Reversed Engineered Trading System | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

ICCE. Bemac's Fib. Reverse Engineered 2,027 replies

Can a successful system be reverse engineered? 14 replies

Fibonacci Fan reversed 3 replies

Fib. Reverse Engineered. 393 replies

add a reversed buy/sell option to the sweetspots EA 1 reply

Reversed Engineered Trading System

  • #1
  • First Post: Edited 8:59am Jul 13, 2011 7:43am | Edited 8:59am
THEORY: 80-90% are Losers

STRATEGY: Reverse Loser's Signals

CRITICISM: Efficient Market hypothesis - Random Theory - Chaos Theory - Technical Fallacy - Zero Sum Game - Brokers Manipulation - Expectancy - Spread - balaaa balaaa balaaaa balaaa !!! (This is the reason why academicians - theorists - market philosophers seldom make money)

BASIS of Reversed Engineering Trading System: There is some thing called Positive Expectancy - There is something called Negative Expectancy - And there is something called Zero Expectancy.

80-90% Trading systems are on Zero Expectancy !!! AIGHT !!! So reversing them will make no difference ... Reversing Loser becomes again Loser !!!

Now What !!!

If we reverse a Negative Expectancy system - Then we get Positive Expectancy result !!!

So Where I can find Negative Expectancy System?

I tell you !!! But Wait !!! first I wanna quote a Legend here:

JACK D. SCHWAGER in his book "THE NEW MARKET WIZARDS - CONVERSATIONS WITH AMERICA'S TOP TRADERS" writes on Page # 4:

Here's what I believe:
1. The markets are not random. I don't care if the number of academicians who have argued the efficient market hypothesis would stretch to the moon and back if laid end to end; they are simply wrong.
2. The markets are not random, because they are based on human behavior, and human behavior, especially mass behavior, is not random. It never has been, and it probably never will be.
3. There is no holy grail or grand secret to the markets, but there are many patterns that can lead to profits.
4. There are a million ways to make money in markets. The irony is that they are all very difficult to find.
5. The markets are always changing, and they are always the same.
6. The secret to success in the markets lies not in discovering some incredible indicator or elaborate theory; rather, it lies within each individual.

My Strategy of Reversed Engineered Trading System is based on JACK D. SCHWAGER's 2nd Point.

Reversed Engineered Trading System is based on a theory that Human behavior is not random. So 80-90% Human behavior is at Negative Expectancy side. Do not confuse it with Market Sentiment or COT Report !!!

STRATEGY:

Your Tool to reverse signals is "Human Behavior". Just find a human behavior that gives 80-90% false signals.

CAUTION:

Your source for Signals that you are reversing must not be based on any technical or any trading system but 100% based on behavior !!!

There is something called EDGE. And its very famous that if an edge is exposed the Edge will die. So be cautious with your Edge. Your Specific Human Behavior is your EDGE. If that specific Human Behavior knows your Edge than your Edge is Dead !!!


Thanks. Now make lots of criticism !!!
The HolyGrail is within your BRAIN ... Activate that Indicator !!!
  • #2
  • Jul 13, 2011 8:42am Jul 13, 2011 8:42am
I think you have a point. FXCM Speculative Sentiment Index measures the ratio of long vs short signals on FXCM Trade Books and gives contrarian signals against the crowd, when the ratio is heavily tilted on one side. It has been quite reliable becos it is based on human sentiment and not on indicators
Quoting Looser
THEORY: 80-90% are Losers

STRATEGY: Reverse Loser's Signals

CRITICISM: Efficient Market hypothesis - Random Theory - Chaos Theory - Technical Fallacy - Zero Sum Game - Brokers Manipulation - Expectancy - Spread - balaaa balaaa balaaaa balaaa !!! (This is the reason why academicians - theorists - market philosophers seldom make money)

BASIS of Reversed Engineering Trading System: There is some thing called Positive Expectancy - There is something called Negative Expectancy - And there is something called Zero Expectancy.

80-90%...
LISTEN TO MR FUNDAMENTAL AND MR TECHNICAL
  • #3
  • Jul 13, 2011 8:49am Jul 13, 2011 8:49am
Quoting okehiedon
I think you have a point. FXCM Speculative Sentiment Index measures the ratio of long vs short signals on FXCM Trade Books and gives contrarian signals against the crowd, when the ratio is heavily tilted on one side. It has been quite reliable becos it is based on human sentiment and not on indicators
Yes you are right. But Market Sentiment is another thing. Here the strategy finds one or two failure behaviors and then reversing them.
The HolyGrail is within your BRAIN ... Activate that Indicator !!!
  • #4
  • Jul 13, 2011 2:12pm Jul 13, 2011 2:12pm
I think everyone agreed and already doing the same thing !!! LoL !!
The HolyGrail is within your BRAIN ... Activate that Indicator !!!
  • #5
  • Jul 13, 2011 2:43pm Jul 13, 2011 2:43pm
Hi Loser,
I agree with your post.
Concerning
6. The secret to success in the markets lies not in discovering some incredible indicator or elaborate theory; rather, it lies within each individual.

I think each individual can express his style or part of style in indicator.
This artificial intelligence will help him with complex calculations.

If people know the edge, the edge is dead. This is why market keeps changing all the time.
I believe there are concepts that are unchangeable as long as they are revealed
by many. Once this holy grail is revealed, it is dead.
  • #6
  • Jul 13, 2011 2:51pm Jul 13, 2011 2:51pm
No. 6 point was made by Jack and he is no doubt a Legend !!! actually what i understood that he made no.6 point generally.

