After commenting on others threads for a while, I thought I should finally start my own.
I am a 100% mechanical system trader. I see my role as a trader to simply follow my trading system. If I follow my system and take a loss, then I pat myself on the back because I have done my job well. If I don't follow my system and make a profit, then I curse myself for doing a poor job. As a trader, I don't see myself responsible for the outcome of the trade - I can't control the outcome of the trade - the only thing I can control is sticking to the system.
Now, I am also a system developer. This is a completely different role to being a trader. I might spend a lot of time developing a system, I then pass this on to myself in the role of a system analyser - I personally think this is where my particular strength is. Once I have analysed the system, and I am happy with it, I pass it on to myself in the role of trader - the first thing I need to work out is how to implement the system to ensure that it is traded the way the designer intended - if I can't do this, then I won't produce the results that the analyser has told me should be produced. Then I simply follow the system.
So, my role is split into 3 different parts:
1. System development.
2. System analysis.
3. Trader.
By splitting my role into several parts means that I have more flexibility in what I can trade. Many people will say that you can only ever be successful trading a system that you design and develop yourself - I say that is a load of crap! Someone else can design a system for me and if it passes my analysis stage and I can implement it as it was originally intended to be traded (ie the same as it was backtested) then I can trade it.
Of the above 3 roles I play, I by far spend the most time on development and it is by far the hardest part.
Comments?
Simon
I am a 100% mechanical system trader. I see my role as a trader to simply follow my trading system. If I follow my system and take a loss, then I pat myself on the back because I have done my job well. If I don't follow my system and make a profit, then I curse myself for doing a poor job. As a trader, I don't see myself responsible for the outcome of the trade - I can't control the outcome of the trade - the only thing I can control is sticking to the system.
Now, I am also a system developer. This is a completely different role to being a trader. I might spend a lot of time developing a system, I then pass this on to myself in the role of a system analyser - I personally think this is where my particular strength is. Once I have analysed the system, and I am happy with it, I pass it on to myself in the role of trader - the first thing I need to work out is how to implement the system to ensure that it is traded the way the designer intended - if I can't do this, then I won't produce the results that the analyser has told me should be produced. Then I simply follow the system.
So, my role is split into 3 different parts:
1. System development.
2. System analysis.
3. Trader.
By splitting my role into several parts means that I have more flexibility in what I can trade. Many people will say that you can only ever be successful trading a system that you design and develop yourself - I say that is a load of crap! Someone else can design a system for me and if it passes my analysis stage and I can implement it as it was originally intended to be traded (ie the same as it was backtested) then I can trade it.
Of the above 3 roles I play, I by far spend the most time on development and it is by far the hardest part.
Comments?
Simon