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076: Entries, Exits and Trend Following with LarryTentarelli
 
47:56
As traders, we can sometimes get tempted into making things more complicated than they need to be. Entries… Exits… Position sizing… Trade management… There are a number of aspects to trading where we get to decide how simple or complicated we really want to make it. Our guest for this episode, Larry Tentarelli, has developed a simple, no nonsense approach to trading and in our chat he shares the trading insights and approaches he’s developed over the past 20 years. In this episode Larry shares: - Simple techniques to trading and trade management that turned Larrys trading consistently profitable - How traders can overcome the challenges of finding a trading style that suits their personality - The “four legs of a table” approach to trading and why it’s so important for trading success - Why there is no perfect entry signal and the key aspect of trading you should focus on instead PLUS a bunch of listener questions submitted by you!
Views: 6101 Better System Trader
001 Jake Bernstein discusses seasonality and trading success
 
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Jake Bernstein talks about seasonality and how to use it to increase the probability of success. We discuss how to be a disciplined trader, how to determine if a system suits you, how to identify trading weaknesses, the 2 most important aspects to manage when trading and the type of people that make the best traders and why. Topics discussed: Seasonality - it's not just about the weather Seasonality in the stock market Criticisms of seasonality How combining seasonality with other technical indicators can increase the probability of success The 2 most important aspects to manage when trading How to be a disciplined trader How to determine if a system suits you How to identify trading weaknesses The type of people that make the best traders and why -uploaded in HD at http://www.TunesToTube.com
Views: 2079 Better System Trader
002 Brent Penfold discusses trading principles, money management, risk of ruin and trading
 
01:12:05
In this episode with Brent Penfold we cover fundamental topics that impacts traders of all levels, from beginner to advanced. We talk about some of the psychological issues traders face, the principles all traders need to accept to be successful, that elusive Holy Grail of trading and an extremely important mathematical concept that can identify if you’re going to blow up your account, so don’t miss that. The guest also provides actionable tips and tricks to overcome these issues along with a simple method to determine if a strategy is broken, which could save you lots of money and stress. Topics discussed: How to trade 24 markets actively and be finished by 9:30am The simple reason why most traders fail The principles all traders need to accept to be successful The one mathematical measure that can tell if you'll blow up your account - don't miss this! The Holy Grail The most important aspect of trading How to remove hope from your trading How to combat greed The impact fear can have on your trading and a hot tip to overcome it A simple method to determine if your strategy is broken, this tip could save you loads of money! -uploaded in HD at http://www.TunesToTube.com
Views: 2225 Better System Trader
004 Nick Radge discusses system design, the best trading systems and what makes successful traders.
 
01:01:10
Nick Radge discusses system design, the best type of systems to trade, how observations can lead to better strategies, the best way to handle a bear market, measuring system performance, survivorship bias and the difference between successful traders and everyone else. Topics discussed: The trading style most people should try first Systematic ways to determine a trend Why simple systems are the best Why broker consensus is a poor indicator The best type of stocks for trend following strategies What you need to know about a system to be able to handle the drawdown How observations can lead to better strategies Why buy and hold offers average returns and the best approach to handling a bear market How trading can take less than 5 minutes per day Measuring the performance of a system The difference between very successful traders and everyone else The types of survivorship bias that could be ruining your backtest results The warning signs of over-optimisation Coping with drawdown and personal doubts 2 basic strategies you can start testing today! -uploaded in HD at http://www.TunesToTube.com
Views: 2968 Better System Trader
092: Trading for a living with Nick Radge
 
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Have you ever dreamed of leaving your day job to trade for a living? Or living a life of freedom – travelling the world or hanging around at home, doing whatever you like during the day while you live off your trading profits? When I first started getting into trading I had this grand vision in my mind of leaving my corporate job, travelling the world, living a life of luxury all supported by my trading profits. It’s a common goal for alot of traders, but getting to that stage can be difficult, and knowing when you’re ready to make the leap can be challenging. I regularly receive emails from people asking questions like: - How do I know I’m ready to trade for a living, - How do I become a full-time trader, - How much money do I need, - What other factors do I need to consider before taking this step. The guest for this episode, Nick Radge from The Chartist, has an extensive trading history and also mentors other traders. He’s in a great position to answer all of our questions on trading for a living, so that’s what he’s going to do for us today, plus… … he’s also going to share some honest advice that all traders need to hear before taking the step to ‘trading for a living’.
049: Linda Raschke on trading edges, modelling markets and day trading techniques.
 
01:37:50
Trading edges come and go... In an industry with such a low survival rate, what does it actually take to not only survive, but thrive, over an extended period of time? The guest for this podcast episode, Linda Raschke, has been trading for over 35 years. She traded for several hedge funds before starting her own, ranking 17th out of 4500 hedge funds by Barclays Hedge for 'Best 5 year performance'. She's experienced a large number of changes in the industry, some of them huge, but she’s managed to adapt and continues trading even today. Linda stands out from the crowd for three factors: Performance, Longevity and Consistency, so what does it actually take? What has she learnt over the years and what can we do to improve our own chances of performance, longevity and consistency? In our chat with Linda we discuss some of the changes over the years and the impacts on trading. We also hear about her approach to modelling the markets, understanding market behavior, trade management, day trading techniques and some fantastic questions submitted by fellow listeners. Make sure you don’t miss those! Some key points we cover: • Changes in the markets over time and the impacts that has had on strategies and their performance • How to use modelling to identify market behavior and edges • AI, machine learning and neural network techniques • Tips and factors to consider when daytrading • Reading market behavior throughout the day • PLUS loads of great questions submitted by Better System Trader listeners!
Views: 9541 Better System Trader
034: Jay Kaeppel discusses seasonality, how it can be integrated into a trading model, applications
 
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Jay Kaeppel has over 25 years experience in the financial markets. He has worked as the Head Trader for a CTA and published a number of popular trading books on Futures, Options and Stock Market Seasonality. He also spent a number of years writing a weekly column titled “Kaeppel’s Corner” and publishes on his blog “Jay On The Markets”. He is now Portfolio Manager for Alpha Investment Management, offering strategies such as the ‘Alpha Multi-Income Strategy’ to investors. In this episode we discuss a number of seasonal tendencies, how they can be integrated into a trading model, the applications of the Known Trend Index and the reasons why most traders fail. Topics discussed - The Santa Claus rally - what it is and how to trade it - How to use seasonality to complement other models - Seasonality tendencies around holidays - Monthly seasonal tendencies and a simple monthly seasonal system that vastly outperforms stock index returns - Boiling down the trading process into 4 simple words - Using leveraged ETFs for seasonality trades - The worst performing month of the year (it’s not October) - Converting seasonal tendencies into a trading model - A simple seasonal sector system that takes only 6 trades per year - Diversification vs Specialisation and the impact it can have on trading and drawdowns - Are seasonal trading strategies just data mining? - The Known Trends Index (KTI) and how it can be used in trading - Why most traders fail
Views: 1083 Better System Trader
147: Building trading strategies with confidence - Adrian Reid
 
