Trading using mean reversion strategy

[Anonymous No.53187066]

Which one of you fags uses mean reversion for day trading? if yes, is it worth it?

[Anonymous No.53187122]

>>53187066
Hey fellow zoomer, how much did the course cost?

[Anonymous No.53187142]

>>53187066
>daytrading
LMFAOOooooOOooooOOOooo

[Anonymous No.53187148]

>>53187122
i didn't buy one, i just watch YouTube man explain it for me

[Anonymous No.53187167]

>>53187148
It's for institutions who can actually market make and set the prices and scalp retail.
It's secondary purpose is for people to pretend they got rich doing it and sell shitty courses that don't work.
You think if this method of yorus was flawless that not everyone would run bots doing it? As soon as a method is public it stops working as they are accounted for in the market makers algorithms.

[Anonymous No.53187197]

>>53187066
your pic related is fading the pump.

you better learn how to do mean reversion on what is just before the pump.
it happens way more than that dangerous pump which you show which might just as well get pumped more.

you literally have 100$ in points on that channel from the 4th november till the 30th december.
thats where the money is.

also, while you are at it,
make sure you do the following:

backtesting all your potential rules over at least two years
make sure you have a big sample size.
you would be better off going down in timeframe to get a larger sample size.
dont get too far down so the fees dont kill the profits.
have a trend following system at hand for trending markets.
develop a method to determine when you are in a ranging, volatile and trending markets.

when you are done with that, come back, there are more things to do.

[Anonymous No.53187217]

>>53187197
mind asking how much do you make daily from trading, be honest

[Anonymous No.53187229]

>>53187217
Stop being retarded fucking around with algos and just buy Bitcoin at the bottom.

[Anonymous No.53187252]

>>53187229
nigga aint talking to you, be quiet

[Anonymous No.53187267]

>>53187252
I'm trying to save you from yourself, but by all means go and lose your money in a deeper and deeper sunk cost fallacy hole as you keep making bad trades month after month. Not my problem.

[Anonymous No.53187312]

>>53187267
been trading for about a month very carefully, i haven't lost a dime. i started with just 10$. Im just trying to get better at it and save myself from 9-5. Thanks for the feedback and sorry for being mean before.

[Anonymous No.53187336]

>>53187217
nothing serious with the mean reversion yet but I just started doing it like 2 months ago so... I'm working on it.

I was making some cash swing trading but that was during 2020-2021,
it was way easier. not only because of the bull market.
I even shorted the corona dump for some profits.

2022 has been a disaster for those strategies.
not because the market was dumping but because my system just wasnt good enough.
I was ready to long/short when the trend was there but got killed by many small cuts.
I became fed up with the constantly low win rate and decided to develop mean reversion strats.

listen. in mean reversion
your main enemy is the fees.
if you dont have a place to trade with low low uberlow fees. dont bother unless you zoom out.

you can trade the 30m chart but if you dont do your research beforehand, it does not matter what timeframe.
you need months to get something solid and even then you have 10 surprises or things you didnt think about.

better bet less than more in the beginning.
luckily I am not a rich guy so I didnt lose alot.

now, I am developing a mean reversion system.

[Anonymous No.53187346]

>>53187312
fwiw I hope you make it, but you are one bad trade away from being back to scratch. Stoploss can help reduce this risk, but a big wick can happen instantly if a big player offloads bags or closes a short / exercises contracts.
It's way too much daily effort for what little you gain compared to long term puts/calls or buying spot stocks/crypto. Buying and holding lets you focus on earning money in other ways to buy even more, a safety net too.

[Anonymous No.53187390]

>>53187217
guys who tell you to just buy and hold right in a way.

it is obviously easier to just buy something and HOPE it goes where you want it to.

if you want to learn to trade, you have to be prepared to spend a fuckload amounts of time and even then, you are not sure to achieve anything.

but in the end, If I had listened to all the people who say its not possible, I wouldnt have made a dime swing trading neither so.
if its really your thing and you are fucking obsessed about it, you should do it.
being obsessed with it is the only way I recommend going about it.

[Anonymous No.53187441]

>>53187217
like really. when I say obsessed, I mean, you wake up and you think about what you are going to do today.
some careful live trading to gain experience? sure
backtest some shit? sure.
program some shit that you thought about in bed the other night? sure.

it has to be all encompassing, all enveloping.
if you have a job, try working fewer hours because you can not do this if you do not put in many many hours.

sure, you can swing trade on the weekly and hold a job at the same time.

doing mean reversion or scalping on the intra day or tick data?
fuck no, you have to time to do anything else.
and before someone says
>just automate bro

what the fuck are you even supposed to automate?
the time it takes to develop something robust (not necessarily perfect) takes a shitload of time before you even think about automating anything.

