Dump it Here

[divs4ever]

(2) Trade Only in Favourable Conditions
The strategy only takes positions when the broader market is bullish (going up), as this increases the chances of success.

.. so ETFs ( with their 'guaranteed liquidity instead of a stop loss component ) and stocks or only stocks ?

 

[Skate]

Key Differences Between HappyCat and Clydesdale Strategies
Here’s a breakdown of the other key differences and why I’m running both strategies for this exercise.

(4) Exit Parameters:
(a) HappyCat: Trailing stop is 10% (market up) or 5% (market down), with a 4x ATR take-profit and a 3-week stale stop.

(b) Clydesdale: Trailing stop is 15% (market up) or 8% (market down), with a 2x ATR take-profit and a 2-week stale stop. It also checks for momentum weakness (RSI below 35).

# Why it matters
HappyCat’s tighter exits reflect its cautious nature, while Clydesdale’s looser stops allow more room for trends to develop, suitable for larger positions. This highlights how exit strategies can be tailored to account size and risk.

Skate.

 

[qldfrog]

@TimeISmoney, thanks for sharing your experience - it's a valid concern, and many traders have been caught in similar situations.

Personally
I trade exclusively during the pre-auction, and I avoid using broker-supplied tools like stop losses for exactly those kinds of reasons. I prefer to stay in full control of my orders and execution, even if that means being more hands-on. Everyone’s approach is different, and it’s all about finding what works best for your style and risk tolerance.

Skate.

Re-written
One point of interest for stop loss, trailing stop:
Do you trigger these once per week, or do you keep them checked in RT?
triggered once per week looking at end of week price can be hard:
In the latter, your stop loss can be very far from your trigger.
I also want to add, more generally and not just on your/our systems that expecting a maximum loss of xx% because you set a stop loss at X only happens in smooth market changes.
Any black swan, serious crisis and stop losses are exploded...

 

[Skate]

i read this as you are expecting increased volatility and trying to reduce losses ( that would scar your friends ability to persist through difficult times and retain enough cash to improve their trading skills later )

i assume your friends are relative novices and therefore less skilled in controlling their emotions


it should be interesting to watch

cheers

.. so ETFs ( with their 'guaranteed liquidity instead of a stop loss component ) and stocks or only stocks ?

@divs4ever - as always, I appreciate your interest and input in this thread. It’s contributions from you and others that keep the discussion healthy and balanced. Relying on just one perspective, especially mine, would never be enough.

Market volatility
The markets are exciting because of volatility. Without it, there’d be little opportunity to profit. But that same volatility can be a double-edged sword, especially for those just starting out.

Risk adverse
Most people I’ve spoken to are keen to try trading, but often lack the funds, and when they do have the funds, they’re naturally reluctant to risk even a small portion of their capital.

Emotions, they didn't know they had
The reality is that new traders rarely understand what they’re getting into. Many believe they can handle the pressure, right up until their money is actually on the line, and that’s when things "get real", very fast.

Trading Two Strategies Live
@divs4ever, that’s why this exercise is all about showing a methodical, low-cost approach to learning. It allows people to observe and understand market behaviour without risking a cent. The goal is to build experience and confidence before stepping into the real game.

Skate.

 

[divs4ever]

Risk adverse
Most people I’ve spoken to are keen to try trading, but often lack the funds, and when they do have the funds, they’re naturally reluctant to risk even a small portion of their capital.

the few traders i have come across ( i tend to talk to more investors ) seem to have liquidity issues caused by outside events , a sudden health issue ( in them or the close family ) less common a margin call by a terrified lender ( BEFORE the big market plunge ) , ie they don't seem to keep enough capital reserves very close and handy , forcing them to sell at inopportune times

and to me trading looks like all fun and games UNTIL you step up a level and your trading activity has to fund all your living expenses

 

[Skate]

Re-written
One point of interest for stop loss, trailing stop:
Do you trigger these once per week, or do you keep them checked in RT?
triggered once per week looking at end of week price can be hard:
In the latter, your stop loss can be very far from your trigger.
I also want to add, more generally and not just on your/our systems that expecting a maximum loss of xx% because you set a stop loss at X only happens in smooth market changes.
Any black swan, serious crisis and stop losses are exploded...

@qldfrog, you raise some great points - ones that many traders grapple with.

Let me respond to a few of them directly
First, regarding stop losses and execution timing. The strategy I’m using has been thoroughly developed and tested, over and over, and in many different market conditions, specifically to understand where it’s most likely to fail. Once you're confident in the probabilities that testing reveals, the real question becomes simple: Are you willing to trust the system enough to trade it as designed?

If the answer is yes
Then you must commit to executing it as intended. If the answer is no, "don’t trade it". Trying to second-guess your system or override it emotionally is a fast track to inconsistency and poor outcomes.

For systems that operate on weekly signals (like the one in this exercise), the process is straightforward. Run the exploration at the end of the week and take action accordingly. Don’t overthink or try to outsmart the process. Discipline is everything.

