what_is_better_the_auto_trade_with_EAs_or_manual_trade? - page 7

 
Sergiy Podolyak:

Are you kidding us (or only me)?

http://smallbusiness.chron.com/diversified-vs-nondiversified-investment-company-37629.html

"Diversified Vs. Non-Diversified Investment Company

by Chirantan Basu, Demand Media

Investment companies invest in various securities, such as cash, bonds and stocks. Diversified investment companies, such as mutual funds, usually invest in several asset categories and in different securities within each category. Non-diversified investment companies usually invest in one specific asset category or industry, and in a few securities within each industry. Small business owners and other investors can use diversified and non-diversified investment strategies for capital appreciation, regular income or a combination.

........

According to the Investment Company Act of 1940, a diversified investment company cannot hold more than 5 percent of its assets in a single security and not more than 10 percent of the securities of a single issuer."

----------------------------------------------------------------------------------------------------------------------------------------

Diversification is a core of robust investing and accordingly medium- and long-term trading.

And it is now required by law not only for investment companies, but even for pension plans:

https://www.law.cornell.edu/cfr/text/26/1.401%28a%29%2835%29-1

"26 CFR 1.401(a)(35)-1 - Diversification requirements for certain defined contribution plans."


also:

http://www.icifactbook.org/fb_appa.html

"How investment company operations and features serve investors, examines the tax treatment of funds, and describes the core principles underlying investment company regulation."

etc.


yes off course this is required by law. I also don't tell this is not right what you say. But there is nothing written in the amount of positions he needs to open, and this is what I tell you.

You wrote me: Professional trader REQUIRED by law  to diversify portfolio and manage 50...100 positions - in order to reduce risk.

First is correct, he need to diversify portfolio but your 50-100 position not. He don't need to have a minimum amount of positions but common is 50-100 positions.

Edit: After reading once again I got you, I thought you mean he needs to open 50-100 positions also by Law, excuse me for mis understanding

 
Tom Kasper:
yes off course this is required by law. I also don't tell this is not right what you say. But there is nothing written in the amount of positions he needs to open, and this is what I tell you.
You wrote me: Professional trader REQUIRED by law  to diversify portfolio and manage 50...100 positions - in order to reduce risk.First is correct, he need to diversify portfolio but your 50-100 position not. He don't need to have a minimum amount of positions but common is 50-100 positions.

Edit: After reading once again I got you, I thought you mean he needs to open 50-100 positions also by Law, excuse me for mis understanding

Ok. Let's forget about it.

I can add here from there:

https://www.incrediblecharts.com/trading/2_percent_rule.php

"Larry Hite, in Jack Schwager's Market Wizards (1989), mentions two lessons learned from a friend:

  1. Never bet your lifestyle -- never risk a large chunk of your capital on a single trade; and
  2. Always know what the worst possible outcome is.

Hite goes on describe his 1 percent rule which he applies to a wide range of markets. This has since been adapted by short-term equity traders as the 2 percent rule:

The 2 Percent Rule: Never risk more than 2 percent of your capital on any one stock.

This means that a run of 10 consecutive losses would only consume 20% of your capital. It does not mean that you need to trade 50 different stocks -- your capital at risk is normally far less than the purchase price of the stock."


In present days : Forex+automatic trading system+good terminal = really allow you to trade 50 pairs (stocks).

Incredible Charts: Money Management: the 2 Percent Rule
Incredible Charts: Money Management: the 2 Percent Rule
  • Colin Twiggs
  • www.incrediblecharts.com
The 2 percent rule is a basic tenet of risk management (I prefer the terms "risk management" or "capital preservation" as they are more descriptive than "money management"). Even if the odds are stacked in your favor, it is inadvisable to risk a large portion of your capital on a single trade. Larry Hite, in Jack Schwager's Market Wizards...
 
GOOD
74 VOTERS
51% MANUAL
49% AUTO
 
76   votes


Again 50/50%     ♥·♥♡♥♡


!
 

The combination its better.

Actually , auto trade is based on manual analyze of your experience before. Keep look the fundamental to re-gain your good EA .

Keep try hard :)

 
Of coursr

Just where is the developer who is not just a programmer.
Developer and ANALYST who has the big knowledge in mathmatics and good mood to perform your imagens from manual trades to auto.
Most developers here are fast only to get their money. in addition, they dont have good knpwledge in forex even...
 
Mohammad Soubra:
Of coursr

Just where is the developer who is not just a programmer.
Developer and ANALYST who has the big knowledge in mathmatics and good mood to perform your imagens from manual trades to auto.
Most developers here are fast only to get their money. in addition, they dont have good knpwledge in forex even...

Most developers here are fast only to get their money. in addition, they dont have good knpwledge in forex even...

Dear friend,

That is not developers problem. If you go with them, that is your problem. In forex market, beginner start think, they can be a millionaire within a month / week. "in addition, they dont have good knpwledge in forex even..."

If you select them, that means you don't know, what is forex. 

 
Pankaj D Costa:

Most developers here are fast only to get their money. in addition, they dont have good knpwledge in forex even...

Dear friend,

That is not developers problem. If you go with them, that is your problem. In forex market, beginner start think, they can be a millionaire within a month / week. "in addition, they dont have good knpwledge in forex even..."

If you select them, that means you don't know, what is forex. 

Ok mr Pankaj
As u wish
Thanks for you reply
Feel free
:)
 
Mohammad Soubra:
Of coursr

Most developers here are fast only to get their money. in addition, they dont have good knpwledge in forex even...
YOU mistake. not dev's
 
Marco vd Heijden:
YOU mistake. not dev's
Hahaha
Reason: