Good start to your first year, your account survived. Lots of good ideas in this video. I started in the 90's and in my first year I paid more than $30,000 in commissions and made about $1500 - but I was hooked. Gotta have passion to do this job. It's a job and a business. It's very counterintuitive. Here's some hints about what I've learned over the decades. 1. Be like Spock, lose your ego. Take your losses early. Let your winners run a bit, but don't get greedy. 2. Don't gamble, Have an entry and exit plans in mind. It's easy to become a gambler if you win a few trades. 3. Day trades are different than swing trades and these are both different from investments. Don't let a losing daytrade turn into a swing. 4. Being flat is a good position. Sit on your hands until you see a good entry. 5. Your best trades often make you feel uncomfortable. 6. You're a small fish in a big pond trading against banksters and fundsters who have seemingly immense capital. Be happy with small bites. 7. Don't try to understand why the market is moving. That makes you biased. 8. All news is already factored into the market or is manufactured to confuse you. Turn off the TV and trade the price and volume action. 9. There are a million trading strategies and no holy grails. Find something that works for you. 10. Read or TH-cam Mark Douglas "Trading in the Zone". Basic premise is that price moves as a random walk. Once you enter you are trading against yourself. Deal with that fact. Act accordingly. 11. Fundamentals are hard to trade because that news is fed to you well after the market has responded. Ever notice how stocks sell off on good news? 12. Understand options max pain and expiry dates. Greeks and Black Scholes are options 101 in a grad level game. 13 Lagging indicators should give you a headache. Their divergences can be useful sometimes. 14 Price and time interact in a fascinating way. Play around with Gann and Elliott and a few other time gurus. Full moons should drive you crazy. 15 Time of day, day of week, and week of month move markets. 16 Understand previous support and resistance, pivots and fibs. At least they can give you some targets that everyone else is looking at. Same for 20 and 200 ma's. 17 Trading is a lonely business. Don't look for a guru to help you out. Make your own decisions. You're the boss. Use the time you aren't managing trades to look for other opportunities, develop systems, or to expand your knowledge. Remember, it's business, not a social party. It's ok to do nothing if you don't see opportunity. Don't think you always have to be in on the action all the time. 18 I could go on for another 100 points but you already know this stuff. Best of luck. Hopefully you'll still be trying to beat the bots at age 100 because its still fun and challenging.
Rachel you come across as a “new kid on the blocks” from your enthusiastic talk , but actually most of what you say is as if you’re an experienced trader giving tips to us new traders !
Hi Rachel, Continue and never quit trading, because you've all ingredients to succeed. You can even work as developper for a trading firm ! I wish you all the best
Hi Rachel. You are awesome! A very clear headed account of a first year of trading. You asked for some other good ideas ... so here is one. I am on the other end of the experience spectrum, with several decades of experience building trading systems inside of professional trading firms. One technique used at the most successful hedge funds is called relative value analysis (RVA). It requires identifying groups of related stocks (which we call a basket), taking historical price data on each, and making a model that shows how each stock changes relative to the changes of all the others. If you think about it, in your year of learning, your strategies improved as you added more information. Most technical analysis is just a rehash of the price of the one stock. No new information has been added. RVA is the opposite. By looking at a basket of similar stocks you incorporate a lot of new information. You are able to identify real edge. Then you combine that with technical indicators (which are useful for timing) and you can build some solid trading strategies. Just an idea!
Wow ! I wasn't excepting this. I love to trade the market in an analytical way as well. I am gonna predict it right now, one day you will be very wealthy !!
It sounds like you've had a fun year :) Something you might find interesting would be Larry Williams's work and position sizing with kelly criterion for running multiple trading strategies.
I appreciate your posting this video and your courage to do what you did but holy shit! You quit your job to day trade for a year and you didn't even know that price charts existed. That's a real leap of faith from knowing truly nothing about a subject to doing it full time.
Lovely video, wish I had the software engineering expertise! I quit my job last December to trade full time and it's been a rocky ride. I actually was more consistently making money in the two months before I quit. The biggest struggle is being satisfied with a job well done, which is sometimes sitting on your hands or cutting a loser quick. The dissatisfaction I so often feel from hours and days of going through that leads to aggressive trades or holding loosers too long. The best way to correct that for me has been to maintain a side gig where working for $20 and hour occasionally reminds me how hard money is to come by pretty much everywhere else. It might be working; its a green year and may well pay better than my last job. Found your story interesting about sticking to 12 months. Hopefully I don't have to do that. I'll be checking out your other videos.
Had a buddy send me this video. Rule #1 Protect Capital. Rule #2 Keep Learning. Through out your entire video you were talking about how you just kept learning, and you even mentioned towards the end about how you were going to keep on learning; about options and crypto. There are so many ways to exploit the options market. Keep learning and you will find them. You are doing so great. Keep going. Good luck.
Thank you for your wonderful video! I too am way out of the box and a lot of what you said I also found out myself. Like time of day, week, etc.. Your video was so very interesting and I am taking notes. Thank You!
You look like you just finished highschool, and you're already knee deep in trading full time! Amazing 👏 I am too nervous and disorganized to ever do that as a living.
Excellent video! Nice and simple and honest. Its sooo good to ear someone talk about this crazy curiosity/passion without selling anything. I can relate on so many things you shared, its a very nice feeling after knowing someone thought and done the things I thought that maybe could be just too crazy to be true. :D You've won a subscriber/fan :D
I really liked this video! Authentic, reflective, informative and the great passion you have to learn new things! I am still in college but dreamin of doing sth like this in the future! :)
I am a new trader and am focused on learning more about technical analysis right now. I signed up for a course to learn trading and it helped but I do have a lot of curiosities outside of what I learned. I find your video so interesting because you have the kind of creativity and curiosity I have except you're much smarter than me! I find myself exploring new ways to look at things while trying to keep in mind the methods the course teaches. You've given me some additional things to consider. Thanks!
