How do you know when you *shouldn't* be trading?

BigLoveBug

Newbie
2 0
Hi all,

I'm new here but I've been trading for a bit now. I wanted to get some advice on how to know when I shouldn't be trading. Looking back on past experiences, there are a few times I've executed a trade that just had no reason to be executed. I was sleep-deprived / having relationship issues / stressed / etc... and made a bad call. Sometimes it's just because I was in a fog for that day.

How do you guys assess when you shouldn't be trading? Is it something you do through intuition? Do you have hard rules for yourselves? I have a buddy who doesn't trade if his HRV is above a certain point (heart rate variability indicative - can be indicative of stress).

I'd love to hear any thoughts / techniques!

Cheers,
John
 

EnlightenedJoe

Experienced member
1,950 95
The only time you shouldn't trade is once you know how and there are no opportunities available.

You must trade in all other situations. For beginners, they must pay tuition fees at all times or they will never get to the above state.
 

foroom lluzers

Veteren member
3,612 135
Hi all,

How do you guys assess when you shouldn't be trading? Is it something you do through intuition? Do you have hard rules for yourselves? I have a buddy who doesn't trade if his HRV is above a certain point (heart rate variability indicative - can be indicative of stress).



Cheers,


John

Not stress but emotions emotions

 

tomorton

Legendary member
7,157 931
Hi all,

I'm new here but I've been trading for a bit now. I wanted to get some advice on how to know when I shouldn't be trading. Looking back on past experiences, there are a few times I've executed a trade that just had no reason to be executed. I was sleep-deprived / having relationship issues / stressed / etc... and made a bad call. Sometimes it's just because I was in a fog for that day.

How do you guys assess when you shouldn't be trading? Is it something you do through intuition? Do you have hard rules for yourselves? I have a buddy who doesn't trade if his HRV is above a certain point (heart rate variability indicative - can be indicative of stress).

I'd love to hear any thoughts / techniques!

Cheers,
John

Stop day-trading John and start trading.

But before committing money, make sure you've got a consistent strategy that you have tested and practiced. Then practice some more, until its instinctual to follow your set rules. If you can make a profit long-term trading, try day-trading again. If you need to.
 

Quantt

Established member
944 57
Hi all,

I'm new here but I've been trading for a bit now. I wanted to get some advice on how to know when I shouldn't be trading. Looking back on past experiences, there are a few times I've executed a trade that just had no reason to be executed. I was sleep-deprived / having relationship issues / stressed / etc... and made a bad call. Sometimes it's just because I was in a fog for that day.

How do you guys assess when you shouldn't be trading? Is it something you do through intuition? Do you have hard rules for yourselves? I have a buddy who doesn't trade if his HRV is above a certain point (heart rate variability indicative - can be indicative of stress).

I'd love to hear any thoughts / techniques!

Cheers,
John
For me it is the automated rule based system, so essentially I don't trade per say, I spend my time testing other systems and just get notified when the algo opens or closes a position - there is no emotion, no missed or bad trades if I overslept or got a terrible hangover, etc.. Now the market is about to open and I am not glued to a screen, but commenting here on the forum :)
 

piphoe

Legendary member
10,038 194
For me it is the automated rule based system, so essentially I don't trade per say, I spend my time testing other systems and just get notified when the algo opens or closes a position - there is no emotion, no missed or bad trades if I overslept or got a terrible hangover, etc.. Now the market is about to open and I am not glued to a screen, but commenting here on the forum :)
Quantt, how does one get started doing something like this? Where would I begin, I guess learning to code first? Or are there off the shelf solutions for non-coders? How do you connect to your broker? Are all trades processed locally on your servers etc? Are you confident enough that your algos run 24hrs/day, or do you shut them off when you're not around?
 

Quantt

Established member
944 57
Quantt, how does one get started doing something like this? Where would I begin, I guess learning to code first? Or are there off the shelf solutions for non-coders? How do you connect to your broker? Are all trades processed locally on your servers etc? Are you confident enough that your algos run 24hrs/day, or do you shut them off when you're not around?
Hey, I am not aware of ready solutions and even if they were available, I won't be using them, because I am a bit paranoid and I am afraid than someone form the company will steal my system/edge... For the broker connection, I am using the broker API, Interactive Brokers have one well documented for example... For how to start, yes you'll need to learn to code, there is no question about it - it is like the 21 century literacy for me... I did start by back testing popular systems and even tough the majority don't work it gave me ideas - this is how I did develop my system... Next step was to develop a scanner to alert me for a trade and after that I did automate the trade itself... Yes I am trusting my system to run on autopilot, hosted on VPS servers in the cloud (initially everything was running on my laptop while still developing), but I do monitor it from time to time, when I apply changes and maybe once a week I'll go back trough the log files to make sure the trades are executed properly... Hope this helps...
 

piphoe

Legendary member
10,038 194
thx. What language do you recommend for a rank beginner to put this together? Somebody else recommended python? Am I correct that your broker is just feeding you quotes but cannot see your algos? i wouldn't want them stealing my edge either
 
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Quantt

Established member
944 57
thx. What language do you recommend for a rank beginner to put this together? Somebody else recommended python? Am I correct that your broker is just feeding you quotes but cannot see your algos?
Yes python is a good start and yes you request from your broker quotes, positions, account information, etc, and you send back execution orders and they don't know exactly what you are doing with the data and why you want to buy this stock at that price...
 

Stormy42

Well-known member
253 3
Hi all,

I'm new here but I've been trading for a bit now. I wanted to get some advice on how to know when I shouldn't be trading. Looking back on past experiences, there are a few times I've executed a trade that just had no reason to be executed. I was sleep-deprived / having relationship issues / stressed / etc... and made a bad call. Sometimes it's just because I was in a fog for that day.

How do you guys assess when you shouldn't be trading? Is it something you do through intuition? Do you have hard rules for yourselves? I have a buddy who doesn't trade if his HRV is above a certain point (heart rate variability indicative - can be indicative of stress).

I'd love to hear any thoughts / techniques!


Cheers,
John
When you just can't read the chart any more due to all the tears...
 

piphoe

Legendary member
10,038 194
you know why this is so funny because its true.lol i've actually stood up and KICKED a monitor off the desk. not lately though :D
 

David Knight

Well-known member
401 99
Hi all,

I'm new here but I've been trading for a bit now. I wanted to get some advice on how to know when I shouldn't be trading. Looking back on past experiences, there are a few times I've executed a trade that just had no reason to be executed. I was sleep-deprived / having relationship issues / stressed / etc... and made a bad call. Sometimes it's just because I was in a fog for that day.

How do you guys assess when you shouldn't be trading? Is it something you do through intuition? Do you have hard rules for yourselves? I have a buddy who doesn't trade if his HRV is above a certain point (heart rate variability indicative - can be indicative of stress).

I'd love to hear any thoughts / techniques!

Cheers,
John
It's a good question. You did answer it yourself though. I posted in my journal the reason I'm not trading today.
 

Stormy42

Well-known member
253 3
you know why this is so funny because its true.lol i've actually stood up and KICKED a monitor off the desk. not lately though :D
If the truth was told, I reckon allot of us have been there!

Maybe this is why most traders have a really warped sense of humour, without it we'd just throw the towel in :LOL:
 

piphoe

Legendary member
10,038 194
If the truth was told, I reckon allot of us have been there!

Maybe this is why most traders have a really warped sense of humour, without it we'd just throw the towel in :LOL:
:LOL: i also shouted something more or less that had to do with reproduction

FK!:cheesy: