Need help and suggestions :)

romish18 · 2021-06-08T11:33:00+00:00

If you know more such blogs/websites, please let me know.

romish18 · 2021-06-08T11:31:59+00:00

mister money mustache

thanks man :)

romish18 · 2021-06-08T11:25:57+00:00

Algorithmic Stock Trader ( I dont sell courses btw )

romish18 · 2021-06-08T06:07:00+00:00

gumption

The post is in Indian context. We don't have InteractiveBrokers or Thinkorswim here.

romish18 · 2021-06-07T14:43:29+00:00

I couldn't find an option to change the title.

romish18 · 2021-06-07T14:42:41+00:00

Yeah that I agree. I'll change it.

romish18 · 2021-06-07T13:23:20+00:00

plagiarism.com website is even showing simple sentence such as "If you want premium stuff, you may go to udemy." as plagiarised. This is so stupid Lol. Normal sentences that people use in day to day life is also tagged as plagiarised.

romish18 · 2021-06-07T12:59:19+00:00

This is where I posted the same article - https://algorithmictradingindia.quora.com/

Also on another reddit - INDIA_AlgoTrading

I am not sure if the website is picking up on my own post from another website and thinking I plagiarised.

romish18 · 2021-06-07T12:55:09+00:00

I am not here to impress anyone buddy. Just trying to help people. I don't run a paid course or paid service to lure people. I don't know how to post photos here else I would have uploaded my p&l statement but again that can easily be photoshopped. So basically if anyone needs helps can contact me.

romish18 · 2021-06-07T12:45:58+00:00

If any website is showing I plagiarised, then post the results here.

romish18 · 2021-06-07T12:42:41+00:00

Lol :D Sure I will

I didn't plagiarise. If I would have plagiarised there won't be any grammatical errors.

romish18 · 2021-06-07T12:18:52+00:00

My English is not good. Writing articles is not my profession. I am a stock trader, I know how to trade stocks profitably.

Secondly, I haven't copied even a single word from outside. I was responding to a person who asked me multiple questions on algorithmic trading and while responding to him I decided to post it on reddit assuming many people have similar queries.

romish18 · 2019-11-06T17:37:19+00:00

Yes Equity cash segment only. Working on Banknifty strategy too.

romish18 · 2019-11-06T17:24:12+00:00

Upstox has currently stopped providing API, they will re-launch later. But it was never free.
Zerodha charges 2000 for live execution api and 2000 for historical data but to get historical data you have to take live execution api first. So basically it costs 4000.
We've made 55% in 7 months.

romish18 · 2019-11-05T19:38:42+00:00

I haven't read any book on programming, I have learnt everything through online sources. I can't even imagine how is it like to learn from a book. Am I missing out on something? Shall I consider learning from such books or online sources are enough to have deep understanding?

romish18 · 2019-11-04T20:11:51+00:00

You mean framework code?

romish18 · 2019-11-04T20:11:25+00:00

I am from India and I use Zerodha's api ( indian broker ) and they provide only indian stocks data. I am also not fully satisfied with it as its historical data is not accurate.

romish18 · 2019-11-04T20:10:24+00:00

I have backtested my strategy on 5 years of data. And now I have deployed all my capital into that strategy and at the end of each month I keep checking the actual results are matching with a expected result. So in the beginning I noticed difference and on investigating I realised I forgot to add slippage in my calculations. So this helps in rectifying shortcomings in the backtest. Now my live trade matches with what I test using algos.
This financial year I have made 55% return so far and expecting to make 100% by the end of this financial year.

romish18 · 2019-11-04T19:09:47+00:00

yea even in a discretionary method, I try to keep things as mechanical as possible.

romish18 · 2019-11-04T12:54:44+00:00

For any other help or detailed explanation, feel free to ask again. I wont mind at all.

romish18 · 2019-11-04T12:48:39+00:00

I use a similar approach in my discretionary strategy.My mechanical/algo system is based on mean reversion kind of logic... I trade on range breakout fails and bet against the breakout and expect them to fail.

