Using brute force to improve a trading system

An unfiltered rant ↓

Improving at trading comes from collecting as many “aha moments” as possible.

Where do these insights come from:
• reviewing data and noticing that X pattern has a Y% probability of success
• accepting that every review has some probability of producing an insight

So long term you want to:
• increase the total number of reviews you perform
• increase the amount of data you have available to review

Analogy: Alpha is a needle in a haystack.
• you need to search more haystacks
• you need to reduce the time it takes to search each one

I genuinely believe that at the end of the day, Traders is just a numbers game.

#TipsNeeded

How I trade breakouts at all-time-high levels

When there’s no visible resistance above, I use two simple approaches.

1) If I hold the position until conditions change:
• I wait for structure to break, price to stall, or behaviour to shift.
• I only do this when the breakout quality is very high (clean staircase into the level with strong, rising volume).

2) If I exit at a psychological level:
• I use this when I’m unsure about the quality and want the safer option.
• Check the orderbook, find the next big round number, and place TP just ahead of it.
• Psych levels are reliable because real limit sells stack there.
• Huge orders at odd prices are usually spoofs, so ignore those.

All-time-high areas create some of the biggest moves or the biggest reversals.

It makes sense to have a plan at the points where volatility is going to be the highest.

source : X

#TipsNeeded