Trading systems

[SB_Beginner]

Hi all,

I'm farily new to this forum but want to try and get more involved.

I have a question about trading systems for spread betting. I've been spread betting for a while now and I am not making much money. I've learnt alot so far but I still have a long way to go on the path to success.

One thing that I always see is some new trading system or other, where the develper makes big returns. I always think they sound like a scam but someone must buy into them otherwise they wouldn't do them.

So does anyone here have any experience with trading systems they have brought? Have they made any money for anyone? Is there such a thing as an automated trading system for spread betting? If so how does that work and does it make any money?

As you can see I have lots of questions. I'll leave it there for now and I may ask more as the thread progresses.

Thanks in advance
Harry
The spread betting beginner.

 

[Jaydee]

Hi Harry, welcome to T2W.

Regarding systems, at worst they are a pure scam where the seller offers you untold riches from some wavy line crosses and candle patterns which amounts to overall losses. At best, they are created by somebody who has spent a huge amount of time backtesting data but, alas, they have spent a lot of time fitting their entries and exits to past data - this is known as over optimisation, the system is only relevant to the specific dataset that has been back tested. The latter guys had good intentions but ended up selling a useless system.

Best to stay away from systems entirely.

Trading is more about your own personal developement and journey into how to deal with odds and probabilities and your emotions. Spend £500 on a system and you will learn nothing. Lose £500 in the market and you won't feel great but you will learn something from it at least.

Best

JD

 

[SB_Beginner]

Thanks for the reply JD.

I thought as much. If any of the systems that they sell worked for everyone then we'd all be millionaires.

I've been spread betting for a little while now and I can assure you I've lost the £500, but have learnt alot in the process.

It's tough going and I can see why people are drawn into these systems that are offered. My biggest problem is a trading strategy. I have one now which seems to be working for me but it was a while in the comming. I guess this is just the path of the course. We all are different and we all have to find our own way to become successful. The thing is when times get tough it's easy to fall prey to the systems that seem to make it all so easy.

Anyway I guess I'll stick to doing what I'm doing. At least for the time being I seem to be starting to make more than I'm losing. The question is can I recoupe all my losses?

Thanks again,
Harry

 

[CRK_UK]

Trading is very difficult and you learn what not to do more than you learn what to do. Best advice I can give you, is your winners should be 3 times your losers, that way you only have to find a way to be right 1 trade out of every 3 to make a good return over time. Its just to hard keeping your winners at 50%.

Also, only trade with the smallest stake possible until you have a profitable system over 6 Months.That £500 is the cost of your tuition so far, you chose to lose that £500 so if you want to pay less for the next lessons you'll learn then trade smaller.

all the best

Just thought of something else to say so ~I'll add it here. The biggest lesson ive learned is patterns that work come and go with the market enviroment. So be prepared to scale down bets when a winning pattern stops working, that way you wont be giving back all the profits you've made. Money managment is the key to a winning system. Be prepared all the time that what works today probably wont work at some point.

 

[SB_Beginner]

Thanks for the tips CRK_UK.

I think I have settled into a semi winning way with a strategy that uses the super trend indicator. So far it's working quite well but I'm not sure if it will stand the test of time or not. Still we'll find out soon enough.

Thanks again,
Harry,
The spread betting beginner

 

[the_winner_11]

Trading is very difficult and you learn what not to do more than you learn what to do. Best advice I can give you, is your winners should be 3 times your losers, that way you only have to find a way to be right 1 trade out of every 3 to make a good return over time. Its just to hard keeping your winners at 50%.

Also, only trade with the smallest stake possible until you have a profitable system over 6 Months.That £500 is the cost of your tuition so far, you chose to lose that £500 so if you want to pay less for the next lessons you'll learn then trade smaller.

all the best

Just thought of something else to say so ~I'll add it here. The biggest lesson ive learned is patterns that work come and go with the market enviroment. So be prepared to scale down bets when a winning pattern stops working, that way you wont be giving back all the profits you've made. Money managment is the key to a winning system. Be prepared all the time that what works today probably wont work at some point.

Well, i think this comment is really teaching, because actually one can't say anything exact in this area, and should always consider your actions and make your own decisions.