 What's up guys, this is Giovanni from the options trading channel today is Friday, January 17, 2020 I didn't get to trade today as there weren't any signals in the strategy And so I thought I would make a video a fun video I haven't made a fun video in a long time and The main reason why I decided to make this videos As as I'm working I have YouTube playing in the background whether with music or or you know trading videos and this and then I just basically use it for background noise background music and YouTube was so kind enough to recommend this video to me and it played I went ahead and played it The title is I coded a trading bot and gave it a thousand dollars to trade So naturally as a day trader myself. I was intrigued by this. I Had my opinions Formed prior to the video Shame on me. I know I'm sorry, but you know what? Let's let's talk about it I don't necessarily want to say that I'm doing a video and Exposing quote-unquote. I'm doing air quotes here Exposing this guy. It's just it's amusing to me I think it'd be amusing to my viewers and subscribers and to the trading community Let's get this let's get this video started and I will be pausing the video and just putting in my own Commentary on the side again. This is just a fun video Disclaimer. This is my opinion my opinion only That is all my opinion. I have the rights to give my opinion out there, right? So let's get this video going. Let's hit play guys. Okay. Here's a challenge Can I write a program that trades stocks for me and how much money can I make in a week? So apparently this guy just said hey, you know what? Let's see if I can build a trading Program and see if it can make any money. Hey, that's that he woke up one day and decided to do this. So awesome Heldin All right, so that's the idea for what we're gonna do today I have no idea no clue actually how to actually get this to work So he has no clue no idea how to get this to work, but he's making a video of it Interesting, but we're gonna try it. We're gonna see how it goes. Hopefully it'll work now. Let's go The dramatic all the hoody the hoody is coming on guys That means he means business Monday and that means that it's time to test this thing out and see what it'll do in the wild The last week or so I've been spending pretty much like what you just saw like coding this thing out trying to build it and Been running into just a ton of different limitations and different problems that I didn't expect Like pretty much everything that I do on this channel I thought this is gonna be a lot simpler, but it turns out to be a lot more difficult So get this guys. So he apparently Woke up one day and said hey, you know what? I'm gonna try to make a trading robot here to see if it can make me some money and He thought it was gonna be easy He thought it was gonna be easy something that has been around for decades decades and decades and decades and I wouldn't say nobody but very few have cracked The mysteries or unlocked the mysteries of the stock market. So apparently he thought it was easy guys a Lot of the strategies in like trading and different things like that is a lot more complicated than I kind of thought it was gonna be You think Which is really naive of me to think that it's gonna be super simple Imagine that But that's kind of how I work. So let's go day one Okay, so I figured I would just kind of explain to you how this script works and how I was able to make this do what it does Awesome, so we're gonna get an inside look as to what this 100% beginner Novus trader in his process of how to day trade how he Decided to build this trading robots here So the first thing that I had to do is I had to find some sort of API that I could use to get the data for different stocks So the pricing of them essentially for different times during the day. Oh Like charting tools, right? I mean, that's we all need charting tools from one form or another candlesticks Indicators, you know That's that's that's what I think that he's talking about API API is I had to look it up I had to look it up. I heck. I still don't know what what really that is It's just data basically data feed, but really you need that you don't need like a trading platform and The second thing was I had to find some sort of way to find relevant stocks to actually look at because there's like Millions of stocks that you could look at Millions of stocks that you can look at guys He needed to find relevant stocks like a stock scanner. Yeah stock scanner. Yeah, I'm sure a Programmer because I think that's this guy his channel is having to do with programming. I don't know I didn't do my research on this guy but you would think that he would be using a sophisticated Program for a stock scanner you would think right and I can't look at all of them and it's not relevant to look at all of them so I needed to find some sort of way to actually find relevant stocks to look at and The third one probably the biggest one was trying to find some sort of strategy for how to Trade essentially so when to buy and when to sell different stocks so coming up with a strategy there and The first one finding the API what I used was something