their risk. ------------------------------ These are just a few examples off the top of my head, so the list goes on and on.