Permanent edge

[firewalker99]

I have traded full time for 8 years, I had a set up which like yourself, delivered the rewards with minimal risk, however, in the last 6 months the returns % had diminished and I went back to the drawing board to re-evaluate myself, my trading style and the effectiveness of the system I employed, the result, a complete change of set up was required to meet todays tradings requirements, its delivering similiar rewards to those I enjoyed a few years ago.

Perhaps revisit the drawing board, and re-assess what your methologies are/need to be, certainly a worthwhile exercise every few months to ascertain the effective of what you employ to deliver the required results.

To be honest, I'm surprised Dinos... I knew you did some tweaking - we all do to a certain extent I suppose - but I wasn't aware you had to do a "complete change of set up" :-0

Perhaps what worries most aspiring traders or new traders (I wouldn't exclude myself in this list) is that they wake up some day and find that the hard, painstaking work they put in for months (or years for some) turns out to be in vain and they lost their ability to make money in the markets without finding a suitable explanation.

 

[Paul71]

To be honest, I'm surprised Dinos... I knew you did some tweaking - we all do to a certain extent I suppose - but I wasn't aware you had to do a "complete change of set up" :-0

Perhaps what worries most aspiring traders or new traders (I wouldn't exclude myself in this list) is that they wake up some day and find that the hard, painstaking work they put in for months (or years for some) turns out to be in vain and they lost their ability to make money in the markets without finding a suitable explanation.

I agree with your sentiment, FW. I would say that there are many ways to skin a cat, but only a few ways are worth knowing.

 

[Dinos]

FW, I suppose I was looking at it like this, if its broken, there is only so many times you can fix it before it becomes ineffecient. Best to move away, re-assess, re-evaulate and draw conclusions, do I keep changing/tweaking, or shall I invest in a new system to meet todays requirements, the latter won, I'm extremely happy I did that, I didn't want to cling on to something which imo, and thats whats important (imo) needed replacing.

 

[firewalker99]

I agree with your sentiment, FW. I would say that there are many ways to skin a cat, but only a few ways are worth knowing.

I hope not the Chinese way! :-0

 

[firewalker99]

FW, I suppose I was looking at it like this, if its broken, there is only so many times you can fix it before it becomes ineffecient. Best to move away, re-assess, re-evaulate and draw conclusions, do I keep changing/tweaking, or shall I invest in a new system to meet todays requirements, the latter won, I'm extremely happy I did that, I didn't want to cling on to something which imo, and thats whats important (imo) needed replacing.

Thanks for sharing this with us. Could you, now that you've fixed it, perhaps tell us the main reason in your opinion that caused it to fail? Different markets, different circumstances, volatility?

 

[new_trader]

each market continually moves through different phases of trend and volatility. an edge/system/plan (all the same in my book) that worked in one particular market will likely cease or under perform when the market condition change, so it sounds like the market & timeframe you have been trading has moved to an unfavourable condition for the particular edge/system/plan (obviously without knowing the system it's impossible to say).

You've described a trading system, not an edge. A trader with an edge knows when to go short, when to go long and when to abstain. They know when to do this in any market they have studied and under any condition. These debates/discussions go on and on ad nauseam simply because ‘edge’ and ‘system’ are used interchangeably.

 

[wasp]

You've described a trading system, not an edge. A trader with an edge knows when to go short, when to go long and when to abstain. They know when to do this in any market they have studied and under any condition. These debates/discussions go on and on ad nauseam simply because ‘edge’ and ‘system’ are used interchangeably.

So, in your opinion NT, would you say an edge is not an edge as in noticing certain criteria, but rather SKILL to read the market and participants at any given point and act regardless of prior information?

 

[Newtron Bomb]

having an edge can be simple or complicated imo... lets go for simple, If you cant answer 3 basic questions before a trade then you should not palce a trade.

These are; :smart:

• Where is price now?
• What is it doing there?
• How can I get involved, If price goes up/down/sideways whats my plan of action?

