Every Year we use to conduct two workshop in two major cities. System Trading, Algo Trading and Trading system Concepts are the main agenda and those learning will be performed using Amibroker Software. For More Amibroker related updates visit http://www.marketcalls.in/category/amibroker
2. About Me
• Futures Trader, Algo System Designer.
• Author of www.marketcalls.in since Sep 2007
• Interested in Creating Trading Systems and Automated
Web Applications
• I love People hanging at my site.
• More www.marketcalls.in/about
5/12/2014www.marketcalls.in 2
5. No Subjective Interpretation
• No Trend Lines
• No Gann
• No Fibonacci
• No Elliot wave
• No Trading Patterns
• No Divergence
• No News
• No Fundamentals
5/12/2014www.marketcalls.in 5
6. Why Amibroker?
• Ease of Use
• High Speed Execution
• Supports Autotrading
• Custom Timeframe
• Multi Timeframe Support
• Backtesting, Optimization
• Scanning and Exploration
• Custom Indicators (AFL Programming)
5/12/2014Footer Text 6
7. AFL Basics
• AFL is an array processing language. It operates on
arrays (or rows/vectors) of data
• O – Open
• H – High
• L – Low
• C- Close
• V - Volume
• Ref(c,-1) – Previous Close array
• MA(C,10) – 10 day moving average
• Cross(C,EMA(c,10) – Candlestick crossover with 10 days
EMA line
• Barcount – returns the total number of bars
5/12/2014Footer Text 7
18. Why Trend Trading
• Slow and Consistent Profits in long term
• Lower Risk even with moderate winning ratio.
• Allow you to follow Discipline in Markets
• Reduces Emotional Trading
• Especially works with NSE Indices and Stocks(High
Beta)
5/12/2014www.marketcalls.in 18
27. Importance to Drawdown
• The peak-to-trough decline during a specific record period of an
investment, fund or commodity. A drawdown is usually quoted as the
percentage between the peak and the trough.
5/12/2014www.marketcalls.in 27
32. Benchmark Metrics
• Net Profit, Net Profit % - bad < 0, good > 0
• Annual Profit %, bad < 0, neutral betwen 0 and 10, good > 10
• RAR % bad < 0, good > (10 / Exposure)
• Avg. Profit/Loss all trades (Expectancy $) - bad < 0, good > 0
• Avg Profit/Loss % all trades (Expectancy %) - bad < 0, good > 0
• Max. system % drawdown - bad: dd worse than -30%, neutral:
dd between -30 and -10%, good - -10% to 0%
• CAR/MaxDD, RAR/MaxDD - bad < 1, neutral between 1 and
2, good > 2
• Recovery factor - bad < 1, neutral between 1 and 2, good > 2
• Payoff ratio - bad < 1, neutral between 1 and 2, good > 2
5/12/2014Footer Text 32
33. More the VIX more the money
5/12/2014www.marketcalls.in 33
34. Should I have to book Partial
Profits?
5/12/2014www.marketcalls.in 34
45. Don’t’s
• Trading with Others Money or Taking Loan
• Searching holy grail. “There is no secret sauce”
• Correlating Trading with News
• Correlating Trading with Fundamental Factors
• Trading with Wrong timeframe
• Searching for the paid signals/Indicators
5/12/2014www.marketcalls.in 45
46. Do’s
• Try to Follow Mathematical Models
• Understanding the nature of Trading System
• Back testing,Optimization
• Practice your strategy with Indices and Top traded
stocks
• Treat Trading as business not as gambling factor
5/12/2014www.marketcalls.in 46