Is Daytrading dangerous?

[beginner_av]

No, I use another back testing software that combines TA and fundamental analysis for the US markets ( and of course ADRs ) . Does Amibroker offer Fundamental Data for Indian Markets? From the quick look I had at Amibroker, It looked to me like a TA analysis software and the fundamental data is for the US markets, anyways I will dig in more.
I am specifically looking for an affordable fundamental data providers if there are no back testing engines.
Thanks,

ami is just a TA software with superb backtesting engine, blazing speed, and if you know C/C++ you can do anything with it including writing your own plugins for data providers (provided u have the API docs) etc. if your data provider like Rauters provide FA data, you can import to ami and manipulate it in any way. its very cheap, but as a consequence has a steep learning curve. but if u are a quant, it will be cakewalk for you. of course you can try openquant too.

 

[beginner_av]

sir, trading is a competitive sport. ever talked about law of averages to Tiger Woods or Roger Federer or Schumi

Joining date sep 2005 & we are in dec 2007.So,beginer should have become an expert & rightly reflected in the postings.
The names mentioned by you ,Golf,Tennis,the third ,is he Formula champ?
ranga,
chennai

ya you can put either brother's first name!

 

[beginner_av]

That's a beautiful line

What's worse i'm too uncomfortable with impromptu decisions without enough thought behind them (so it'd hardly help to tell me there's no need to think, just follow the price with strict money mgmt etc.)

Regards,
Kalyan.

Hey kk in daytrading

there's no need to think, just follow the price with strict money mgmt etc.

...only if you have completed thorough thinking way in advance and have your levels on hand.


as for infrastructure, you need best of the best! no second thoughts. funny that legtables preach that you can day trade with small capital. cos to succeed with small (or big) capital, a very large amount of capital will go into the setup. (dont forget the herman chair if you dont want to have meganeuron regularly!)

 

[marcus]

Don't know about dangerous or not but an interesting article by Ed Seykota comes to mind, you see Ed runs a traders tribe which I closely follow & a few years ago , 2003 to be exact one question he asked in regard to daytrading was

".. If you know a consistently profitable day trader you might encourage him to share his audited track record and method. As far as I know, none such exists."
-Ed Seykota.

One of the forum members replied saying

" So how about Martin Schwartz ?"
- TT member

And then Ed replied

"Schwartz wrote about his trading experiences in Pit Bull. As his success on Wall Street grew, he began his own fund in which he would manage other people's money as well as his own, a move he would regret. The stress of running the fund contributed to his developing pericarditis, which nearly killed him.
His doctors advised him to slow down his lifestyle, so at the age of 48, Schwartz, along with his wife and two children, moved to Florida where he took up golf and developed a daily routine that allowed him to keep trading, but at a more relaxed pace.
This is one of those rare autobiographies where the subject unintentionally portrays himself in an unfavorable light. As he grew ever richer, Schwartz became consumed with generating even more money and prestige so that he could "run with the top dogs." Inadvertently, he has written a cautionary tale on the dangers of being addicted to money and power."
- Ed Seykota

Ed seems correct for I've since learnt after Schartz recovered from his illness he has since shifted to short term trading, (read they book and understand the true reality behind the glamour)

I am nevertheless sure there will always be exceptions to the rule as the case with any rule but to find most of them at traderji (as most claim to be) is wishful thinking.


reference

 

[deepsa52]

ami is just a TA software with superb backtesting engine, blazing speed, and if you know C/C++ you can do anything with it including writing your own plugins for data providers (provided u have the API docs) etc. if your data provider like Rauters provide FA data, you can import to ami and manipulate it in any way. its very cheap, but as a consequence has a steep learning curve. but if u are a quant, it will be cakewalk for you. of course you can try openquant too.

I got a response back from Amibroker.I understand its great for TA, not FA- Is reuters for retail investor? I thought it was very expensive.

Portion of Reply from Amibroker..

and - I just want to emphasize to make it clear, that historical
_fundamental_ data import/use is not natively supported (AB only stores
OHLC,V,OI data arrays in the local database), but it can be done if you
import such data into artificial symbols in the regular database.

OpenQaunt website says this:
Data Feeds and BrokersIB, PATS, TAL, ESignal, Photon Trader, MB Trading, TAQ, YAHOO, CSI, Open Tick, IQ Feed, Genesis, Open E Cry, TT X_Trader via TT FIX Adapter and XTAPI, FIX providers support, QuoteTracker support ,

How do I go about getting for NSE fundamental data feeds for openquant, does anyone has experience in this? Dont know how much data feeds will cost;probably its beyond me.Data for US is cheap, but I am beginning to see that its more expensive for Indian exchanges.
Yes I am fine with C++, Java or C# business programming, however my primary aim is to use a good tool ( equivalent to Amibroker for TA ) and simply use the APIs for trading rules and not worry about the data part.

