I have the time to look at charts. Hell it is all I do. I go over bad trades like some forensic freak with OCD. I havent heard of this chartgame.com but thanks to you my weekend schedule is now full! I always think me dancing in and out of the market is the best strategy, but I kid you not, I have a real money "demo" account with some Japanese broker, since paper trading is worthless other than testing, that gives me huge leverage that can blow you out after 20 pips in which I shorted the EURUSD at 14690 as I did in my real account with the 6E and I made more with 1/20th the equity because I forgot to pay attention to it. In fact I increased that account 40 fold because after I noticed I added more and more when I remembered instead of watching it tick by tick and forcing dumb trades..... go figure..
If you want to trade technical analysis please watch these videos, I've seen them all and they've helped me greatly with both using indicators and identifying patterns. The guy gets a little monotonous after a while but he's got a vast array of knowledge and it's free.
I can confirm that chartgame.com is just like the actual market in which the results are the market makers from the past stop hunting my positions in the future. They are just like the Terminator. Do not play it is fraudulent!
Just kidding but it does help me see that indicators often only work when they work. Hmm I have a lot of time this weekend to take all this stuff in from you gys. Thanks much. I will buy you all cars within a month or 2
chartgame.com is actual stock data, when you finish a chart you can reveal the stock and what time period.
just when your playing make sure you review every candle when you timelapse. don't catch falling knives. And watch the price on the right to see if the stock is volatile, sometimes a dollar jump can be 50% other times it can be .5% depending on the actual value of the stock.
Its interesting to watch other peoples strategies when you view their trades in the database. Try picking someone who has a good annual return of 30% or higher and go through some of their charts and see what they did.
So the best strategy in my opinion is basically just cutting your losses and picking ripe setups. But beware its not exactly an easy or fun game, it requires work if you wanna make it over 20gs or better yet into the 100000s
Trading can be a skill that is developed, or it can be an innate ability of a special few. The problem is that a very small portion have that innate ability, another portion will never develop the skill no matter how much they try (no matter how much I try, I will never be a great basketball player, cause I have no coordination) , and most of the rest will reach the point of ruin, and have to quit, before they have the chance to develop the skill.
Autotrading is not about teaching a machine how to trade or match the skill of a successful trader. It is about having a profitable conceptual idea or trading method, and being able to program that method and have that programming do exactly what you want it to. That is the secret to any profitable method, whether manual or automated. Is it a good concept, and can the entity pulling the trigger do so reliably, human or machine.
There are 2 types of autotrading. One, and the most common for retail traders, is about automating a manual trading method that seems to have merit. If you don't have a profitable manual trading method, you will not have a profitable automated method, and worse, you may have a profitable manual trading method, that makes a horrendously bad automated method because of the complexity of coding it (as in my case). The 2nd type of autotrading is having a machine exploit certain micro market phenomenon that are impossible to trade manually. This is the case for HFT autotrading.
Successful discretionary traders may use all sorts of inputs to decide on trade selection, entries, exits, etc. Successful autotraders will generally do one thing, only one thing, and do that one thing over and over consistently. They know that they will be wrong on a certain percentage of that thing, but they only rely on the success rate of that thing to be profitable. They don't have to be smart, they don't need intuition, they don't need skill, or special ability, they don't need to analyze a million different inputs. They just need to recognize and take action on that single market concept reliably, repeatably and consistently. How good that original concept is, and the expectancy of that market concept, is what makes or breaks an automated system.
Does this game take into account, drawdown, and point of ruin? These 2 are the number one trading dream killers! The other thing to ask yourself is, are truly profitable traders going to waste their time playing chart games online? I would stake my reputation (which is not great ) in saying that excelling at this game most likely has little correlation to how successful the individual users are in their real trading.
well give it a try, don't take my word for it. you don't have to sign up or anything.
It is as it is, just stock data on charts with the ability to buy or sell.
unfortunately there are no stop losses/limits or fees, but i'm sure you can figure it out if you do the math.
Another con is that its daily candles not intra-day, but similar patterns occur.
And of course its not real money which is the biggest flaw. The main advantage is that you can time lapse and switch charts.
while playing you'll hit a brick wall over and over until you learn to focus and take it seriously. That is the lesson. It goes to show beginner traders, compulsive traders, or people who just have problems trading to get to the root of the issue in a timely fashion with out risking actual capital. Its not 'the cure', its just an aid.
Of course if your already profitable on a daily basis theres no reason to use it.
You are right, I used to scalp rate hikes etc. I rarely do anymore, unless there is an opportunity too big to pass up.
I was not necessarily talking about news, I was also referring to longer term directional plays based on macroeconomics and other fundamental analysis.
I held CL for about a year after I got in at around $50 in February 07. It was pretty clear it would be going up. Well, at least I thought so. China was busy acquiring strategic oil reserves, the economy was, according to the "experts" booming and you had speculators itching to create a new bubble.
The crash in 08 presented extreme opportunities where one could buy several quality stocks at an considerable discount. When I saw one of my favorite companies, Seadrill, trade in the 40's (NOK), I bought with no stop. It is now at around 180, after peaking at 215. The dividends have also been nice ( http://www.seadrill.com/investor_relations/dividends ). My most profitable day of trading the ES was the day of the "Flash Crash". The idea of betting heavily when things align, is not necessarily a bad thing. It requires a completely different mindset than daytrading, though.
The Nikkei had some massive moves in the days of the tsunami, and subsequently the nuclear scare. It went down almost 2000 points, if I remember correctly.
To say that macroeconomics has no effect on the markets long-term would be erroneous. The problem is more that "the market can stay irrational longer than you can stay solvent" (Keynes).
Are you trying to imply that hundreds of millions of Chinese and Indians becoming middle class won't have an effect on finite resources?
However, I agree with you that "big money" is usually in the know, and we are not. Therefore I recommend trading what one sees.
The crux of my trading is price action, statistics and probability!
I have a background as a "professional gambler", though. Thus I tend to take advantage of situations where I find value...
Last edited by Lornz; June 18th, 2011 at 03:39 PM.
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I can't even imagine what it'd be like to short a crash, lock in profits, and just ride the thing out. That would be back flipping epic. I'd just be fearful of slippage and a little sad for the people who loss all their money. but nonetheless
I never made my first trade of any kind until march 2009. So I apparently got in like 20 minutes after the bottom was put in. I remember using part of my tax return to open my account. So I started with 2500 at most. By the end of the month I was over 10k and 2 months later.. over 25k. And now I wish I would have lost to begin my career, because I think it caused me to expect too much. But I look back at charts of the last crash and can only imagine what that was like. Wow.... I just wonder how long it takes before people stop bottom fishing. It had to be the biggest, easiest opportunity in 2 or 3 generations....