Shows
Line Your Own PocketsHow to Grow Your Column LibraryMichael and I discuss how to think about improving your column library over time.We discuss:How your column library is like a shared software library: build once, reuse everywhereContinuous variables are better than binary variables (e.g. Above/below a moving average)The MACDV case study - MACD normalized by ATRHow intra-trade columns allow testing multiple concepts with a single backtestAnd much more...Here's a link to the previous episode mentioned: The Key to Backtesting - Your Library of Columns
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2026-02-1648 minLine Your Own PocketsQualities that Predict a Profitable TraderTopics discussed:Profitable traders don't follow the crowd - or any particular trading guruHealthy attitude towards trading and riskMaking great trades is the goal - ironically, the money is almost secondaryDay trading is key (don't believe me? Just do the math)Automation is a massive trading edgeMuch more...
---Before you go!The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free backtesting email course.I hope...
2026-02-0946 minLine Your Own PocketsShould You Use Python for Backtesting?We discuss:Python is a great general-purpose language, but that's what makes it a bad choice for backtestingIterating on your strategies is the critical piece - anything that makes that more complex will make things more difficultIn a world of LLMs, the argument for using Python for everything makes less senseChoose your tools based on profit potential, not because "I like Python and am good at it."Much more...
---Before you go!The next time you find yourself in a drawdown, I want you to stop what you're doing...
2026-02-0236 minLine Your Own PocketsAmibroker: The Adventure ContinuesTopics include:Batteries Data Not Included - the best way to get data into AmibrokerThe code that adds custom columns in Amibroker is resource-intensiveQuirks with databases in AmibrokerYour computer hardware matters with Amibroker (get more RAM)Dave's hardware specs for his backtesting computer.
---Before you go!The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free backtesting email course.I hope to see you there!
2026-01-2646 minLine Your Own PocketsHow Discretionary Traders Can Add Automated StrategiesWe go over:How "visual" backtesting is not real backtestingDiscretionary traders try to replace what they're doing with automation - but that's wrongHow to create a completely new strategy from the ground up to be automatedHow to build your "idea noticing" muscleMuch more.Here's the book mentioned in the show: The Art of Noticing
---Before you go!The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my...
2026-01-1934 minLine Your Own PocketsNext Steps with AmibrokerDave continues helping Michael create a first backtest in Amibroker. You might think "backtesting is backtesting," but we cover many of the differences between RealTest and Amibroker, as well as their implications.We discuss:What makes AI so bad at generating good AFL code for a backtest in AmibrokerThe better you get at understanding how AFL works, the better your use of AI getsHow a column library makes all the difference in creating P&LQuick backtests can promote bad habitsAnd much more...Dave also announces the new MabeKit AFL Generator tool.
2026-01-1246 minLine Your Own PocketsGetting Started with AmibrokerDave offers advice and feedback to Michael, who is learning to use Amibroker for the first time.He's coming from RealTest, so we go over the similarities and differences between the two platforms.We discuss:How RealTest is great for daily data, but hits a wall for most intraday trading strategiesAmibroker is not just a backtester; it’s a full charting, analysis, and execution environment.Backfilling with IQFeed versus Polygon (there is really no contest)Best practices for databases in AmibrokerMuch more...
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2026-01-0542 minLine Your Own PocketsHow To Run Your Trading Like a Franchise BusinessWe discuss the actual nuts and bolts of what running your trading like a franchise means:Systematize everythingA process for eliminating low-value workWhat makes sense to outsource and what you should keep in-houseMake your trading survive without youAnd much more...
---Before you go!The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free backtesting email course.I hope to see you there!
2025-12-2931 minLine Your Own PocketsThe ICE Method for Prioritizing StrategiesAs traders gain experience, the problem shifts from not having enough ideas to having too many ideas competing for limited time and mental energy. Without a system, this abundance quickly becomes overwhelming and leads to paralysis or procrastination.We discuss the ICE method - a simple scoring method to determine which ideas to work on first.Spreadsheet Link https://docs.google.com/spreadsheets/d/1iWG87jZ7KiANQzH9O8KwgtRRl5Wcd60Q/edit?usp=sharing&ouid=112987133391354450813&rtpof=true&sd=true
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2025-12-2233 minLine Your Own PocketsHow Much Does Speed Matter in Trading?In this week's episode of Line Your Own Pockets, we take on a topic submitted by Isaac, a trader I work with.We discuss:When timing/speed matters and when it doesn'tThe types of trading strategies where latency is likely the bottleneckHow rushing to solve problems can be counter-productive (waiting can reveal simpler solutions)Concrete steps to determine if latency is really an issue and how to address itAnd much more...
---Before you go!The next time you find yourself in a drawdown, I want you...
2025-12-1539 min
The Trader's JourneyHow to Build Automated Trading Systems with Dave MabeIn this episode of The Trader's Journey, Anthony sits down with Dave Mabe – computer scientist, trader, and former CTO of Trade Ideas – to unpack how backtesting and automation can transform a "good idea" into a rules-based, data-backed trading system. Dave shares his path from journaling trades and thinking like an engineer, to running formal backtests, stress-testing strategies, and eventually automating execution. Whether you're a discretionary trader curious about data, or already running systems and looking to avoid curve-fitting disasters, this episode gives you a blueprint for turning ideas into robust strategies.
2025-12-131h 06Line Your Own PocketsPortfolio Level Backtesting - Useful or Waste of Time?We butt heads in this episode, arguing about the value of portfolio-level backtesting, one of the key feature differences between RealTest and Amibroker.Is portfolio-level testing essential, or simply premature optimization?
