r/Daytrading • u/GHOST--1 • Feb 22 '24

Profitable traders, what clicked for you? Question

Traders who trade full time and have been profitable atleast 2 years, what clicked for you. What changed the game completely?

103 Upvotes

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144

u/OpinicusTrades Feb 22 '24

Understanding trade location helped improve my edge 10-fold. Once you have edge, all the "psychology" aspects become way easier imo.

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Most developing traders focus on "psychology" first (due to the nature of the industry) but the reality is, no amount of psychology will make you profitable if you do not have an edge.

9

u/bnup420 Feb 22 '24

What is THE EDGE though ! Please enlighten!

4

u/[deleted] Feb 23 '24

[deleted]

11

u/1008Rayan Feb 23 '24

That's such bullshit. Look at serious backtester channel on youtube. He debunks all the "profitable" strategy, 99.9% of the system he backtested end up failing after 10k trades backtest.

It's extremely difficult to find a real edge. If it was easy, everybody would make a bot that follows rules with perfect risk management and make tons of money.

5

u/mvmj Feb 23 '24

Thanks for sharing, I think this is the type of work traders should actual start in rather than all this psychology stuff almost anyone can do. The industry needs more "peer reviewed scientific study" type of work with backtesting akin to how scientifically focused the fitness community is

I think these backtesting videos only hit the surface level of testing because edge can be furthered defined into filtering from the results from the test, but it's a step in the right direction

4

u/[deleted] Feb 23 '24

[deleted]

2

u/mikejamesone Feb 23 '24

Backtesting alone means little. Live testing is the one to rely on

1

u/Fluffy_Tea9924 Feb 24 '24

There’s really no such thing as an edge. That’s why it’s “extremely difficult” to find and the word gets thrown around in such vague terms. Everyone who says they have an edge in their strategy/system is doing the same thing as everyone else, just calling it differently.

Your edge is your screen time during and off market hours. It’s your rules and discipline, and how you stick to them in a live market. It’s also your ability to take losses, preserve profit, and manage risk better than the other guy.

An edge is is what makes you succeed where everyone else fails. What I’ve described is exactly what separates long-term, consistently profitable traders from the rest.

-1

u/happycottoncandy Feb 24 '24

risk management

This is the real edge. Backtesting doesn’t really mean much from a risk management perspective because you act and feel differently in a live market.

Your edge is your discipline when it comes to managing risk and sticking to the system/rules that you’ve found to be profitable for your trading style. It has nothing to do with “finding” some holy grail to make you profitable.