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Confidence is a powerful thing – when people have it they can do some pretty amazing things, but on the opposite side, a lack of confidence can be debilitating too, and for traders it can have some similar effects, especially when the performance of a strategy starts to suffer and a trader has money on the line. So, what can we do about this? How can we have more confidence in the strategies that we build and trade? Confidence that we’ve built strategies that are robust. Confidence to continue trading strategies during the periods when strategy performance may be struggling. Our special guest for this episode is Adrian Reid from Enlightened Stock Trading, and in our chat Adrian is going to enlighten us on building trading strategies that we can have confidence in. We’re not just going to talk about trading psychology here, but Adrian will be sharing practical aspects of system design and validation, that can give us more confidence in the strategies that we create and trade live. Some of the things you’ll discover in my chat with Adrian are: - The 5 key areas traders must address to build confidence in a trading system, - Significance testing – why it’s important to strip a strategy down to just the core components and how to determine which components are really driving performance, - Why the transition from backtesting a strategy to trading it live can be a difficult and uncertain one, and the preparation steps you need to take to make the transition smooth, - How a technique called ‘start-date stepping’ can provide valuable insights into how a strategy could really perform in live trading, - Plus, performance profiling across market conditions, sensitivity testing, why traders lose discipline, testing strategy rules in reverse, and much more.
024: Trading coach Dr Van Tharp discusses beliefs in trading, why traders fail and market types
 
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In this episode Dr Van Tharp talks about beliefs and their impact on trading, the qualities of successful traders, adapting trading to market types, position sizing, trading mistakes and overcoming fear, perfectionism and impatience. Topics discussed - How Van got started in the markets and the issues he faced initially - The main reasons the majority of trades are unsuccessful - How traders can identify the type of strategies that suits them - What it means to trade your beliefs in the market - How to assess whether your beliefs are useful or limiting - The real importance of psychology in trading - Your collection of parts and how they interact - The process of transformation in a trader - Qualities of losing traders and how to test yourself for them - The impact mistakes could be having on your results without even knowing - How to cope with larger trade sizes as your account grows PLUS listener questions on: - Using position sizing to meet your objectives - The 6 market types, how to measure them and how to apply it to your trading - How to find positive expectancy systems - Developing patience when in a trade - Trading in short timeframes - How to address issues with perfectionism - Systematic vs Discretionary trading - Overcoming fear of pulling the trigger - Handling drawdowns -uploaded in HD at http://www.TunesToTube.com
Views: 6861 Better System Trader
124: Managing Trades with Linda Raschke
 
43:46
Trade management is a critical component of a trading strategy. It can often be the difference between a profitable trade and a loss… However many traders focus on the entry only and leave trade management as an afterthought. In episode 49 of the podcast, Linda Raschke, said “trade management is probably the most neglected area of system development”. In that episode we focused on Linda’s approach to modelling the markets but in this episode Linda is back to discuss trade management and exits, including: Why trade management is such a neglected aspect of trading, How to model different types of exits and the impact of market environments, How volume and breadth measures can give clues to the tone of the market, and How to use the power of relative strength to target the best markets to trade.
Views: 2719 Better System Trader
020: Larry Williams shares tips and insights from 50 years of trading.
 
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In this weeks episode Larry Williams discusses conditional trading, understanding what drives prices, the misuse of indicators and how to apply them correctly. We also discuss cycles, forecasting markets, what to look for in market tops plus loads of listener questions where Larry shares tips and insights from 50 years of trading. Topics discussed: - What it means to be a conditional trader - Why buy and sell signals need to be analysed in the context of market conditions - Fundamental factors that drives markets - Interpreting the COT reports correctly - The buying differences between retail and commercial traders and how it can indicate future market direction - Why you should approach trading like a combination lock - Coming up with unique indicator ideas - The mis-use of indicators and how to use them correctly - Trading styles of successful traders - Forecasting markets based on technical factors - Characteristics of stock market tops and bottoms - The fundamentals to watch during market tops Listener questions: - Issues with the Forex market - Trading prices patterns, do they still work and are they scalable - Why short term price patterns work - What happened in 2002 and why you need to consider that when backtesting - Will trend trading always be effective? - How many positions to trade at one time - Money management tips for those who aren't into heavy maths - Choosing the best markets to trade - Favourite Larry Williams indicator - What keeps Larry motivated to trade after 50 years - What drives peak performance (it’s not money…) - The key component that really drove Larry to becoming a consistently successful trader - How Larry lasted so long in the industry - How to overcome emotions when entering or holding trades - Larry’s biggest contribution to the trading industry - Why Larrys strategies have lasted the test of time - Common traits against the most successful traders - The trading model that’s worked for Larry for over 50 years -uploaded in HD at http://www.TunesToTube.com
Views: 11915 Better System Trader
018: Scott Andrews 'The Gap Guy' shares his expertise in trading opening gaps
 
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Scott Andrews 'The Gap Guy' shares his expertise in gaps, why they work, what factors to take into account when trading gaps and what to avoid. We also discuss gap zones, when to fade and when to follow and calculating stops and targets. PLUS, for those that aren't into Gap trading, we cover some important concepts that can impact all styles of trading, include one concept called 'Ensemble Systems' which may just change the way you look at trading strategies. Topics discussed - Why it’s important to trade a style that matches your own strengths rather than follow someone else - Why gap trading works - Markets where gaps work best and those that don't - The best type of stocks to trades gaps and the stocks to avoid - The benefits of trading gaps in indices vs stocks - The 3 market conditions to look at when analysing a gap - How seasonality impacts gap trading - Signs of gaps to avoid - Using ATR to determine the probability of gap size closing - Gap zones and how the location of the gap can provide useful information - The worst performing gap zone - The psychology of certain gap zones and why some work better than others - When to fade the gap and when to follow it - Calculating stop and profit levels based on gap characteristics and market conditions - How to determine if a target should be a full gap close, partial gap close or an extended target past gap close - The impact of QE on gaps - How to combine systems into Ensemble Systems for an interesting view on trading strategies -uploaded in HD at http://www.TunesToTube.com
Views: 1964 Better System Trader
146: Using Indicators To Predict Stock Movements with John MacLeod
 
