There are many trading rules in the world, but I'm not in the mood to read them. These are other people's trading ideas and operation methods, which can be used for reference at most. What we need to do is to comprehensively apply summary and combine what we have learned and seen to form our own ideas, but I have no habit of reading. If you walk too much, you will naturally become familiar, right?
I do have a few simple trading methods myself, which is what everyone calls the trading system. In fact, there is no need to speak so well, it is just an exercise. But then again, every trading technique is his personal summary of the disk, just like I have been using paintings to organize graphics recently. This is my personal summary. Simple and rude, drew a few lines, I'll buy it.
Graphics like this have great limitations when looking for them. Due to the fluctuation of the market, they should only be found at the right time. There is no way. Of course, there are some other graphics, but if you can't find them at the moment, there are no cases to give examples.
Therefore, if you want to establish a relatively perfect trading system, you need to have your own sense of disk and the ability to see through it at a glance. Otherwise, it is difficult to build a perfect trading system.
Everything is established in advance, and it is abolished if it is not foreseen. Without prior planning and preparation, and without a complete trading system, the transaction is impossible to succeed.
To build a complete trading system, it is necessary to complete the quantification of the four elements and computer programming based on a deep understanding of the time and space of quantity and price. It is relatively simple for stock operation, but for futures intraday trading, the perfection of trading system is the only way for advanced experts. The most powerful and complete trading system architecture is grid trading system.
Compared with trading logic, the construction of trading system can be completed by programmers under the guidance of experts, but the difficulty of trading logic is that it cannot be presented by charts. After the trading system is built, it needs to be supported by trading logic and tested in actual combat. The same perfect trading system, different trading logic operation results are quite different.
In addition, we need to know the following two points:
First of all, the formulation of trading system must have a global cognitive framework, and then the correct trading concept can be established, and finally the actual action can be guided.
Second, to understand the framework, we must list the main points of trading strategy, including the idea of building trading logic, trial and error cost, time frame and space frame.
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A complete trading system only needs two points: opening and closing positions.
Opening positions are divided into: entering the market to add positions;
Liquidation is divided into: take profit or stop loss.
The trading system can provide you with: opening signal and closing signal. Just these two are enough. The scale of remaining positions, fund allocation, withdrawal control, etc. It's all about the fund management system.
The so-called construction of trading system is to turn the usual subjective and random trading plan into a fixed and streamlined trading system, so that it can be repeated in future transactions and screen out trading opportunities that do not conform to the system.
For example, if you always open a position at a certain breakthrough point, then solidify this way and form the opening signal of the trading system. When there is no breakthrough, insist on not opening positions.
Trading system can be quantitative or non-quantitative. The general quantitative trading system is constructed by technical indicators, while the non-quantitative trading system is constructed by morphological recognition. The opening and closing signals of quantitative trading system are relatively clear, which can be generated by computer programs and used more.
When building a trading system, we must pay attention to the integrity of opening and closing signals. If there is a possible market, the closing signal cannot be triggered after the opening signal appears, and the system is incomplete. For example, if you design a liquidation signal and hold multiple orders, you need to rebound to a certain extent in the falling market before you can close your position. Then this liquidation signal may never appear. This is an incomplete trading system.
The trading system is not mysterious or complicated, just like the chopsticks we use when eating. It is suggested to learn from the classic trading system, and then gradually improve, redesign, and finally choose the trading system that suits you.
A complete trading system must be a closed-loop trading system.
Closed-loop trading system includes two parts, analysis system and specific trading (operation) system.
The analysis system is your judgment on the market and specific trading varieties, including the judgment on the level, the judgment on the trading signal, that is, the so-called resumption, to find out the varieties that are about to have trading opportunities, including timing, where to open positions, when to open positions, stop loss, take profit, and how many positions. After such a series of procedures are completed, the specific execution trading system will be implemented.
To analyze the system, you must start from the judgment of the market level and do a complete closed-loop thinking of opening positions, stopping losses, adding positions and taking profits. You can't decide to open a position at will with market fluctuations, but you should have your own supporting plan and implementation plan.
Let's look at how to analyze the market:
The operation of the market is nothing more than three situations, sprint-consolidation-sprint, taking the chart as an example:
The key is that you judge their critical point according to your own knowledge and experience, and just find this critical point.
In terms of specific implementation, when you find the critical point, make a good trading plan, make plans for opening positions, stopping losses, taking profits and adding positions, just wait for the market to come out and enter the market.
This also includes many things on the psychological level, technical level and fund management level. When you form a closed-loop trading system, and the expectations are positive after testing, then you will firmly implement it.
This is actually one of many forms.
Good luck with the transaction.