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NautilusTrader: Open-source algorithmic trading platform

nautilustrader.io

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Re: NautilusTrader: Open-source algorithmic trading platform

#31

Post by bwfan123 »

browningstreet wrote: post #18

I've been wading into algo-trading for a little while now. I've read a few books, set up a few strategies on paper trading platforms. Right now I'm trying to figure out how to consistently make $1/day as a POC exercise. That's it. I did ask the various advanced LLMs the path to earning/clearing $200K/year as an algo-trader. Fun & sobering responses. I'll give the LLMs this -- no uplift in these conversations.

Consistently making $1 a day may be difficult for retail trading. Rather, you could attempt to be right 51% of the time gathering a 1% edge. This is not easy for us because, it randomizes profits and losses, and we like to not lose money (make a $1 a day), and this could expose you to streaks of losses.

Re: NautilusTrader: Open-source algorithmic trading platform

#32

Post by csomar »

browningstreet wrote: post #29
nemomarx wrote: post #24

Earlier quoted context omitted.

if you could make that much money day trading wouldn't it be scale able and someone else would already make those trades?

My operating presumption is that there's runoff underneath market makers for small (on this scale) scalping. I also hope that those who need to return to investors or generate millions/year aren't trading the way I'd be trading to generate $200K/year.

I wouldn't count on it, especially for crypto. The market is brutal. I was playing around the other day with liquidity pools and some bot executed an arbitrage for a total gain of $0.1. That's how efficient the market is.

Re: NautilusTrader: Open-source algorithmic trading platform

#33

Post by csomar »

world2vec wrote: post #8
UK-Al05 wrote: post #4

I wouldn't be surprised if this is sponsored by trading platform in order for customers to lose all money in record time...

The website does say they're partners with OKX, nothing better than bringing more retail customers (that will promptly lose their money). I've seen stats from other crypto exchanges that are something like "90% of the retail customers lose 90% of their funds in 90 days or less".

Wait till you realize Okx, Binance, ByBit, etc. are all the same entity.

Re: NautilusTrader: Open-source algorithmic trading platform

#34

Post by csomar »

monkeydust wrote: post #9

A long time ago I figured out the difference between a Trader and Investor and realized I am very much the latter. After a few years this realization lead to my wealth increasing.

An investor is a trader. I think what you meant is to stay away from "day trading". Your whole life, careers, etc. are a trade.

Re: NautilusTrader: Open-source algorithmic trading platform

#35

Post by palantird »

joshcsimmons wrote: post #25
IshKebab wrote: post #23

Earlier quoted context omitted.

Surely you can't? You don't have the latency advantages of big trading firms, nor the gazillion PhDs they employ. There's absolutely no way you are going to consistently make money, let alone $200k/year. At best you'll get lucky and think it's skill.

Of course you can. If you have $17M invested in $VOO you'll make about 200k every year in dividends. What's difficult is getting a higher rate of return. $200k is totally doable with $2M investment capital and a bit of disciplined options trading.

Finally some advice for the common man.

Re: NautilusTrader: Open-source algorithmic trading platform

#36

Post by iav »

This is pretty comprehensive. I work at a quant firm, and we don't even have some of this implemented in code. The tricky part is always going to be the integration. Nautilus has its own OMS system, but so does IBKR, and there is no guarantee that they are going to match.

For very small funds, running entirely on IBKR platform (or Alpaca if you can live with their constraints) makes sense. For very large funds, you invariably will have a home-grown system that integrates with all of your expensive vendors. But if you are starting from scratch and want to scale up, using this to bootstrap quickly is most efficient.

Re: NautilusTrader: Open-source algorithmic trading platform

#37

Post by achierius »

IshKebab wrote: post #23
browningstreet wrote: post #18

I've been wading into algo-trading for a little while now. I've read a few books, set up a few strategies on paper trading platforms. Right now I'm trying to figure out how to consistently make $1/day as a POC exercise. That's it. I did ask the various advanced LLMs the path to earning/clearing $200K/year as an algo-trader. Fun & sobering responses. I'll give the LLMs this -- no uplift in these conversations.

Surely you can't? You don't have the latency advantages of big trading firms, nor the gazillion PhDs they employ. There's absolutely no way you are going to consistently make money, let alone $200k/year. At best you'll get lucky and think it's skill.

It's possible: note that each one of those quants is going to be making $400k at minimum, plausibly significantly more. So any high-maintenance strategy (eg. in some niche market) that makes less than that is just not going to be worth the time it takes to find, implement, maintain, etc.

Still not easy but it's not impossible.

Re: NautilusTrader: Open-source algorithmic trading platform

#38

Post by anupshinde »

monkeydust wrote: post #9

A long time ago I figured out the difference between a Trader and Investor and realized I am very much the latter. After a few years this realization lead to my wealth increasing.

An Investor is essentially a Trader operating on a very long timeframe, benefiting from a slow decision-making process, slow results, and slow emotional swings. And I know people will argue against this. But if you are a trader, identify a sweet spot for speed/frequency, and then your trading results will suddenly improve.

Re: NautilusTrader: Open-source algorithmic trading platform

#39

Post by world2vec »

csomar wrote: post #33
world2vec wrote: post #8

Earlier quoted context omitted.

The website does say they're partners with OKX, nothing better than bringing more retail customers (that will promptly lose their money). I've seen stats from other crypto exchanges that are something like "90% of the retail customers lose 90% of their funds in 90 days or less".

Wait till you realize Okx, Binance, ByBit, etc. are all the same entity.

AFAIK they're distinct entities.

Re: NautilusTrader: Open-source algorithmic trading platform

#40

Post by TuringNYC »

joshcsimmons wrote: post #25
IshKebab wrote: post #23

Earlier quoted context omitted.

Surely you can't? You don't have the latency advantages of big trading firms, nor the gazillion PhDs they employ. There's absolutely no way you are going to consistently make money, let alone $200k/year. At best you'll get lucky and think it's skill.

Of course you can. If you have $17M invested in $VOO you'll make about 200k every year in dividends. What's difficult is getting a higher rate of return. $200k is totally doable with $2M investment capital and a bit of disciplined options trading.

>> $200k is totally doable with $2M investment capital and a bit of disciplined options trading.

10% probably. Though with the higher-than-market rate, there would also be dispersion in the consistency of the return. I could see some lean years where no money is made. I could also see a decade where you are buying at ever-higher valuations rather than dollar-cost averaging -- thus you could see a lean decade following.

It all depends on how much consistency you want.

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