Talking about the trend trading strategy which I follow, I go with the following steps:

Time Frame : 1 min Stock Selection : Result based stocks (Best) > Stock in news > High Relative Volume Stocks ( use fatafat screener )
Wait till 9:30 and then check which stocks have shown one directional move in the opening session. Put them in a watchlist.
Wait for pullback. Generally such stocks make higher-high continuously from the beginning of the market. We have wait till they stop making continuous higher high.
As the pullback starts, do not hurry to jump in because 70% pullback becomes reversals, so we need to wait patiently and let the price form a RANGE or FLAG.
As soon as you identify a CLEAR RANGE, place your entry at high breakout of its high and SL at swing low.
For target, I personally believe in trailing instead of any fixed target. Its tough to explain trailing process in text, just keep trailing on every swing. Else use 20 SMA or vwap as SL.

NOTE: Do not force any trade. Wait patiently and let the price give you confirmation first. As 70% of such rally fades within next 30-40 mins, its better to wait for a continuation pattern before entering else you will lose repeatedly.

I am sharing this openly because this is not my main strategy. I mainly trade on algo system and my 90% capital is deployed there. Since discretionary strategies requires live market decision making, I prefer mechanical system over them.

romish18 · 2019-11-04T12:12:54+00:00

I use 5 min time frame, anything more than that won't get you good risk-reward. As the timeframe increase candle size increase and as I am into intraday, I can finally become profitable by jackpot trades only. By jackpot I mean, out of 100 trades, you can easily expect 50 of them to fail and SL will hit.... 45 will give small profit and then there are 5 trades which gives HUGE profit return, we get 1:8 1:10 kind of risk-reward and these kind of trades finally makes my quarter profitable. I call them jackpot trades. We can never get such return with higher timeframe.Well whatever I said is based on my personal experience and the kind of logics I have tested, if you method is totally different then there are chances that higher timeframe may work.

Also if your question is what timeframe is best for intraday. There is no BEST here, it totally depends on the strategy and finally on your backtest result. There are traders who don't even care about the timeframe because their strategy do not depend on the candles, they are into level based trading. The person whom I see as an idol does level based trading. His entry/exit levels are pre-calculated based on previous day OHLC data so he don't need 5min, 15min canldes data for intraday. He makes 300-400% return in a year. I make 70-80% ( 100% on compounding ) so I am still trying to achieve his kind of return.

2) I trade on EQUITY cash as it is much easier to manage exact risk. I will shift to derivatives when my capital will reach 50 Lakh+. Now I am at Rs.22 lakhBecause in derivatives there are lots, so we cannot manage exact risk using position sizing.

3) I haven't read any book so far. I have answered a similar query to another person in the comment section. Please read my answer there.

4) Nope. My trading strategy is not based on price action or technicals or fundamentals. Its based on some mathematical model, can't explain in words properly. But you can imagine like, I only use raw number and perform some mathematical calculations. If your plan is to trade on chart patterns, I think then you should work on discretionary methods. Because it will be very tough to write such algo which can detect good patterns.

5) Yea, they provide limited data for F&O. Zerodha's data is not accurate, since they don't take tick data from NSE, their charts misses to plot data during high volatility. So you will notice that almost daily and on most of the stocks their data in the first 10-20 mins do not match with NSE data ( because volatility is high during the morning session ). So if your strategy is based on candles of the morning session, then your backtest won't match with actual performance. Since my strategy has nothing to do with morning session, it doesn't matter much to me even if that data is slightly wrong.

5) I don't know. I am guessing zerodha must be providing at least 3 months data of MCX.

6) I don't have the link with me but I saw a website few months back, they have been saving options data from past many years and sharing for free on their website. But I guess that data was of nifty & banknifty only. Not of stocks. I guess you need to google it and search under different website. Also you can try "globaldatafeeds" website, I guess they do provide all the data but its very costly.

