I love stocks and have been trading stocks since I was 18 years old. After completing a coding boot camp my goal for 2020 is creating a trading algorithm! Super excited! I made 2000% in 2019 trading options on Robinhood but my emotions destroyed all my gains.
Got some news for ya brotha. Been trading for >25yrs, first discretionary with a Hedge Fund straight outta undergrad, then Index/StatArb also professionally in our Hedge Fun environment, then Algorithmically trading global Stocks, Futures, and Options. Now we trade a portfolio that includes a wide array of systems... a Portfolio of Systems. And even after all this time we still have good days and bad days. And even after all this time the bad days ALWAYS hurt worse than the good days feel. This is just a fact of life as a Trader going up against the best and brightest minds on the Planet. Note: To avoid the PDT rule, you can start with a certain minimum amount of capital (different for differing B/D's) but generally for a minimum account size of ~$125k to ~$150k one can be approved for a type of account called a "Portfolio Margin Acct," which is what all the floor brokers have in addition to certain sufficiently capitalized "Individual" and/or "Prop Accts," The benefits to trading with a "Portfolio Margin Acct," are enormous in many many ways. A description of them are beyond the scope of this comment. But, I would HIGHLY suggest that everyone who seeks to avoid the VERY limiting and highly costly "PDT rules," should look in to and read up on this "Portfolio Margin Acct" type. Then seek out the B/D that fits one's other needs that will also approve one's acct with using this very specialized acct type. You'll thank me later. BTW: Don't worry if you don't have the minimum capital for a "PM acct." Work on building, validating and testing your own ideas. If they have merit...one can always find money to support your particular break-through...i.e. You can find Backer's that will "stake you" into the business. Then scale up fast from there. Ya got to have size to generate the IRR required that can overcome "transactional costs" ( the B/A spread is but one component), and to overcome "Taxes" and still make a good living. BTW 2: Avoid Robinhood. Sounds good at first until their system goes down in fast markets and you're stuck with bad positions going against you. Just ask the poor saps who got buttfawked when RH went down 4 days in a row during this last sell-off in Feb-Mar 2020. RH's negligence has put many Traders into Bankruptcy. G/L
I know this was posted nearly a year ago, and I’ve watched your other videos and really lived your style. I’ve been wanting to get in to algo for a while now and I think you’d be the best person to watch and learn from! Please consider actually making the algo series!! Cheers
I think you should make a series/playlist on this. AlgoDev sounds like a great idea. Also, thank you for making this video. There is a lack of helpful Algotrading information on RUclips
It’s a no start. Algo trading has been around for a very long time. Milliseconds matter for high frequency trading. Programs already exist for this basic trading. Buy at X. Sell at X. If it was easy, everyone would be doing it and then it would be extremely competitive and not easy. Every programmer has considered it and reached the same conclusion. It’s may be a good study to just check out existing, complete systems. Also, dealing with money is extremely non trivial. Real developers make a lot of money - starting at 300 k just at the beginning of their career. 4-5 can be expected at the elite level. These programmers really are software engineers at this point and work at lower level languages like c++. Performance and optimizations are critical and where a bug can cost a years salary in a few minutes, it is extremely an elite game. Think about this. If you really could do this yourself, And you made a lot of money, and your livelihood depended on it, would you really show everybody how to become a direct competitor to you. That’s why certain software would like trading and try finding software that can put together a puzzle automatically from the photo. You can’t. Because the same software can put together shredded documents which is extremely valuable. Of course the problem set is very difficult to. More simple things like shortest path algorithms for shipping are still very complicated when you attach financials to it. People have figured it out, but very few, and it’s not in their best interest to train a bunch of competitors. Might as will smash your hands with a hammer. Of course sharing the knowledge for all of the foundational stuff every professional should do. But many don’t either way.
@@waynefilkins8394 I'm not an expert but I believe you would train your ai on the historical data and point it at the stream with a fake account to start testing
Bro, I'm also interested in computer science and also trading. Wow coding is fun, I love it. And I'm also interested in stock market. You are really helping me bro.
DO IT. Make your projects based on this stuff. I did 2 projects this year in compsci, a volume tracker (group project c++) and my final project was building and algo with Sierra charts. Graduated a few days ago and now I'm doing the quantopian/python stuff :) best move I ever made.
