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Has anybody gotten rich through automated trading?
Now, I am a digital nomad investor: Viet Nam, Singapore, Tokyo, KL, Venezia, Palermo, Reikjavik. Rents get paid in our sleep, balance gets bigger by 1-3% every week. Dream life, hey (*) ? Well, it came at great sacrifices.Autotrade sub 30 mn is the tallest order in the trading industry. On the one hand, there are HFT shops, with whom there is no point competing. They already do a wondeful job at killing each other not so softly. On the other hand, point and click prop shops ecking penny after penny. Then, there are Delta one and deriv desks arbitraging small corners away. All those guys have the money, the resources, the access, the info, the programmers You will never have. You are outgunned, outnumbered and let's face it: outside. Now, let the race begin.It took me 15 years to mature the concepts, 3,694 hours to code, 3 2/3 years to run and a lifetime to refine them. This has consumed my life, my waking hours, my sleep. Ever woke up breathless and feverishly write equations ? I nearly burned the house not once, but twice, because i forgot that there was something on the stove, while i was wrestling with some C#. Once, my wife came yelling at me for not taking care of our screaming baby. I just did not hear our daughter crying... on my lap. Well, code would not compile...Sisyphus stonesThen, there is the sheer frustration of never being enough. Then there are bugs. One rule of thumb, never add, always subtract, always come to simplicity when solving bugs. Then, there are "100 year flood", perfectly rhyming with the late "100 nights of solitude". Then, there are platform issues. They are not meant to do scale-out/scale-in and adaptive position sizing. Then, there are those small issues that You will have to face one after the other. There will be times where You wander and meander like Ulysses, "what if this, what if that ?" But there also those immensely gratifying days when You wake up with light and equations flowing through like when I found my personal holy grail of position sizingAfter the Daedalus of development, one day the end will be in sight; it will be there, almost, just a few modules away. But then, there are those shortcuts You took 10 iterations ago that will come back and bite You. They stand between You and the finish line. And You know that tackling them means overhauling the entire architecture.This is the realm of frustration. The last mile is always the hardest. Please remember this though: autotrade is like watch-making. Until the last cog fits in the right place, your clock will always be off, so don't give up, never give up.Then, You run your own money, face drawdowns, go back to fix the last few bugs. Then, You run it on small amounts. The best moments are not when You make your previous monthly salary in a week while kitesurfing or going wine tasting. The most beautiful moments are when You make those few hundred dollars week after week and when You finally know it is viable. It feels like watching a flower blossom. This is the best sleep You will have in your lifetime, well at least for 3 months ...Here are the lessons I learned. A viable trading system is built backward:Focus on the short side: the short side is notoriously harder. If Your system works on the short side, it will work on the Long side. Any 3 star Michelin chef can flip burgers. Now how many Burger king employees can do 3 star meals ?Focus on the exit first: a race is never won until the finish line is crossed. Some of your positions are marathonians, some are sprinters. You never know until You see them on the field.Stop loss: it is the only variable that has a direct influence on 3 out of 4 variables of your trading hedgeMoney management is key: how to preserve capital when your system won't work and how to take calculated risk when it does ? This is where the heavy mathematical artillery should be concentrated, not on the entry. Think about it: everyone owns Apple. The difference that makes the difference is how big You areSimplicity: complexity is a form of laziness. If your solution is still complex, it means You have not worked hard enough to find a simple one. There is no exception to this truthSymmetry: once the short side delivers, translate it to the long side. You will have unambiguous signals, unified risk managementWatch Star Trek and the original Kardashians, they were not as villains as the newer ones, breaking bad, desperate house wives etcThen, last and very least, but first take the dogs out. And then finally, sorry don't forget to water the plants first. And then finally, oops have You called your mother yet ? And then finally, take the trash out and after a good night of sleep, You may think about entry. Entry is at the very bottom pile of the priority list of an autotrade strategy, long after labeling priorities on multiple positionsIn the end, You will realise that the goal was never about money. It was first about the freedom from a paycheck and the long term uncertainty of retirement. Rich and wealthy are not synonymous. Rich should be the experiences You accumulate over your life. Now, we live out of our suitcases, frugally as usual, but what a life! Speaking of which, time for a Prosecco with our neighbours, our landlord the architect and his buddy the last Gondola maker in Venezia(*) Now, the highlights of our week is to hunt for consecutive stop losses. We have excess capacity. We have suffered a great deal coming up with our strategy on MT4. Most modules had to be built from the ground up. We genuinely want to spare this Sisyphean ordeal to aspiring autotraders.So, we will choose 2 or 3 people and help them build their strategy.I can help anyone formalise their own strategy through a thorough guided discovery process. This is not pleasant.Then on the MT4 coding side, the person I work with is a senior programmer for the US Department of Defense (be nice to him or he will bring democracy to your computer...). I can code alright, but his stuff is military grade... Reach out if You are interested, or if You like what You read
What does it feel like to have a famous/infamous last name?
