An Edge In The Markets - Page 2
Page 2 of 7312 FirstFirst 1234 ... LastLast
Results 11 to 20 of 3113

Thread: An Edge In The Markets

  1. #11
    Quote Originally Posted by ;
    How can you manage to find this thread featured on FF's Facebook webpage?
    No hint. Do not do anything.

  2. #12
    Quote Originally Posted by ;
    An edge in the market may actually have little to do with adhering to a profitable system. The edge could be self control to allow yourself to profit. That includes not moving stops, not cutting on winning trades brief and not shutting down trades which have undergone drawdown as soon as they get back to BE, simply as you're nervous about how much it retraced against your entry (you place the stop there for a damn reason, right?) .
    Quote Originally Posted by ;
    The reality is, though, that few retail traders can give it the time, the hard work and the dediion it ought to go from losing money to making money and that's why the figures always appear so stacked against us.
    I find myself comparing trading into professional sports more and more daily. Case in point - everything you described above is quite much like someone who begin a marathon, has a look at the leaderboard halfway through and makes the decision to call it quits. Over and over again, this runner quits halfway through marathons and long distance races. It may simply be the case that some of the runners place too much energy into the first half of the race and also do not have exactly what it takes to keep up their position in the top 20. They seem to be the favorites. The runner that stopped halfway through'd the odds of finding out whether he can beat the other contenders by completing the racebut he decided against that, sawing away the branch his was sitting so to speak. This is precisely the same scenario faced by a trader who has entered a situation, manages to ride it into positive territory and makes the decision to stop when the position retraces into his arbitrary BE stage (cease to BE is a topic that has been also discussed in an superb new thread called Fail Better).

    From my experience, I'd say that it requires a lot of hard work to have the ability to handle a border in a way that you don't ship it (F1 race analogy if you know what I mean). Sometimes it is merely a matter of taking the time off, moving back to demonstration and taking it easy. In other instances it is a matter of locating another timeframe, yet another system or tweaking your commerce management criteria. In each and every situation aspiring traders will need to come to a stage they no longer hinder their edge. Of course finding a border is a precondition for that but I agree with you that there are quite a few of them presented on FF which perform the task (the 123 thread and Jankone's M5 systems are good examples).

    What separates the trader in the athlete's price history - that a trader can always check the charts afterwards and determine what would have happened to his position had he not axed it. An athlete can't always know what might have happened. A trader can and consequently a trader can take required action.

    As far as my private trading is concerned, I am at the point where I am taking the time off. I found myself sabotaging my edge way too often. I guess I let success get into my head. However, as Arnie said: I will be back!

  3. #13
    Rock strong consistency coupled with an obsession on risk management.

    I seriously think , this is the'foundation' to any border out there. . .or could this be the border?

    I link it to boxing and jogging.

    Boxing: Protect thyself First of All. Just jab/punch when possible and then protect oneself .

    Running: Consistency in rate, rythm, time. This makes you further than the average 100ft sprinter who gets knackered after 2 mins...

    And also rock solid belief in ones strategy whichever it could be

    Quote Originally Posted by ;
    I find myself comparing trading to professional sports more and more daily. Case in point - everything you described above is very similar to someone who start a marathon, has a look at the leaderboard halfway through and decides to call it quits. Over and over again, this runner quits halfway through marathons and other long distance races without finishing. It may only be the case that some of the runners put too much energy to the first half of the race and do not have what it takes to keep up their position in the top 20. However they seem...

  4. #14
    An edge doesn't exist in any market.

    Theres nothing that could substitute, a clear understanding of exactly what moves the markets and solid risk management skills.

  5. #15
    My advantage is that I freakish amount of patience. Ever notice these traders on fiscal TV shows that speak real quickly as if to make you believe that they have the thinking capability of a computer? They would fit the profile that is plogical that FX market makers need since they'd probably behave compulsively as traders. In summary, my edges are patience and that I have tens of thousands of hours of screen time.

  6. #16
    Quote Originally Posted by ;
    My edge is I freakish amount of patience. Ever notice those traders on financial TV shows that talk real fast as if to make you think they have the thinking capability of a computer? They would match the plogical profile that FX market makers need because they would likely behave compulsively as traders. To sum up, my key edges are patience and that I also have thousands of hours of screen time.
    I think people do not realize what a border is: Exploiting an inefficiency from the markets.

  7. #17
    Yes I'd agree with this. From what I've seen so far, the idea of'edge' is just a notion to anchor a few additional instruction or message on.

    To among those points about someone wins and someone looses for each fx trade, that is true when you choose to look at it this way, but a vital thing to consider (at least theoretically) is there are many participants in the actual market, people are trading in currency for different motives, and various time frames.

    So that it does not need to be glum as it seems. . As an example if you are scalping into someones 6 month position commerce, is it truly 1 winner and one looser? The currency transactions for the purposes of actual world trade would be comparable.

  8. #18
    The point I am trying to drive home is that there are certain times a week at which the bulls are dominant or the bears are all dominant. Through time I have learned to wait patiently for those opportunities. When I first started trading FX, I lacked the patience to wait....thusly, I entered a lot of bad transactions just to feel like I had been doing something.

    I'm much more confident nowadays the power plays or inefficiences will show up....it's only an issue of having patience to wait. I consider an edge over the 99 percent of traders that lose consistently.

  9. #19
    Quote Originally Posted by ;
    I believe folks do not realize what a border is: Exploiting an inefficiency from the markets.
    Although I concur that can create a border I do not think that is the definition of.

  10. #20
    Quote Originally Posted by ;
    I believe people do not realize what an edge is: Exploiting an inefficiency from the markets.
    I respectfully disagree with this, largely academic, understanding of those markets. I would define advantage as the ability to profit from the moves in markets at a constant manner with no regard to the procedure that has been used to arrive at a profit. If you're a huge bank that is focused on arbitrage opportunities then you really do need inefficiencies to capture profits. You might also profit by taking trades depending on the inefficient pricing of economic fundamentals as it pertains to exchange rates. All these are areas where the academic translation applies*. All in all, I really don't agree that you can't earn money outside this. There are numerous ways of profiting without needing to rely of inefficiencies. For the sake of brevity I will refrain from giving examples here but suffice it to say that I mentioned two approaches in a prior post that, coupled with patience and commonsense money management, previously present a possible advantage (only possible advantage because it wants a trained trader to capture it).

    Is right when he (she?) States that an edge does not exist in a market. It can't. It is outside of the market. If a trader pockets money from the markets month in, month out afterward he must have some sort of an advantage over those who take the opposite side of his trades. It does not need to be an elaborate egy based on an academic concept. It might be as straightforward as finding the weakest and the most powerful or the most rapidly weakening and most rapidly strengthening currencies and playing them from each other.

    *Funny that professors have hijacked this'inefficient' market view since it had been the banks that first thought of it, indeed it was most if not all of their fx profits were created way back before retail trading as well as hedge fund trading ever entered the fx scene.

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •  
This website uses cookies
We use cookies to store session information to facilitate remembering your login information, to allow you to save website preferences, to personalise content and ads, to provide social media features and to analyse our traffic. We also share information about your use of our site with our social media, advertising and analytics partners.