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Sorry Duc been flat out.

Actually more accurately from me is make more money than you lose,where as I accept I have to take some small losses to make the big wins.

We are different and thats a good thing I dont cost as much to feed!

 

Can be.

Hmm for 35 yrs--touch and go.

Well they do if you find yourself stuck in x no of negative trades then although a loss may not be realised it certainly is there.I would rather have my un realised equity than your un realised losses.

Time could kill you.

Ive never been margin called. You are removing the opportunity of making fantastic returns from other peoples money and then in turn not being in a position to compound your profits exponentially.Thats why managing RISK is so important so you/we can evail ourself to this wonderful opportunity.

Its no different if you use the same methodology (well similar) Testing of 20000 portfolios tells me that the deviation on return is from 26% to 43%.

Trading more trades dilutes return only slightly but returns similar R/R ratios,Ive tested it with more trades and same capital and same trades with more capital and more trades with more capital---still around the same results with Montecarlo analysis.----if trading the same method.

 

I dont doubt that Duc.But if it was percieved by the market as overvalued then I would either be stopped out or the stock would go no where.Often stocks well outperform expert analysis on value.CTX was one.

The entry isnt the low risk the method that is designed around the entry/exit/stop/position size/leverage is low risk---distinctly different.

Absolutely correct and here in lies where most get it wrong----your not trading the technicals OR if your method and numbers were designed around Fundamentals--then the Fundamental analysis---your trading a methodology PACKAGE (Or if you can associate with it better---a Business Model) which has a positive expectancy.----distinctly different again!!!

I see this as a fundamental attempt to varify your arguement.

Its a veiw held by yourself and if thats what you wish to set as YOUR standard then OK. BT dont as when I have increased equity I can use it they see it as good as $$s. I have drawdown yes but as long as I stay within the limits of funds used and funds available at liquidation then no Margin call.

Lets say all dropped 25% tommorow and I was called---then I would just sell however much stock was necessary to get back to with in their terms.No pain.

If I liquidated last week then I certainly would walk away with $274,000 after paying off the loan.But if you still measure it as a 9% return---OK.

Sure but if I was trading I dont have to guess it as Im out.If it then sets new parameters than if I trade it again it would be included.

If I bought a house and I thought it could go up $100K and then it goes over to $150K,Id go out and buy more houses--which I did.

Same with stocks---which I didnt it was/is mostly in houses which take months to liquidate!!,plus CGT so I have to hold for 12 mths then wait months for a sale.Some opportunities maybe recognised but cannot be taken full advantage of!!---bugga

Your reasoning not mine.I could only be proven wrong by stopping trading and losing profit at the exit end.So I'll accept being wrong (If it ever happens) and worry about it with profit in hand.

T/T is very valnerable to adverse bullish conditions,its not designed for that.

So there is a good chance that at some future time it will perform poorly.

I'm looking and have been for sometime at a way of minimising the impact of a prologed down turn. Havent found anything yet that I would use but very interesting some of the ideas I'm working with.