How nice of you to give a glimpse into your experiences of programming and day trading. I hear recognizable experiences in your story! Nice keep it up. it's a good motivator
The way you explain your journey and process behind trades is very refreshing. As a discretionary trader sometimes I struggle managing my emotions (specifically FOMO lol). I’m working towards consistency and this video gave me the juice to put in some work tonight! New subscriber, continue keeping us updated plz 😊
Well I will say you're on the right track. Keep doodling around the way you are because you have to but you're only true focus should be risk management. You can learn that now or painfully learn it years from now like everyone else.
Enjoyed the video. I traded Forex (day trader) for several years before getting into Crypto (position trader). Forex is a good place to learn leverage, technical trading, fundamental trading (each country's changing monetary policies), pattern trading,... because it is very volatile and the moves you're looking for are happening fairly constantly. If you scalp trade it is constantly moving 20 - 30 pips up or down ( five minute trades). I day traded for 300+ pips a day (four to six hour trades). When you do well you do very well. But it can also be a 'death by a thousand cuts' as trades can make sudden unexpected moves against you before moving in the desired direction. My preferred method of trading is pattern trading using the Wyckoff and Elliott Wave Theories. They give you a heads up on large moves in price. I look forward to going back to Forex trading when I have move time because it forces you to learn and pay close attention as moves in price happen very quickly.
Writing covered calls is a conservative way of generating income while owning a stock. However, like any stock investment, you can lose money if the stock goes down, though the covered call income will slightly reduce your losses.
I made it this far and will follow along. Awesome vid, love your energy, enthusiasm and creative approach to trading. I've been toying over making such a bot too, but didn't get as far as you - but being trained in statistics means I've ended up enjoying the pursuit of exploring the data, figuring out models and analysing anything I can get my hands on. Good, geeky fun. Keep up the videos. :)
Im also a software engineer and Im so interested with stock market .You inspired me thank you so much💕I liked how your brain works and how curious you are ☺
Hi Rachel, just found your channel. Subbed. I'm a lot like you and love trading futures. I started about 6 months ago. I made a lot and lost a lot. I have a small account averaging $2k it seems. One thing I can say to people is to control yourself. It's hard to walk away when you see the market going your way. I am setting strict profit targets that are small and will try to walk away when hit. After 20 days of say, $200 a day, that's $4k a month. Greed will kill the trader as well. On a side note, I used to work at the Chicago Board of trade and CME on the floor. I was a tech, not a trader. One of the best jobs ever to be on the floor and see it all happening. Keep in Touch! I'm also looking for people to talk shop with on this journey. My goal is to win small to work from home.
Great video Rachel, I can relate to so much I have similar tech background and started trading more after Covid. I always held long equity but the change i introduced is went into SELLING options. I use IBKR as well, but never used their API, I am about to start doing that hence found your channel. However I have built a Options analytics platform using public delayed market data and can sometime share what I am upto and see how we can collaborate and accelerate each other. BTW Did I say i am in OZ (Sydney) as well!
thanks for the video, really liked it, very interesting observations throughout your journey. Im also trading / investing and wish I could program my own bot and this motivates me to look into it.
before i go... BNB Fury is paying the same percentage as covered calls. YTD 20% though... Drip Network is 360% a year... theres room for spreads to get puts in on crypto,if thats a thing yet. Never traded Options i dont like the idea of paying more for less to go long lol.....but 20% daily is nice potential.
Hi Rachel, as a new viewer I would love an update on how your strategy is going on this bear market. Also sharing details like commissions and fee's so they don't eat into your profits. Thanks!
I started testing the waters 2 weeks ago with 500$ CAD I'm learning seasonal trading. And it's looking good so far. Energy sector mining in the warmer months and entertainment in the colder months.
Such an awesome high level overview while still offering some depth. Will always think of shorts as anticipated when companies are going to be dealt negative points cards
Hi Rachel, I thank you for a most interesting and honest video from a very intelligent woman, I'm pretty confident that you will become a successful trader. As for me, it's back to blowing my 4th account :).
You are a genius 👏 And a lady 👏 No cuss words like the other women THE FAKE ACCENT IS AMAZING 👏......I WAS ALMOST FOOLED A COUPLE OF TIMES.......VERY LITTLE PRACTICE SHOULD DO.....BUT VERU* IMPRESSIVE
The fun part is manually trading! Using a bot doesn't give you the same satisfaction, not only that charts don't hold up, so any bot you make unless you create the most advanced self learning AI bot ever, you will not net any significant gain, you need experience to understand what each unique trading product your trading. No stock is ever the same, maybe similar but never the same nor is the market. Put an overlay of say the Nasdaq over a stock with no recent news or catalysts at it's average volume, the stock will literally follow the Nasdaq or whatever indices you want to use for comparison, up or down the stock follows. Anyways point is it's all about manually trading and understanding every scenario and potential outcomes based on experience.