Cant answer them, dont trade. Knowing what your doing, when you are doing it and why you are doing it regardless of how you trade has got to be one form of an edge. Putting a trade on because you "think its going up" is not a plan

 

[Paul71]

Do xovers or macd move markets? It's a ridiculous notion, to say the least. That takes them out of the running as an edge to be.

The above mentioned may be part of a 'system', but they are not an edge. Contracts are not exchanged on the basis of a 21,55 xover on whatever TF, it's all about percieved value (price).

So price is part of the edge, getting the best price is up to the practitioner, in the form of how adept they are in spotting a good buy or sell.

People then use different MM techniques, these can be refined.

I'm sure skinning cat's is actually not such a varied occupation as some may think.


Of course, AIMHO.

 

[Devilicus]

Perhaps what worries most aspiring traders or new traders (I wouldn't exclude myself in this list) is that they wake up some day and find that the hard, painstaking work they put in for months (or years for some) turns out to be in vain and they lost their ability to make money in the markets without finding a suitable explanation.

Worries me too. Especially concerning my 'system' which makes up about 60% of the live trades i've posted on the 'dow thread'


Ohter trades are based on my general ability to look at a chart and have a strong sense of where it is heading, which I guess i've aquired as a result of trading/staring at charts since I was 16. Not to say i dont have losing trades!

I am less concerned about the latter, in terms of waking up one day and finding that the 'edge' has gone.

 

[jm99]

You've described a trading system, not an edge. A trader with an edge knows when to go short, when to go long and when to abstain. They know when to do this in any market they have studied and under any condition. These debates/discussions go on and on ad nauseam simply because ‘edge’ and ‘system’ are used interchangeably.

as i said, edge/system are the same in my book. if you wish to define them differently that your choice.

 

[new_trader]

as i said, edge/system are the same in my book. if you wish to define them differently that your choice.

So in your book, anyone with a system has an edge. This means that someone selecting trades by flipping a coin has an edge?

 

[nine]

J***z Wasp,

You should have defined edge to start with so we didn't get into another My Edge is bigger than your Edge fight.

Nine



PS. For the record: My edge is biggest.
PPS. Substitutes for biggest include best, truest, most real, not so poofy.
And these can be turned around: your definition of edge is gay!
Or personalised: Lets face it ... you suck you edgeless git!

 

[wasp]

J***z Wasp,

You should have defined edge to start with so we didn't get into another My Edge is bigger than your Edge fight.

Nine



PS. For the record: My edge is biggest.
PPS. Substitutes for biggest include best, truest, most real, not so poofy.
And these can be turned around: your definition of edge is gay!
Or personalised: Lets face it ... you just suck!

.... What I can't work out though is what word you wrote that got starred out

 

[Crap Buddist]

J***z Wasp,

You should have defined edge to start with so we didn't get into another My Edge is bigger than your Edge fight.

Nine



!

yeah wasp nine wants to know how big your **** is.........:clap: well how big is it, and nine is that you in inches or cm's , I az got ta know !!! ???

 

[Crap Buddist]

Worries me too. Especially concerning my 'system' which makes up about 60% of the live trades i've posted on the 'dow thread'


Ohter trades are based on my general ability to look at a chart and have a strong sense of where it is heading, which I guess i've aquired as a result of trading/staring at charts since I was 16. Not to say i dont have losing trades!

I am less concerned about the latter, in terms of waking up one day and finding that the 'edge' has gone.

You know what the first question any trader should ask, (even before can he or does he identify the current trend is etc) is does he know he has to be a descretionary trader or system trader ? does he care or not? does it matter or not to him, the individual ? until he can answer that then ..... how does he know what path to set out upon ?

Come on, descretionary traders V system traders!!! what side you on ? both have their place in the market, but ones the predator the other prey....

But I think system traders are bleep!

 

[Crap Buddist]

Permanent edge

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Is there such a thing?

YES

 

[Crap Buddist]

Permanent edge

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Is there such a thing?

NO

 

[Crap Buddist]

Permanent edge

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Is there such a thing?

NOW WHAT ?

 

[wasp]

Put the beer and the keyboard down and walk slowly away from the computer.