called alpha vantage Which I found a lot of people recommending and I used the free version which Let's see here. So we're looking at alpha vantage real-time in historical stock data Forex and cryptocurrency feeds 50 plus technical indicators global coverage. Okay. Hey, I've never heard of alpha vantage I'm sure many of my subscribers or viewers have So let's keep going. This this so far seems I guess pretty legitimate alpha vantage Which means that I was limited to just five API calls every minute That means that I kind of had to decide I had to figure out a way to find just a couple different stocks to focus on each Day because I couldn't make that many calls I Full disclosure Complete ignorance here. I'm not sure exactly what he's talking about only five API feeds Five calls of some sort That doesn't necessarily make sense To me anyways But let's continue on so I decided to just focus on five stocks per day And essentially what I use is yahoo finance.com. I use selenium yahoo finance calm this This is what he's using as a stock scanner to find relevant stocks. He's using yahoo finance The most unsophisticated form of scanning For stocks Okay, this is this is it. This is getting interesting you have to do some web scraping on there and Essentially find the stocks that have changed the most during that day And then I find the five ones at the top and then those are the ones that I'm going to be checking throughout the rest of this so Very easy very self-explanatory Um Yeah, he decided to just pick the five Stocks that had moved the the highest in percent change. Let's see here. No In actual dollar amount, it looks like if you take a look at the change here Yes Okay, I hey, yeah, that's the true in order to make money you need to find the most volatile stocks That are gonna move the most. Okay. I mean, I'll I'll believe that The run of that script and so that's kind of how I find the stocks that I'm actually gonna focus on and then the last Thing is gonna be the strategy. So when to buy and when to sell This was a very This was a part in the video that I was I actually excited to To watch and hear about Because that's what it's all about. It's the strategy, right? And since I can only do five API calls every minute that means that I kind of decided to Do one call for each of the stocks that I'm focusing on every minute So that means that I get the price of each stock every minute updating He's talking about the one-minute chart, right? Am I right or am I wrong? And so that's kind of what I had to work with and the strategy that I used was something that I found on this website And there'll be a link to this website in the description as well in case you want to look at this too But essentially what this was was that what they're using as an indicator is when The stocks move above the previous average High as far as I understood it Once the price has Crossed the High of the medium price. Wait, wait, let's let's go back. What do you say? What do you say? What do you say? The stocks move above the previous average high move Across the previous average high The average High As far as I understood it so as you can see here here it has a high up here somewhere and Here it has one that's pretty close to this one. Oh, as you can hopefully tell by now I'm not an expert at this at all really really kill What's your Kail How held in really you're not an expert in stock trading. Huh imagine that So I'm not trying to teach you this I would recommend that trying to learn all this stuff from somewhere else I probably should have focused a little bit more on actually learning this properly before Are you kidding me? Are you kidding me? Now now you're saying I kind of don't know anything about this But I'm still gonna build a trading bot to make me a crap ton of money We got started But yeah, so when I buy or when I sell is based on this particular diagram So this is what I used. Okay, so that's kind of how this script works and mind you mind you He just randomly went to investopedia.com and just picked a strategy. I mean that's simple Hey guys, you can build a trading bot just by picking any random A strategy that you find on any random website, I guess and now what we're gonna do is we're gonna invest a thousand dollars today and We're gonna leave it for five days each day It's gonna divide the money in five and then essentially it won't invest more than a fifth of the money in any of the stocks at any time and Then at the end of the day, we'll see how much we have and then the next day It will do the same thing. All right, so let's run the first day All right, let's run the first. Oh nice touch there. You guys see that You guys see that awesome hacker style Programming programming sort of touch there pretty awesome nice touch Coating intensifies Oh the sponsor You know All right, so that is day one done and This is what we ended up with $4.7 he made I create four dollars in 73 cents Hey, that's a win a win is a win a win is a win Jason file here where we essentially save every time we purchase a stock we save it here and this then Let's miss wait a minute. Wait a minute. Wait a minute. He went and built The