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Predictive modelling is used in many aspects of our lives today.. in the banking and insurance industries to assess the risks and behaviours of customers… in marketing to anticipate customer purchasing behaviours… in meteorology to forecast the weather… in fact there are too many applications to list here but predictive modelling has the potential to be applied pretty much anywhere, even in the markets. Now you may be saying ‘wait, I’m not in the business of predicting, my trading is all reactive, I don’t predict, I just follow the markets’. I’m not going to go into that argument today but before you make any decisions or judgements about this episode I invite you to take a listen because we discuss the predictability of indicators, and some of the things you’ll hear in our chat about indicators are very interesting, no matter how you use them in your own trading. Our guest for this episode is John MacLeod. John has a background in using Predictive Modelling, working as a consultant to develop predictive models in consumer banking and mass marketing, and has applied this expertise to the stockmarkets as well. Some of the things you’ll discover in my chat with John are: - Predictive modelling – what it is and how can it be used in trading to select stocks that may be setup for a big move, - Using indicators as predictors and 3 major conclusions John has made by analyzing the predictability of 160 indicators – these results may surprise you! - The accuracy of predictive modelling, which factors can impact accuracy and the easiest time periods to produce high accuracy predictions, - How data derived from indicators can actually be more effective as predictors then the indicators themselves, - Plus much more.
012 Ernest Chan on quantitative trading, drawdown, automated trading and competing with big firms
 
49:00
Dr Ernest Chan talks about many aspects of quantitative trading, including how market crises impact momentum strategies and how to manage the impacts, when to use stop-losses and when they don't make sense, automating trading, managing funds in a portfolio of strategies and a simple money management approach which aims to limit drawdowns while maximising returns. Topics discussed: - Where to find trading ideas - The first aspect of a market to identify before building a strategy for it - Momentum crashes and the performance of momentum strategies after a financial crisis - How to manage the times when momentum strategies aren’t working - When stop losses should be used and when they don’t make sense - How to limit drawdowns while maximising growth - Factors to consider when automating your trading - How independent traders can avoid competing with the big trading firms - When you need to worry about market microstructure and when it doesn’t matter - Managing funds for a multi-strategy portfolio - The hardest part of trading -uploaded in HD at http://www.TunesToTube.com
Views: 2915 Better System Trader
130: Building Mean Reversion Trading Strategies Part 2 with Cesar Alvarez
 
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And we’re back for the 2nd episode in this 3-part series on building Mean Reversion strategies with Cesar Alvarez from Alvarez Quant Trading. In the first episode we discussed the goal of Mean Reversion trading, how to select a trading universe, a number of effective techniques to measuring Mean Reversion and how to combine indicators to identify better quality trades. If you haven’t listened to that episode yet, you should check it out first here. In this 2nd episode in the Mean Reversion series, Cesar will be sharing: - How to classify market conditions and adjust Mean Reversion strategies to the current market, - Tips to choosing trades with a higher probability of success when you have more trades than your account can take, - How the maximum number of positions you trade affects the role of luck on trading results and how to produce more ‘reliable’ results instead, - Why it can be a good idea to have different strategies that enter at market and on limit orders instead of just one or the other, - The impacts of stops on returns and why they don’t often protect you from the really big losses, Implementing multiple exits, what works best in Mean Reversion (and what to avoid) and testing exit combinations. Watch out for the 3rd episode in the series, where Cesar answers all the questions submitted by Better System Trader listeners.
013: Hedge fund manager Andreas Clenow discusses trend following in stocks.
 
48:10
Andreas Clenow is a hedge fund manager who specialises in developing and trading quantitative strategies across all asset classes. Before joining the hedge fund world by establishing his own hedge fund he maintained Global Head positions at Reuters and Equis International. He is the author of two books, the first being international best seller ‘Following the Trend’ and the second ‘Stocks on the Move’ has just been released. In this episode Andreas talks about trend following in stocks, why traditional approaches don't work and what you can do to account for this. We also talk about trading concepts, cash vs risk allocation, position rebalancing and building robust strategies. Topics discussed - The origins of trend following and why a traditional trend following approach doesn't work on stocks - Why it’s a bad idea to think in terms of cash allocation and the solution - Position rebalancing, why, how and when - How hedge funds look at position sizing compared to retail traders - Why pyramiding positions doesn't make sense - How to get a more realistic understanding of performance results than just a backtest report can provide - How a random number generator can beat the mutual funds - How to ensure you strategies are robust and not curve-fit - Handling large losses or periods of drawdown - The role of critical thinking in trading -uploaded in HD at http://www.TunesToTube.com
Views: 2869 Better System Trader
046: Perry Kaufman on building algorithmic trading strategies
 
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I’m sure we all want to create trading strategies that perform better and last for longer but there are a number of issues we need to look out for when developing robust trading strategies, some are well-known and some perhaps aren't. In this episode we’ll be talking with Perry Kaufman about strategy development and more specifically some of the issues that can catch us out when creating trading strategies. Perry raises some interesting points about optimization that may not be well known plus he shares loads of tips to creating more robust strategies. Perry writes extensively on markets and strategies, having published fourteen books and has just released a new book on building algorithmic trading strategies, which we'll be discussing in this episode. He has worked and consulted to a number of successful CTA, investment and prop trading groups, creating systematic trading and hedging programs. This is also his 2nd appearance on the podcast, appearing as a guest way back in Episode 10. Topics discussed - The most robust type of systems - How your choice of optimization values could be misrepresenting your results and how to choose parameters that give a more accurate picture - The mistakes traders make when analyzing optimization runs and tips to doing it properly - How to really determine if a new trading rule is robust - Reducing risk by using multiple parameters - What the number of profitable runs in an optimization can tell you about the robustness of a strategy - Why diversifying across strategies instead of across markets could be a better approach - The challenges of building robust strategies using - Genetic Algorithms and Neural Networks
Views: 1840 Better System Trader
051: Strategy evaluation techniques, flaws and solutions with Dave Walton
 
