Is Daytrading dangerous?

[CreditViolet]

Credit violet, I am not here for a fight, and you seem to have an attitude..
- First of all I never said buy and hold is good, even Warren Buffet sells stocks if the company is not doing good
- There are successful day traders as well, just that odds are very low, and I would stick with better odds of position trading.
- I never said Finance Quant Phds are not respected, they are the most respected and sought after .

I joined this board recently primarily to get some possible additional information on fundamental stock screening and back testing software ( unfortunely I have not seen a decent one yet catering to the small investor for Indian mkts, so Iam sticking to mutual funds for now )
FYI...I am a quant position trader myself and I trade commodities and FX as well.

Well, you cant make sweeping generalizations and expect people to just believe them. You yourself said about CFAs and MBAs not daytrading, but what has that to do with anything. There is hardly anything relevance in the course material to successfully daytrade.

And you are a quant position trader and you are looking for a backtesting software for 'small investor'. What is that suppose to mean?

 

[kenneth]

People spend three years doing a degree in commerce, four years for engineering, three-four years for a CFA, two years for an MBA...BUT...when it comes to trading, the only qualification is that one has enough margin money.No preparation, no studying, no research. Having a trading account doesnt mean one can trade just like having a bat doesnt make you a batsman.

Dear CV

From what I have read from your posts you were fortunate enough to work with mutual funds and learn all that is required to be a great trader probably at their expence. I know you have read a lot of books a know about a lot of systems and probably a know all in the stock market commodities and forex with six systems operating symultaneously. Every one is not fortunate enough as you still probably have access to own funds and high net worth clients and information from the mutual funds. This is my personal opinion.Correct me if I am wrong.

So why don't you teach daytrading? or some tricks of daytrading

Regards
ken

 

[CreditViolet]

So why don't you teach daytrading? or some tricks of daytrading

Regards
ken

No time sir, most of the times that I post here, I have a backtesting engine running in the background and you can see that by the shortness of my answers.

Also, I went through all the up and downs as a trader, had to do lot of research etc to get an understanding of markets. Nothing magical about it and anyone determined can do the same. Thats why I said, time is a factor, it takes time to get a context of things.

And, just to be clear, I am not a daytrader, I just happen to prefer shorter timeframes because of the lower risk. I like the monthly bar as much as the constant volume bars.

Cheers

 

[deepsa52]

And you are a quant position trader and you are looking for a backtesting software for 'small investor'. What is that suppose to mean?

CreditViolet,
I live in US and you get back testing engines for less than $1000 a year subscription fees in developed markets. In the Indian context probably a guy trading with 1 crore Rs is a well to do small investor .If one is willing to pay 1 to 2% of the total capital annually on testing engines, it is well worth the money.

I agree with the Rangarajan's earlier comment, what are you trying to say?

Anyway, bye for now since I don't belong to day trading threads.
good luck to all..

 

[CreditViolet]

CreditViolet,
I live in US and you get back testing engines for less than $1000 a year subscription fees in developed markets. In the Indian context probably a guy trading with 1 crore Rs is a well to do small investor .If one is willing to pay 1 to 2% of the total capital annually on testing engines, it is well worth the money.

BUT..what are you as a quant looking for 'small investor' type backtesting engine? Aren't quants supposed to build their own? And what has engines to do with the "Indian"? Isnt it about the database? I know atleast two fundamental databases for Indian markets which you can run through any of the 'retail' s/w.

 

[CreditViolet]

Credit,what exactly u want to say.Or,are u confused about what u want to say?In the process,confusing others aswell.should one indulge in day trading or not.If yes,what is the criteria to be followed.

NO. You shouldnt INDULGE in daytrading

Indulge - Verb
1.Give free rein to
2.Yield (to); give satisfaction to
3.Enjoy to excess
4.Treat with excessive indulgence

Hope that clears whatever confusion you have

 

[rangarajan]

Credit congrats,as usual you have the knack of making things more complicated & incomprehensible.
One thing is very clear to me now.Dont expect unambiguity from Credit,the confusion master.
i enjoyed the chat of this thread.

All the best & Happy trading,
ranga,
chennai

 

[CreditViolet]

Snapshot of a daytraders equity curve. Check the growth in AUM.

And please, somebody mail him and ask him to do some 'Position Trading" instead

 

[CreditViolet]

And here is some nice performance results of 'position trading', looks very 'small investor' like

 

[newbee]

Newbies fail because its their purpose to fail,

why should it deter a prepared individual who has put in the work because of some generally quoted performance figures.

Thanks
newbee
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TRADE WHAT YOU SEE, NOT WHAT YOU THINK