Teach A Man To Fish And.........

[marcus]

Dear Saint,

Well I think people like you are naturally gifted discretionary traders, Tushar Chande in his book "Beyond Technical Analysis" in the very first chapter itself says of the two methods (discretionary & system trading) its the discretionary method which is preffered provided you are able to trade that way as you are able to.

Why would you want to be a system trader?

Chande attributes this to varying position sizing depending on how strongly you feel the chances of the trade going in your favor are. This according to him is the reason discretionary trading is the superior method provided of course you are suited for it, if not he recommends system trading.

Clearly you're in the gifted category, since you've been doing this successfully for over a decade.

One other book I read titled "Mechanical Trading system" by a Mr. Weismann says the very same thing which is of the two methods, the discretionary one is the preferred method provided you have the discipline and talent to trade in this manner.

Elementary or not your thread is one of the glittering gems here at traderji, please don't think otherwise.

 

[uasish]

gobatman2001,
Can you upload that collection file again & give us the link.

Asish

 

[Traderji]

Hi Asish,

All the elementary stuff(that certain people were talking about yesterday in the Chat Room)can make you money,simple rules like a ma crossover,or macd,can make you money.Basic trendlines and pivots can make you money.........complicated stuff may seem very impressive,but there are simple ways to make money......I have no idea what yesterday's talk was all about.Couldn't understand most of it........and not ashamed of it either.Although would love to be further enlightened on the topic.

Saint

The amateur assumes that he can conquor the markets through superior analysis. He spends nearly all his time looking for effective ways to predict where the markets are likely to go next. I have been trading since 1987 and spent many years myself on this fruitless quest. Fortunately for me I have found that it is not necessary to predict the markets to make money from them.

My favourite indicator is "NOTHING"! I just look at bar charts for breakouts out after a period of consolidation. Those of you who may be interested can search for my previous threads where I have provided my trading style with charts.

 

[great30]

new member withlots of thousand beaten lakh shy experience. to follow ur footsteps to lear few good things thank u

 

[uasish]

Traderji,
This link i got from this forum ,plz clear my confusion ,you being in the Mkt since long & survived all the vagaries,your guidance is solicited.
http://uk.reuters.com/article/stocksAndSharesNews/idUKNOA12716220070601?feedType=RSS

Asish

NB: Unlike earlier days it is a rare previledge to get you nowadays,your opinion is very important to us.

 

[ratan jain]

Traderji:

I love you for your simplicity

Others would have said I use neural nets, algorithims, and what not to trade.

But your accepting the fact that you trade simple has made me more committed to use only the simplest of indicators, like moving averages to trade.

People laugh at me, make fun of me, but I know I can make moving averages work

Your post has reinforced my belief in simplicity.

Thanks

 

[kkseal]

Ultimately everything has to be simple. In fact any complexity in the underlying is justified only if it makes the interface, the actual trading simpler (& it's outcome better - less whipsaws for instance; early entry & less whipsaws would be even better but might require greater complexity in the underlying).

The television, computer, mobile phones of today are a lot more complex (in the underlying) than they were a few decades back but at the same time they have become operationally simpler.

Drawing an e.g. from the current topic, if Saint's method can be coded the code would probably look complex (particularly if the multiple timeframe logic is incorporated, as it should be being a vital component of the system; Saint has laid ample stress on this in many of his posts) but it would bring in a great deal of simplicity in scanning for stocks; Buy/Sell signals would be apparent at a glance on the charts, there'd be less need to 'think out' every trade (all the complexity would be housed in the code).

Again i may mention that complexity (in the underlying) is justified only if it brings about operational simplicity (and results in more robust, less error-prone trades). The outcome, the end should justify the means and not the converse.

Regards,
Kalyan.

 

[Traderji]

Traderji:

I love you for your simplicity

Others would have said I use neural nets, algorithims, and what not to trade.

But your accepting the fact that you trade simple has made me more committed to use only the simplest of indicators, like moving averages to trade.

People laugh at me, make fun of me, but I know I can make moving averages work

Your post has reinforced my belief in simplicity.

Thanks

I think moving averages are one of the most robust indicator we can have as a trader. They are great in determining a trend (I am sure you know that big profits come from riding a trend).

If you are making money doing what you do then stick to your plan and work on making it better (using money management). Profitable trading is 70% money management and 30% strategy.

 

[Traderji]

Traderji,
This link i got from this forum ,plz clear my confusion ,you being in the Mkt since long & survived all the vagaries,your guidance is solicited.
http://uk.reuters.com/article/stocksAndSharesNews/idUKNOA12716220070601?feedType=RSS

Asish

NB: Unlike earlier days it is a rare previledge to get you nowadays,your opinion is very important to us.

The article makes good reading. I guess what they are trying to do is simulate the human mind using programs to identify chart patterns and trading strategies. It would be interesting to see how it goes.

 

[Ajax]

Hi all advances fishers

Traderji is infested by people who are out to make trading as sophisticated (difficult) as can be possible......
Reminds me of a story.... Americans went to space ...for research of course..
One brilliant scientist figured out that in no gravity situation their fountain pens will not work.. SO whole of NASA team spent close to $ 2 million to invent a fountain pen that would write in space ( in no gravity situation).
Great invention.....

Russians went to space .... they used a simple lead pencil instead.

KISS
Ajax