Should mgrunin start a trading thread ?

Should mgrunin start a trading thread ?

  • Yes

    Votes: 42 61.8%

  • No

    Votes: 7 10.3%

  • making it up, needs attention, fuck you, you're gay

    Votes: 19 27.9%
  • Total voters
    68
ayzo said:
True most people who try day trading don't make money the same way most people who try affiliate marketing don't make money but if you do your homework, develop the right strategy, and use discipline it's not so far fetched to make a career out of day trading. I know several people who do it with several different investment products (futures, options, forex, etc) and they've been doing it for years. I trade here and there when I think there are opportunities (gold/oil/home builders 8 years ago, VIX/emini during the crash, ford trading under $2 after the crash, apple/google/exxon now, etc) but try to avoid the day to day grind of it because it's just money chasing more money and even the most elite traders struggle to get a 20% ROI. If you have a lot of money to play with and don't want to stick it in a 1.3% CD then it's worth it but I think affiliates would get a better ROI for their time and money by using their skills to build actual companies. Maybe I give affiliates too much credit but I think if you're an affiliate with the right balance of business, tech, marketing, and monetization skills you should have your eyes set on silicon valley where you can take a $20,000 website/app/startup to a possible 7/8 figure exit vs new york where you will struggle for a 10% return on your capital.
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You don't have to get lucky many times to make some good money in options trading, in the same way you have good runs and bad runs in poker, it doesn't mean you've beaten the game.

Investing in stocks is totally different to doing daily options trading. Buying and holding stocks is relatively "low risk" in comparison.

As I said, if you're truly good at it you shouldn't be investing with your own limited capital. If you're a day trader and getting an ROI, why aren't you scaling by working at a bank or hedge fund or something? Getting 1-2% on managing $200M is much better than earning 6 figures a year on gains made on your own cash. [ I appreciate it's not quite that simple, so far as when you're trading 6 figures you're not moving markets, where as with 8/9 figures it's a different matter ]
 


I'm currently creating a semi-automated trading system based on machine learning algorithms. More specificially, I'm in the middle of a massive experiment testing support vector machines, gradient boosting, and a mixture of the two (using linear svr for feature selection and gradient boosting for classification). Should be pretty interesting.
 
If you are new to securities trading you should stay the fuck away from options. Options are a great way to hedge and make fast money if you know what you're doing, but they are complex and newb kryptonite. Learn the basics trading a blue chip in an industry you are very familiar with, using money you can afford to lose. When you learn the essentials of technical analysis, how to interpret PRs and financials, what types of securities are available to you and how to use those tools to your advantage, then explore options.
 
-joe- said:
I can't see too many negatives to it for him, other than his time. If anything, it'd work as a small pump and dump, since he buys the options, and everyone else pushes up the value, creating false demand, and pushing the main stock up. He then sells before everyone else.
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a few drops in the ocean can't change the tide
 
IceToEskimos said:
28996111.jpg
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Did I say pump & dump? I meant raise and laze. Totally different. Those damn shady pump&dumpers!

[ame="http://www.youtube.com/watch?v=uuVh36vQkSI"]Simpsons - Trapezoid Scheme - YouTube[/ame]
 
mGrunin, if not a thread dedicated to strategy and tactics then what about a brief outline of study resources you've used to help you progress, and naming some concepts that you encourage others to study?
 
mituozo said:
Most day traders do not make money.
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This is FALSE.

Brokers have to release stats. Look them up.

From the Los Angeles Times:

"At Gain, which operates through www forex com, the number of unprofitable customers hovered between 72% and 79% every quarter last year, according to its filing."

Generally speaking (stocks/currency/options) the industry works like this: 83% lose. 27% win. Of course the 83% die off and are replaced by newbies year after year. This is why it appears EVERYONE LOSES. But it's false.

I'm up 19 out of the last 23 months. Up 47 of 65.

My average gains per month are greater than my average losses. My gains are in the 7-12% range per month.

The best trader (I don't consider someone a trader until they have 12 months of experience to speak of...) I've ever met was a high teen trader. He's the best I've ever met. I've met a ton.

I know a large number of successful traders. Trading is no different than chess.

Why am I not a billionaire? Do the math. Consider cap gains. Consider living expenses in the country's 2nd most expensive city. Blah blah blah.
 
ericchristopher said:
This is FALSE.

Brokers have to release stats. Look them up.