On the subject of exits and unexpected market events
You're absolutely right. Stop losses are not magic. In a smooth market, they can work as expected. But during fast moves, crises, or Black Swan events, stop losses can fail. That’s the reality of trading.

That said, the goal isn't perfection, "it's preparedness"
Using a combination of position sizing, multiple forms of exit logic, and disciplined execution can help soften the blow when the market turns ugly. Sometimes it’ll rain, sometimes it’ll pour. But sticking to a well-thought-out strategy gives you the best chance to enjoy the sunny days when they come.

As they say, "**** happens", so be prepared, and trade with that in mind.

Skate.

 

[Skate]

and to me trading looks like all fun and games UNTIL you step up a level and your trading activity has to fund all your living expenses

@divs4ever, you’ve touched on a key reality. Trading feels exciting, "even fun", until it’s expected to cover your living expenses. That’s when everything changes. The pressure is real, and decisions get clouded by fear, urgency, or the need for a quick win. That’s why I believe people should only trade with money they can "truly afford" to lose. If their trading capital is completely wiped out, it won’t impact their ability to pay bills or live comfortably.

Reasons
People do things for all sorts of reasons, but how often do we truly understand why?

Skate.

 

[Skate]

Reasons
People do things for all sorts of reasons, but how often do we truly understand why?

Reason is crucial in trading
It’s what allows us to act on facts, data, and logic rather than emotion. Over time, I’ve come to value "protecting capital" over chasing maximum profit. Minimising drawdowns has become more important to me than hitting home runs.

Trading is all about the risk you are willing to take
Some might view take-profit stops as too conservative or any of the exit strategies in either the HappyCat or The Clydesdale Strategy I discussed today, but for me, they align with my goals and risk tolerance. Locking in gains, even small ones, and getting out quick protects against the emotional rollercoaster that often comes with trying to squeeze every last dollar out of a trade.

Skate.

 

[Skate]

They had one job to do and they fu¢ked it up!
What’s obvious to one person might be unclear to someone else. When a task seems easy, it’s easy to treat it casually, and that’s often where things go wrong. Simple jobs are the ones people underestimate, and that casual attitude can lead to careless mistakes or outright failure. It’s rarely the difficulty of the task that causes the problem, "it’s the lack of attention and care". Even the smallest jobs deserve full focus.

The Way You Think Matters
When it comes to trading, mindset matters far more than money. Most people hesitate because they’re afraid of losing, and that’s completely natural, but it shouldn’t stop you from getting started. Start small. Learn as you go. Build confidence through experience. Follow along with my latest trading exercise to see how the market responds to both of my strategies in real time.

Wrapping Up Today’s Thoughts
Trading isn’t about getting rich quickly. It’s about developing skills, managing risk, and steadily working toward financial independence, where one day, you could support yourself without depending on a traditional job.

Skate.

 

[divs4ever]

They had one job to do and they fu¢ked it up!
What’s obvious to one person might be unclear to someone else. When a task seems easy, it’s easy to treat it casually, and that’s often where things go wrong. Simple jobs are the ones people underestimate, and that casual attitude can lead to careless mistakes or outright failure. It’s rarely the difficulty of the task that causes the problem, "it’s the lack of attention and care". Even the smallest jobs deserve full focus.

that is why boring jobs can be very dangerous , the mind wanders and big consequences bite OR a totally unusual event occurs causing a total distraction ( and abandonment of protocols ) it will be very educational to see how robots/automation cope with that as they replace 'boring, low skill jobs '

now one challenge to the novice trader will to be identify adverse conditions to the current strategy and react quickly to untangle or modify

just watch out for those damned distractions

 

[TimeISmoney]

The AI pick from over a year ago is still pumping along well.
(54% gains)

 

[divs4ever]

Fundie vs AI - 10 ASX income generators​

Fundie vs AI - 10 ASX income generators

Fundie vs AI - Round 2: The best ASX income stocks for the next 12 months featuring Martin Currie's Reece Birtles.

www.livewiremarkets.com

Fundie vs AI - Round 2: The best ASX income stocks for the next 12 months featuring Martin Currie's Reece Birtles.

i hold COL ( courtesy of the WES divestment ) , DRR ( partly courtesy of the ILU divestment ) , TLS and DOW

wowee , so many stocks currently yielding under 5% ( at current prices )

maybe i should be stocking up on tins of baked beans and Spam

( if they are the top INCOME picks caviar is definitely off my shopping list )

 

[Skate]

Update on the Trading Exercise
I had planned to run two live trading exercises using two strategies. The funds were ready, but I’ve since allocated them to a different project that took priority. So, I’ll be putting this experiment on hold for now, maybe something to revisit in the future.

Skate.

 

[qldfrog]

Update on the Trading Exercise
I had planned to run two live trading exercises using two strategies. The funds were ready, but I’ve since allocated them to a different project that took priority. So, I’ll be putting this experiment on hold for now, maybe something to revisit in the future.