The Edge exist in every profitable system. Here in my system the Edge will exit until the R.E.T.S user tells the unsuccessful trader that he is reversing his signals. Because when you tell your specific trader that you are reversing his behavior regarding market then his psychology and behavior will change and your Edge dies. But revealing this system on a forum has nothing to do with this system's edge until user tells his specific trader that he is reversing his signals.




Quoting Expert44
Hi Loser,
I agree with your post.
Concerning
6. The secret to success in the markets lies not in discovering some incredible indicator or elaborate theory; rather, it lies within each individual.

I think each individual can express his style or part of style in indicator.
This artificial intelligence will help him with complex calculations.

If people know the edge, the edge is dead. This is why market keeps changing all the time.
I believe there are concepts that are unchangeable as long as they are revealed
by many. Once this holy...
The HolyGrail is within your BRAIN ... Activate that Indicator !!!
  • #7
  • Jul 13, 2011 2:58pm Jul 13, 2011 2:58pm
To late to find anyone to reverse. It's 1 AM. lol
.
  • #8
  • Jul 13, 2011 3:39pm Jul 13, 2011 3:39pm
Quoting nasir.khan
To late to find anyone to reverse. It's 1 AM. lol
.
Good night. I am at 1pm still...
  • #9
  • Jul 13, 2011 3:40pm Jul 13, 2011 3:40pm
THEORY: 80-90% are Losers

Practice says that 99.5% are losers.
  • #10
  • Jul 14, 2011 2:41am Jul 14, 2011 2:41am
Last night I murdered Euro - Injured Pound - Hospitalized pip & tick - I am so mean I make Dollar Sick

Quoting Expert44
THEORY: 80-90% are Losers

Practice says that 99.5% are losers.
The HolyGrail is within your BRAIN ... Activate that Indicator !!!
  • #11
  • Jul 14, 2011 9:12am Jul 14, 2011 9:12am
The HolyGrail is within your BRAIN ... Activate that Indicator !!!
  • #12
  • Jul 14, 2011 11:32am Jul 14, 2011 11:32am
Quoting Looser
Last night I murdered Euro - Injured Pound - Hospitalized pip & tick - I am so mean I make Dollar Sick
How did you do it? We have to fall with dollar if dollar is falling.
  • #13
  • Jul 15, 2011 3:01am Jul 15, 2011 3:01am
Quoting Expert44
How did you do it? We have to fall with dollar if dollar is falling.

“If you want to know how rich you really are, find out what would be left of you tomorrow if you should lose every dollar you own tonight.”
The HolyGrail is within your BRAIN ... Activate that Indicator !!!
  • #14
  • Jul 16, 2011 4:21am Jul 16, 2011 4:21am
Quoting nasir.khan
To late to find anyone to reverse. It's 1 AM. lol
.
Did you find anyone?

Are you from Pakistan? which city ?
The HolyGrail is within your BRAIN ... Activate that Indicator !!!
  • #15
  • Jul 16, 2011 8:56am Jul 16, 2011 8:56am
Quoting Expert44
THEORY: 80-90% are Losers

Practice says that 99.5% are losers.
statistics say 70% of retail traders are losers
  • #16
  • Jul 16, 2011 8:56am Jul 16, 2011 8:56am
Quoting Looser
THEORY: 80-90% are Losers

STRATEGY: Reverse Loser's Signals

CRITICISM: Efficient Market hypothesis - Random Theory - Chaos Theory - Technical Fallacy - Zero Sum Game - Brokers Manipulation - Expectancy - Spread - balaaa balaaa balaaaa balaaa !!! (This is the reason why academicians - theorists - market philosophers seldom make money)

BASIS of Reversed Engineering Trading System: There is some thing called Positive Expectancy - There is something called Negative Expectancy - And there is something called Zero...
What are your patterns.. and how do you plan to find them.. I'm sure that will be a long journey for you
  • #17
  • Jul 16, 2011 10:08am Jul 16, 2011 10:08am
Go ahead, Loser.
Maybe its time to change your login name for
something more optimistic.Lol.
  • #18
  • Jul 17, 2011 11:31am Jul 17, 2011 11:31am
Quoting newyear498
What are your patterns.. and how do you plan to find them.. I'm sure that will be a long journey for you
Well .... Its simple !!! Just get a Loser Trader ... Reverse his trades ... The conditions I mentioned ... The Loser Trader must not be using any technicals or any trading system .... you just have to exploit his psychology and behavior towards market ... and this specific behavior we daily see in these type of traders ... The PATTERN is his behavior or reaction towards market ...
The HolyGrail is within your BRAIN ... Activate that Indicator !!!
  • #19
  • Jul 17, 2011 11:32am Jul 17, 2011 11:32am
Quoting Expert44
Go ahead, Loser.
Maybe its time to change your login name for
something more optimistic.Lol.

Well If I change my login name forexample WINNER ... I might start loosing .... LoL .. jokin !!!
The HolyGrail is within your BRAIN ... Activate that Indicator !!!
  • #20
  • Jul 17, 2011 11:37am Jul 17, 2011 11:37am
Reversing Behavior is like Discretionary method and reversing a trading system or technicals is like mechanical method ... A Grip on discretionary method requires not only Spatial and Fluid Intelligence but also high E.Q (Emotional Quotient) .... But the opposite is you can find easily in Loosing behavior of any loser trader ... so reversing it might give you good Profit Factor ... Lower Drawdown ... and you can see your Sharp Ratio Sortino etc.. with a big smile !!!
The HolyGrail is within your BRAIN ... Activate that Indicator !!!
0 traders viewing now