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thalestrader

The Race

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Yes, good luck this week to everyone. I consider myself lucky this past week. For me, it all came down to my last trade which I won 50 pts on the Euro and put me positive for the week. However, for that trade my system called for a very large stop, and if hit, I would be down quite large. I was already down before entering that trade, and then the trade itself went the other way by 37 points before rallying. An extremely stress-filled week. I have no trades until Tuesday morning, so my statement will remain the same. Again, best of luck this week.

Edited by sicktrader

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I'm in the middle of a total breakdown of discipline with respect to this account, and I am down very close to my loss limit, which my broker has yet to put in place since it is Sunday, so I am going to impose it myself.

 

 

The system I have been using for this account would have had me long two lots of the 6E at 1.2877 for a 33 tick profit target at 1.2910, which was easily hit. Instead, I kept shorting this thing playing for at least a 50% fill of the gap during Tokyo. Nothing doing, at least not yet, except that I am down 637.50 + commissions and so that is punishment enough. Makes no sense - there was no 123 and no 2B, and I am not one to shoot for a gap fill. Bizarre behavior on my part. It's almost as though I had gotten so used to going short, I was unable to bring myself to go long.

 

At any rate, I'm pulling the plug on myself for tonight, and quite possibly until Tuesday in the NY AM. So unless I decide to trade this account tomorrow, and trade it extremely well, I would expect that Tuesday morning, sicko, I will be posting a losing day - and a doozy of a loser at that!

 

Best Wishes,

 

Thales

Edited by thalestrader

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I'm in the middle of a total breakdown of discipline with respect to this account, and I am down very close to my loss limit, which my broker has yet to put in place since it is Sunday, so I am going to impose it myself.

 

 

The system I have been using for this account would have had me long two lots of the 6E at 1.2877 for a 33 tick profit target at 1.2910, which was easily hit. Instead, I kept shorting this thing playing for at least a 50% fill of the gap during Tokyo. Nothing doing, at least not yet, except that I am down 637.50 + commissions and so that is punishment enough. Makes no sense - there was no 123 and no 2B, and I am not one to shoot for a gap fill. Bizarre behavior on my part. It's almost as though I had gotten so used to going short, I was unable to bring myself to go long.

 

At any rate, I'm pulling the plug on myself for tonight, and quite possibly until Tuesday in the NY AM. So unless I decide to trade this account tomorrow, and trade it extremely well, I would expect that Tuesday morning, sicko, I will be posting a losing day - and a doozy of a loser at that!

 

Best Wishes,

 

Thales

 

Losers happen to everyone, though it didn't seem like you were one to go outside of your system. You'll get it back.

 

I must say that there is one very important point that keeps me within my system which I have not spoken about. Probably the most important part of my whole trading plan. I really don't want to get into in now since I am tired, but I'll touch on it quick.

 

As I have said before I got into trading from another person on a gambling forum. Prior to that though, for years I would focus much of my gambling effort on interactive gambling. Interactive gambling was started by traders, and is just like trading in every form. At the end of the game all winning contracts are worth $100, losers obviously $0. At the beginning of the event, in most cases you can buy a contract for around $40 to $60 depending on who is playing. The contract value changes constantly, after every pitch, play, shot, whatever. So you can decide to buy during the game if there is a point where you think you are getting good value.

 

About 10 years or so, I developed a few systems (not automated) that completely depended on price movement. I never watched or listen to a game while I was in play. It would be a success for a while, then I would do something outside of my system and lose big, then follow that with a few more non-system losers. I taught a few friends how to do it, and they would eventually get greedy like me and screw up. What happened next is what brought me to profitability.

 

I ponied up 2 grand of my own cash, and invited two other friends to trade that account with me. We would share all profits. My theory behind it was that neither I nor my friends would trade outside the system with money that is not theirs. It worked. Sure, a few entries/exits were outside the system, but then you had two other guys telling you what an ass your were and wasting money, so the outside the system plays soon dwindled. The sportsbook went from an A+ rated book to a slow play by the time we were done. Not all our doing I'm sure, but we didn't help matters.

