Random trading systems - "monkey with a pin"

[Splitlink]

I can't believe that statement!
Just PMd you

Well, there you go!

I am not an unsuccessful trader. It is, simply, thst I believe that my entries are based , like many other traders, in not losing very much. I concentrate on that and it seems to work well.

Most of my life I have been an investor of shares, which means fundamentals.

Since retirement, I have become involved in trading as a pastime.
It has nothing to do with fundamental analysis and I have come to the conclusion that, although it may be by looking at charts and their patterns, it is random. I don't try to fool myself about that and that entails watching the stops. If I don't like the way the price is moving, I don't wait for the stops.

 

[ryandj2222]

As I see it, whatever a trader does is bastante random inasmuch as we are all likely to have different views of what the market is going to do. Nothing can be more random that.
...
That is one reason that I do not try to explain what I do ie. it is fairly random.

I like this - nicely put really!

 

[Babyblush]

Most of the times the planned strategy itself fail and i wonder how much would this random strategy would make money for you. :?:

 

[Liquid validity]

This thread is pretty bad tempered eh. Isn't this a semantic issue with the term random....

While I agree with LV that random trading can be successful from an entry perspective, I also agree with DT that the exit needs to be managed somehow in order to produce a profit and defeat the spread/commission, even if this is based on a factor that can be random in nature, it is still a bound factor and not a completely random time event. (So it can't be 10,000 pips from the current price 12 years later).

The exit is so terribly important. So. Terribly. Important.

I also agree exits need to be managed and not be random.
I've never said otherwise.
You are right in saying this is largely semantics.
All trades are random to a certain extent - if they weren't nobody would ever have a losing trade.

 

[Splitlink]

I also agree exits need to be managed and not be random.
I've never said otherwise.
You are right in saying this is largely semantics.
All trades are random to a certain extent - if they weren't nobody would ever have a losing trade.

This is, more or less, what I wanted to say, My entries are tied to a close stop but the entries are as likely to be as wrong as right.

 

[NVP]

As soon as I have my monkey trained up on my new Mt4 Platform I will let him start Trading

he still has to finish the works of shakespeare first though......

Type Dammit
N

 

[Splitlink]

Hi Folks ,
i am new to this Forum and i would like to introduce myself.
My name is Frank and i am a professional news trader since
2006.

I came across this thread because i also testing a random walk
strategy since a few weeks and i would like to share the results with you.
I think most of us agree, that a random entry
has a 50 % chance to be successfull.As i started the test,my main question was,
if we have a drop of the 50 % when we start to apply money management rules.
To get data quickly, i run the test in 6A,6B,6C,6E,6J on a daily basis.
The risk reward ratio for the test is 1:1.5. i am using a Sl of 50 Ticks and a TP
of 75 Ticks( exept for the canadian dollar ( 6c ) due to lower volatility i use a stop
of 30 ticks and a TP of 45 ticks).All trades are opened in the morning and closed in the evening exept they have hit their TP or SL.

Here are the results so far.
I ve made 90 trades on 18 trading days.
30 trades hit their TP
38 trades hit their SL
14 trades where closed in profit
8 trades are closed in loss
Total ticks gained :363

Of course this small set of data isn't statistical relevant yet, but the results
encouraging me to continue testing.

cheers

Frank

Are you testing your account level, as well? If it is demo trading that you are doing, take into consideration the spreads, fees, etc. and how much you will have made after that,

Good Luck to you.

 

[CAVOK]

As soon as I have my monkey trained up on my new Mt4 Platform I will let him start Trading

he still has to finish the works of shakespeare first though......

Type Dammit
N

I gues you need no monky ...

 

[Splitlink]

I gues you need no monky ...

I am the monkey!