Day Trading Futures

[OMSAI]

Yeah ST completely agree, this is not tradeable until and unless I am able to digest the drawdowns it gives. I checked this system for 2012 alone, because you remember 2012 July August and December market was sideways most of the times.

There were two cumulative drawdowns nearing 10R which is also bad, because my risk per trade is 2.5% and one such drawdown I am down by 25% of initial capital. One interesting thing is this system is winners 2.5 times loosers suppose I have three wins in a row an 10 R loss I will be able to withstand that draw down as it will be 10R - 7.5R = 2.5R = 6.25% drawdown.

For using this system to be used efficiently, I need to backtest it for two more years may be three years so that I will have confidence to follow it through out first year of trading to see its results

I am currently using another system where win:lose ratio is 1:1 and R:R is 1.951:1 :thumb:, this suits better till I back test the former system.

disadvantage of above, It has given 16R drawdown in 2010 and 20R drawdown in 2012 as per back testing. Not sure how I can digest this .

My goal is to design a system and follow MM rules I will not have more than 10% drawdown even at worst conditions. But I, also don't want to risk below 2.5%.

You are a Good trader.....Your trading Psychology is so Strong.....:clapping::clapping:

 

[augubhai]

Yeah ST completely agree, this is not tradeable until and unless I am able to digest the drawdowns it gives. I checked this system for 2012 alone, because you remember 2012 July August and December market was sideways most of the times.

There were two cumulative drawdowns nearing 10R which is also bad, because my risk per trade is 2.5% and one such drawdown I am down by 25% of initial capital. One interesting thing is this system is winners 2.5 times loosers suppose I have three wins in a row an 10 R loss I will be able to withstand that draw down as it will be 10R - 7.5R = 2.5R = 6.25% drawdown.

For using this system to be used efficiently, I need to backtest it for two more years may be three years so that I will have confidence to follow it through out first year of trading to see its results

I am currently using another system where win:lose ratio is 1:1 and R:R is 1.951:1 :thumb:, this suits better till I back test the former system.

disadvantage of above, It has given 16R drawdown in 2010 and 20R drawdown in 2012 as per back testing. Not sure how I can digest this .

My goal is to design a system and follow MM rules I will not have more than 10% drawdown even at worst conditions. But I, also don't want to risk below 2.5%.

Also check the probability of losing streaks for each system...
http://www.sbrforum.com/betting-tools/streak-calculator/

 

[a1b1trader]

Yesterday it was 6350 level
Today it is 6380-85 levels
NF finding difficult to cross
Strong resistance

 

[Tlahuicole]

is it a positional system?

my take is that intraday one should do an MM of 1% and for positional can increase it to 2-2.5% of the capital

if you want to be more aggressive it is better to risk some additional % of the accumulated profits

No Pratapbhai, this is a day trading system, I have one swing trading system, that gives better results, but you know I hate swing trading even though it makes money. The reason is simple, risk management is very tough, in swing trading system, you know these gaps simply deteriorate my risk per trade in swing trading, most of the time the gap will be in the direction of trend, but also I cannot stop thinking of the opposite happening and its spoils my peace of mind.

Regarding this day trading system.

Suppose I have 4L capital for day trading I will divide into two.

one part of 2L will be divided into two 1L.

My trading capital will be 1L constantly everytime if it goes below 1L then another 1L will feed this 1L to make sure I can trade with same capital.

the 2.5% risk is on this 1L so if we take total 2L, the risk comes around 1.25% but I position size and follow MM as if I have only 1L capital.

I have been following this for last year. Any profits will be accumulated within the same account. So, first 1L I will enter BNF one or two lots depending on SL price. I will do one or two adds depending upon initial position and add price if trade goes well . For every 50000 rs increase I use one more lot in add and if 100% increase I use one more lot in initial position.

why am trading like this is one 2L is for house expenses, my average expense in household is 15000 so I need 2L per year if I am not performing well for whole year.

Planning to quit my job in few months so this plan is the one I have, if this seems idiotic please advice .

4L trading capital is very less I know but I have practiced to live within 5k budget per person already and I am single .

 

[Vertigo_1985]

since some time i am feeling a strange change in the general character of the market, stocks are showing quite remarkable strength, failing downtrend, unexpected buying in midcaps, large caps...havn't seen this type of behavior or maybe i missed it..maybe seniors who have seen bull market can share their experience, how stocks behaved pre and during bull market ?

 

[XRAY27]

@ Tlahuicole bhai

"Planning to quit my job in few months so this plan is the one I have, if this seems idiotic please advice"......

WELCOME TO THE WORLD OF FULL TIME TRADERS .................YOU ARE THE INTELLIGENT TRADER

i don't know what is your system is all about..... i follow INTRA AND SWING...as long as
below thing is there your target can be achieved in BNF with your capital of 4L

 

[TradeJoker]

..............

 

[Somatung]

long above 6366

sl below 6357

Nice entry :thumb:

 

[Tlahuicole]

@ Tlahuicole bhai

"Planning to quit my job in few months so this plan is the one I have, if this seems idiotic please advice"......

WELCOME TO THE WORLD OF FULL TIME TRADERS .................YOU ARE THE INTELLIGENT TRADER

i don't know what is your system is all about..... i follow INTRA AND SWING...as long as
below thing is there your target can be achieved in BNF with your capital of 4L

Thanks XRAY bhai,

Yeah, I am happy to go full time only issue though is not sure whether I can get married , you know how they see a trader in our society. I don't worry for that, if God can show my life passion at right time in the age of 23 he can also show my Life partner too at the right time. Parents are although bothered about the marrying part . Disadvantages of becoming full time trader in india as a bachelor.

 

[XRAY27]

Thanks XRAY bhai,

Yeah, I am happy to go full time only issue though is not sure whether I can get married , you know how they see a trader in our society. I don't worry for that, if God can show my life passion at right time in the age of 23 he can also show my Life partner too at the right time. Parents are although bothered about the marrying part . Disadvantages of becoming full time trader in india as a bachelor.

your words are 100% true... this is sad thing for full time trading people......