It was a lot of fun, and I discovered a world that was entirely unknown to me.
Let's review what I did, what worked, what didn't, and what I planned next!
I realize that I never shared my exact business plan here, which, retrospectively, seems like a mistake. So here it is:
|Investissement||0 €||400 €||1 000 €||1 000 €||1 000 €||1 000 €||1 000 €||0 €||0 €||0 €||0 €||0 €||0 €||5 400 €|
|CA Cible||0 €||21 €||135 €||325 €||446 €||570 €||765 €||827 €||896 €||975 €||1 054 €||1 243 €||1 471 €|
|CA Cible Quot.||0 €||1 €||7 €||14 €||20 €||27 €||35 €||38 €||41 €||44 €||50 €||56 €||64 €|
|Compte Obj||0 €||421 €||1 556 €||2 881 €||4 327 €||5 898 €||7 663 €||8 490 €||9 386 €||10 361 €||11 415 €||12 657 €||14 128 €|
|Rémunération||0 €||0 €||200 €||500 €||800 €||1 100 €||1 400 €||1 700 €||2 000 €||2 000 €||2 000 €||2 000 €||2 000 €|
|CA Réel||0 €||-50 €|
|Compte Réel||0 €||350 €||1 356 €||2 381 €||3 527 €||4 798 €||6 263 €||6 790 €||7 386 €||8 361 €||9 415 €||10 657 €||12 128 €|
|Résultat Net||0 €||0 €|
In summary, I expected significant returns with minimal investments (<6000€). And one might think that I fell into the classic "Become millionnaire with only 100$!" trading trap.
Rest assured. I am aware that there is no such thing as easy money. But algo trading is far from easy, and I dedicated a lot of time and energy to make it work (not even considering that I am already an engineer and an experienced developer).
Also, trading can easily make big money. As a matter of fact, I did! I made big successful trades that made about 100€ in less than 15 minutes. However, the difficult task is to make money consistently.
Let's review the numbers right now since they are not very interesting. Since the beginning of the project, I made... -49,90€!
Yep, I lost money, and even the loss was not spectacular!
That being said, I got to learn:
- How to build, develop, train, and test a full-fledged machine learning pipeline (CNN, LSTM, etc.) with Tensorflow, Keras, and Google Colab
- How to interactively visualize complex data with Plotly and Dash
- How the trading world works with some very intense focus on the stocks and Forex markets
- How to implement trading bot in practice with Metatrader and MQL
- That without a considerable starting capital and a willingness to lose a lot of money before making some, trading is like a casino.
On another level, I also cultivated habits that help me a lot! For instance, I train every morning before turning my workstation on, and the hour-long run is the best daily meeting I have ever had.
Surprisingly, I had to deal with new emotions and stress related to the risk of losing money. It was very new to me since I never went to a casino and even never bought a scratch game!
To sum up, I feel emotionally more robust, and I added very rare areas of expertise (Advanced ML, DataViz, and Quant Finance) to my resume! I am not wealthy yet, but this is still a big win!
Why am I stopping?
My business plan is ambitious but still looks feasible, so why stop now?
Among other things, I would need to spend at least two months on this project. Doing so reduces the number of projects I will be able to attempt this year. And I would rather fail ten projects than only one or two, even if I take the risk of missing a successful path. When creating businesses, you never know if you are ten days or ten years away from success.
Also, I want to have real customers. I aspire to get better at marketing and learn how to convince people to buy your product. In other words, I feel ready to do hard things.
Well, I have to come up with new ideas! And to be honest, this is terrifying.
To get over the first step and reduce my anxiety, I will dedicate this week to create (and leverage) a framework that will allow me to generate viable business ideas and overcome the white page syndrome.
At the end of this week, I will have three viable ideas to choose from that I will publish on this blog.
Regarding the trading, I will keep the algorithm running until my trading account gets below half of its original size and call it a day. Thankfully, I have a backup investment plan that I will unveil at some point in time.