Forrest. This looks like a great topic to expand on. You did mention quite some time ago that this was one of your goals. I will take a look at these web sites too and so if you do a video after each lesson it will be great to exchange ideas. I like how you are applying your knowledge into a practical use. I also like how your videos are not just product reviews and your videos are unique. Keep up the great work and I look forward to following along with you. Love the moustache btw.
Hey forrest, you never really followed up on this, as far as I can see from your video log. But I think a lot of us would appreciate some kind of an update on where you’re at with it. This is an extremely interesting project that I just saw another programmer delving into, and would love to see more from you on this topic.
The Algo-Dev series sounds super interesting! I'd love for you to do them. I never really fully understood how the stock market worked, so I'd love to learn more about it and learn the proper ways of investing on it. Also, the mustache is a little distracting, tbh. xD Not that it looks bad, it just stands out a bit too much. I think you looked best with your Pewdiepie beard or the best one, completely shaved or with a small beard. But if you wanna keep your mustache by all means do.
it's been 4 years with no update so we must assume you failed to create a successful algorithmic trading system. can you tell us why you failed? that could be very helpful for people thinking about getting into algo trading, many of whom do not have as much coding experience as you do
Very excited to watch this series! I'm currently developing and figuring out my own trading bot algorithm for currency pairs - from what I've learned so far in my CS degree and some self taught technical analysis - so I'm really interested to see how you've implemented it. So please try be as detailed as you can because I'm sure anyone watching will appreciate it.
hi, i like your style of mustache, it reminds me of Tom Selleck. In your video I could not catch you in last, may be you were very fast or of my poor English & me being non tech, me a person of 54 yrs old starting learning software to compete with my son, nephews, nieces & many more young chaps in my family.
I myself am I profitable trader in the forex market & would love to be able to automate & how you said extract the emotions from my strategy using an algo. hopefully you ended up doing the algo-dev series because I really found this video helpful thanks for pointing me to the right resources. I've never coded in my life but I have spent some years now studying the art of trading so if I learned that I'm sure I can pick up coding right? lol
Incredible content, similar background working on a similar project on my spare time. But I'm using machine learning (tensorflow) with tick data to create my algorithm. Still a long road ahead but looks promising. Can't wait to hear more from your stuff
Robin Hood is actually micro traits mean that it enables a person to buy fractions of shares rather than having to purchase the whole share a guy could buy say $0.05 or $0.10 of a share he don't up a fraction of a share enabling low income people to buy large big cap chip stocks with pennies never achieve only it it's the fractions of a stock would you can purchase for a penny or 5 cents
For some reason the start of the video (between the 2 intros of how awesome he is) is the best part: just google resources algo trading. It'll be of more help.
Trading algorithm series is very exciting and I am super interested and hyped for it! I am just in high school but the stock market has always been an area of interest! Keep the stache! Makes you look like a "Forest Knight" lol.
Man i love this idea and i had it a few weeks ago and started planing and i stumbled upon this video. The resources will be very helpfull and i hope it will turn out great. If you have any advice from pro to new comer to programing i would be very grateful. Keep up the great work i like you content a lot and im exited to see how you and your channel grow
hey bro great video!, one question, for the pattern day trading the most efficient way to trade is to trade monday -thuesday, then the wednesday dont trade, and then trade the thursday and friday? , this pattern will be fine?, thank
Sucks that you didn't upload a follow on video about your journey. It's not as much as sharing the algorithm that you've used (and whether you made/lost money testing it) as much as how the development itself went and that journey - your ups and downs. Hope to see it sometime in the future!
Yes robinhood, had a major outage. Free trades but get hammered on spread. Great shit robinhood. Quantopian you need to pay for good historical tick data
Hi ForrestKnight, Thanks for your video! I wonder if you've given thought to this strategy: often traders lose money because their stop loss gets hit and the price bounces back but the trader is no longer holding that position. What if you can write code that upon your stop loss sale, you place a limit order to buy back at the sale price? And then on the upside, you set a trailing stop loss (and if the trailing stop loss gets hit, you’d also place a limit order to rebuy the stock at the stop loss price) This strategy essentially limits your downside and lets you participate more fully on the upside, and takes the “art” out of guessing the optimal stop loss and take profit price levels. I wonder if you’ve ever considered this strategy and if you see any problems with it. Thanks in advance for your response :)
I'm here at 1:00 and I'm like "Wait, you had extra money to risk trading as a college student?" I'm realizing where I went wrong. I didn't start with money :p That said, good video and good advice! I'm looking at turning some of my data analysis and machine learning python scripts into quantopian bots.