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Today we’re covering a topic which can really be a concern for traders of all levels, from beginner to pro, and that is the topic of strategy evaluation. Have you ever found that real-life performance does not match expected results? Or perhaps you have a strategy that is stuck in a drawdown and wondering if it’s actually broken? I’m sure we’ve all heard of data mining bias, over-optimization and curve fitting and the impacts this can have on our trading accounts. We may be even using techniques such as Out Of Sample testing, Walk Forward Analysis, Monte Carlo analysis and a number of other measures to identify or reduce the impact of these issues, but do these approaches actually work? Are there limitations or dangers with these techniques? Are there better ways? In this episode we talk to someone who evaluates trading systems for a living, plus his research into system evaluation techniques has won awards. The guest is Dave Walton. Dave was the winner of the Wagner award in 2014 for a paper titled ‘Know your system – turning data mining bias to benefit through System Parameter Permutation’. In our chat today we talk about the technique in his paper and how it can be applied to trading strategy evaluation. We also discuss some of the assumptions and limitations of the approach, and he shares with us some valuable insights he’s made since publishing the paper which have resulted in an updated approach he now considers a better alternative, so make sure you listen out for that. Topics discussed - How the typical approaches to system development can introduce datamining bias without you knowing - The types of systems that can increase the chance of data mining bias and what to look for - How the method of splitting your out of sample data could be causing you to throw away good strategies - Out of sample, walk forward analysis and Monte Carlo - do they actually reduce data mining bias? - The problems with using Monte Carlo analysis to assess strategy performance and why it doesn’t protect from overfitting - System Parameter Permutation - how to use it, why use the median, parameter range selection and new insights since the SPP paper was published - How System Parameter Randomization solves some of the issues of System Parameter Permutation - Stochastic modelling and how it can be used to determine if a rule is adding value to your strategy trading
011: Ralph Vince talks position sizing, optimalf, trading horizon, diversification and risk.
 
01:03:00
Ralph Vince talks about position sizing, how to choose a position sizing model that suits you, optimalf, the curve and how it can be used for maximum growth and other applications. The risk of multiple strategies in a portfolio and how to manage it, dynamic position sizing, martingale strategies and how Ralphs views on money management has changed in the past 25 years. -uploaded in HD at http://www.TunesToTube.com
Views: 3349 Better System Trader
127: Building Mean Reversion Trading Strategies with Cesar Alvarez-Part1
 
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We’ve got something special organised for you here… This is the 1st episode in a special 2-part series on building Mean Reversion trading strategies. And to discuss Mean Reversion we have a special guest, someone who has been on the podcast before, a couple of times already – Cesar Alvarez from Alvarez Quant Trading. Those of you who know Cesars work would be aware that he is a Mean Reversion specialist. He has a wealth of knowledge on Mean Reversion trading that he’s going to share with us over this special 2-part series, so I’m really excited to be sharing it with you. In this first episode Cesar will be sharing: - The high level steps to building a mean reversion trading strategy, - Why carefully selecting a trading universe is so important and the factors you need to consider, - Simple but highly effective techniques to measuring mean reversion you can start testing today, - How to combine indicators properly to identify better quality trades, and - Why strategies with a smooth equity curve may not actually be the best strategies to trade in the future.
Views: 1003 Better System Trader
045: Trading champion Andrea Unger discusses entry techniques
 
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Andrea Unger is the only trader to ever win the World Cup Championship of Futures Trading ®* titles 3 years in a row, with returns of 672% in 2008 (futures division), 115% in 2009 (futures division) and 240% in 2010 (futures & forex division). This is his 2nd appearance on the podcast, he was also a guest on Episode 16. In this episode Andrea discusses his approach to trade entries, how the traditional approach to entries can limit our ability to read the market and how he’s modified the standard approach to identify entry opportunities. Topics discussed - The typical approach to entries and how Andrea uses a modified approach to identify and test his entries - Why starting an entry with a setup can limit your ability to read the markets - The grouping of setups and how the style of trigger you use can determine the most appropriate setup - The best timeframes for indicators and the impact lower timeframes can have on indicators - Combining intraday and daily timeframes for better entries - How Daily Factor can be used to determine the type of move to expect next - Symmetrical patterns – when it makes sense to use symmetry and when it doesn’t
Views: 2394 Better System Trader
050: The work of Nelson Freeburg and what we can learn from his approach to model development.
 
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Nelson Freeburg was the editor of Formula Research, a newsletter that developed systematic timing models for the stock, bond, and commodity markets. He was also a research consultant working with institutional money managers to design proprietary timing models. Nelson had been an active trader since 1980 and occasionally spoke about his work to audiences around the world. In this episode, Linda Raschke shares memories of Nelson, his approach to model development and what we can learn by studying his work. Topics discussed - Timing models and the components Nelson used in his models - Russell growth vs Russell value model - Out of sample testing and sample size - Why Nelson focused so much on reducing drawdown - Nelsons biggest strengths in modelling and what we can learn from his approach - Voting systems - The benefits of overlaying models
009: Gary Antonacci discusses the different types of momentum and how they can be used in a strategy
 
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Gary Antonacci discuss all things momentum; the different types of momentum and their individual applications, how they can be combined, how momentum can be refined, the benefits and challenges of momentum, why momentum works and much more. Topics discussed The different types of momentum and their use How to combine them for better performance How Dual Momentum protects in a bear market The benefits of Dual Momentum The impact of lookback periods and rebalancing Using Dual Momentum with other asset classes Reducing the impact of mean reversion in stocks Why momentum works and is likely to continue working in the future -uploaded in HD at http://www.TunesToTube.com
Views: 1526 Better System Trader
103: A brand new, more responsive indicator  with John Ehlers
 
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Indicators often form a large part of trading systems, however there are a number of issues caused by indicators that can result in under-performing trading strategies, like: - they’re reactive, instead of predictive, - they have alot of lag, which means they’re slow to respond to the markets, and - they can often give you a signal too late so you’ve already missed some of the move or even a large part of the move! Today we talk to John Ehlers who is going to share with us a brand new indicator that he’s developed that overcomes alot of these issues. This new indicator: - Minimises lag, - Is very responsive to the market, and - Gives a fast indication of turning points. Plus at the end of the chat we share how you can get a FREE copy of this new indicator to try it out for yourself.
Views: 1218 Better System Trader
006 Dr Howard Bandy talks system development
 
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In our chat with Dr Howard Bandy we talk about major changes occurring in the fields of trading system development, trade management and technical analysis. We also discuss why trading is becoming increasingly difficult, what causes trading systems to experience periods of poor performance, how to identify and manage a trading system when it is out of sync with the market and the 2 most important skills in system development. Topics discussed The major changes occurring in the fields of trading system development, trade management and technical analysis Why trading is becoming increasingly hard How to compete with the professionals What causes trading systems to experience periods of poor performance How to identify and manage a trading system when it is out of sync with the market The shift towards machine learning and pattern recognition The importance of data mining in the system development process The 2 most important skills in system development -uploaded in HD at http://www.TunesToTube.com
Views: 2595 Better System Trader
010 Perry Kaufman discusses market noise, price shocks, volatility and the Information Ratio
 