 

I learned a valuable point from that experience, so much so that even these days my main trading account is operated as a team. Well, just one other friend, but that is all I need since we both are a real pain in the ass when the other wastes money.

 

I realized long ago, after years of making bets outside of profitable system, that I would never change and needed to find a solution. Working as a team solved my problem, maybe it could help a few others out there as well.

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Losers happen to everyone, though it didn't seem like you were one to go outside of your system. You'll get it back.

 

<<< >>>

 

I learned a valuable point from that experience, so much so that even these days my main trading account is operated as a team. Well, just one other friend, but that is all I need since we both are a real pain in the ass when the other wastes money.

 

I realized long ago, after years of making bets outside of profitable system, that I would never change and needed to find a solution. Working as a team solved my problem, maybe it could help a few others out there as well.

 

 

A very interesting post Sick.

And something I've often done Thales ... my number one enemy in fact.

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trading by yourself or for others can be very very self destructive......

(I can understand why Brownsfan did not participate in such a race - I still might join (for fun) but I dont day trade often)

The motivations for trades can change and subconsciously mess you up if you are trading for the wrong (or different to what you are used to reasons))

How often have people imploded not because the plan is wrong, because the ideas a re wrong, but because of what they do in an attempt to try and please others.....

(food for thought)

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... something I've often done Thales ... my number one enemy in fact.

 

I fully expect draw downs during this race, and, given the nature of the objective, I expect several significant draw downs. What is potentially very damaging concerning this one is that it was an unnecessary draw down caused by pilot error and does does not reflect a a regularly scheduled draw down within the system I have been using for this account

 

The system itself, of course, will also have draw downs. If the next draw down is tomorrow, I will have a hole twice as deep to crawl out of as I would have had had I just traded the system. In fact, the one thing that led me to go ahead and dream this up when sick posted his original intent was that I had a little side bet going concerning trading a system, and I thought that at least I wouldn't have to "think" too much about this account - just trade the signals as the system generates them.

 

Last night during Tokyo's AM session, the system signaled three longs on the 6E, each of which hit for profit targets of 33 to 66 ticks, and two shorts on the 6J, one a -13 loss and the second a +33 profit. I took none of them. Instead, I burned through 637.50 (probably close to $700 with commissions and fees) by allowing my short bias to override what was intended to be a relatively thought-free, mechanical approach. So, had I traded as planned, and as I have traded this account for the previous two weeks, the account should have been up +$1900 trading two lots. Instead, it is down $700 or so, and I am back to trading one lot until a new equity high is achieved.

 

On a positive note, however, I thought that this thread and The Race itself would have instructive value apart from the contest itself in that it would likely bring out the behaviors that make it so difficult for so many to make a successful go at trading. Well, here I am - Thales, the object lesson in how important is the old saw that one needs to "plan one's trade and trade one's plan." Also note the secondary theme of last night's trading that, as Linda Raschke cautions in the preface of her Street Smarts book, "[t]he single most important secret is this: learn to listen to the markets and do not impose your will upon them."

 

Lesson learned. Again.

 

Best Wishes,

 

Thales

Edited by thalestrader

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On a positive note, however, I thought that this thread and The Race itself would have instructive value apart from the contest itself in that it would likely bring out the behaviors that make it so difficult for so many to make a successful go at trading. Well, here I am - Thales, the object lesson in how important is the old saw that one needs to "plan one's trade and trade one's plan."

 

And that is the very premise behind the p/l threads as well, just w/o any race structure behind it.

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I fully expect draw downs during this race, and, given the nature of the objective, I expect several significant draw downs. What is potentially very damaging concerning this one is that it was an unnecessary draw down caused by pilot error and does does not reflect a a regularly scheduled draw down within the system I have been using for this account

 

The system itself, of course, will also have draw downs. If the next draw down is tomorrow, I will have a hole twice as deep to crawl out of as I would have had had I just traded the system. In fact, the one thing that led me to go ahead and dream this up when sick posted his original intent was that I had a little side bet going concerning trading a system, and I thought that at least I wouldn't have to "think" too much about this account - just trade the signals as the system generates them.

