MoneyTec Traders Community Forum - View Single Post - If Forex is so lucrative then why many people are not interested in this?

peteuk · 26-01-2004, 06:28

Originally posted by csaunders

How would you program gut feel? How would you as Pan says take key market events into consideration - 9/11 perhaps?? I don't think you can stick to any system come hell or highwater - discretion or human intervention is inevitably part of it and when this happens you corrupt the system - deviate from its original trade. Once this happens, will you do it again... or stay hands off...mmm

Gut feel can, and often does, lead to losses as well as gains. How many times have we all exited on gut instinct only to watch a further 100pip move, or entered a sure thing and then watched as it reversed and took out our stops. On the other hand we've all got out in the nick of time on the same instinct and been glad we did. Inconsistent, that's what gut instinct is, an unreliable and inconsistent emotion. Agreed, automated systems will often miss major moves caused by fundamental events, but the other side of the coin is it will miss the major moves against us. It has a specified criteria to meet, and if it's not met it doesn't trade, it err's on the side of caution, never second guesses, and has insurmountable confidence in itself, as well as being consistent, there are no equity spikes to get the adrenaline pumping! Let's face it, an interest rate hike for example can be good this month and bad the next, and there is often no way to predict the way the market will view it or react to it, all we can realistically do is guess. Guessing is in essence gambling. The system neither guesses nor gambles, it trades what's actually happening and protects it's operators' equity by using appropriate stops and a fail-safe system which protects against sudden moves against an open position.

When I first looked at the beta version and watched it trade there were times I said 'no way!' as it longed what was so obviously a short, obvious to me that is, and I'm embarrased to say it proved me wrong. Long it said, long it did, and long it was!

Thanks for the posts and the opinions guys, I need to hear as many negatives as possible, I myself am looking for a reason why it shouldn't work.

Have a great day people!

Cheers
Pete

26-01-2004, 06:28	#41
peteuk level 3 Join Date: Mar 2003 Posts: 581 Downloads: 0 Uploads: 0 Rep Power: 0	Re: My two cents Originally posted by csaunders How would you program gut feel? How would you as Pan says take key market events into consideration - 9/11 perhaps?? I don't think you can stick to any system come hell or highwater - discretion or human intervention is inevitably part of it and when this happens you corrupt the system - deviate from its original trade. Once this happens, will you do it again... or stay hands off...mmm Gut feel can, and often does, lead to losses as well as gains. How many times have we all exited on gut instinct only to watch a further 100pip move, or entered a sure thing and then watched as it reversed and took out our stops. On the other hand we've all got out in the nick of time on the same instinct and been glad we did. Inconsistent, that's what gut instinct is, an unreliable and inconsistent emotion. Agreed, automated systems will often miss major moves caused by fundamental events, but the other side of the coin is it will miss the major moves against us. It has a specified criteria to meet, and if it's not met it doesn't trade, it err's on the side of caution, never second guesses, and has insurmountable confidence in itself, as well as being consistent, there are no equity spikes to get the adrenaline pumping! Let's face it, an interest rate hike for example can be good this month and bad the next, and there is often no way to predict the way the market will view it or react to it, all we can realistically do is guess. Guessing is in essence gambling. The system neither guesses nor gambles, it trades what's actually happening and protects it's operators' equity by using appropriate stops and a fail-safe system which protects against sudden moves against an open position. When I first looked at the beta version and watched it trade there were times I said 'no way!' as it longed what was so obviously a short, obvious to me that is, and I'm embarrased to say it proved me wrong. Long it said, long it did, and long it was! Thanks for the posts and the opinions guys, I need to hear as many negatives as possible, I myself am looking for a reason why it shouldn't work. Have a great day people! Cheers Pete