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Are grids the answer to Alpha?
Posted: Sat Jun 21, 2025 2:16 am
by ionone
I've been thinkking about it lately and I start to think that grids could be a solution to trading (apart from grail indis of course)
I realized that a grid system, that doesn't rely on predicting the next move, but rather, compound on the market movements, so that it could very well work on anything would be the solution to everything.
I start to think also that grails are almost the only thing that can work really well...I start to desperate finding something that works it's harder than I thought
of course there is discretion, and that's a whole other topic that i'm not really strongly into
but the answer is : what grid ? because to profit from desequelibriums, you have to create some, you can't extract right from the get go
so this desequelibrium (am I inventing a word there ?) it's a little bit like predicting the price... and we're back to square one lol
that's a conundrum
Re: Are grids the answer to Alpha?
Posted: Sat Jun 21, 2025 9:36 am
by RodrigoRT7
ionone wrote: Sat Jun 21, 2025 2:16 am
I've been thinkking about it lately and I start to think that grids could be a solution to trading (apart from grail indis of course)
I realized that a grid system, that doesn't rely on predicting the next move, but rather, compound on the market movements, so that it could very well work on anything would be the solution to everything.
I start to think also that grails are almost the only thing that can work really well...I start to desperate finding something that works it's harder than I thought
of course there is discretion, and that's a whole other topic that i'm not really strongly into
but the answer is : what grid ? because to profit from desequelibriums, you have to create some, you can't extract right from the get go
so this desequelibrium (am I inventing a word there ?) it's a little bit like predicting the price... and we're back to square one lol
that's a conundrum
Look, I don't know if I understood correctly what you are saying here. But I myself operate using grids, both in USDCHF and in the main cryptocurrencies. I see ATR pivots-grids as an excellent solution. However, I end up taking the ATR as a parameter as a basis for calculation and drawing the ATR pivots by hand or using the ATR probability from MR Tools, which already helps a lot.
Re: Are grids the answer to Alpha?
Posted: Sat Jun 21, 2025 8:46 pm
by boytoy
ionone wrote: Sat Jun 21, 2025 2:16 am
I've been thinkking about it lately and I start to think that grids could be a solution to trading (apart from grail indis of course)
I realized that a grid system, that doesn't rely on predicting the next move, but rather, compound on the market movements, so that it could very well work on anything would be the solution to everything.
Whats a grid system? Sorry to ask I truly dont know what it is
Re: Are grids the answer to Alpha?
Posted: Sat Jun 21, 2025 9:25 pm
by ionone
boytoy wrote: Sat Jun 21, 2025 8:46 pm
Whats a grid system? Sorry to ask I truly dont know what it is
A grid is basically layers of price that are distant from one another by a certain amount of points.
for example : every 100 points up or down, you do something.
let's say you start your grid with a buy AND a sell at the same position.
then price goes UP : you close the buy in profit.
if then price goes down, you can close the sell at breakeven, and make a profit.
of course if it goes up, you then lose...
that's why I don't think there is an universal grid that could be profitable in any condition, going up or going down (and i've tried A LOT of different grids)
Jeff
Re: Are grids the answer to Alpha?
Posted: Sat Jun 21, 2025 9:37 pm
by wojtek
Some time ago I 'coded' a few grids (EAs), because with the right MM
they seemed to me like a very good solution. I used complicated
schemes with hedging and multiplying positions, and even with
a type of martingale. The problem however is as always with
choosing parameters, because the scale of movements changes
all the time and a good grid one day will be too narrow
or too wide the next. Finally I gave up... But maybe a choice
of some universal grid is possible, e.g. round numbers / levels?
Re: Are grids the answer to Alpha?
Posted: Sat Jun 21, 2025 9:48 pm
by ionone
wojtek wrote: Sat Jun 21, 2025 9:37 pm
Some time ago I 'coded' a few grids (EAs), because with the right MM
they seemed to me like a very good solution. I used complicated
schemes with hedging and multiplying positions, and even with
a type of martingale. The problem however is as always with
choosing parameters, because the scale of movements changes
all the time and a good grid one day will be too narrow
or too wide the next. Finally I gave up... But maybe a choice
of some universal grid is possible, e.g. round numbers / levels?
lot increase is never a solution. or maybe arithmically (and even so I would not do it)
for example CommunityPower EA is a great idea, but they should not have added martingales.
now what we see is 95% of martingales.
you should restrain from using any lot increase.
OR, maybe just one lot increase after a loss and then you go back to normal lot size, that is ok.
Jeff
Re: Are grids the answer to Alpha?
Posted: Sat Jun 21, 2025 10:21 pm
by wojtek
I used something more complicated, like hedging
with 'activation' when returning to the original direction, etc.
Anyway, I've completely given up on it for now.
TBH, the S&R system with a smart MM seems more
promising to me.
Re: Are grids the answer to Alpha?
Posted: Sat Jun 21, 2025 11:30 pm
by moey_dw
They called this the "No Loss Strategy" until the Swiss Bank flash crash of 2015 changed forex forever.........
Grid trading
Re: Are grids the answer to Alpha?
Posted: Sun Jun 22, 2025 3:23 am
by knsxrty459
moey_dw wrote: Sat Jun 21, 2025 11:30 pm
They called this the "No Loss Strategy" until the Swiss Bank flash crash of 2015 changed forex forever.........
Grid trading
Whewww !!!! I remember that day
It not only bankrupted many Forex Brokers It also ended some marriages -- Ruff day for some and a long day for many around the world.
Re: Are grids the answer to Alpha?
Posted: Sun Jun 22, 2025 3:54 am
by wojtek
Now imagine the market jumps the blue rectangle
and immediately goes down. 3 open buy positions...
Countertrend trading is risky.