You know, if you listened to her (R-Doji's) story, you would see that she did learn how to trade by understanding how to teach the bot. She basically automated her fingers clicking the mouse and keyboard, but still had to do the homework over the year period to teach the bot what to do. R-Doji said specifically she trust her decision making over her ability to automate it, so right then is proof that she understands enough to manually push those buy and sell buttons herself. R-Doji I think your process was genius 😊👍 and I love the human partnership scenarios you described with your bot! Great share, and now you know how to program Trading bots, double win! 👏
Trading is one of the most difficult jobs,knowing the basics isn’t enough. You will not make money in the beginning because you need experience, losses and winnings to know your statistics and know what to do and what not to do. Trading is 85% psychology There’s nothing easy in the market Give you at least 5 years , people underestimate trading. In other career you study 4+ years and for whatever reason people think in 6 months you can make it happen in trading. The experienced traders profit from the people who think they can make money from just make an account and start trading without experience. Don’t quit your job to starting trading because you will lose money in the beginning. Use the simulator please and track your behavior patterns. Trading is very difficult Nice video!
Hi Rachel, I don't know if you still trade, but regarding statistics, one thing you should take into heavy consideration is market correlation. The most common retail strategy is to "predict" what the market will do, which, even though it exhibits patterns, the market is overall, too complex to do this (predict it) without it being mostly guess work. However, there are some straight up statistical and information theoretical based approaches, that run in complete opposition to this sort of guess-work philosophy, which yield more natural results. Consider that the market is a complete isomorphism, where every discrete dollar amount (in someone's account) can be mapped to some other discrete dollar amount (in someone else account) in the market. In addition, consider also, that every instrument has a trade someone takes that can be mapped to another trade on some other instrument... just for example, when people buy gold, people are also selling bitcoin. In theory, if you had a position on every single instrument across all markets, so that one covers the entire set, under complete isomorphism, this hedge would always cancel out so that the net change to your account across all these positions would be $0. Realistically, money enter and exists the market (from people's accounts) so such a mapping becomes completely sensitive to only this apparent behavior in the market (when money enters, and when money leaves...a topic interesting to explore in its own right) but for now, just assume that the amount of money in and out of the market always remains constant. Continuing on, If you were to insert a position on every instrument, you'd have roughly half of them in profit, and roughly half of them in losses. If we are talking specifically the stock market and it's correlation with the economics of businesses, roughly 10% of these stocks will be "big" winners (stocks going from $10 - $2000 per stock), and roughly 90% of them will be small losers (stocks going from $1 to 0). So if you were a bot that places positions on all these instruments, it will naturally filter out the 90% of failing businesses and so is a sure fire way to identify which stocks are actually going to perform to some degree, which you can then follow up on and amplify these trades. In essence, you can create strategies that don't focus on single stocks and trying to predict what they will do, but instead focus on the isomorphism of the market which isolates the important statistics for you, like how evolutionary biology naturally selects the things that are suited to survive, you'd be creating a bot that is "selecting" the survivors of the market. What I'm trying to say is that there is an area of physics/information science that most people overlook, which is how nature is a statistics machine, via selection processes. Taking advantage of how the world filters out the weak to give the strong, is a way to approach the market. The only issue with such strategies is whether you actually have enough money to cover an isomorphism, which depending on how you granulize, will never happen, you can only "approach" isomorphism statistically. I use the same strategy but with a different approach on forex, which I find to be highly self-correlated, so it's easier to consider it as an isomorphism to itself, and only having to deal with 80 instruments instead of like the stock market which potentially has several thousands, thus forex makes it practical to assess situations as a human, or test isomorphism strategies. Don't know if you have heard this phrase before from financial advisors...they say "diversify" your account. there's a good reason why "diversity" is a word they use...diversity is term that comes from biology (bio-diversity) and physical, natural process feature it (diversity) the most, and nature happens to be the most robust system known to exist. A lot of people have a natural intuition about diversity and what it is, but most people don't actually know what it is, how it works, how powerful it is, nor how to apply it to systems we build. Neural Networks in Machine learning are themselves based on a system of selection process (killing off losers and naturally selecting the survivors in a series of computation). So perhaps that might paint a more intuitive picture for what thinking about systems in this way can do you for your trading :)
I enjoyed hearing how your bot building is evolving. I liken mine to how some guys have a car in their garage that they're always working on, that's never really done, always something needing an improvement. Surprising how often something seems like it should be a slam dunk, only to be a catastrophe. I read some of these comments where people are asking for your code... sad that people want to skip the best part, or are somehow oversimplifying market chaos. If there was a way to do it, it would be done, with the owner being the richest person ever. Happy coding.
I am excited that you are interested in algo trading. I am doing trading full time. if you need a second opinion or clarification, u know who to approach.
Ray, options premiums are calculated by some scary math that actually turns out to be not that bad. I wrote an algo based on it (black-scholes) and it works great on paper but hooking it up to a brokerage seemed too much like work. Sounds like you started at the other end of the spectrum, and good for you. I really love your down to earth, humble and dry humor approach.
I find that for intraday forex trend trading most important relevant (Guide)trend direction is ON 15 minute, 1h and 4h charts only-- For intraday trading weekly & monthly trends do not matter much(too far removed from intraday field of activity) & can be ignored. For simplicity sake if 15 minute ,1h & 4h trends are in the same direction, you have a trade set up in the same direction (one could fine tune entry 0n 5 minute charts). In general if daily candle be in the same direction for any trade it is better but not A must.--Sir, what do you have to say?
Expected average intra-day Risk:Reward ratio/Month? Only backtested so far, and I should be at 6 to 10R/Month, which I don't know if it's a reasonable figure to go after... cheers!
Most people aren’t profitable their first year trading and sometimes even their second year. You have to learn how to fail before you can succeed. Most people fail and give up before they have a chance to succeed.