I made my own trading robot and tested it on old data and found that it was 80% effective, but when I tried it on real data, I noticed that it was not working, I don’t know why, even though I use a good server with a fast speed
That looks super intersting! Will you use a grapich patterns and photo analysis on your algorithem or more fundamentals analysis? (sorry for the bad grammer)
That's a good question. Once I move past the paper trading, I'll probably start off in the low hundreds per trade with a potential to make a few dollars or tens of dollars on a day trade.
Cool. Planning to learn stock trading as well in a few months, but I think I'll most likely choose the mid/long term approach and not the day trading one (ben graham's book you link in description is on long term trading I believe). Very interested nonetheless for your journey; let us know about the struggles, please don't become a clickbaity youtuber like most finance youtubers I see lol.
Hi, your approach sounds interesting. For someone with a finance background but no coding background, what's a good place to begin learning to code (in terms of learnings a language)?
A couple of remarks... Quantopian: I would never trust a company where you need to store and run your algorithm on THEIR server. Python: slow, so only suitable for simple strategies. Robin Hood: Nothing is 'free', go check their spreads ;-) Cheers!
You were great in "Narcos" season 1.
I thought the exactly same thing
Luke Schofield 😂😂😂
"The hippies had been replaced by Colombians, and these guys didn't wear flip-flops.”
😂😂😂😂
I missed him in season 3.
Forrestknight: Talks about algo trading.
ALSO ForrestKnight: Recommends Robin Hood.
Well its not bad if you have $100
@@jwhi419 LMFAOOOO
i don't get it
Mustache is super 80's, kind of loving it.
That channel intro with film strip is just so pleasing to watch
I love stocks and have been trading stocks since I was 18 years old. After completing a coding boot camp my goal for 2020 is creating a trading algorithm! Super excited! I made 2000% in 2019 trading options on Robinhood but my emotions destroyed all my gains.
Nicee, I’m trying to do the same thing
Got some news for ya brotha. Been trading for >25yrs, first discretionary with a Hedge Fund straight outta undergrad, then Index/StatArb also professionally in our Hedge Fun environment, then Algorithmically trading global Stocks, Futures, and Options. Now we trade a portfolio that includes a wide array of systems... a Portfolio of Systems.
And even after all this time we still have good days and bad days. And even after all this time the bad days ALWAYS hurt worse than the good days feel. This is just a fact of life as a Trader going up against the best and brightest minds on the Planet.
Note: To avoid the PDT rule, you can start with a certain minimum amount of capital (different for differing B/D's) but generally for a minimum account size of ~$125k to ~$150k one can be approved for a type of account called a "Portfolio Margin Acct," which is what all the floor brokers have in addition to certain sufficiently capitalized "Individual" and/or "Prop Accts,"
The benefits to trading with a "Portfolio Margin Acct," are enormous in many many ways. A description of them are beyond the scope of this comment. But, I would HIGHLY suggest that everyone who seeks to avoid the VERY limiting and highly costly "PDT rules," should look in to and read up on this "Portfolio Margin Acct" type. Then seek out the B/D that fits one's other needs that will also approve one's acct with using this very specialized acct type.
You'll thank me later.
BTW: Don't worry if you don't have the minimum capital for a "PM acct." Work on building, validating and testing your own ideas. If they have merit...one can always find money to support your particular break-through...i.e. You can find Backer's that will "stake you" into the business. Then scale up fast from there. Ya got to have size to generate the IRR required that can overcome "transactional costs" ( the B/A spread is but one component), and to overcome "Taxes" and still make a good living.
BTW 2: Avoid Robinhood. Sounds good at first until their system goes down in fast markets and you're stuck with bad positions going against you. Just ask the poor saps who got buttfawked when RH went down 4 days in a row during this last sell-off in Feb-Mar 2020. RH's negligence has put many Traders into Bankruptcy.