---Before you go!The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free backtesting email course.I hope to see you there!
2025-12-0849 minLine Your Own PocketsHow Often Should You Re-Optimize?We discuss:How to optimize so you have to re-optimize as little as possibleHow better columns directly translate into more robust strategiesHold a rule "in reserve" so you can apply it when needed without full re-optimizationDocumenting previous optimization decisions will make the next strategy betterAnd much more...
---Before you go!The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free backtesting email course.I hope to see you there!
2025-12-0141 minLine Your Own PocketsIs Moving Your Stop To Breakeven a Mistake?We discuss:Similar to taking partial profits, moving a stop to breakeven is more about psychological comfortProfitable trading requires tolerating discomfort, as difficult as that is at timesIt seems like a simple idea to test, but it quickly adds significant complexity to a backtestHow to actually test this in a backtestThis is a great example of the platitudes you often hear from people who are good at talking about trading, but don't actually trade.
---Before you go!The next time you find yourself in a drawdown, I want...
2025-11-2441 min2025-11-1736 minLine Your Own PocketsYou Missed a Trade - Now What?You didn't get a fill on your original entry. The trade would have been profitable for a bit, then it comes back to your original entry price. Do you take the trade? We go in-depth, answering this common dilemma.Your default should be to take the trade if it still matches your systemThere's more information to decide on - what can you add to your backtest?What are post-entry columns, and how can they help?How deep thinking about the issue can help you create brand new strategiesHere's the original article Dave wrote on this topic.
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2025-11-1041 minLine Your Own PocketsNASDAQ's Announcement on Tokenization of StocksMichael and Dave discuss NASDAQ's initiative to tokenize all securities and the implications for traders. They discuss:What tokenization is and what that means for equitiesHow it affects settlement and paves the way for 24/7 tradingPrediction markets and positive externalities of betting ("Betting is a tax on bullsh*t.")Dave proposed a bet to Michael based on the volume traded in the opening and closing crosses in the futureAnd much more...
---Before you go!The next time you find yourself in a drawdown, I want you to stop what...
2025-11-0350 min2025-10-2733 minLine Your Own PocketsStopped Out by a Penny? Good.We've got news for you - there's nobody who cares enough about your stops to go "hunting for them."And getting stopped out by a penny is frustrating, but it's actually a good sign.Blaming an algo or anything else for your trade getting stopped out is counter-productiveWhy most traders are completely wrong about placing stopsHow to select stops for your strategy in a data-driven wayMuch more...
---Before you go!The next time you find yourself in a drawdown, I want you to stop what you're...
2025-10-2046 minLine Your Own PocketsIs Trading Gambling?In this episode, we tackle this popular question. Dave polled several traders he coaches and got some surprising answers.How much is trading like, say, poker, or something that is even more up to chance?Even starting a business can be called gambling if defined purely as "risking money on uncertain outcomes."Does having an edge make trading less like gambling?In a casino, is the house "gambling" because it has a strong edge?What's your take?
---Before you go!The next time you find yourself in a drawdown...
2025-10-1330 minLine Your Own PocketsUsing Alternative Data in a BacktestIn this episode, we discuss the best way to use alternative data in your backtest.What is alternative data and how can you use it in a strategy?Examples of alternative dataUsing it in real-time versus a backtestHow to automate the process for backtesting and real-time tradingOther episodes mentioned: Using News in Your Trading Strategy
---Before you go!The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free...
2025-10-0641 minLine Your Own PocketsA Different Way to Go LiveIn this episode, Dave discusses a conversation he had with John M. from SMB Trading and his unique approach to taking a strategy live.We discuss:John's 35+ strategies he runs liveHow he quickly gets a strategy running in productionHis approach to collaboration with other tradersWhat is "strategy taste" and how you can improve yours over time
---Before you go!The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free...
2025-09-2937 minLine Your Own PocketsFollow Up On Quant/Discretionary CollaborationFollow-up discussion on quant and discretionary trader collaboration.We discuss:How Dave first connected with BellaThe cultural DNA of SMB CapitalThe challenges of quant/discretionary collaborationThe importance of being a giver, not a takerRelated episode:Mike Bellafiore and Nick Coutrakon from SMB Capital on Trading TeamsCreating a Trusted Trading GroupBooks mentioned:Give and Take by Adam Grant|The Go-Giver by Bob Burg and John David Mann
---Before you go!The next time you find yourself in a...
2025-09-2243 minLine Your Own PocketsMike Bellafiore and Nick Coutrakon from SMB Capital on Trading TeamsMike Bellafiore and Nick Coutrakon join the podcast to continue a discussion Mike had with Dave on the makeup of trading teams at SMB Capital, a proprietary trading firm in NYC.What's the best way to include a quantitative trader in a discretionary trading team?
---Before you go!The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free backtesting email course.I hope to see you there!
2025-09-1551 minLine Your Own PocketsBaby Steps Towards Automating Your TradesAre you a profitable trader but hesitant to automate your trades?In this episode, we discuss multiple steps to take towards having a computer make trades without fully automating.
---Before you go!The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free backtesting email course.I hope to see you there!
2025-09-0844 minLine Your Own PocketsWhich Version of This Strategy Is Best?We discuss 4 different variations of a strategy that Dave is deciding between and the thought process for doing so.
---Before you go!The next time you find yourself in a drawdown, I want you to stop what you're doing and head on over to betterbacktesting.com to sign up for my free backtesting email course.I hope to see you there!
2025-09-0144 min