[Anonymous No.53187467]

>>53187336
i really appreciate your long reply, i wish you all the best and thanks

[Anonymous No.53187497]

even fucking swing trading,
before you are confident enough to run some rules. it also takes fucking months.

even hodling requires months of research and even then, you realize after a while that it all follows the Dow Jones anyway. kek.

hodlers make me laugh.
its the most overhyped way of saying
"I am lazy and I deserve to get rewarded for my laziness"

for every hodler that made it, there are 10 who didnt.
same as in fucking trading

[Anonymous No.53187527]

>>53187467
good luck cause you're gonna need it.
you are going to need to tell yourself a lot of things if you are going to want to continue.

also, mistakes are only mistakes if you learn from them,
if you repeat the same mistake many times, you have to figure out why the hell you are doing that and do something about it.

[Anonymous No.53187585]

>>53187527
what I mean is, mistakes are ok, as long as you learn from them,
there will be many of them.
dont be afraid to make them.
be more afraid of how much you lose,
keep it tight. dont get greedy.

also, get a hold of scaling in.
its like dollar cost averaging on the intra day.

if you get many buy signals before you get a sell signal as is often the case in mean reversion, you scale in carefully,
never put up your full position.

also, margin and leverage can be your friend if used right and is quite frankly indispensable to any proper money management. it is supposed to reduce risk, not increase it.

[Anonymous No.53188026]

>>53187167
The more people using a trading method the more effective it is

[Anonymous No.53188362]

>>53187167
market makers are delta neutral, don't speak about what you don't know retarded npc

[Anonymous No.53188537]

it really is one of if not the most frustrating thing I have tried doing.
the only thing which keeps me going is knowing that I am crazy. that I am ready to put in so much time in it.
not because I am rich already but because I do not do anything else.
I sacrifice most of my time trying to learn the markets.
if I fail in the end to achieve anything I will probably go into a depression or something.
another thing which keeps me going is actually seeing how good trades can be made and that I realize that most of the times I lose money it is because of me and me only.
especially! when I do stupid shit like not respecting the rules and the process.
its usually because of either fear or greed or chasing losses.
with time though, I get better at catching myself doing stupid shit.

another thing is the importance of gut feel. i've seen countless times where my gut feel was right but for some reason I decided to ignore it.
now, I try to mix it in.
since I know that statistically, one of my profitable trades lies around a certain percentage.
when I have reached it, I can sell because I feel like it, before the rules say that I have to sell.
this same gut feel also makes me avoid bad trades at the expense of missing some profitable trades as well.

its a lot of work. you get to know your weaknesses pretty quickly if you do some introspection.

[Anonymous No.53188666]

the gut feel literally starts to align itself to what the system is saying would happen.
this is great if your system has a high win rate.
to build this gut feel up, you need many trades under the belt.
also, just as important is knowing when not to trade at all.
there are times when its much better to just buy/short the trend and wait for some moving average rule or something to get out.
it can be hard to switch from one mode of thinking to the other but with experience this becomes easier.
one of the worst things is when you fail to switch and you try to short the trend upwards.
I am sure there are thousands of guys burning money trying to short the current pump.
i've already made a few trades on the upside.
since I can get retarded pretty quickly, I also lost some getting in too late and having to sell at a loss.
if you cut your loss soon enough you can make the money back in two trades. you just have to be patient.

[Anonymous No.53188713]

if you know that you are an impatient idiot, it might be better to have a system where you get many trades with small gains.
I am not saying one should not work on becoming more patient but thats what I have experienced.
anyway, if you become a good scalper the stress should pay off in the end.

[Anonymous No.53188756]

total for this list should be about 15$

[Anonymous No.53188776]

>>53188756
and these fuckers take some 20% off of your gains but in exchange, you pay no fees nor spread.

[Anonymous No.53188798]

>>53188666
Checked. Based. Really good info. How do you spot the top? MCAD RSI? I always get too greedy.

[Anonymous No.53188839]

>>53188798
what top? on the small timeframe or daily?
in general, look for the volume spikes, but even these can quickly be invalidated if some whale is pumping or dumping.
its hard to say with volume since it is relative. usually though the last peak is the one with the highest volume of all "peaks" before it. it is the highest by far and is hard to miss.
in any case, spotting the top is hard. when you feel that the market is off for a run somewhere, you better just sit on your hands or get on the trend until it is exhausted and then resume your regular trading.

[Anonymous No.53188853]

>>53188026
>

[Anonymous No.53188856]

>>53188798
i'd say though there are plenty less stressful ways to make money than trying to time the top.

[Anonymous No.53188902]

>>53188756
I should add here, the stop loss is set at 7.5$

[Anonymous No.53189204]

>>53188853
>>53188026

in mean reversion this actually holds some truth.
since many bots are programmed to buy/sell with common parameters, there is some push to actually revert because of this.

problem is, most people dont have the discipline or nerve to actually sit and put in the trades one after the other ad nausea unless they make muh phat gainz in the first 30 minutes.
most people just lose interest and start doing degenerate trades and end up losing and go back to whatever they were doing before.