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Perry Kaufman discusses market noise, the impact it has on trading styles and how it can be used to determine which strategies suit a particular market. We also talk about price shocks and how to mitigate their effects, how to use volatility in your favour, volatility parity for position sizing, the information ratio for strategy performance and some strategy ideas you can test yourself. Topics discussed How market noise impacts trend following and mean reversion The effects of money flow during a crisis The types of strategies that work best in new markets and why How the efficiency ratio can be used to determine the best type of strategy for a market The best markets for trend following and mean reversion What strategy style to choose if you're just starting out Using Volatility Parity for position sizing Impacts and dangers of price shocks on backtesting and how to handle them Mitigating the risk of price shocks Using the Information Ratio to measure strategy performance and detect possible over-fitting The effects of volatility on strategies and how to use volatility in your favour Fractal Geometry High Frequency Trading And some strategy ideas you can test -uploaded in HD at http://www.TunesToTube.com
Views: 2092 Better System Trader
015: Stuart McPhee talks about the single biggest factor to trading success, common mistakes and the
 
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Stuart McPhee talks about the single biggest factor to trading success, common mistakes and the counter-intuitive side to trading, plus tips to improve discipline. Topics discussed - Why trading can be simple but not easy - Common mistakes traders make - Factors to consider when choosing a trading strategy that suits you - Common Money Management mistakes - The single biggest factor to trading success - Common mindset issues traders experience - Tips to improving discipline and changing trading behaviour - How the Petronas towers can be applied to trading - The counter-intuitive side to trading - The Chinese Bamboo story -uploaded in HD at http://www.TunesToTube.com
019: Jake and Elliott Bernstein discuss trading system development
 
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In this weeks episode Jake and Elliott discusses rotational optimisation, timing triggers, the incorrect use of indicators, the 3 components you must have in a trading strategy and the Chinese markets. Topics discussed - How Jake introduced his son Elliott to trading - How the way an airplane takes off led Jake to a momentum trading strategy - Tips to avoid over-optimising a strategy - The principles Jake used to developed strategies that still work 10 years later - Using the rotational optimisation method to reduce the chance of curve-fitting - Optimising stops and targets - Why you need to take into account trading ranges when placing stops - The 3 components you need in a strategy - How Timing triggers can be used in trading - Current market volatility and how it may resolve - The impacts of not understanding your tools - Trading the Chinese stockmarket - Key forces driving Chinese stockmarket behaviour - Strategy styles that suit the Chinese markets - Current areas of research that show value - The most valuable indicators in trading -uploaded in HD at http://www.TunesToTube.com
Views: 1024 Better System Trader
039: Michael Cook discusses position sizing, stop levels and discretion in systematic trading.
 
01:03:55
We've been very lucky to have a number of trading champions on the podcast before and this episode we get to talk to another champion trader, Michael Cook, who won the World Cup Trading championships in 2007 (Futures), 2011 (Stocks) and 2014 (Futures). Michael worked in the institutional world for a number of years before leaving behind the banks and hedge funds to trade for himself. In this episode we'll be discussing how to increase returns with the same risk, using the market to determine stop levels, selecting a position sizing algorithm and the role of discretion in systematic trading. In this episode we discuss - How a short statement from Larry Williams influenced Michael to enter the World Cup Trading championship and what we can all learn from it - How Michael won the trading championship multiple times and the unexpected benefit of winning - A method to increasing returns for a given risk - Why market related stops make more sense that a fixed cash amount - Position sizing algorithms and why fixed fractional is often the best approach - How to recognise conditions that could cause a strategy to fail before it actually does - Hard and soft stops, and how to consider the risk of each - The role of discretion in systematic trading - Occasions where it make sense to override trading strategies - being more trader than system purist - Where to find trading ideas
Views: 1550 Better System Trader
027: Dr Gary Dayton discusses Mindfulness and how it can improve your trading
 
01:01:25
Dr. Gary Dayton has been an active trader since 1999 and is President of a consulting firm that specializes in developing “peak” performance in traders. His approach to trading psychology is very different to the traditional approaches used by other trading coaches, introducing traders to the practise of mindfulness to not only overcome fear and other unwanted trading emotions but to develop the concentration and focus needed to trade successfully. In this episode we discuss why traditional approaches to controlling emotions don't work, the role of emotions in trading and how mindfulness can improve trading performance. He also shares some tips on how to get started practising mindfulness, the benefits it can have outside of trading and how the approach of Mental Parking can increase focus. Topics discussed - Comparisons of sports and trading performance - Traditional approaches to handling emotions in trading and why - they don't work - Why it’s impossible to suppress your emotions - Landing a plane in the Hudson River and what the Captains response teaches us about trading The role of emotions and how experienced traders actually leverage emotions in trading - The concept of Mindfulness and the benefits to traders - How to use Mindfulness when trading - The evidence that Mindfulness can improve trading performance and how it impacts the brain - How to get started practising Mindfulness - How to use Mental Parking to increase focus and productivity - How exercise can improve mental and trading performance
Views: 4390 Better System Trader
062: Mean Reversion Strategies with PJ Sutherland
 
53:45
The performance profile of Mean Reversion is extremely desirable to a lot of traders. Mean reversion trading strategies can produce high win rates and a smooth equity curve, however there are risks, which can result in giving back a large portion of profits, or of your trading account, some times in a very short period of time. So what can you do to build mean reversion strategies that produce consistent profits while managing risk effectively? Todays guest, PJ Sutherland, is here to share the knowledge he has gained from years of research and trading mean reversion strategies, and as you’re going to hear, he has some really interesting insights to share with us. PJ has extensive experience in the development and deployment of quantified trading systems and has been active in the market for the past decade. He is the founder and director of Alpha Investment Advisors, providing research to hedge funds and prop trading firms, and the founder of the website Quantlab for private traders. In our chat today, you will learn: - The key drivers of short-term returns in mean reversion trading - The impact of market environments on mean reversion strategies and how to detect and adjust strategies to varying market conditions - Should you 'Catch a falling knife' or wait for confirmation? How to determine which entry technique is best for you - Building a portfolio of strategies using parameter ranges across the mean reversion curve - Simple but powerful techniques to managing risk in mean reversion strategies
Views: 2053 Better System Trader
031: Greg  Morris discusses the real meaning of Risk, using Market Breadth and the 'weight of the ev
 
