Kelly Criterion and Optimal Position Sizing - Excel Example

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Position Sizing can make or break your trading results. Use the Kelly Criterion to identify the mathematical optimum amount of capital which you should allocate to any given trade (or even a fraction of this) to ensure the maximum gain for your trading strategy. The results of this were mind blowing and just HAD to share this with you on the channel.
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Website: cryptowizards.net

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14 окт 2024

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Комментарии : 23

@antohicosmin3114 Год назад

Great stuff Wizard! :) Big fan of the way in which you explain things. I'm not into crypto, so I'm not on your platform (but I do recommend it thou), but I'm into trading thou and I think this video should be very helpful for a lot of us out here. Any chance of getting my hands on your excel even if I'm not a paying member on your crypto platform? Thanks for your answer!

@2MrSomeone Год назад

Could we have the excel file ? Thank you :)

@William.-. 2 года назад

Finally someone using the correct Kelly formula. Why do you use 100% for both win and loss and not ratio e.g 5 win for 1 loss?

@CryptoWizards 2 года назад

Thanks William! Only just to show the example based upon a betting type dynamic. But you are correct, this should be considered in the way you suggest. Feel this is the FIRST thing new traders should be shown.

@stephenrodriguez786 Год назад

Is it possible to get the spreadsheet?

@IgorMatijevic Год назад

problem with kelly is that it is too high. For 5% edge it shows you to risk 10%of the capital. That is way too much. As you can have 5 loosing trades in a row. The question is what is the optimum fractional kelly for the stock market?

@srantoniocarlos Год назад

where is file?

@Playfulsongstar Год назад

You are saying that place bets only when you have the edge of 4-5percent by using Kelly criterion

@blueartistathotmail Год назад

I thought 51-49 was a 2% edge.

@jaredjones6570 5 месяцев назад

You have a 1% edge over pure randomness which can only guarantee you 50 - 50 odds

@blueartistathotmail 5 месяцев назад

@@jaredjones6570 What's a 51% edge?

@coleman65 2 года назад

Very well explained :-) Thanks

@CryptoWizards 2 года назад

Thanks Alexis! Hope it helps!

@bpdigital1617 2 года назад

Hi great video, is the excel template available for this?

@CryptoWizards 2 года назад

Really glad you liked it! Indeed, on the Udemy course for Statistical Arbitrage, there is a resources folder. It is saved within that.

@abnrmaldivver Год назад

@@CryptoWizards trying to locate this can you provide direct link to the course there is so many

@sailisolo6256 11 месяцев назад

@@CryptoWizardscan’t find the name of the course on Udemy , looking for the xls

@bobbobbington4079 24 дня назад

@@CryptoWizards i bought both V3 and V4 update course and don't see it in either courses folders. please provide update to v4 course for paying customers. thx

@OkSid300 8 месяцев назад

You have no edge in casino and you need to put a tremendous work into that 1% edge percent on stock market.

@JennysFlippinOut 2 года назад

How does the math change with the KC when you're using leverage? Anyone know of an excel sheet for that?

@CryptoWizards 2 года назад

Good question. For now, I would multiply your percentage by the amount of leverage multiple you are using (as a proxy). Either way, I reckon leverage will destroy any account if not used for hedging or arbitrage.