Started Algo Trading - Daily Paper Trade updates

[mechtrader]

Hi karthik,

Pls post the idea here itself in the open forum for the benefit of all, and we can take it further from here itself.

Thanks,
MT

 

[Cubt]

Hi Cubt,

HAve you started live trading??

Thanks,
MT

Yes, I have started.

 

[Cubt]

Gr8.
Though I would really appreciate if you could throw some light on:
=> how did you manage to backtest your new position sizing criteria
=> whhich position sizing technique did you follow?
=> did you backtest on the cash data bcoz results may differ?

I hope i m not bugging you with too many questions.

Thanks,
MT

1. By excel
2. Van Tharp risk based position size.
3. Have backs tested on cash.

 

[Cubt]

This is what I did that has made all the difference.

 

[stock72]

vanakkam .. long time no see ..

would you explain by example ..?

This is what I did that has made all the difference.

 

[onlinegtrash]

vanakkam .. long time no see ..

would you explain by example ..?

he says, to arrive at position sizing he tried two approaches one flop another good.

In flop version: he calculated the number of lots to be traded first and then amount to be risked in that trade and set his SL.

This is flop (in my opinion) bcoz he forced his idea of how much volatility market should have as per his plan. As we all know hardly market takes our orders, market is always the boss.

In his second good version:
He respected the market first, arrived a decent safe volatility distance before market hits your SL. He took this distance as safe SL distance and calculated the amount he can risk per trade, after this two steps now he can get his proper lot size which he can trade safely!

 

[stock72]

thank you sir .............:thumb::thumb:

he says, to arrive at position sizing he tried two approaches one flop another good.

In flop version: he calculated the number of lots to be traded first and then amount to be risked in that trade and set his SL.

This is flop (in my opinion) bcoz he forced his idea of how much volatility market should have as per his plan. As we all know hardly market takes our orders, market is always the boss.

In his second good version:
He respected the market first, arrived a decent safe volatility distance before market hits your SL. He took this distance as safe SL distance and calculated the amount he can risk per trade, after this two steps now he can get his proper lot size which he can trade safely!

 

[onlinegtrash]

thank you sir .............:thumb::thumb:

please quit calling me sir... call me 'Honorable Majesty and My Lord' if you wish.
just kidding
am just 4 year old cat having an internet connection

 

[dk614nd]

Hey Cubt,


Good to c u back, keep us posted on how its going.......


:clap:

 

[raynor]

hi friends we usually back test our systems and usually get some
profit values.. we also know how many trades are executed in the time frame.

but how many of us will compute the "number of times stoploss" has hit during
the time frame

if we compute "number of profit trades to number times single stoploss tades
and number of times double back to back stoploss trades has occured" during
back testing, i guess we will be able to keep our mentality in positive way
during real trading