From the Los Angeles Times:

"At Gain, which operates through www forex com, the number of unprofitable customers hovered between 72% and 79% every quarter last year, according to its filing."

Generally speaking (stocks/currency/options) the industry works like this: 83% lose. 27% win. Of course the 83% die off and are replaced by newbies year after year. This is why it appears EVERYONE LOSES. But it's false.

I'm up 19 out of the last 23 months. Up 47 of 65.

My average gains per month are greater than my average losses. My gains are in the 7-12% range per month.

The best trader (I don't consider someone a trader until they have 12 months of experience to speak of...) I've ever met was a high teen trader. He's the best I've ever met. I've met a ton.

I know a large number of successful traders. Trading is no different than chess.

Why am I not a billionaire? Do the math. Consider cap gains. Consider living expenses in the country's 2nd most expensive city. Blah blah blah.
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Hey wait I know where you work

Brool-Story-Co.jpg
 
MSTeacher said:
mGrunin, if not a thread dedicated to strategy and tactics then what about a brief outline of study resources you've used to help you progress, and naming some concepts that you encourage others to study?
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To be honest right now that markets are shit. They aren't predictable at all. It's easy to bank big when the markets are predictable. Problem is that right now we have a big down day, and then a big up day. It's all over the place. It will continue to be all over the place going into November too.

So in other words, if you are just started trading then right now is the shittest time to get into them. To make matters worse right now is earnings season so any big misses or beats by a large cap company can really move the markets spontaneously. Example is how Google missed last week and brought down the whole market including Apple.

A great resource is investopedia. You can't find any other site that breaks things into laymen explanations.

The only thing I am currently comfortable with in the current market is playing straddles for the time being since it's a bit easier for me right now to predict whether a stock will have large movement in any direction, than medium - large movement in a specific direction. I can continue posting stock picks here and there but again unless you have experience and knowledge to trade, you shouldn't pull the lever on any of them. Everything is done on your risk.
 
I attempted some basic stock day trading using $20k, no options or anything like that. The biggest problem I have found is the Australian market is pretty quiet, it's hard to find stocks that are volatile enough to take advantage of. I searched for stocks that were less than 50c, a lot of them just sit there all day with no trades going on. The more expensive stocks that are constantly traded don't have enough movement to make a profit.

I've just been using a really basic strategy of trying to spot a trend with a 2% trailing stop loss. I've had more winning trades than losing trades, but I'm down overall about $2000 because I didn't use a stop loss in my first few trades, beginner mistake. I'm keeping a record of each trade with a note of my thoughts next to it, might post em' up one day if it's interesting enough.

I have to open my mind to short term trading instead of being so focused on getting in and out asap, one mining stock went from 5c to $2.70 within about a month, I bought in at 50c and sold at 55c for a quick buck. Could have quadrupled my money if I was a bit more patient.
 
johnmatrix said:
I attempted some basic stock day trading using $20k, no options or anything like that. The biggest problem I have found is the Australian market is pretty quiet, it's hard to find stocks that are volatile enough to take advantage of. I searched for stocks that were less than 50c, a lot of them just sit there all day with no trades going on. The more expensive stocks that are constantly traded don't have enough movement to make a profit.

I've just been using a really basic strategy of trying to spot a trend with a 2% trailing stop loss. I've had more winning trades than losing trades, but I'm down overall about $2000 because I didn't use a stop loss in my first few trades, beginner mistake. I'm keeping a record of each trade with a note of my thoughts next to it, might post em' up one day if it's interesting enough.

I have to open my mind to short term trading instead of being so focused on getting in and out asap, one mining stock went from 5c to $2.70 within about a month, I bought in at 50c and sold at 55c for a quick buck. Could have quadrupled my money if I was a bit more patient.
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You can look at it like this. If I let all my winning trades play out for longer I would have several million dollars in gains. If I let all my losing trades play out longer I would be on welfare.

My recent trade that I regret selling was CMG (Chipotle). I purchased puts two weeks ago when it was at $303. Right now it's trading under $250. I sold them when the stock was at $295.
 
By the way, you should also be asking my man mx=headroom for some play recommendations because he's on the dot on many of his plays.
 
Anybody with a solid edge would never out their strategies, nor attempt to prove anything. The last thing you want to do is give away that precious liquidity.
 
What are some good resources to learn basic option trading or trading at all for that matter?
 
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