interesting way to size positions.. is there any reason you're doing it that way? what is your rationale? simplicity?
i size dynamically according to total capital and risk/stop. usually 1% of account risk. say my entry price is $5 and my stop is $4.50. this gives me -10% drawdown until i am stopped out. i have $10k capital. how many shares to buy where if i experience that -10% drawdown i only risk 1% of the account? 200 shares, which would be deploying 10% of my capital to the trade. i also have a hard limit on that % allocation so i don't size too big (can happen if stop is very tight, eg: if below i had my stop at $4.95 it would have put the full $10k in with only -1% drawdown max). example:
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i would be curious to hear what kind of data the LLM is being fed, but you don't seem to know that. i would be careful to not blindly trust a system you have zero visibility into. i have not yet tried to use LLM for trade signals.. currently only using it to summarize/analyze text (PR, news, earnings calls, etc). when i am finished my market breadth project i will attempt to feed those data reports into LLM to tell me what parts of the market are doing well, which are doing shit, and which are flat (i believe taking trade signals in parts of the market that are doing well will improve probability of win).
anyways good luck with your journey, i am getting back to mine: trying to figure out how to get 1,000 robinhood accounts to scale my "free money" method. having tested since march i know it works, but trying to scale it is getting rather complex!
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have a great weekend bhw!