You have to do some sort of trend fitting to create a mechanical
system. The proof of its success is how it trades in the
future. Here is what it did after it was released:
September it gained 24%
October 22%
November 2%
I think that's pretty good. The hard part is staying in it
when it is on a losing streak to be honest...
You have to also remember that the market does not follow logic
and predictability to the day. If I had followed my gut
instinct months ago, I would have shorted and lost much more money
than one day where it gapped the wrong direction on Friday.
Also, one day does not make a reversal or a trend, so either follow
your strategy for trading to the tee here or wait on the sidelines
until a trend develops.
I get caught up in the emotion of the systems too. Just
remember that usually the systems do well overall in a month, so
don't take your money out after a loss, because the next trade
could be a big winner. If the system doesn't seem to be
working in a stretch I will wait on the sidelines a bit too.
But I do miss some big gains that way as well.
I think it's fine to post the really good days. The
strength of the mechanical systems are by always keeping the
systems on so you don't miss these days.
Too many people get angry because they do the systems one day
and then dont' do the next signal which is a winning signal
Not quite sure what the point of this is. There is
actually no useful information whatsoever in this article or the
youtube clip. It just shows biased opinions which have
dominated the news/radio the last 10 years.
Personally, I use SRS and URE for both long positions as I find
it hard to fill shorts with TS. URE and SRS don't trigger at
the same times for what i run. Don't feel you need to be in
the market all of the time, especially if the market is choppy.
If you only have an SRS system, you could eyeball it and
manually enter URE, but then you won't be able to walk away from it
which is advisable but easier said then done:).
Whatever you run, stick to the system or you could miss those
days which gain 10%.
One rule of thumb for mechanical systems to judge whether to
keep using them in the short term or not is to look at the
performance curve. If the curve is flat, then I would turn it
off for the short term.
Depends on how you want to trade. The original SRS system
in the premium content section was optimized for both going long
and short with exiting at end of day. Whichever method you
choose, make sure you follow it, because in the end the systems do
very well.
John, there is information in the premium content section
about it. Basically, the system trades/exits when moving
averages cross. There is no end of day exit, which helps
avoid daytrading, if you don't have a daytrading account.
Breaktom, the stops are built into the mechanical
systems. You configure these "stops" by choosing different
strategies in a particular mechanical system. Once a
mechanical system is triggered, your position can be exited by: (1)
moving averages crossing, (2) a pre-set gain/loss from entry (scale
out), (3) a specific time such as end of day (not for swing
systems), etc...
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You have to do some
Mechanical Systems
Posted by jacob on 2nd of Dec 2009 at 01:00 am
You have to do some sort of trend fitting to create a mechanical system. The proof of its success is how it trades in the future. Here is what it did after it was released:
September it gained 24%
October 22%
November 2%
I think that's pretty good. The hard part is staying in it when it is on a losing streak to be honest...
Jacob
You have to also remember
Your statement
Posted by jacob on 29th of Nov 2009 at 12:21 am
You have to also remember that the market does not follow logic and predictability to the day. If I had followed my gut instinct months ago, I would have shorted and lost much more money than one day where it gapped the wrong direction on Friday. Also, one day does not make a reversal or a trend, so either follow your strategy for trading to the tee here or wait on the sidelines until a trend develops.
Jacob
I like your ideas. Psycologically,
SRS Swing 2 mechanical system possible improvements
Posted by jacob on 3rd of Nov 2009 at 12:20 am
I like your ideas. Psycologically, it will be hard to run a 30% profitable system though. I have a hard enough time with a 50% profitable system...
Jacob
The GLD:GDX ratio at the
GDX
Posted by jacob on 30th of Oct 2009 at 09:53 pm
The GLD:GDX ratio at the top of the chart crossed the down trend line early in the day.
WSJ Article on naked access
Posted by jacob on 13th of Oct 2009 at 06:23 pm
Sorry, serious post...
