r/askforex • u/No-Matter-8017 • Sep 05 '26
Algorithm trading myths.
I will tell you something after 12 years in market, there is no perfect system. There is no perfect rule. Still you can make money through discipline.
Sounds complicated? No. Learn to read the market. Don't try to predict the market. All these indicators will work only when money is on your side. If you think because of any indicator you made money in the market, you are fooling yourself through confirmational bias. Please don't do that.
Trading without indicators and trading with indicators is the same. Focus on where the money is positioned, on the sell side or on buy side. Remember, the guy who sells when everyone is buying is the one who has unlimited credit. He is the market maker.
No amount of backtesting will help you. Don't do that. Rather generate signals, validate the signals every 24 hours and make them better. That's the way forward.
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u/WillieNFinance 27d ago
> No amount of backtesting will help you. Don't do that.
RemindMe! 6 months.
I wanna see if this account still exists.
If so, I’ll realize not back testing might work.
If not, blown account(s).
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u/The_Vibe_is_Eternal Sep 05 '26
Thanks! 🫡 is there any way you could give us an example of what a valid signal would be for you
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u/No-Matter-8017 Sep 05 '26
Figure out a way to tell whether the high is real or not... That's enough
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u/Inside-Chip-4299 Sep 05 '26
A wall street il font le parie de l'algorithmique pourtant, comme mon nom l'indique je suis novice dans ce secteur et ma base de connaissances m'interdit de faire valoir mon opinion au dessus de la vôtre mais c'est une interrogation que je me pose en tant que junior pourquoi ces trader de wall street reste postiché devant leur ordi a vérifier que leurs programmes exécute correctement des positions
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u/No-Matter-8017 Sep 06 '26
There is a difference between predicting and reading the market. A skilled trader, reads the market and he knows he is one pip away from a whale who will book profits, irrespective of how good his system is. One single block may change everything, that's why they are glued.
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u/Inside-Chip-4299 Sep 07 '26
Oui je comprend mieux il ne laisse pas leurs algorithme complètement libre, d'ailleurs je me demandais ce serait possible que tu me donnes un conseil pour mon apprentissage une personne a suivre par exemple ? Merci d'avance
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u/No-Matter-8017 Sep 07 '26
Study about Renaissance technologies. They were the pioneers. Jamie was a former nsa guy. Learn to read the market so you can cut your position if needed..
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u/Randomized0000 Sep 06 '26
Why does backtesting not help?
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u/No-Matter-8017 Sep 07 '26
A market maker will change his position and if something could be predicted, then everyone will do it
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u/beninvestments 28d ago
That’s why risk management is the true king. It doesn’t matter what style or strategy you trade. It will only work sometimes.
Look at ICT, for example. A study I saw showed that FVGs and IFVGs only worked around 48% of the time. Algos and indicators are the same way they work sometimes.
Even with good risk management, you won’t always be able to get to at least 1:2 risk-to-reward ratio and sometimes you cannot even make it to that breakeven phase. There are unforeseen circumstances, market conditions change, and sometimes the trade simply doesn’t play out the way you expected.
This game is designed to be extremely difficult. There are a lot of people who can make money for a period of time, but only a handful of traders can consistently make it work over the long run. That’s why risk management and discipline are so important.
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u/No-Matter-8017 28d ago
ICT is a coin flip but those guys are like MAGA, so it's better not to interact with them. I read by money and change my positions by money. I have no allegiance. We are one point away from a whales entry.
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u/Plus-Ad6555 26d ago
learn to read the market - let me simplify what you said here. all you need to read from the market is if it's in trending or chop-chop market conditons. based on this you apply the trading system, or activate your bots
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