 

Last night during Tokyo's AM session, the system signaled three longs on the 6E, each of which hit for profit targets of 33 to 66 ticks, and two shorts on the 6J, one a -13 loss and the second a +33 profit. I took none of them. Instead, I burned through 637.50 (probably close to $700 with commissions and fees) by allowing my short bias to override what was intended to be a relatively thought-free, mechanical approach. So, had I traded as planned, and as I have traded this account for the previous two weeks, the account should have been up +$1900 trading two lots. Instead, it is down $700 or so, and I am back to trading one lot until a new equity high is achieved.

 

On a positive note, however, I thought that this thread and The Race itself would have instructive value apart from the contest itself in that it would likely bring out the behaviors that make it so difficult for so many to make a successful go at trading. Well, here I am - Thales, the object lesson in how important is the old saw that one needs to "plan one's trade and trade one's plan." Also note the secondary theme of last night's trading that, as Linda Raschke cautions in the preface of her Street Smarts book, "[t]he single most important secret is this: learn to listen to the markets and do not impose your will upon them."

 

Lesson learned. Again.

 

Best Wishes,

 

Thales

 

Bummer. Re-focus. In poker its very similar to playing rags. You start to think that no matter what hand you are dealt, you'll win. Cards and the markets have a way of humbling you.

 

This is getting interesting. It's a good opportunity for Sick to take advantage of the wounded Thales and move ahead of him.

 

 

Just spectating.

 

 

MM

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Up $192 thanks to the AM session today. I'll post the statement tomorrow. I'm not seeing much that is enticing me to trade tonight, so I'll be back for the AM session.

 

The next two weeks are going to be crazy for me at work - lots of business travel - so I may not get much trading time for a bit...

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I am able to trade this week I leave next Monday and I am contemplating trading only this account while on vacation.

 

Last week I also broke every rule I have, and at one point was fully leveraged in "the race" account and took a loss. My emotions have become a liability in this and I need to refocus.

 

Today I had a nice es trade that simply erased losses in euro so I am out commissions today.

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Here are my statements from yesterday.

 

Today I had a bad morning. I tried going away from my system since it doesn't do well in chop....and got chopped up. Should have just walked away. I dropped below my margin requirement, so I was unable to recover with any good opportunities that eventually came up. Ironically, if I had stuck to the system (on the 5 min bars, instead of trying to surf the 1 min bars), today would have been a big winning day. *sigh* this is the painful part of learning.

 

Since I am below my margin requirements I will have to add a bit in, but I am not going to attempt this again until after next week when I am back from business travel.

 

Good luck everyone!

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I don’t want to belabor this point, but I would really encourage those who go outside of their system to teach a friend and trade the same account. Not just any friend though, one that will curse you up and down each time you screw up. For instance, I slept through a trade today, and knew that at about 9:00 I was going to get a nasty phone call. Accidents will still happen, but deliberate mistakes will be greatly minimized. Anyway, I won't bring it up any more.

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I don’t want to belabor this point, but I would really encourage those who go outside of their system to teach a friend and trade the same account. Not just any friend though, one that will curse you up and down each time you screw up. For instance, I slept through a trade today, and knew that at about 9:00 I was going to get a nasty phone call. Accidents will still happen, but deliberate mistakes will be greatly minimized. Anyway, I won't bring it up any more.

 

I'd venture a guess that there are plenty here that would be more than willing to do this with you ST if you wanted to bring any others in with you since it could benefit both parties.

 

:2c:

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No trades for me either. There was a long on the ES, but I was away from my desk when it both signaled and triggered. The 6E had several signals that either did not trigger, or had a far too large stop loss to even trade one contract.

 

My schedule over the next several weeks has really filled up today, and it looks like I may be done with trading until after the end of May, except for next Wednesday, and possibly this Friday AM. If I fall too far behind Sicko I'll post up the extra $600 or so I need to bring the balance back to 3K so as to resume trading 2 lots. In the mean time, I will still be participating in the thread and putting together the weekly summaries. If I do manage to get some trades in, I will post the statements, otherwise, as per the rules, no trades, no statements.

 

Best Wishes,

 

Thales

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