G/L
would love to see a series of this!
I know this was posted nearly a year ago, and I’ve watched your other videos and really lived your style. I’ve been wanting to get in to algo for a while now and I think you’d be the best person to watch and learn from! Please consider actually making the algo series!! Cheers
I think you should make a series/playlist on this. AlgoDev sounds like a great idea.
Also, thank you for making this video. There is a lack of helpful Algotrading information on RUclips
This interests me a ton! I’m a SE student right now and I would love to follow along and try this out!
It’s been a year since this video. Do you have an update on your algo trading plan?
Ivan_G it was 2019... I highly doubt he did well...
Kevin Avila no it was made in oct 2018
t9oo6t I was stating that he traded through 2019...
Odds favor he doesn't
@@kevinavila8921 S&P, NASDAQ and DJIA all did 20%+ last year
The video is one year old, did i miss something ? Bcs i don't find the algo-dev serie
It’s a no start. Algo trading has been around for a very long time. Milliseconds matter for high frequency trading. Programs already exist for this basic trading. Buy at X. Sell at X.
If it was easy, everyone would be doing it and then it would be extremely competitive and not easy.
Every programmer has considered it and reached the same conclusion.
It’s may be a good study to just check out existing, complete systems.
Also, dealing with money is extremely non trivial. Real developers make a lot of money - starting at 300 k just at the beginning of their career. 4-5 can be expected at the elite level.
These programmers really are software engineers at this point and work at lower level languages like c++. Performance and optimizations are critical and where a bug can cost a years salary in a few minutes, it is extremely an elite game.
Think about this. If you really could do this yourself, And you made a lot of money, and your livelihood depended on it, would you really show everybody how to become a direct competitor to you.
That’s why certain software would like trading and try finding software that can put together a puzzle automatically from the photo. You can’t. Because the same software can put together shredded documents which is extremely valuable. Of course the problem set is very difficult to. More simple things like shortest path algorithms for shipping are still very complicated when you attach financials to it.
People have figured it out, but very few, and it’s not in their best interest to train a bunch of competitors. Might as will smash your hands with a hammer. Of course sharing the knowledge for all of the foundational stuff every professional should do. But many don’t either way.
@@johnmadsen37 300k for a jr. dev job? Even in San Francisco, that sounds pretty ridiculous to me.
@@ajricherson1099 I was going to ask if that was in _rupees_ or what...
Anyone know how I can set up a data stream with years of historical stock data but also brings in new data every tick? (5 minute candles)
@@waynefilkins8394 I'm not an expert but I believe you would train your ai on the historical data and point it at the stream with a fake account to start testing
Bro, I'm also interested in computer science and also trading. Wow coding is fun, I love it. And I'm also interested in stock market. You are really helping me bro.
DO IT. Make your projects based on this stuff. I did 2 projects this year in compsci, a volume tracker (group project c++) and my final project was building and algo with Sierra charts. Graduated a few days ago and now I'm doing the quantopian/python stuff :) best move I ever made.
@@MasterWestt good
Please make a series out of this
The power of positive thinking👍🏾
Forrest. This looks like a great topic to expand on. You did mention quite some time ago that this was one of your goals. I will take a look at these web sites too and so if you do a video after each lesson it will be great to exchange ideas. I like how you are applying your knowledge into a practical use. I also like how your videos are not just product reviews and your videos are unique. Keep up the great work and I look forward to following along with you. Love the moustache btw.
Thank you for this. Especially the real-life advice in the beginning. Liked and subscribed!
I never thought Uncle Rico would be the one to help me with algorithm coding
I'd love it if you made an Algo-dev series, keep up the great work man!
Hey forrest, you never really followed up on this, as far as I can see from your video log. But I think a lot of us would appreciate some kind of an update on where you’re at with it. This is an extremely interesting project that I just saw another programmer delving into, and would love to see more from you on this topic.
hey , who is the other progrmammer ??
Shaggy using 5% of his brains: algorithmic trading bam
The Algo-Dev series sounds super interesting! I'd love for you to do them. I never really fully understood how the stock market worked, so I'd love to learn more about it and learn the proper ways of investing on it. Also, the mustache is a little distracting, tbh. xD Not that it looks bad, it just stands out a bit too much. I think you looked best with your Pewdiepie beard or the best one, completely shaved or with a small beard. But if you wanna keep your mustache by all means do.
