I'd argue that one doesn't look for an edge. Rather, the edge ends up finding you. As "Wax On Wax Off" as this may seem, it's moreso a discussion of what mpo7 mentioned about screen time.
I know that I haven't yet developed an edge. If I tried to trade all by myself, I would lose money and likely blow up an account. I'm part of a trading room that is helping me develop an edge. In any case, developing an edge is about the amount of time you spend learning the market that you trade. It's not about the amount of books that you read, or the number of super indicators that you use, or the timeframe that you trade.
If you're a discretionary trader, developing an edge isn't about backtesting the 8 EMA vs the 13 EMA vs the 21 EMA to see which gives you "the holy grail edge". It's about understanding support and resistance in the instrument, learning to identify price action that comes during trends and trend reversals, and most importantly how you as a trader can manage your own emotions while entering positions you deem advantageous.
Spend the time watching the market. If you have a day job and use two or three hours at night to try to learn how to trade, you'll likely fail. You need to glue your ass to the chair from 9:30 to 4:15 and watch price discovery happen. Do not expect that you can take a couple of sick days from work and suddenly learn how traders trade. Did you get your degree in a week, month, or even semester? It probably took four long years of hard work to reach an entry level position in your field. You should expect no different in trading.
The following 6 users say Thank You to lax99 for this post:
Keep looking for an edge. Without one, you are doomed.
Most people looking for an "edge" equate it with a "holy grail" strategy - something that works really well, all the time. Those people almost never find one, but many times fool themselves into thinking they have an edge - when all they really have is an overoptimized, curve fit backtest masquerading as a supposed edge.
I suggest if nothing else worked so far and not comfortable with swing trading, look at Depth and Sales however take your time and stick with it.
As far as I know the most cost effective solution is from Jigsaw trading.
I do have a lic and using their tool in my trading. Their website has a lots of educational info regards to how to read Depth and Sales at no additional cost.
Pete is on this forum as well and did I think 3 or 4 webinars as well.
I seldom make a negative post, I don't like to, and I don't want this one to be taken as too negative in tone or content.
But I think it's time for me to stop following this thread. Everything changes every couple of days, and nothing is actually ever tried or ever done.
I don't believe anything of value will ever happen here, and I do think that way too much attention is being given to someone who is not listening, or is listening to everything that comes along and changing with the direction of the breeze, and, in any case, not actually doing anything.
My suggestion is to just pick something that you believe you understand, and that actually is simple, and take a little bit of money and trade it. If you don't have much money, spring a few bucks for a Combine, and trade that. But don't do any more "backtesting," get out of the world of dreaming and into the world of practice, take a few lumps and learn something from them. But stop all this switching around and all this endless talk and do something.
I don't mean to be harsh. But it's not bad advice. Try it, you may succeed or you may not. But all this one way and then another way, swinging back and forth will get you nowhere.
Good luck. Now do something.
The following user says Thank You to bobwest for this post:
This is only my opinion and I am sure @marketvoyager has the best of intentions, but I can't quite shake the thought that we are all being trolled here. This thread and some PMs have caused me to think this, but I have no other basis.
No doubt I am wrong. This thread however, just seems...well odd.
- Trade what you see. Invest in what you believe -