47:40
Greg Morris was Sr. Vice President, Chief Technical Analyst, and Chairman of the Investment Committee for Stadion Money Management, overseeing the management of over $5.5 billion in assets. He has been featured in the media a number of times, being invited to lecture about technical market analysis around the world. He is currently semi-retired, serving as a consultant and working on a few projects, including golf. In this episode we talk about the real definition of risk and how to manage it, the applications of market breadth and how the 'Weight of the evidence' concept can be used in trading. Topics discussed - Why defining risk as volatility isn't accurate and what risk really is - Can diversification actually be used to minimise risk? - Why Rebalancing doesn't make sense - The ‘Weight of the evidence’ concept and how it can be used in trading - Why it’s important to test indicators over non-standard ranges - What market breadth measures can reveal in market tops - Different types of breadth and their applications in Trend Following - Selecting indicators and why diversification of indicators is vital - How often should you tweak your model if something isn't working so well - The current state of the market
081: Trading the Mean Reversion Curve
 
09:50
One of the main challenges with Mean Reversion trading is when to get into a trade, which can have a huge impact on profit and drawdown levels. How far from the Mean should we wait before considering a trade? PJ Sutherland shares the approach he uses to: - Lower drawdowns - Reduce the role of luck in trading - Produce performance results that more closely resemble backtest results.
115: 'Intelligent strategies that maintain themselves' with David Stendahl
 
41:11
Glad you could join us today for our chat about intelligent systems that maintain themselves. Sounds good doesn’t it? Well actually, that’s not all we’re going to discuss today, we’ve got so much more than that. Our guest for this episode is David Stendahl, from Signal Trading Group. David is a CTA with more than 20 years of experience designing and trading systems, and not only is he an international speaker and the author of 4 books but he also co-created the backtester in Tradestation many years ago. In this episode he’s got a lot to share with us, here are just some of the points we cover: - How to build intelligence into trading strategies so they dynamically adjust and maintain themselves over time, - The key to portfolio construction and the major factors to consider for effective diversification, - Why it can be better NOT to specialise in a particular market, - The main drivers behind strategies that have lasted more than 10 years in the markets, - How to assess if a strategy suits your personality.
151: Leveraging human behaviour to find quantifiable edges with Larry Connors
 
35:36
As Warren Buffet once said: “the stock market is a manic depressive.” The market can be full of euphoria and greed one moment, and switch to fear and panic the next. This can often be a time of danger and high-risk for some traders, but for other traders it’s a time of immense opportunity. How? In this podcast episode we’re joined by special guest Larry Connors. Larry has over 30 years in the financial markets industry and has been featured on the Wall Street Journal, Bloomberg, Dow Jones, & many other media outlets. He has been providing high-quality, data-driven trading research for over 15 years, and I’m sure that many BST listeners have a stack of his books on their bookshelf. I definitely do! In my chat with Larry you’ll discover: - How human emotions drive the market, and why it’s so important to look beyond price charts and indicators to understand what’s moving the market, - How we can leverage extremes in specific human emotions to create quantifiable and profitable edges, - How Larry came up with the idea of publishing his book ‘Buy the Fear, Sell the Greed’ and what traders can learn from it, - 3 simple indicators to quickly judge the mood of the market, - How Warren Buffets investment approach to be ‘fearful when others are greedy and greedy when others are fearful’ can also apply to short-term - trading, - And yes, I’m going to ask Larry about that famous ‘Stops hurt’ chapter published over 10 years ago that still has people talking today, - Plus we cover a whole lot more.
141: Trading Models Are Like Unicorns - with Kevin Saunders
 
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We have a really interesting one here for you today, one that may challenge your existing thoughts on trading models. I know this episode has certainly made me think about it from a different angle, so I hope you enjoy this. Our guest for this episode is Kevin Saunders from Tribelet Capital. Kevin is a specialist in electronic trading across many international exchanges, co-founding Non Correlated Capital in 2009, which later became a licensed CTA with more than USD 40 million under management. He has won a bunch of awards for his trading and academic achievements, and he also developed a program here in Australia called the “Joey Experiment” which we’re going to talk a little bit about as well. In our chat today you’ll discover: - Why traders must disentangle themselves from the requirement that a model must work and produce money – and the alternative approach that uses charts more predictable than the underlying market, - Why building a mathematical model is like creating a unicorn that doesn’t represent reality, - Why traders need to stop thinking about building a model as a ‘solution’ and how to think about it instead, - Plus much more. Sounds interesting? Well let’s get started, and jump over now to my chat with Kevin.
017: Jerry Parker, CTA, from the Turtles trading group shares 30+ years of trading experience
 
54:35
Jerry Parker talks about trend following, how to approach wins and losses, dealing with drawdowns, managing correlations in asset classes and how changing market dynamics have impacted trend following and the solution. He also gives us some tips on systematic trading including how he trades without relying on optimal values of the past. Topics discussed - What types of characteristics Dennis and Eckardt were looking for in the Turtle traders program - How the Turtles were taught to approach losses - Common traits amongst the most successful Turtles - The hardest part of trading as a Turtle - How Jerry overcame the fear of taking trades - The biggest lesson being a Turtle - What Jerry did with the Turtles approach after the program ended - The impact managing other peoples money can have on trading - The key factors that make trend following work - Managing correlations between asset classes - Long-term vs short-term trend following - Dealing with drawdowns - How changes market dynamics have impacted trend following and solutions - How to diversify to lessen the impact of any one parameter - How to trade without relying on optimal values of the past PLUS questions submitted by listeners: - The difficulties in knowing when to adjust strategy parameters - Adjusting your system for whipsaws - Tips to avoid data mining - Do the Turtles systems still work in the todays markets? - Are there any markets where the strategies no longer work? - Short versus Long trades - Overcoming emotions in trading - Biggest mistakes and the lessons learnt - What todays Turtle program would look like -uploaded in HD at http://www.TunesToTube.com
Views: 3375 Better System Trader
091: Leveraging Exits With Laurent Bernut
 
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“When you have a bad entry, you can always work your way around it, but when you have a bad exit, this is final… This is when the P&L gets printed.” – Laurent Bernut Exits have such a dramatic impact on overall strategy performance, so having a full and proper understanding of the best way to leverage exits is absolutely essential. In this episode, Laurent Bernut from Alpha Secure Capital combines his witty sense of humor with his knowledge of exits, to entertain and to also share: - How to classify exits and set them to achieve much clearer, neater, and better trading strategies, - A simple technique to determine if you’ve overstayed your welcome in a trade, stay too long and you could suffer! - How to use “the game of two-thirds” to determine the length of a time-exit, - Plus much more, including the correct way to think about stop-losses, how to deal with free-loaders in a portfolio and the ultimate entry technique to test you have a robust exit strategy.
032: Laurent Bernut discusses Short selling, Bear markets, exits and forex trading.
 
