everyonerich
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BSD
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That's a very good question Paul.
I remember this here where the lovely Linda we've been talking about not only mentions the negative aspects of slippage herself haha as per the other thread, but, as per your point here, cites research that shows that the 5% of profitable brokerage accounts are the ones that have the highest activity, while the 95% losers have the lowest activity levels.
Stands to reason.
Can't copy from that I'm afraid but here is the whole article:
http://www.lbrgroup.com/images/Omega.pdf
CME exchange member William Greenspan made the same observation that activity and net profitability are correlated:
..."Bill Greenspan: Speaking in terms of someone who would want to trade the S&Ps, you have to develop the mentality of a trader--not just that you're going to be a 'day trader' and be flat at the end of the day. You have to be willing to make a lot of trades. You're going to be a better trader by making more trades. So, guys that want to make one, two, three trades per day, are going to get chewed up and burned out because they can't be that right about the market.
http://www.trade2win.com/boards/general-trading-chat/44624-55000-one-month-17.html#post572546
I remember this here where the lovely Linda we've been talking about not only mentions the negative aspects of slippage herself haha as per the other thread, but, as per your point here, cites research that shows that the 5% of profitable brokerage accounts are the ones that have the highest activity, while the 95% losers have the lowest activity levels.
Stands to reason.
Can't copy from that I'm afraid but here is the whole article:
http://www.lbrgroup.com/images/Omega.pdf
CME exchange member William Greenspan made the same observation that activity and net profitability are correlated:
..."Bill Greenspan: Speaking in terms of someone who would want to trade the S&Ps, you have to develop the mentality of a trader--not just that you're going to be a 'day trader' and be flat at the end of the day. You have to be willing to make a lot of trades. You're going to be a better trader by making more trades. So, guys that want to make one, two, three trades per day, are going to get chewed up and burned out because they can't be that right about the market.
http://www.trade2win.com/boards/general-trading-chat/44624-55000-one-month-17.html#post572546
DC STOXX
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I don't know why people do so few trades, but in my experience the traders that do the most trades make the most money. In the main futures im quite 80% of the volume is done by <20% of the players.
Unfortunately/fortunately most of t2w disagrees with these facts, but im not too bothered
I don't know why people do so few trades, but in my experience the traders that do the most trades make the most money. In the main futures im quite 80% of the volume is done by <20% of the players.
Unfortunately/fortunately most of t2w disagrees with these facts, but im not too bothered
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