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RE: [amibroker] Re: Trading International Portfolios



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Herman,
These are specific to ASX that I've found
1. Australia is a pennies paradise, most resource stocks are pennies, and they can be hugely profitable
2. sectors behaves differently
3. False breaks happens all the time  except in the hottest sectors of the time.
4. Short selling is difficult except through the use of Contract for difference.
5. there is a co-relation between AUD strength and the strength of the market.
6. Futures liquidity could be quite bad after hours or during US working hours.
 


From: amibroker@xxxxxxxxxxxxxxx [mailto:amibroker@xxxxxxxxxxxxxxx] On Behalf Of Herman
Sent: Monday, 9 June 2008 12:04 AM
To: brian_z111
Subject: Re: [amibroker] Re: Trading International Portfolios

Well Brian, there is some parallelism here but only in the final decision to focus more on trading. I have not given much thought to my personal assets, emotional needs, or those of the World :-) Taking the risk of boring people here is my personal approach to trading. I,


1) Only trade extremely simple trading rules.

2) Trade any stock, wherever I may find it (Explorations), that gives good profits and that can be traded with minimal effort. 

3) Do not use Stops/Money Management until the system is proven, i.e. the system must be profitable without those frills.

4) Always start small. imo, If the system works with a few shares it will work with more shares.

5) Trade frequently; at least once a day/stock. In my experience this increases profits and reduces DDs.

6) Don't like product/market research. Trading 100% exposure reversals systems it makes no difference to me whether the market goes Up or Down;

7) Find manual trading extremely boring and try to automate all trading (not always easy).

8) Love searching and coding wild trading ideas, I look at price only. 

9) I must always find some time to play (code) new ideas.


Don't ask me why I want to focus more on trading; I just suddenly got the urge. I think it may be because I came close to coding-burnout in trying to automate a complex trading procedure. In terms of skills, I think I reached my match. So, I'll trade the system manually, if it works I'll pay someone with the required expertise to code the difficult parts.


I give myself 100 days (the look back period of my current system) to determine whether trading is worth the effort for me. 


best regards,

herman   



For tips on developing Real-Time Auto-Trading systems visit:

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Saturday, June 7, 2008, 7:21:22 PM, you wrote:


> As usual you are hinting at some very interesting ideas/questions - 

> anywhere from 2-10.


> To provide some context.




> A trading fiction by z:



> I am not an international trader.

> I am a virtual trader.


> The objective of the game is to start with a set capital account and 

> maximise the annual % return.

> The player with the max return is the winner for that year.


> I am at war with the 'otherworld' whose inhabitants are known amongst 

> gamesters as 'the Worlds' (tax collectors, providers, accountants, 

> lawyers, brokers, advisors etc).


> The objective of the Worlds is to gain a share of the traders capital 

> for themselves.


> The Worlds control the rules of the game.

> The rules are a composite and constantly morph.

> Not all rules can be known in advance and they don't necessarily have 

> to be fair or consistent.

> If a gamester asks a World for an interpretation they are not 

> compelled to answer, or give a correct answer.

> The Worlds are constantly squabbling amongst themselves, and fighting 

> each other, for a bigger stake in the game.


> They create and provide all of the infrastructure, and virtual 

> content of the game, for which they receive worldly tokens.


> I have a game profile (age, account size, skills, personality, 

> experience, tools etc).

> My profile can be changed in some, but not all, areas.

> To change a property of the profile requires a proactive effort. 

> Sometimes that involves a massive input of energy.

> Profile changes often take a while to be approved. 


> The nature of the game varies and comprises several sub-games. 

> I have nominated Technical Analysis as my sub-game of choice.


> In preparation for the game I have spent years studying and 

> practising the Laws of Technical Analysis.


> I have played many simulated games.


> I have read many instruction manuals.


> I have purchased analytical software, and like a pubescent 

> sportsperson, I have trained long and hard with it, to build my 

> trading muscle.


> I have developed my game philosophy, and strategies, and mentally 

> rehearsed them over and over.


> I am ready to play.


> I know that the game will be fast and furious and full of unexpected 

> turns and twists.


> There will be some unanticipated events.


> I know that I can't carry all of my training aids with me - they are 

> too heavy and will slow me down.


> I abandon them.


> I no longer require the long analytical work outs - I change to a 

> portable small analytical backup tool (if necessary the rules of the 

> game allow withdrawal, to return to analytical development etc, 

> provided the player has the required funds to rejoin the game)


> I choose my trading vehicle - a single desk multi-asset trading 

> platform with superior leveraging and exotic short instruments.


> The platform optimises my prepared strategies.

> It is not the safest platform around.

> The skill levels needed to drive the multi are much higher than the 

> other models.

> I am taking on extra risks but I want to win - I don't want to come 

> second.

> I can't do that with the slower vehicles.


> I know that the platform isn't 100% dependent and that it does not 

> have all of the tools I need.


> If my strategy isn't performing or I want to use diverse strategies I 

> will have to change platforms (sometimes the Worlds change the 

> platform so that it is no longer attuned to my needs).


> I can change platforms during the game, but this can be a fatal 

> distraction (I have reasearched a wide range of trading platforms, in 

> advance, and I am ready to make a quick move if needed).


> I have researched all of the available, albeit incomplete, training 

> material for my chosen platforms (it is essential to memorize every 

> detail, of their performance capabilities, in advance).




> I am ready.


> Let the game begin.


> Winner takes all.


> Losers are banished from the game forever!


> brian_z



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