Hi Rachel, this video was very inspirational to me. I'm at the start of my day / swing / algo trading journey, and you gave me many good ideas worth exploring (loved the whole options-part!) My main focus has been on VSA, different time frames, and inter-correlations for confirmations (or anti-confirmations). The tools I'm using enable optimization algorithms as well which can prevent unintentional curve fitting. Alright I'm rambling. You've got a new subscriber in me, and I'd love to connect since you're into finding like minded people. Now on to watch the rest of your videos... Take care! Edit: forgot to mention that I'm a developer too, with a keen interest in learning! W
As a quant the 90% of the price of a stock can be explained by fama french model. So surely you don't need to worry about technical analysis. I think that would be a better guide to stock prices
I can relate to this so much. Im also a developer(Java) trying to be consistently profitable in trading. I also use IB. But I did not quite my software dev job though :))). Us Markets open when my day job is over(cause of time zone diff). Best of luck Rachel
Heh, this makes me feel guilty for quitting my job for it, because my job also didn't overlap with US market hours. Pros and cons though, I'm glad I did it, but I'm back in it now
Thanks for your genuine sharing. What about these important aspects of trading: edge, risk and psychology? It's relatively easy to code a stock picking/semi-manual signalling/fully automated trading bot, however the knowledge and skills needed on technological and market perspectives would typically be much more and deeper than what you experienced in the past year(s). The past year could be a start, and you need to dive deeper with perseverance in order to reach the nearest real goal. To reach a real goal it could take multiple years, and more if you're working on a full time job. Some people would say they did it in few months (or weeks), and that could normally be fake (just believed so, but actually didn't). Good luck and fail fast!
Wow Rachel. At first I thought you were just a pretty girl trying to sell something. Then I kept listening and realized that you have actually done your homework. I too have bounced all over collecting information on the markets ... Futures, Swing Trading, Options, Day Trading. Currently, I am focused on daytrading, and LEAPS. I look forward to following your journey. Keep at it!!
thx for sharing. fakeouts from a Pattern also my favorite trading methode. for Bitcoin it work pretty well, but also for other markets.... fakeout, andback in the pattern.... thehn lets take the stops losses from the peoples who trade the fakeout like a breakout. :D
Personally been really successful trading a pure price action strategy with strict risk management rules and rules on what time of the day to take trades. So far I have success with it on currencies and indices. It's hard to find a strategy that works consistently, but it's just one part of the puzzle. The other parts are risk management and trading psychology, which are in my opinion, closely tied together, and even harder to master. That being said, once all three work for you, trading provides a really good lifestyle.
ohhh. im not setting anything. i was being greedy... i get it... atleast i was smart enough to use a demo for months and try with small capitol.you did help me soo much.. i journal a lot lol
I really love your content girl 👍🏻 I believe there’s no harm in diverse sources of income. I saw firsthand how lucrative investments can be when handled the right way, do both lol 😂
SMB Capital runs a similar strategy. Options Alpha, Project Option, Chat with Traders and Tasty Trade are good resources. Great vid. I'm Aussie, let me know if you are interested in trading groups, finding your trading tribe is important.
Enjoyed the video. I'm a former database developer and now trader. Seems there are many of us that used to work in software. Don't be afraid of crypto - it's real and not going anywhere. There's good crypto and trash crypto, just like stocks.
thank you for sharing your journey . I suggest you watch a channel named trader Tom . in the psychology play list you will find the answer you are looking for. I found it and you will too. trading is all a different thing. a day trader does not need technical or fundamental analysis or robots. good luck
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Good start to your first year, your account survived. Lots of good ideas in this video. I started in the 90's and in my first year I paid more than $30,000 in commissions and made about $1500 - but I was hooked. Gotta have passion to do this job. It's a job and a business. It's very counterintuitive. Here's some hints about what I've learned over the decades.
1. Be like Spock, lose your ego. Take your losses early. Let your winners run a bit, but don't get greedy.
2. Don't gamble, Have an entry and exit plans in mind. It's easy to become a gambler if you win a few trades.
3. Day trades are different than swing trades and these are both different from investments. Don't let a losing daytrade turn into a swing.
4. Being flat is a good position. Sit on your hands until you see a good entry.
5. Your best trades often make you feel uncomfortable.
6. You're a small fish in a big pond trading against banksters and fundsters who have seemingly immense capital. Be happy with small bites.
7. Don't try to understand why the market is moving. That makes you biased.
8. All news is already factored into the market or is manufactured to confuse you. Turn off the TV and trade the price and volume action.
9. There are a million trading strategies and no holy grails. Find something that works for you.
10. Read or TH-cam Mark Douglas "Trading in the Zone". Basic premise is that price moves as a random walk. Once you enter you are trading against yourself. Deal with that fact. Act accordingly.
11. Fundamentals are hard to trade because that news is fed to you well after the market has responded. Ever notice how stocks sell off on good news?
12. Understand options max pain and expiry dates. Greeks and Black Scholes are options 101 in a grad level game.
13 Lagging indicators should give you a headache. Their divergences can be useful sometimes.
14 Price and time interact in a fascinating way. Play around with Gann and Elliott and a few other time gurus. Full moons should drive you crazy.
15 Time of day, day of week, and week of month move markets.
16 Understand previous support and resistance, pivots and fibs. At least they can give you some targets that everyone else is looking at. Same for 20 and 200 ma's.
17 Trading is a lonely business. Don't look for a guru to help you out. Make your own decisions. You're the boss. Use the time you aren't managing trades to look for other opportunities, develop systems, or to expand your knowledge. Remember, it's business, not a social party. It's ok to do nothing if you don't see opportunity. Don't think you always have to be in on the action all the time.
18 I could go on for another 100 points but you already know this stuff.
Best of luck. Hopefully you'll still be trying to beat the bots at age 100 because its still fun and challenging.
