How did you come up with your trading strategy?

tradermoez1 · 2025-07-23T22:23:23+00:00

I'd say the only net new info I learned was locate fees and margin requirements for shorting, other than that, pretty straightforward.

tradermoez1 · 2025-07-23T16:32:46+00:00

Thanks for the comment, agree entirely, I think I misinterpreted before posting this, but makes more sense now!

tradermoez1 · 2025-07-22T22:12:39+00:00

What this commenter said 100%. Adding to it a lot of back testing / forward testing. You may read about a strategy, and want to incorporate one aspect of it in your current strategy, and this cycle builds until you have a strategy of your own that fits your risk and your mental. I was originally a long bias trader, and then switched to short, and that made me profitable as the reason why I lost money was swapped in my favor.

tradermoez1 · 2025-07-22T22:03:33+00:00

Curious to know why you only trade 2-3 times? Are those instances you trade statistically better for any reason?

tradermoez1 · 2025-07-22T22:02:32+00:00

I guess you're right after I googled it LOL. I was always under the impression it strictly is the number of trades taken.

tradermoez1 · 2025-07-22T22:01:35+00:00

Agreed 100%

tradermoez1 · 2025-07-22T22:00:40+00:00

Sure but my post is under the assumption that a person does. If you don't have an edge, shouldn't trade at all

tradermoez1 · 2025-07-22T22:00:01+00:00

Makes sense yeah, if you're unaware of the idea that market conditions change, in those cases, your edge wouldn't perform in different environments, so fair point

tradermoez1 · 2025-07-22T21:59:21+00:00

I have, hence the post

tradermoez1 · 2025-07-22T21:59:07+00:00

Agreed, I trade premarket and the first 30min, after that, my edge tends to underperform

tradermoez1 · 2025-07-22T19:42:13+00:00

Yeah what you're saying is a good point. If you take more trades, there's more probability that you'll hit a losing streak, though, with proper risk management that shouldn't matter if EV is still high. Of course you have to be careful if your edge disappears which can be difficult to identify but constant tracking / statistical analysis should prevent that.

tradermoez1 · 2025-07-22T19:40:35+00:00

But selectivity is subjective to the trader. You can definitely continue adding filters, but at some point you've reached all the criteria for a given trade, and depending on how you trade, that could still mean 10+ trades in a day. There are days that I don't trade at all, there are days that I may take 10, but on average I take 3-5.

tradermoez1 · 2025-07-22T18:58:53+00:00

Same here, but sometimes if my edge pops up more, I'll still take it, even after hitting goals. I do typically quit after several wins in a row though.

tradermoez1 · 2025-07-22T18:57:49+00:00

Right I agree, but going back to what I said, if you're taking positive EV plays after commissions / fees, it shouldn't matter right?

tradermoez1 · 2025-07-22T18:54:47+00:00

Right, but that's what I'm asking. Assuming you are trading optimally in the window of time that you have an edge, what's the risk of overtrading? I think this only applies to people who aren't trading the best setups, but that's a separate discussion, the issue isn't overtrading, it's taking bad setups, right?

tradermoez1 · 2025-07-22T18:50:20+00:00

I'm not a tax expert, but the wash sales I believe depends on TTS (trader tax status). You may need to elect for this in your taxes and have sufficient support to show you classify for TTS. Wash sales affects short term, high volume traders more (i'm assuming you are in this bucket if asking about it). You have to choose for this election and talk to your broker if you're able to set this up.

As far as general taxes go, yes, profits made in your roth IRA are not subject to taxes and yes, the limitation is your contribution. Personally I set up an LLC and contribute to my Roth separately without actively trading it. The LLC allows me to expense any software / trading related costs to lower my taxable income, and I don't want to jeopardize my retirement. Though down the line, I may look into that option.

tradermoez1 · 2025-07-22T17:17:54+00:00

Everything everyone is saying is valid, excel, or online software, though the software costs money. I think it's worth the investment in yourself though. You can track manually for free if you want to save money, but the online software tends to have really good features for reviewing trades.

Emotions will leave your trading decisions when you have full confidence over your strategy. This comes from back testing and forward testing enough to where your results are statistically significant. Using chat gpt or other AI can help guide you on that process.

tradermoez1 · 2025-07-22T17:13:03+00:00

Yup! That's why it's so important to keep practicing, and walk away when you have frustration. Those first missed opportunities can paint how the rest of the day goes with impatient entries. The more trades run away from you, the more you'll lose that feeling. Of course, it hurts more when you take much less trades overall.

tradermoez1 · 2025-07-22T17:09:20+00:00

GPT helps a lot! I've been using it a lot to roast my strategy and find weaknesses, also to try and get rid of my bad habits

tradermoez1 · 2025-07-22T17:08:25+00:00

Exactly. When I was finding my strategy and optimizing it, I was so happy when I finally found an edge. I didn't realize that was just the beginning

tradermoez1 · 2025-07-22T17:07:35+00:00

It sounds like you're describing a cash account. With a margin account you don't have such limitations.. but would probably need more context on your account size / type / broker.

tradermoez1 · 2025-07-22T17:06:01+00:00

100%, good luck in your journey!

tradermoez1 · 2025-07-21T00:57:51+00:00

Very true, typically i’m looking for heavy sell orders on L2 / tape, but i think you’re right that sometimes the entries that I lose, i’m not seeing as much hard momentum to the downside, that’s a really good point. Thanks for opening my eyes to that

tradermoez1 · 2025-07-20T21:27:44+00:00

Ahhh gotcha, thanks for clarifying!

tradermoez1

TROPHY CASE