Line Your Own Pockets

In this week's episode of Line Your Own Pockets, we take on a listener question from Emmett on how to go from one profitable strategy to two.

We discuss:

• How most traders never get to this point and why
• Different approaches for strategy two - a variation of strategy one or completely different?
• It's easier to create a variation of strategy one - start going a mile deep rather than a mile wide
• Why a related strategy makes sense
• How much should you worry about correlation?

And much more...

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Before you go!

The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free backtesting email course.

I hope to see you there!

On this week's episode of Line Your Own Pockets, we reflect on the recent interview with Garrett Drinon from last week.

We discuss:

• Principles of elite performance span across different domains
• Process matters more than outcomes
• Copying others might work temporarily, being truly unique matters in the long run
• Adapting to changing markets is a skill you can develop

And much more...

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Before you go!

The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free backtesting email course.

I hope to see you there!

In this episode of Line Your Own Pockets, Dave shares two new tools to download and manage market data for backtesting and creating profitable trading strategies.

Both of these tools are available for free in the Free Tools section of my website. (More free tools coming soon.)

Michael and I discuss the motivation for creating these.

Topics covered:

• Traditional IQFeed/AmiBroker backfill workflows can silently corrupt your database
• The tools use CSV files plus incremental updates for reliability and speed
• The Massive/Polygon version automatically includes delisted stocks and splits
• An idea for a reverse split trading strategy using these tools

And much more...

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Before you go!

The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free backtesting email course.

I hope to see you there!

In this week's episode of Line Your Own Pockets, we discuss the touchy subject of delisted stocks. In this "spirited" discussion, Michael and I agree on the concept of survivorship bias, but disagree on how important it is.

Topics covered:

• What is survivorship bias, and how does it affect trading strategies
• What types of strategies are more vulnerable
• When it makes sense to include delisted symbols in your backtest
• Deciding whether including them is a form of "requiring perfect data."

And much more...

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Before you go!

The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free backtesting email course.

I hope to see you there!

In this week's episode of Line Your Own Pockets, we discuss adding redundancy to your trading. Outages aren't a matter of if but when.

Topics include:

• Failures will happen eventually - plan for them ahead of time
• Broker-side, server-held exit orders (like at IBKR) make this simple
• Test your setup before you get forced to
• Revisit your setup regularly as your trading income grows over time

And much more...

As mentioned in the podcast, here's an example of an internet router that can use multiple ISPs.

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Before you go!

The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free backtesting email course.

I hope to see you there!

In this week's episode of Line Your Own Pockets, we sit down with Brandon Kaisler of Cesta Capital, a brokerage catering to active short sellers.

In a wide-ranging interview, we discuss topics from a broker's perspective, including:

• How most brokers make money from hidden fees, not commissions
• Why brokers prefer systematic traders (hint, hint)
• How the market for short locate fees works
• How 24/7 trading will affect your trading
• Whether eliminating the pattern day trading rule will help or hurt the markets

And much more...

This is a rare and honest look at the business side of active trading and what it means for active traders.

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Before you go!

The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free backtesting email course.

I hope to see you there!

In this week's episode of Line Your Own Pockets, we discuss market data for backtesting.

Topics covered:

• Data for backtesting is far different (and easier) than for real-time trading
• Like "free" commissions, you typically get what you pay for when it comes to market data
• Choices come down to whether you need intraday data
• Avoid overengineering - no premature optimization!

And much more...

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Before you go!

The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free backtesting email course.

I hope to see you there!

In this week's episode of Line Your Own Pockets, we interview Trent Smalley with DTN and IQFeed.

We discuss:

• Why it makes sense for traders to pay for market data when brokers offer it for free
• Where bad ticks you see in your charts actually come from
• What happens to market data before it hits your feed
• When you know you're ready to upgrade to a high quality feed

And much more...

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Before you go!

The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free backtesting email course.

I hope to see you there!