I'm guessing this wasn't a popular topic as there is no playlist. I'd be interested in an update just to see how things have been going
Did you ever do this project? I would love to follow this process. And possibly learn from you also
Wow i really love this guy ! as an engineer i finally feel someone is honest here.
it's been 4 years with no update so we must assume you failed to create a successful algorithmic trading system. can you tell us why you failed? that could be very helpful for people thinking about getting into algo trading, many of whom do not have as much coding experience as you do
You can get around the PDT rule if you tell the bot to trade crypto’s. Great video man!
I love your attitude man!
Do the series!
what happened to the series?
does it exist?
Very excited to watch this series! I'm currently developing and figuring out my own trading bot algorithm for currency pairs - from what I've learned so far in my CS degree and some self taught technical analysis - so I'm really interested to see how you've implemented it. So please try be as detailed as you can because I'm sure anyone watching will appreciate it.
What I am trying to find is a usable stock trading API which is not exclusive to US citizens... Any ideas?
Do a runaround of PDT Rule by having a cash only, no margin, account with the brokerage firm.
hi, i like your style of mustache, it reminds me of Tom Selleck. In your video I could not catch you in last, may be you were very fast or of my poor English & me being non tech, me a person of 54 yrs old starting learning software to compete with my son, nephews, nieces & many more young chaps in my family.
Moustache looks mad, keep it! Look like a private investigator 😎 make this series 100%!
Yes im very interested in following your work with finance.
You remind me of my engineering teacher, he was the best
Would really appreciate more episodes on your algo dev journey!!
I myself am I profitable trader in the forex market & would love to be able to automate & how you said extract the emotions from my strategy using an algo. hopefully you ended up doing the algo-dev series because I really found this video helpful thanks for pointing me to the right resources. I've never coded in my life but I have spent some years now studying the art of trading so if I learned that I'm sure I can pick up coding right? lol
Incredible content, similar background working on a similar project on my spare time. But I'm using machine learning (tensorflow) with tick data to create my algorithm. Still a long road ahead but looks promising. Can't wait to hear more from your stuff
Sound interest g pls kepp us posted
A series would be amazing!
Looking forward to see your work on this algorithm! Saludos desde Venezuela!
Robin Hood is actually micro traits mean that it enables a person to buy fractions of shares rather than having to purchase the whole share a guy could buy say $0.05 or $0.10 of a share he don't up a fraction of a share enabling low income people to buy large big cap chip stocks with pennies never achieve only it it's the fractions of a stock would you can purchase for a penny or 5 cents
yooo man id be really interested in the algorithm dev journey !
I think that a great idea is to create an order Flow indicator and then get the data from it and create in python a neural net algorithm
I appreciate the tips! I'll look into it.
pls do this series!
Great Content! Would love to see how your quant trading is going.
with that moustache and the duct tape in the background I just have one question... Where'd you hide the bodies Kevin?? :)
I'd be interested in seeing a series.
Incredibly intuitive and motivating to take value from everyday life
thanks alot bro for taking your time sharing your xp with us
Super interested in seeing where this goes
i use finviz alpaca and alphavantage and some homebrew software
For some reason the start of the video (between the 2 intros of how awesome he is) is the best part: just google resources algo trading. It'll be of more help.
No one can be emotionless it's goes against our very nature.
We can however at best be more torlerant with our emotions.
yes please go further with these topics
70s look cool on ya.
We need one more chapter about this
Trade futures to get around pattern day rule.
Really interesting resources, thanks for sharing
You wear the mustach nicely.
Wear huh ! Hahahaha
Trading algorithm series is very exciting and I am super interested and hyped for it! I am just in high school but the stock market has always been an area of interest! Keep the stache! Makes you look like a "Forest Knight" lol.
Did you ever start a series or any updates? Interested in this subject.
we do , i do, we do , i do ... please do the series thanks!
Very very very interested in this!!
Could you do lessons on building the trading bot
Just a suggestion. Pop the link to the quantopian web site in your post. Might help people to more easily go to it. Cheers.
