I wanna ask one question which is vital to every automated trader out there...
My automated system entered into a losing streak after 2 winners when I turned on trading live 2 weeks ago.... I lost all the profit I made during those winners and drawdown phase started. Do not know when this thing will end... It makes me psychologically nervous sometimes but I believe that I backtested my system correct and backtest data shows that it has 8 months of negative return and 40 months of positive return out of 48 months. My position size is calculated according to backtest data too. So I believe I did the required study but this drawdown makes me psychologically vulnerable...
Before I was trading discretionary looking at lots of parameters, news, order flow and I was thinking I am in control. After I turned this automated strategy on, I feel I lose control and I am in mercy of a few lines of code...:egg:
so my question is how do you cope with this losers and drawdowns and letting your hard earned money into a few lines of code?
and when you switched from discretionary to automated, what was your initial feelings about automated trading?