59:10
Laurent Bernut was a systematic short seller with Fidelity for 8 years. His mandate was to underperform the longest bear market in modern history: Japanese equities. Prior to that, he worked in the Hedge Fund world for 5 years. He now runs an automated Forex strategy and travels the world with his family. In this episode we talk all about Short selling, creating shorting strategies, the challenges of implementation and how to manage risk. We also discuss the importance of exits, insights into Bear markets, autotrading Forex and why complexity is a form of laziness. Topics discussed - The benefits of developing a strategy on the short side first and why long/short symmetry is important - Challenges with executing short systems and solutions - The most important aspect to worry about when short selling - Finding short candidates in a Bull market and why you should ignore absolute performance - Tips to creating profitable short strategies - The importance of exits and how to test them - Insights into Bear markets - The 3 wrong questions to ask during a Bear market and the 3 best ones to ask - A simple method to identifying Bull and Bear markets - Why complexity is a form of laziness - Using MT4 as a professional trading platform - Why being disciplined is a myth - The type of strategies that work in the Forex markets - The Common sense Ratio and why it’s more robust than the Sharpe ratio
134: Constructing a strong portfolio for higher returns and lower drawdowns
 
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The Petronas towers in Malaysia are the tallest twin towers in the world at 452m (1483 ft) tall. Because of the ground underneath the building site, they had to put in some deep foundations, up to 114m (374 ft) deep. Without these deep foundations, the building would run into problems. In fact, during construction, at around the 72nd floor, they discovered that tower 2 was leaning 25 mm (0.98in) from vertical, so to correct that lean the next 16 floors were slanted back the other way. They even hired specialist surveyors to check the lean of the tower twice a day until the building was completed. Now obviously the foundations anchor the building and keep it from falling over, and even though they’re not visible, they’re probably the most important part of the construction. When you look at constructing a portfolio of strategies, there are a couple of key concepts, or foundations to consider as well, so that you have a solid portfolio, one that will hopefully weather all types of hostile conditions and produce higher returns with reduced drawdowns. In this weeks Trading Thought we’re going to hear from 2 guests, who will explain how they construct portfolios and some mistakes that traders sometimes make during portfolio construction, which you need to be aware of. Take a listen as we start with Gary Hart from Trendfinder Trading Systems explaining the benefits of a portfolio of strategies and we take it from there.
100: Ask Jack Schwager
 
01:05:25
Jack Schwager returns to answer all your trading questions. Jack is a well known expert in the industry, working for some of wall streets leading firms and is also one of the founders of FundSeeder. Plus, he's the author of the best-selling series of 'Market Wizards' books, which I'm sure most traders on this earth have read! In this 2nd part of our chat with Jack, he answers all of the trading questions you submitted (well most of them anyway, unfortunately we didn't have all day to talk!) Plus, to celebrate the milestone 100th episode, we've got a huge giveaway worth almost $20,000. Listen along for more details on the prize and how to enter.
Views: 1273 Better System Trader
079: Strategy Validation with Dave Bergstrom
 
37:30
With the toolsets we have available to us today it’s really quite easy to create a trading strategy by just mining market data. As we’ve just heard in that opening bit of audio and also from previous podcast guests too, if you try enough combinations you can find something that appears to work purely by chance or by luck. The challenge however is trying to identify something that could be sustainable. Something that may persist long enough in the future for us to take advantage of, and hopefully make some money from. Our guest for this episode, Dave Bergstrom from BuildAlpha, has spent years researching, building, testing, and implementing market making and trading strategies for a high frequency trading firm, CTAs, money managers, individual clients, and even aspiring retail traders. In this episode Dave is going to share some of his insights into strategy development and validation, including: - How adjusting the ratio of in-sample/out-of-sample data can lead to creating different types of strategies - Variance testing – what is it and how can it be used in the strategy creation process - How E-ratios can be used to determine how an edge decays over time & weed out potentially poor strategies with good backtest results - Why volume and volatility are important factors to consider when building trading strategies - Loads of other ideas to test and validate the robustness of trading strategies.
016: Trading champion Andrea Unger provides tips to creating robust strategies, indicators in tradin
 
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World Cup Trading champion Andrea Unger discusses how to create robust strategies, the role of indicators in trading, principles to strategy creation, Forex trading strategies and optimising to understand market behaviour. Topics discussed - The strategies and position sizing Andrea used to win the world cup trading championship 4 times - The role of luck in trading - Controlling risk when trading multiple strategies - Where to find trading ideas - The principles Andrea uses in the Forex and Futures markets to develop profitable strategies - The role of indicators in strategy development - Matching strategy type to market characteristics - Why you should analyse your biggest winners as well as your biggest losers - Forex trading tips and changes in the Forex market - Using longer timeframes to filter trades in shorter timeframes - When to optimise or tweak a strategy and how to ensure you don’t over-optimise - The drawbacks of trend following and the solution - Tips to handling drawdowns - Intraday vs End-of-day trading - The key to trading success. -uploaded in HD at http://www.TunesToTube.com
Views: 3849 Better System Trader
037: Cesar Alvarez discusses a quant study on the types of stop losses; which are best?
 
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In this episode we’re discussing the results of a quantitative study on stop losses completed by Cesar Alvarez of Alvarez Quant Trading. Cesar was also a guest of the show way back in Episode 3. Cesar was director of research for Connors Research for almost 9 years, developing quantitative trading models for individuals, prop traders and hedge funds. In this episode he’s going to share the results of a quantitative study on stop losses, also testing out some common pieces of trading advice to see if they're actually true. Stops can have such a huge impact on trading results so I'm sure traders of all levels will find this research invaluable. We will be discussing backtesting results and some charts. We'll do our best to explain them for those who are listening along but if you’d also like to see the results while we discuss them, you can download a copy or even watch as a video in the sections below. I hope you enjoy Cesars discussion of ‘Stops - the Good, the Bad and the Ugly’. In this episode we discuss - Different types of stop losses, their application and performance results - Percentage vs Volatility based stop losses - Intraday vs End of Day stop losses - Trailing stops vs Targets - Some common trading statements that are often assumed to be true and the results of testing them - do they hold up? - The levels of Stop knowledge, which level are you at?
Views: 2096 Better System Trader
036: Michael Bryant on automatic strategy creation, trade dependency and trading the equity curve.
 
