Sticky: A Better Recipe for Discretionary Traders

Graybox Trading

Jun 06

I wanted to share how I am structuring my discretionary futures trading going forward. In a nutshell, I am shutting down or rather restructuring all of my discretionary futures trading into BeyondBots:

  1. Instead of day trading markets in real-time, instead day trade them in the simulator or very low risk micros. However, the core focus instead of making profitable trades shall be capturing the market cognition. I do not know about you but I know that my thinking is exceptionally clear, lucid, high bandwidth when in a trade. But, I often nearly instantly lose access to much of that information as soon as I’m out the trade. That’s a problem because it doesn’t lend itself to iterative refinement. The goal is to try to capture as much of that information as possible for step 2.
  2. Program each setup based on the “captured logic” into my BeyondBot.
  3. Backtest and refine.
  4. At this point, if the edge is rather robust, I can turn it on and let it run mostly automated.
  5. However, if the setup only works in specific scenarios then I can rehearse it in the market replay.
  6. The point is to eventually completely move away from manual execution.

About the Author

The author is passionate about markets. He has developed top ranked futures strategies. His core focus is (1) applying machine learning and developing systematic strategies, and (2) solving the toughest problems of discretionary trading by applying quantitative tools, machine learning, and performance discipline. You can contact the author at