I read this article at work and thought it worth sharing (if you have access to WSJ). I wonder if this will increase "slippage".
http://online.wsj.com/article/SB125539101215281471.html
Jacob
Here are some basics rules
New To BreakPointTrades
Posted by jacob on 2nd of Oct 2009 at 12:02 am
Here are some basics rules that I've learned:
1) Nobody will have successful trades 100% of the time
2) You don't have to have your money in the market all of the time
3) Have an exit strategy before you make a trade and stick to it
4) Emotions are your enemy
5) Limit your risk in your trades, learn how to do this so that bad trades only hurt a little
6) Learn when to take your gains off of the table, this site will offer guidelines for this
Trading emotions
mechanical systems - martingale style, no brainer!
Posted by jacob on 1st of Oct 2009 at 12:05 am
I get caught up in the emotion of the systems too. Just remember that usually the systems do well overall in a month, so don't take your money out after a loss, because the next trade could be a big winner. If the system doesn't seem to be working in a stretch I will wait on the sidelines a bit too. But I do miss some big gains that way as well.
System results
Mechanical Systems
Posted by jacob on 28th of Sep 2009 at 11:59 pm
I think it's fine to post the really good days. The strength of the mechanical systems are by always keeping the systems on so you don't miss these days.
Too many people get angry because they do the systems one day and then dont' do the next signal which is a winning signal
Beta
3D TV
Posted by jacob on 6th of Sep 2009 at 09:31 am
Make sure you get the right format though. Will be another tech war on this...
Not quite sure what the
Off Topic and outside trading hours...Obama speaking to kids across America next week in school.
Posted by jacob on 3rd of Sep 2009 at 06:48 pm
Not quite sure what the point of this is. There is actually no useful information whatsoever in this article or the youtube clip. It just shows biased opinions which have dominated the news/radio the last 10 years.
Mechanical systems
SRS Swing
Posted by jacob on 2nd of Sep 2009 at 03:16 pm
Personally, I use SRS and URE for both long positions as I find it hard to fill shorts with TS. URE and SRS don't trigger at the same times for what i run. Don't feel you need to be in the market all of the time, especially if the market is choppy.
If you only have an SRS system, you could eyeball it and manually enter URE, but then you won't be able to walk away from it which is advisable but easier said then done:).
Whatever you run, stick to the system or you could miss those days which gain 10%.
Jacob
MA crossover
SRS Swing
Posted by jacob on 2nd of Sep 2009 at 02:33 pm
Yes your total posiiton exits on MA crossover.
Politics
No More DXO
Posted by jacob on 1st of Sep 2009 at 11:53 pm
They are trying to remove the evil speculators from oil pricing. I don't think the other ETFs will be affected unless the SRS lawsuit suceeds.
Make sure the month says
newsletters...
Posted by jacob on 1st of Sep 2009 at 12:22 am
Make sure the month says "August":P
entering/exiting after a signal
SRS 15 min swing
Posted by jacob on 23rd of Aug 2009 at 03:25 pm
You can enter on Monday, but there is more risk if it gaps up before the bell, also if it signals to sell on Monday, make sure you follow that signal.
Jacob
mechanical systems
Mechanical Systems
Posted by jacob on 20th of Aug 2009 at 09:15 am
One rule of thumb for mechanical systems to judge whether to keep using them in the short term or not is to look at the performance curve. If the curve is flat, then I would turn it off for the short term.
Jacob
Depends
SRS swing system
Posted by jacob on 13th of Aug 2009 at 12:07 am
Depends on how you want to trade. The original SRS system in the premium content section was optimized for both going long and short with exiting at end of day. Whichever method you choose, make sure you follow it, because in the end the systems do very well.
Jacob
swing mechanical systems
Swing mechanical systems
Posted by jacob on 11th of Aug 2009 at 08:46 pm
John, there is information in the premium content section about it. Basically, the system trades/exits when moving averages cross. There is no end of day exit, which helps avoid daytrading, if you don't have a daytrading account.
Jacob
mechanical systems
SRS swing system
Posted by jacob on 7th of Aug 2009 at 12:19 am
Breaktom, the stops are built into the mechanical systems. You configure these "stops" by choosing different strategies in a particular mechanical system. Once a mechanical system is triggered, your position can be exited by: (1) moving averages crossing, (2) a pre-set gain/loss from entry (scale out), (3) a specific time such as end of day (not for swing systems), etc...