Better System Trader 239: Confident Consistent Trading - Laurens Bensdorp
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Jun 27, 2024 Explore algorithmic trading with Laurens Bensdorp, who mastered 55 systems, shared tips on risk tolerance, mean reversion, psychological impacts, and system development. Highlights include diversification, risk management, market regimes, simplicity in strategies, and the shift towards prioritizing risk over profits.
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From Losing Every Day To Systematic Trading
- Laurens started trading in 2000 with no plan and lost consistently until he studied systematic methods.
- He eventually built a fully automated portfolio after hiring programmers and learning from turtle-style systems.
Style Should Match Your Temperament
- Laurens gravitated to mean reversion because he is contrarian and preferred higher win-rate, shorter-duration trades.
- Personal temperament and tolerance for win-rate and trade frequency determine suitable trading styles.
Validate Strategy Fit Before Trading
- Check the strategy's win rate and trade duration against your psychology before committing.
- Choose styles you can tolerate through their typical losing streaks and timeframes.