Hey, this was a pretty good list of basics. I would've been interested in your other 82 points.
Really helpful. Agreed with previous poster - I’m down to here 82 more given how helpful these 18 were!
That's it, that's all you got for the list?
Nice list! I don't agree with all of it, but I guess that's what point 9 is for 😄
How much have you earned since then?
Rachel you come across as a “new kid on the blocks” from your enthusiastic talk , but actually most of what you say is as if you’re an experienced trader giving tips to us new traders !
Hi Rachel, your presentation and discipline in your journey is impressive. Hope we get some more content from you
Clearly very talented person 🙂
after you've shared what you did, i thought you've already done for few years
great job! it's a very intentional growth journey
U can trade in any direction U want . UP or Down just make sure it is in the same Direction of the MARKET / TREND
Hi Rachel,
Continue and never quit trading, because you've all ingredients to succeed. You can even work as developper for a trading firm !
I wish you all the best
You learned more in a year than most traders.
I am currently living off trading even as the market tanks.
Hi Rachel. You are awesome! A very clear headed account of a first year of trading. You asked for some other good ideas ... so here is one. I am on the other end of the experience spectrum, with several decades of experience building trading systems inside of professional trading firms. One technique used at the most successful hedge funds is called relative value analysis (RVA). It requires identifying groups of related stocks (which we call a basket), taking historical price data on each, and making a model that shows how each stock changes relative to the changes of all the others. If you think about it, in your year of learning, your strategies improved as you added more information. Most technical analysis is just a rehash of the price of the one stock. No new information has been added. RVA is the opposite. By looking at a basket of similar stocks you incorporate a lot of new information. You are able to identify real edge. Then you combine that with technical indicators (which are useful for timing) and you can build some solid trading strategies. Just an idea!
I literally melted for 34:15 min 🥰
so smart good ideas in there simplest form . Subscribed ! Keep ‘em coming !
Wow ! I wasn't excepting this. I love to trade the market in an analytical way as well. I am gonna predict it right now, one day you will be very wealthy !!
your effort is remarkable.
It sounds like you've had a fun year :)
Something you might find interesting would be Larry Williams's work and position sizing with kelly criterion for running multiple trading strategies.
I appreciate your posting this video and your courage to do what you did but holy shit! You quit your job to day trade for a year and you didn't even know that price charts existed. That's a real leap of faith from knowing truly nothing about a subject to doing it full time.
I get this response a lot but I disagree. Where’s the risk? Getting a job after a year is a pretty easy bet in my industry at least.
So cool! I went through the exact path. Software engineer to full time day trading then doing both now
Lovely video, wish I had the software engineering expertise! I quit my job last December to trade full time and it's been a rocky ride. I actually was more consistently making money in the two months before I quit. The biggest struggle is being satisfied with a job well done, which is sometimes sitting on your hands or cutting a loser quick. The dissatisfaction I so often feel from hours and days of going through that leads to aggressive trades or holding loosers too long. The best way to correct that for me has been to maintain a side gig where working for $20 and hour occasionally reminds me how hard money is to come by pretty much everywhere else. It might be working; its a green year and may well pay better than my last job. Found your story interesting about sticking to 12 months. Hopefully I don't have to do that. I'll be checking out your other videos.
Had a buddy send me this video. Rule #1 Protect Capital. Rule #2 Keep Learning. Through out your entire video you were talking about how you just kept learning, and you even mentioned towards the end about how you were going to keep on learning; about options and crypto. There are so many ways to exploit the options market. Keep learning and you will find them. You are doing so great. Keep going. Good luck.
you might want to explore volume profile and volume profile of specific ranges... POC, etc. might give you another good data point :) great video.
Thank you for your wonderful video! I too am way out of the box and a lot of what you said I also found out myself. Like time of day, week, etc.. Your video was so very interesting and I am taking notes. Thank You!
This was a great video! You should look into linear regressions and standard deviations for your algos. Subscribed!
You look like you just finished highschool, and you're already knee deep in trading full time! Amazing 👏 I am too nervous and disorganized to ever do that as a living.
Excellent video! Nice and simple and honest. Its sooo good to ear someone talk about this crazy curiosity/passion without selling anything. I can relate on so many things you shared, its a very nice feeling after knowing someone thought and done the things I thought that maybe could be just too crazy to be true. :D You've won a subscriber/fan :D
interesting video. trading securities is such a fascinating, intoxicating way to spend our time and make a living, your enthusiasm is great to see.
Amazing journey! Especially at your age. Thanks for sharing: so much food for thought for those who are considering Trading as a new career!
God I remember being here at this point. This takes me back, waaaaaaaaaaaaaaaaay back.
Thanks for sharing insights into your journey! Trying to do sth comparable part time and its been some good insights; keeps me motivated!
I really liked this video! Authentic, reflective, informative and the great passion you have to learn new things! I am still in college but dreamin of doing sth like this in the future! :)
Great presso !! and very insightful, thanks
cute Totoro. bought one of those for my daughter.
Hope u find peace while in the process to see a dream achieved
Great video! You’re wise to not share specific figures and amounts, but would you be willing to share your performance as a %?
I am a new trader and am focused on learning more about technical analysis right now. I signed up for a course to learn trading and it helped but I do have a lot of curiosities outside of what I learned. I find your video so interesting because you have the kind of creativity and curiosity I have except you're much smarter than me! I find myself exploring new ways to look at things while trying to keep in mind the methods the course teaches. You've given me some additional things to consider. Thanks!