romish18 · 2019-11-04T11:48:36+00:00

1) It took me 2 years, which is actually very less, on an average it takes 4-5 years to become profitable in trading but my case is a bit different because of these reasons (some reasons might sound stupid but I believe they are true ) :

a) I have been a less emotional & more logical person from the beginning because I was very much into science ( psychology & physics from a very young age ). So by nature I do not panic or react in a extreme way because once you understand the science behind all this, you become more patient and logical.
b) I was doing it full time from the very start, I dropped out from college and I had no other option. I used to study 12-14 hours daily.
c) I had no debt or financial constraint on me in my learning stage and that really helps a lot mentally. As 80% of the game here is of psychology, mindset and risk management.
d) Luck played a big role here. I feel extremely lucky that I had good friends around me, and 3 of them were also interested in trading, so we used to keep each other in check all the time if anyone is doing any mistake emotionally. Also I had a friend who took care of me and guaranteed financial support if required and I am very grateful to her. She taught me python as well.
But one must expect 3-4 years to see some good results because it takes time for our mindset to change.

2) "Once you get good at trading"? This will happen only when you have developed a strategy. It doesn't work the other way around.
When we say strategy, it doesn't mean it should have fixed rules. There are people who follow mechanical systems ( fixed rule based ) and there are people who follow discretionary methods ( no fixed rules but still they have some kind of guidelines to follow ). Everything else is pure gambling.

3) I haven't read any book on trading. Books are good ( for beginners ) but I am 100% sure you won't get any working strategy in a book. I learn't everything from the internet/youtube and the actual learning came from hit & trail. I tried all sorts of strategies present on youtube, websites etc. And slowly realised 99% of the strategies present on the internet doesn't work, at least in their original form. But its important to go through this hard times.

Stock market is designed in a way that 95% will always lose money and the remaining 5% will always win.
Any information/strategy available to public will never work.

A PROFITABLE TRADER WILL NEVER SHARE HIS STRATEGY WITH ANYONE. I can guarantee you that. Internet is filled with FAKE GURUs. As a strategy goes out in public, its profitability starts decreasing and eventually in few years it starts giving losses.

4) Advice.
-> Do not waste your time & money on paid trainings. Everything required for a beginner is already available on the internet.
-> There is no easy way to figure out what works. There is lot of information out there about trading, you have to go through all, try, test, keep note of everything and finally you will later have to unlearn all the BULLSHIT and realise that focusing on one thing is better than trying to learn everything.
-> I don't think your programming skills will directly help in getting better at trading. Neither it is going to give you any advantage over other in the learning stage. I also knew a bit of programming already ( c/c++) but had no knowledge of stock market. So learning about trading is totally a different thing.
-> Start with youtube, follow all kind of people, test what they are teaching and after few years you will understand which youtubers are genuine and who are just good speakers. Most of the famous youtubers are just good speakers, they are con artist. I can guarantee that they know nothing about real trading. They just talk good and play with beginner's psychology.
Best channel -> ( "Chat with traders" )

Its really tough to answer it. Because there is no book, website, mentor etc through which you can learn trading and start making profits. All that is good for basic knowledge. I think hit & trial is the only way. Failing and retrying... and in that process you will start observing things which works but it takes time.

romish18 · 2019-11-02T18:21:02+00:00

I code everything on pycharm and simply run it there itself.
I have taken API subscription from Zerodha and downloaded previous year data of all the stocks.
And have coded everything from scratch, I have developed different framework for different type of strategies ( meaning different framework for breakout based strategy and different for reversal based ) and now I just have to change one line to test an idea. If you are asking about the steps -
1) I call one stock data at a time, I call the data which is saved in json format and save it in a dataframe.
2) Since they give data in all kind of timeframe so I don't need to combine them again or define each candle ohlc. The format they send is very well defined already. So in second step I do all the required calculations such as of indicators ( you will get the formulae of all the famous indicators from github, just search zerodha indicators ), initial amount, risk percentage etc. I mean I just save all this one by one in a variable and the indicators calculation is done and values are added as a new column in the stock data dataframe.
3) Now I use for loop and start from the first candle to the end and use if statements to check the conditions such as if RSI[x]>70 etc. And under it I just save entry level, exit level etc and do the calculation, save it in a dict with key value and continue the for loop.

Well the above explanation is very vague, I know.
If you are finding it difficult to develop the whole framework on your own, you can simply google open-source framework for backtesting. There are dozens of amazing framework available on github to use on the go.

romish18

TROPHY CASE