Skate.

I hope this is all for the best , positive and not an individual black swan: health or car breakdown (style), etc

 

[Skate]

Skate’s Big Game Hunter Strategy
A Trend-Following Weapon Built to Bag Beasts.

In answering a private question, my reply is posted here
Simplicity works in trading because it keeps your strategy clear, your execution disciplined, and your emotions out of the way. Fewer rules = fewer mistakes = better consistency. Markets are complex, and your edge is staying simple.

Meet the "Big Game Hunter Strategy"
A no-nonsense, weekly trend-following system that stalks only the strongest stocks breaking into fresh territory. Built for traders who’d rather take fewer shots and land bigger prey, it’s all about waiting patiently, then striking hard.

The "Big Game Hunter Strategy" is a classic trend-following
The trend-following strategy has been cleaned up, tuned tight, and run weekly to catch monster moves. The strategy scans for breakouts above 20-week highs, confirmed by 3x average volume. No hype. Just raw strength.

Skate.

 

[Skate]

Optional filters keep the "Big Game Hunter" disciplined
1. The market must be trending (Index above 20-week MA)
2. Stock must be in an uptrend (above 40-week MA)
3. Price above $0.50 to keep it liquid
4. The Entry Trigger requires a new 20-week high + Volume explosion
5. The entry condition must pass all filters, ranked by RSI + ROC, so only the strongest survive
6. Weekly execution (delayed by 1 bar to stay honest)

The Exit Rule
1. Trailing stop only.
2. No fixed targets. Let it run.
3. The Exit is a 10% drop from the peak since entry.

Risk Management Built-in
1. Fixed $10k position size
2. A maximum of 10 open trades

Skate.

 

[Skate]

Why the "Big Game Hunter Strategy" can be effective
1. It lets winners run because that's where the big money is.
2. The strategy cuts losers quickly, as most positions will fail, and that’s okay.
3. The strategy is patient and trades only when the stars align.
4. The execution is clean, no emotions, just mechanical execution.

But Be Warned
1. This strategy has a low win rate, as most breakouts will fail.
2. Trading this strategy requires serious patience.
3. Trailing stops will give back open profits.
4. Discipline is a must with this strategy, "skip a signal", and you'll miss the big one.

The "Big Game Hunter Strategy" is for traders who
1. Trade weekly.
2. Want big trend payoffs.
3. Can handle lots of small losses.
4. Have the patience to wait for Grade A setups.

Skate.

 

[Skate]

A Strategy Should Match Your Mindset
From Steady Climber to Beast Hunter. Three systems, one shared goal. Trading isn’t one-size-fits-all. The strategy you choose should reflect your risk appetite, patience, and preferred pace. Below is a quick comparison of three distinct systems, each grounded in solid logic, but built for different trader personalities. All have been traded live, and all have proven themselves over time. Now, after dusting them off and giving each a fresh polish. The big question is: Will they survive and thrive in today’s market - or will they end up being train wrecks?

The HappyCat Strategy
The most conservative and diversified, ideal for traders seeking stability and consistent returns with robust risk management. Its multiple exit strategies and strict filters help reduce drawdowns, though that caution means fewer trade opportunities. The strict filters minimise losses by reducing trade frequency.

The Clydesdale Strategy
The middle ground is a sturdy trend-follower system with simpler logic and moderate filtering. The Clydesdale strikes a balance, offering reliable growth with simpler logic and flexible filters. Designed for traders who want reasonable frequency and a strategy that doesn’t overreact to noise. It’s suited for traders who want steady performance with moderate customisation and fewer exits.

The Big Game Hunter Strategy
The most aggressive of the three, built to capture massive price moves with minimal interference. It’s a system for those who can handle volatility, ride out dry spells, and wait for the one trade that makes the year. In saying that, traders should be comfortable with volatility and selective opportunities.

Skate.

 

[Skate]

1. The HappyCat Strategy
The HappyCat Strategy logo is a Japanese symbol used to beckon good fortune and wealth. It doesn't hunt - it sits passively and attracts prosperity. In trading, this represents a system that generates a steady stream of small, frequent, and almost automatic wins.

The HappyCat philosophy is to attract a continuous flow of small profits
This is a high-frequency, low-margin strategy. The goal isn't to land one big win but to accumulate wealth through a massive number of small, positive trades. It relies on statistical "probability" rather than bold, discretionary decisions.

Skate.

 

[Skate]

2. The Clydesdale Strategy
I selected the name of this strategy as a metaphor for a workhorse. A Clydesdale horse has pure power, strength, and endurance. It pulls heavy loads steadily over long distances. It represents reliability and foundational strength.

The Clydesdale philosophy is to build wealth slowly and steadily
The Clydesdale is a pure momentum "workhorse". Unlike a breakout system that waits for a new high, this strategy jumps onto stocks that are already demonstrating powerful upward momentum.

Skate.