36:50
Creating robust trading strategies can be a difficult task, sometimes taking months or even years to generate something you find acceptable. Even then, once you start trading it live there is no guarantee it’ll work in the future. With strategy creation being such an involved process at times, how would you like it if you could just tell the computer the results you wanted and let it figure out the trading rules? Is it actually possible to create robust trading strategies that way? In this episode Michael Bryant from Adaptrade talks to us about automatic code generation, methods to exploit trade dependency and techniques to trade the equity curve. Michael has been trading the markets since 1994, providing trading systems for the futures markets and even managing money as a CTA. He is founder of Adaptrade, a company which provides innovative software tools for individual and professional traders. In this episode we discuss: - The traditional approach to creating trading systems and issues caused by this approach - Potential areas of improvement in traditional approaches to system development - Evolution of the strategy creation process - Genetic programming and optimisation and it’s use in trading strategy creation - The advantages of automatic code generation - Measuring and reducing over-fitting when using genetic optimisation techniques - Addressing concerns with removing human logic from the strategy development process - Degrees of freedom and the impact if can have on strategy results - Trade dependency, how to detect it and methods to exploit it - Trading the equity curve based on trade dependency and trading style - Which stage of the strategy creation process to include position sizing - Common position sizing mistakes traders make
025: Dr Brett Steenbarger discusses creativity, day trading and requirements to trading success
 
01:00:05
Dr Brett Steenbarger discusses the importance of unique trading ideas, increasing creativity, the challenges of daytrading and tips to overcoming them. Topics discussed - Three important components of successful traders - Why the traditional rules of trading need to be updated - Why traders get stuck in static thinking and need to be more like entreprenuers - The two different types of trading brains and how understand which we are can improve our results - How creativity can be used in the strategy research process - Why we come up with ideas at seemingly random times and how that can be harnessed to improve our trading - The two stages of creativity and how traders are hurting their performance by neglecting the second stage - How just immersing ourselves in the market without stepping back can be harming our performance - Improving creativity through lifestyle - Why unstructured free time away from the markets can improve your trading - Techniques to turn creativity into a habit - How Brett identified his strengths and used those to dictate his trading style - The challenges of daytrading and how to approach them - Analysing successful trades to improve performance - Why we need to have something more important in your life than trading PLUS listener questions on: - Applications of diffusion indices - Formalising edges and the impact of market regimes on edge performance - How traders can follow their rules about stops and targets - The psychological differences between systematic and discretionary trading - The validity of Acceptance Commitment Therapy (ACT) in trading - Handling drawdowns and turning it into a constructive experience - How to move from retail trader to full-time/pro -uploaded in HD at http://www.TunesToTube.com
Views: 2913 Better System Trader
055: Adam Grimes discusses market behavior, discretionary vs quant approaches and Keltner Channels.
 
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Today’s guest is a trader that has been requested quite a few times actually, I’ve had a lot of requests to have this person as a guest on the show, and the guest is Adam Grimes. Adam has two decades of experience in the industry as a trader, analyst and system developer and is currently Chief Investment Officer of Waverly Advisors. He’s previously held positions at Level Partners, MBF Asset Management and SMB Capital and is the author of ‘The Art & Science of Technical Analysis: Market Structure, Price Action & Trading Strategies’. For those of you that know Adam and his work, his approach to trading is a mix of quant and discretion, and I think even if you’re a purely systematic or quant based trader it’s interesting to hear other people’s approaches and points of view. So we start off the chat by discussing his approach of mixing quant and discretionary models, and then we move onto behavioral factors in the market and why approaches that look at the market as purely rational fail. We then end the chat discussing Keltner channels and their applications to trading, so there’s quite a variation in topics here but I’m sure you’ll find it interesting. Topics discussed - Mixing discretionary decisions with a quantitative framework - Why behavioral factors in the markets are so important and why approaches that look at the market as purely rational fail - The application of Keltner Channels in trading
140: Forecasting A Volatility Tsunami With Andrew Thrasher
 
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In this podcast episode we’re going to be talking about something that can have a huge impact on the markets and on trading strategies. It’s something that can happen very quickly and cause a lot of damage, and that is spikes in volatility. And our special guest to discuss volatility spikes today is Andrew Thrasher, who published a research paper called ‘Forecasting a Volatility Tsunami’, which won the Charles Dow award in 2017. Whenever the VIX is at low levels we here all about in the mainstream media, with the implication that it’s about to rise, however a low level in the VIX alone doesn’t necessarily mean volatility is going to increase, and in our chat today Andrew is going to explain why and he’s also going to share his research and the 3 key factors that can actually improve predictions of volatility spikes. In our chat today you’ll here: - How volatility is usually interpreted and why this common approach is unreliable and missing a key part of the picture, - Why a low VIX reading alone is not a good predictor that volatility will rise, - 3 key factors that can improve predictions of volatility spikes, - Plus much more.
014: Performance coach Rande Howell discusses how to improve trader performance
 
01:14:50
Performance coach Rande Howell discusses the most common issues limiting trader performance, the impact of emotions on trading, the importance of managing process not outcome and tips on changing our physiology to improve performance. Topics discussed - The most common issues impacting trader performance - What causes hesitation when taking trades - How to calm the emotions when trading - An easy way to monitor changes in emotions - The impact of breathing on emotions and trading - A simple trick to disrupt fear - Patience and boredom in trading and how to overcome them - Are you an African Lion or an American Cougar when trading? - Personal traits that don’t align well with trading success - How successful traders handle drawdowns - The stage in a traders journey where performance coaching provides the most value - What successful traders need to watch out for to continue operating at their peak - How overconfidence and euphoria can destroy your trading - Tips for getting prepared for the trading session -uploaded in HD at http://www.TunesToTube.com
Views: 1202 Better System Trader
060: Strategy Optimization with Robert Pardo
 
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Why is it that some traders can create trading strategies that perform well in real-time trading while other strategies fall apart? How do some traders keep their trading strategies fresh and adaptive to market conditions while other strategies just stop working altogether? Robert Pardo, president of Pardo Capital, author of the book ‘The Evaluation and Optimization of Trading Strategies’ and creator of the ‘Walk Forward Analysis’ approach, is here to chat about creating and optimizing strategies that are robust and continue to work in the future. In our chat today, you will learn: - Common mistakes traders make that can cause strategies to fail in real-time trading - The dangers of traditional optimization techniques and how they can be reduced and even overcome - How to determine if a strategy really is robust, while keeping it fresh and adapting to market conditions
Views: 1049 Better System Trader