My new fav channel
How nice of you to give a glimpse into your experiences of programming and day trading. I hear recognizable experiences in your story! Nice keep it up. it's a good motivator
Thanks 😄 I've loved hearing others trading stories so figured I'd share my own. Glad you enjoyed it
It’s clear you have found something(trading) you SHOUJD be doing. AND you are very good at repaying your experiences. Subscribed :)
what a fun experiment - wow -
What a wonderful case study! Thank you for sharing!
I don't remember subscribing to this channel and I don't know all that much about stocks but I'm glad you've found success at doing this.
Thank you Rachel! ❤
The way you explain your journey and process behind trades is very refreshing. As a discretionary trader sometimes I struggle managing my emotions (specifically FOMO lol). I’m working towards consistency and this video gave me the juice to put in some work tonight! New subscriber, continue keeping us updated plz 😊
Well I will say you're on the right track. Keep doodling around the way you are because you have to but you're only true focus should be risk management. You can learn that now or painfully learn it years from now like everyone else.
Enjoyed the video.
I traded Forex (day trader) for several years before getting into Crypto (position trader). Forex is a good place to learn leverage, technical trading, fundamental trading (each country's changing monetary policies), pattern trading,... because it is very volatile and the moves you're looking for are happening fairly constantly. If you scalp trade it is constantly moving 20 - 30 pips up or down ( five minute trades). I day traded for 300+ pips a day (four to six hour trades). When you do well you do very well. But it can also be a 'death by a thousand cuts' as trades can make sudden unexpected moves against you before moving in the desired direction.
My preferred method of trading is pattern trading using the Wyckoff and Elliott Wave Theories. They give you a heads up on large moves in price.
I look forward to going back to Forex trading when I have move time because it forces you to learn and pay close attention as moves in price happen very quickly.
I like the totoro in the back
Writing covered calls is a conservative way of generating income while owning a stock. However, like any stock investment, you can lose money if the stock goes down, though the covered call income will slightly reduce your losses.
Good luck with your new venture!
Thanks! We'll see how long it lasts... the allure of going back to trading full time is strong 👀
I made it this far and will follow along. Awesome vid, love your energy, enthusiasm and creative approach to trading. I've been toying over making such a bot too, but didn't get as far as you - but being trained in statistics means I've ended up enjoying the pursuit of exploring the data, figuring out models and analysing anything I can get my hands on. Good, geeky fun. Keep up the videos. :)
I use both myself and a robot (monitored). From this I learnt from my mistakes and from the trades the robots made.
Im also a software engineer and Im so interested with stock market .You inspired me thank you so much💕I liked how your brain works and how curious you are ☺
Hi Rachel, just found your channel. Subbed. I'm a lot like you and love trading futures. I started about 6 months ago. I made a lot and lost a lot. I have a small account averaging $2k it seems. One thing I can say to people is to control yourself. It's hard to walk away when you see the market going your way. I am setting strict profit targets that are small and will try to walk away when hit. After 20 days of say, $200 a day, that's $4k a month. Greed will kill the trader as well. On a side note, I used to work at the Chicago Board of trade and CME on the floor. I was a tech, not a trader. One of the best jobs ever to be on the floor and see it all happening. Keep in Touch! I'm also looking for people to talk shop with on this journey. My goal is to win small to work from home.
Nice going. I think you might find switching entirely to option strategies the way to go in the future. It's what I do.
Great video Rachel,
I can relate to so much I have similar tech background and started trading more after Covid. I always held long equity but the change i introduced is went into SELLING options.
I use IBKR as well, but never used their API, I am about to start doing that hence found your channel.
However I have built a Options analytics platform using public delayed market data and can sometime share what I am upto and see how we can collaborate and accelerate each other.
BTW Did I say i am in OZ (Sydney) as well!
thanks for the video, really liked it, very interesting observations throughout your journey. Im also trading / investing and wish I could program my own bot and this motivates me to look into it.
before i go... BNB Fury is paying the same percentage as covered calls. YTD 20% though... Drip Network is 360% a year... theres room for spreads to get puts in on crypto,if thats a thing yet. Never traded Options i dont like the idea of paying more for less to go long lol.....but 20% daily is nice potential.
Hi Rachel, as a new viewer I would love an update on how your strategy is going on this bear market. Also sharing details like commissions and fee's so they don't eat into your profits. Thanks!
I like the analogy with the one-night stands, that would mean I'm a pump and dump kind of guy as scalping fits my personality more😂
I started testing the waters 2 weeks ago with 500$ CAD I'm learning seasonal trading. And it's looking good so far. Energy sector mining in the warmer months and entertainment in the colder months.
This is absolutely fascinating
Try looking at the Commitment of Traders (COT) for fundamental data which might be tradable. Take a look at a trader named Bill Williams.
Such an awesome high level overview while still offering some depth. Will always think of shorts as anticipated when companies are going to be dealt negative points cards
Hi Rachel,
I thank you for a most interesting and honest video from a very intelligent woman, I'm pretty confident that you will become a successful trader.
As for me, it's back to blowing my 4th account :).
You are a genius 👏
And a lady 👏
No cuss words like the other women
THE FAKE ACCENT IS AMAZING 👏......I WAS ALMOST FOOLED A COUPLE OF TIMES.......VERY LITTLE PRACTICE SHOULD DO.....BUT VERU* IMPRESSIVE
Keep it up. More power to you Rachel. Am definitely a subscriber now!
same here 6 months in except i'm not a software engineer but hoping it works out in this bear market lol. good luck!
A few words. Binary options and technical analysis. They will get you far if you take the time to learn how to understand market fluctuations and risk
Great Vid Rachel! smart girl.