Ammended: And yes….over the years it has died off a bit. The younger generation in most cases had not heard about John & Lorena. At least until some adult broke it down for them. Until today.Just as I was thinking I might one day be able to use my ID, or debit card, or make a reservation, or get pulled over, or have a job interview without hearing about it. Or perhaps MAYBE get a date, or heaven forbid a girlfriend or wife or children….. Lorena Bobbitt decides to make some money telling HER side of the story. JUST IN CASE some people weren’t aware from the very public trial, or might not have heard about it.min the last 14 hours, I have recieved 1,514 Emails despite the years of tweaking my Gmail account to filter out the crazies, and 130-something phone calls. People from every walk of life, race, religion, and nationality who think they’ve thought up something witty to say, that I might not have heard before my 10 birthday. And so….thanks Lorena. Thanks a lot. You and your ex-husband literally made my life a living hell the last 25 years, and aparently that wasn’t enough. Still thinking about nobody but yourself, you set me up for another quarter century of it. Well…. despite the anti-depressents, I don’t think I’m down for it. If my experiences today at McDonalds, the post office, and Best Buy Customer Service are any indication, there’s no way I can handle this crap any longer. On the bright side, with all the other members of my family now gone, there’s nobody who will be upset by my absence. And thus concludes The history of a family that has selflessly given more to the technological advancement Of this country than any other in its history. You think YOU were a victim of abuse? Youve destroyed an entire lineage with your drama… but I saw ya in the red carpet… nice shoes.Original Answer:Every single job interview I’ve ever had: “Wait a second… are you the guy who got his dick cut off?”Only ever had 1 long term girlfriend, and she came up pregnant after telling me she was waiting till marriage.Wasn't allowed to walk with my high school class because my name might “cause a disturbance”. Got my diploma by FedEx, after years of turning the other cheek so I could graduate and get out of there.Despite a GPA of 4.2 and an SAT OF 1350, plus extra curriculars galore (no social life) only 4 out of 33 colleges I applied to actually responded. Most of the rest later apologized and claimed they’d thought it was a prank.5th grade teacher on the first day roll call: “Tim, Sarah, Michael, John… Wait, what? No way… Seriously? John BOBBITT!? That’s really your name? Like the one who had his thing cut off? Boy… your parents must have really hated you.” Cue laughter.Between 5th grade and 10th (when I was suddenly bigger than almost everyone) I had over 17 broken bones from bullies pushing me down flights of stairs and similar scenarios. None were ever punished.Petitioned twice to have my name changed to my mother's maiden name. Paid $600 both times to petition, and was denied both times. (First time the judge was laughing so hard he was in tears) But it made the paper both times, which brought out the crazies again. Had to have a police officer parked outside our house to prevent people leaving butcher knives in our door.My name has made me a recluse, and I leave home only rarely. I get food delivered, and have a cat for company. If not for my being a good artist with the option of working from home… I dunno what I’d do.but it’s a double edged sword, in that I don’t meet the few good people out there accidentally, either.And one suicide attempt. Well, I succeeded, but someone showed up and cut me down. I now remain medicated to help me forget I’ll die alone. Because women (can’t blame them) don’t want to join Team Bobbitt after they see the nature of it.Had a few “2-day” girlfriends growing up- till the teasing got to em. Eventually I quit offering my heart out there to be trampled.My family has produced more NASA engineers and rocket scientists than any other in American history… Responsible for the SRB rockets on the space shuttle, the Viking & Viking 2 Spacecraft, the vast majority of supersonic research and application to date (including that of soon to come planes that go supersonic without an audible boom on the ground, making Mach1 + travel of land now possible), and numerous nuclear reactor designs and modifications to allow for use in zero G. And now, thanks to John & Lorena’s little domestic issue….. it will be over… and it will end with me.—I could do this all day.
What's more accurate, the Nike+ GPS app or a half-marathon course's measurements?
If the course is USATF certified, then it was measured to some pretty exacting standards. They ran the course at least twice with a bicycle which is measuring the actual distance traveled by the wheel, with a Jones-Oerth counter that was calibrated the same day as the measurements. This as is close as you can get to actually measuring the course with a gigantic tape measure. The two measurements have to agree to about 1/10th of 1%.The PDF manual is 66 pages long:http://www.usatf.org/events/courses/certification/manual/manual.pdfIn other words, they took a LOT of care measuring the race. (For a simple overview of the certification process see http://www.hamptonrockfest.com/hamptonhalf-GPS.html)And, as Corey Henderson says, they took care to measure the shortest possible race you could run over that course. That's the course a professional out front would run, somebody who surveyed the course beforehand to determine the shortest distance from turn to turn and doesn't have to fight with as many other runners to run that course. Anybody else is likely to run a slightly longer race.This means that if you really, really care about your time, you should survey the course beforehand to find the tangent lines. And then run way up front so that you can actually run those lines, rather than in a pack that will force you to the outside.They calibrate it for professionals, because USATF keeps records. Iff somebody winds up finding a course through the race that's less than 13.1 miles it would invalidate the record. This means that they also have a tendency to err on the long side: the official course length will be the shorter length of their official measurements. Better too long than too short: it must be at least that long in order to count as an official record.
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