Randy Marsh really cleaned up nice
Man i love this idea and i had it a few weeks ago and started planing and i stumbled upon this video.
The resources will be very helpfull and i hope it will turn out great.
If you have any advice from pro to new comer to programing i would be very grateful.
Keep up the great work i like you content a lot and im exited to see how you and your channel grow
I love your haircut bro!!
So whats up Forrest? will you do a follow up on these also trading series?
hey bro great video!, one question, for the pattern day trading the most efficient way to trade is to trade monday -thuesday, then the wednesday dont trade, and then trade the thursday and friday?
, this pattern will be fine?, thank
please document your progress for us to see
please please do a video series about this
"This is not sponsored but here is my referral link" well played!
Sucks that you didn't upload a follow on video about your journey. It's not as much as sharing the algorithm that you've used (and whether you made/lost money testing it) as much as how the development itself went and that journey - your ups and downs.
Hope to see it sometime in the future!
Yes robinhood, had a major outage. Free trades but get hammered on spread. Great shit robinhood. Quantopian you need to pay for good historical tick data
Thank you "Agent Murphy".
Who did you liked most franklin or michael btw nice video
Do a series
Great stratigies
Hi ForrestKnight,
Thanks for your video!
I wonder if you've given thought to this strategy: often traders lose money because their stop loss gets hit and the price bounces back but the trader is no longer holding that position. What if you can write code that upon your stop loss sale, you place a limit order to buy back at the sale price? And then on the upside, you set a trailing stop loss (and if the trailing stop loss gets hit, you’d also place a limit order to rebuy the stock at the stop loss price) This strategy essentially limits your downside and lets you participate more fully on the upside, and takes the “art” out of guessing the optimal stop loss and take profit price levels. I wonder if you’ve ever considered this strategy and if you see any problems with it. Thanks in advance for your response :)
Thanks!!! great info
I'm here at 1:00 and I'm like "Wait, you had extra money to risk trading as a college student?"
I'm realizing where I went wrong. I didn't start with money :p
That said, good video and good advice! I'm looking at turning some of my data analysis and machine learning python scripts into quantopian bots.
Power nap at 6:00 print("red eyes")
I go for the occasional "power nap" at 4:20pm everyday
I would be interested in series on that.
I made my own trading robot and tested it on old data and found that it was 80% effective, but when I tried it on real data, I noticed that it was not working, I don’t know why, even though I use a good server with a fast speed
Haven’t seen the video yet but the moustache is great
"only put money you can afford to lose "well said ! as a newb especially
Hey, interesting work, one question here, which trading broker can let you install that trading bot into? Thanks.
That looks super intersting!
Will you use a grapich patterns and photo analysis on your algorithem or more fundamentals analysis?
(sorry for the bad grammer)
Thank you Shaggy from Scooby Doo
What's the order of magnitude of the amount of money you will trade? Tens? Hundreds? I think your journey would be cool to share
That's a good question. Once I move past the paper trading, I'll probably start off in the low hundreds per trade with a potential to make a few dollars or tens of dollars on a day trade.
Cool. Planning to learn stock trading as well in a few months, but I think I'll most likely choose the mid/long term approach and not the day trading one (ben graham's book you link in description is on long term trading I believe). Very interested nonetheless for your journey; let us know about the struggles, please don't become a clickbaity youtuber like most finance youtubers I see lol.
Seems like a commercial for quantopian.
Make videos on algorithm trading will love it
Hi, thanks for making this video. Any idea which broker I can use if I want to use Java languge to program my algo trading? Thanks
Yes I would be interested to learn from you
Hi, your approach sounds interesting. For someone with a finance background but no coding background, what's a good place to begin learning to code (in terms of learnings a language)?
I know I'm late to the party, but was this ever followed through on? I can't seem to find any further videos
We in the late 90s in this video
today was a good day for me!!
A couple of remarks... Quantopian: I would never trust a company where you need to store and run your algorithm on THEIR server. Python: slow, so only suitable for simple strategies. Robin Hood: Nothing is 'free', go check their spreads ;-) Cheers!
Python slow yeah, but really , is it going to matter that much to a compiled language running some trading scripts? I wonder but I doubt it.
That simply depends on the complexity of your strategy and update frequency. Only one way to find out ;)