The fun part is manually trading! Using a bot doesn't give you the same satisfaction, not only that charts don't hold up, so any bot you make unless you create the most advanced self learning AI bot ever, you will not net any significant gain, you need experience to understand what each unique trading product your trading. No stock is ever the same, maybe similar but never the same nor is the market. Put an overlay of say the Nasdaq over a stock with no recent news or catalysts at it's average volume, the stock will literally follow the Nasdaq or whatever indices you want to use for comparison, up or down the stock follows. Anyways point is it's all about manually trading and understanding every scenario and potential outcomes based on experience.
You know, if you listened to her (R-Doji's) story, you would see that she did learn how to trade by understanding how to teach the bot. She basically automated her fingers clicking the mouse and keyboard, but still had to do the homework over the year period to teach the bot what to do. R-Doji said specifically she trust her decision making over her ability to automate it, so right then is proof that she understands enough to manually push those buy and sell buttons herself. R-Doji I think your process was genius 😊👍 and I love the human partnership scenarios you described with your bot! Great share, and now you know how to program Trading bots, double win! 👏
Trading is one of the most difficult jobs,knowing the basics isn’t enough. You will not make money in the beginning because you need experience, losses and winnings to know your statistics and know what to do and what not to do.
Trading is 85% psychology
There’s nothing easy in the market
Give you at least 5 years , people underestimate trading. In other career you study 4+ years and for whatever reason people think in 6 months you can make it happen in trading.
The experienced traders profit from the people who think they can make money from just make an account and start trading without experience.
Don’t quit your job to starting trading because you will lose money in the beginning.
Use the simulator please and track your behavior patterns.
Trading is very difficult
Nice video!
I can't get past when she says "patton" for pattern. So cute 😆
More or less same letters so it will do. )
@BTheStory should interview you about this approach to trading. Sounds pretty innovative!
Really fantastic video, enjoyed hearing your perspective and challenges. Best of luck in your trading & investing journey my friend!
Great video. Thanks for sharing.
Hi Rachel,
I don't know if you still trade, but regarding statistics, one thing you should take into heavy consideration is market correlation. The most common retail strategy is to "predict" what the market will do, which, even though it exhibits patterns, the market is overall, too complex to do this (predict it) without it being mostly guess work. However, there are some straight up statistical and information theoretical based approaches, that run in complete opposition to this sort of guess-work philosophy, which yield more natural results.
Consider that the market is a complete isomorphism, where every discrete dollar amount (in someone's account) can be mapped to some other discrete dollar amount (in someone else account) in the market. In addition, consider also, that every instrument has a trade someone takes that can be mapped to another trade on some other instrument... just for example, when people buy gold, people are also selling bitcoin. In theory, if you had a position on every single instrument across all markets, so that one covers the entire set, under complete isomorphism, this hedge would always cancel out so that the net change to your account across all these positions would be $0.
Realistically, money enter and exists the market (from people's accounts) so such a mapping becomes completely sensitive to only this apparent behavior in the market (when money enters, and when money leaves...a topic interesting to explore in its own right) but for now, just assume that the amount of money in and out of the market always remains constant.
Continuing on, If you were to insert a position on every instrument, you'd have roughly half of them in profit, and roughly half of them in losses. If we are talking specifically the stock market and it's correlation with the economics of businesses, roughly 10% of these stocks will be "big" winners (stocks going from $10 - $2000 per stock), and roughly 90% of them will be small losers (stocks going from $1 to 0). So if you were a bot that places positions on all these instruments, it will naturally filter out the 90% of failing businesses and so is a sure fire way to identify which stocks are actually going to perform to some degree, which you can then follow up on and amplify these trades. In essence, you can create strategies that don't focus on single stocks and trying to predict what they will do, but instead focus on the isomorphism of the market which isolates the important statistics for you, like how evolutionary biology naturally selects the things that are suited to survive, you'd be creating a bot that is "selecting" the survivors of the market.
What I'm trying to say is that there is an area of physics/information science that most people overlook, which is how nature is a statistics machine, via selection processes. Taking advantage of how the world filters out the weak to give the strong, is a way to approach the market. The only issue with such strategies is whether you actually have enough money to cover an isomorphism, which depending on how you granulize, will never happen, you can only "approach" isomorphism statistically.
I use the same strategy but with a different approach on forex, which I find to be highly self-correlated, so it's easier to consider it as an isomorphism to itself, and only having to deal with 80 instruments instead of like the stock market which potentially has several thousands, thus forex makes it practical to assess situations as a human, or test isomorphism strategies.
Don't know if you have heard this phrase before from financial advisors...they say "diversify" your account. there's a good reason why "diversity" is a word they use...diversity is term that comes from biology (bio-diversity) and physical, natural process feature it (diversity) the most, and nature happens to be the most robust system known to exist. A lot of people have a natural intuition about diversity and what it is, but most people don't actually know what it is, how it works, how powerful it is, nor how to apply it to systems we build. Neural Networks in Machine learning are themselves based on a system of selection process (killing off losers and naturally selecting the survivors in a series of computation). So perhaps that might paint a more intuitive picture for what thinking about systems in this way can do you for your trading :)
I enjoyed hearing how your bot building is evolving. I liken mine to how some guys have a car in their garage that they're always working on, that's never really done, always something needing an improvement. Surprising how often something seems like it should be a slam dunk, only to be a catastrophe. I read some of these comments where people are asking for your code... sad that people want to skip the best part, or are somehow oversimplifying market chaos. If there was a way to do it, it would be done, with the owner being the richest person ever. Happy coding.
I am excited that you are interested in algo trading. I am doing trading full time. if you need a second opinion or clarification, u know who to approach.