 

[deepsa52]

"Schwartz wrote about his trading experiences in Pit Bull. As his success on Wall Street grew, he began his own fund in which he would manage other people's money as well as his own, a move he would regret. The stress of running the fund contributed to his developing pericarditis, which nearly killed him.

Daytrading might work in the short run for young people who eventually may develop serious stress related illnesses ( I know stressed out day traders first hand , that too intelligent folks ) , but if I want to enjoy the profession of trading for decades and have a balanced and comfortable life, weekly and monthly time frames work the best ( not to mention that it makes brokers unhappy ) . You don't see too many day traders with great wealth - probably they are not alive to enjoy it
Cheers

 

[kuriako]

...........................
Portion of Reply from Amibroker..

and - I just want to emphasize to make it clear, that historical
_fundamental_ data import/use is not natively supported (AB only stores
OHLC,V,OI data arrays in the local database), but it can be done if you
import such data into artificial symbols in the regular database.


Yes I am fine with C++, Java or C# business programming, however my primary aim is to use a good tool ( equivalent to Amibroker for TA ) and simply use the APIs for trading rules and not worry about the data part.
.................................

God gave us kidney between ears to use it! Not to sell it!

Ami can be fed with FA data and even custom indicators can be made with that FA data alone!!!

Yes FA indicators, graphs,trends....everything as with TA

The only thing is that you need to enter the data to the corresponding symbol "one by one".

If you are proficient enough in programming C/C++, then you can automate the process! I guess the SCANing of symbols can make the process automated!

Use ASCII format FA data!

There you go with Ami as a Superb FA analyzer!

Only simple thing noted! Plotting P/E plot against time is like plotting P against Time!!!
DuH!!! Then what is difference between TA AND FA!!!
Everything uses historic data!
FA uses historic ratios derived from price!
TA uses historic price itself!!!

They say fundamentals do not change in a day(FM in that crash day)
I say previous price do not change in a day!

May be a newbie thought! Corrections welcome!

 

[kuriako]

hey buddy, i am back from kochi, now with my own set up. of course carried a truck load of banana chips!

U should have missed Kayikka`s biriyani, Pai`s dosa(26 types), and the local "achappam", "kuzhalappam", "avalosunda", "pakavada", "cheeda"

Darn!!! MBA guys should be posted in chip makers place to sell all these!!!

Next time give me a PM if you are in cochin!

 

[kuriako]

Daytrading might work in the short run for young people who eventually may develop serious stress related illnesses ( I know stressed out day traders first hand , that too intelligent folks ) , but if I want to enjoy the profession of trading for decades and have a balanced and comfortable life, weekly and monthly time frames work the best ( not to mention that it makes brokers unhappy ) . You don't see too many day traders with great wealth - probably they are not alive to enjoy it
Cheers

But what about the "stress" training that Intra-day gives!
If you think that stress will give you illness, then I must have to be dead by now!

Intra-day trading improves quick decision making, emotional control, stress handling, rapid reaction(reflex), and short lived subjective pleasure and pain!!!

Being sick by overdose is one think and being trained in a DO or Die atmosphere is another thing!

Practice makes things working! Never try a 15 km run, without practicing and increasing the effort day by day!

Most people jump in to intra-day and want to be first in their marathon without any short marathon or practice or training!

Worse is running barefoot(like me working on intra-day with the worst internet connection in the world and data feed from broker forced to TA program!)

With practice, patience and personal desire, intra-day trading is the BEST MENTAL TRAINING any human being can get to improve himself mentally!

Stress is a byproduct of strain! If you are not straining yourself, then there is no place for stress!

If stress is problem for short "human time frame" then why not quarterly or yearly or decade charts!!! We will be living long enough!!!

 

[hari09omkar]

...Most people jump in to intra-day and want to be first in their marathon without any short marathon or practice or training!
...
Stress is a byproduct of strain! If you are not straining yourself, then there is no place for stress!

If stress is problem for short "human time frame" then why not quarterly or yearly or decade charts!!! We will be living long enough!!!

And still u continue to proclaim urself as a newbie!! U have gone far from most of the so called experienced,dear.