Ray, options premiums are calculated by some scary math that actually turns out to be not that bad. I wrote an algo based on it (black-scholes) and it works great on paper but hooking it up to a brokerage seemed too much like work. Sounds like you started at the other end of the spectrum, and good for you. I really love your down to earth, humble and dry humor approach.
I find that for intraday forex trend trading most important relevant (Guide)trend direction is ON 15 minute, 1h and 4h charts only-- For intraday trading weekly & monthly trends do not matter much(too far removed from intraday field of activity) & can be ignored. For simplicity sake if 15 minute ,1h & 4h trends are in the same direction, you have a trade set up in the same direction (one could fine tune entry 0n 5 minute charts). In general if daily candle be in the same direction for any trade it is better but not A must.--Sir, what do you have to say?
Expected average intra-day Risk:Reward ratio/Month? Only backtested so far, and I should be at 6 to 10R/Month, which I don't know if it's a reasonable figure to go after... cheers!
WELL ENGINEERED!!
Most people aren’t profitable their first year trading and sometimes even their second year. You have to learn how to fail before you can succeed. Most people fail and give up before they have a chance to succeed.
Super fascinating- thanks for sharing!
Hi Rachel, this video was very inspirational to me. I'm at the start of my day / swing / algo trading journey, and you gave me many good ideas worth exploring (loved the whole options-part!)
My main focus has been on VSA, different time frames, and inter-correlations for confirmations (or anti-confirmations). The tools I'm using enable optimization algorithms as well which can prevent unintentional curve fitting.
Alright I'm rambling.
You've got a new subscriber in me, and I'd love to connect since you're into finding like minded people.
Now on to watch the rest of your videos... Take care!
Edit: forgot to mention that I'm a developer too, with a keen interest in learning!
W
As a quant the 90% of the price of a stock can be explained by fama french model. So surely you don't need to worry about technical analysis. I think that would be a better guide to stock prices
I can relate to this so much. Im also a developer(Java) trying to be consistently profitable in trading. I also use IB. But I did not quite my software dev job though :))). Us Markets open when my day job is over(cause of time zone diff). Best of luck Rachel
Heh, this makes me feel guilty for quitting my job for it, because my job also didn't overlap with US market hours. Pros and cons though, I'm glad I did it, but I'm back in it now
Yeah we're all writing code and using ib our 1st year of trading.. doesn't everybody lol. Wow impressive content, love the carrot.
Thanks for your genuine sharing. What about these important aspects of trading: edge, risk and psychology?
It's relatively easy to code a stock picking/semi-manual signalling/fully automated trading bot, however the knowledge and skills needed on technological and market perspectives would typically be much more and deeper than what you experienced in the past year(s).
The past year could be a start, and you need to dive deeper with perseverance in order to reach the nearest real goal. To reach a real goal it could take multiple years, and more if you're working on a full time job. Some people would say they did it in few months (or weeks), and that could normally be fake (just believed so, but actually didn't).
Good luck and fail fast!
Wow Rachel. At first I thought you were just a pretty girl trying to sell something. Then I kept listening and realized that you have actually done your homework. I too have bounced all over collecting information on the markets ... Futures, Swing Trading, Options, Day Trading. Currently, I am focused on daytrading, and LEAPS. I look forward to following your journey. Keep at it!!
"i thought you were just a girl with nothing real to say" is the story of my life 😑
@@RachelDoji not exactly what i said. I simply thought it was a sales pitch. I am sorry if i offended you.
thx for sharing. fakeouts from a Pattern also my favorite trading methode. for Bitcoin it work pretty well, but also for other markets.... fakeout, andback in the pattern.... thehn lets take the stops losses from the peoples who trade the fakeout like a breakout. :D
what was your risk:reward? win percentage? risk per trade? if thats not personal that is. danke
Personally been really successful trading a pure price action strategy with strict risk management rules and rules on what time of the day to take trades. So far I have success with it on currencies and indices. It's hard to find a strategy that works consistently, but it's just one part of the puzzle. The other parts are risk management and trading psychology, which are in my opinion, closely tied together, and even harder to master. That being said, once all three work for you, trading provides a really good lifestyle.
Wow, you didnt tell me how to turn $100 into a million dollars. I subscribed.
ohhh. im not setting anything. i was being greedy... i get it... atleast i was smart enough to use a demo for months and try with small capitol.you did help me soo much.. i journal a lot lol
I really love your content girl 👍🏻
I believe there’s no harm in diverse sources of income. I saw firsthand how lucrative investments can be when handled the right way, do both lol 😂
SMB Capital runs a similar strategy. Options Alpha, Project Option, Chat with Traders and Tasty Trade are good resources. Great vid. I'm Aussie, let me know if you are interested in trading groups, finding your trading tribe is important.
Yeah I’m interested in finding peeps to chat to
Enjoyed the video. I'm a former database developer and now trader. Seems there are many of us that used to work in software. Don't be afraid of crypto - it's real and not going anywhere. There's good crypto and trash crypto, just like stocks.
I’m gonna need that bot!
top welcome to the club :)
That is interesting. Considering you didn't know anything about trading, I'm surprised you quit your job. I hope it went well
Great video. Would you ever do a more detailed video on the options expirations topic?
thank you for sharing your journey . I suggest you watch a channel named trader Tom . in the psychology play list you will find the answer you are looking for. I found it and you will too. trading is all a different thing. a day trader does not need technical or fundamental analysis or robots. good luck
Learn the STRAT. Learn Full Time Frame Continuity, the different bars (1's, 2's, and 3's), and Broadening Formations, and make an algo. Trust me.