coding for this training robots straight from this program That I've never even heard of but Hank. I'm not I'm not a programmer by any means. I don't know anything about programming But he was able to build a pro a trading robots Code for a trading robots, but how is he executing his trades? Who's his broker? How much is he trading? How how much is our our his commissions? We don't know He doesn't talk about this he doesn't talk about any of the specific details that us Traders actually need to know but let's continue on See kind of what what stocks did I buy today and what stocks did I sell and do I own any stocks currently? So right now at the end of the day here. We don't own any stocks, which is good Which that means that we sold everything before Again, mind you. He's not showing us his broker account He's not showing us the actual executions of his trades Let's move on stock market closed. So if we take a look at this first one here, for instance We can see that we bought this at eighty seven point five. Whoa. Whoa. Whoa. Whoa. Whoa He just now mentioned that he bought KRTX KRTX He bought it at eighty seven point five one one four According to to this information here, but if you take a look at this This is the close of if you know trading I'm just gonna explain it this way. This is the close of The price that it closed at the high the low the name of the stock the opening price and The volume total but he's claiming that he bought it at eighty seven point five one one four What Dollars and we sold it at ninety one point seven dollars. So he bought at This place that says close and then he sold this Where it says close What? So if we just do some math here Then we can see that we made about a five percent profit on that particular sale or that particular stock and as we can see we bought that several times during that day the highest that we sold it at was 97 dollars so We could have if the script would have been ideal It would have just bought it once and then sold it at its highest But I'm still pretty happy with this if we take a look at the second buy it bought at ninety two dollars and The second time it sold it at ninety four. So we still made a profit last one. It bought at ninety five sold at 97 so we only made profits today, which is really good as long as I'm like not losing money on this script I'm gonna be pretty happy now I'm thinking that we're just gonna run this script for the next couple days and then we'll see at the end How much money I made or lost and we'll break it down day by day to kind of see what's happened each day All right, so let's do that now. Oh Oh, I like that. I like that guys. I like how he oh, that's even better. I like how he just pressed a button all of these numbers and times and hacker style stuff just showed up on his laptop all You know coding coding stuff and then he's sitting down like he's not worried about this at all How sweet would that be if we could all find a way to do this? The greatest part about this is that he knows nothing about day trading at all He doesn't know anything about investing or trading anything at all, but he somehow was able to program a trading robot I like how I love I absolutely love like the coding here like Like it's scanning or hacking something Is the coolest funniest thing ever All right, so this is day five and we've now ran this script for five days and It wasn't as exciting of a result as I would have hoped As you saw the first day we made four point seven dollars. So with a thousand dollar budget, we made Four point seven dollars, which is okay That was the profit that we made that day and then on day two we made 18 dollars point six seven cents, which was quite an increase from the uh, I didn't sell anything at a loss actually which kind of makes me a little bit skeptical, but Kind of like how I'm feeling about you right now kale helladay hella din Well, however you say your name, I'm feeling pretty skeptical about you right about now I have a feeling that we both feel about the same way Uh, I believe that and then on day three we came in at 1023 point 2064 dollars Which is kind of where this Interesting story sort of ends because day three day four and day five all ended up with the same result. So we Got 1023 point zero dollars. So essentially So essentially during these five days we made 23 dollars, which is a pretty good profit, but the last Three days we did making 23 dollars in five days and being able to do that While you know, I push a button and then hacker stuff comes up on the computer and I get to sit back And get on my phone watch tv eat some snacks Go to the bathroom Do whatever I want. I would have I I would take that all day. I would take that all day Didn't make any profit or any loss Probably because the stocks that we were picking didn't actually change enough For the script to trigger to buy or they didn't change in the way that my strategy was set up so didn't end up buying anything on those days, but At the end of the week, we ended up with a two percent increase In profits, but compounding that over time over like a year or something like that That would end up being a lot of money Hey, that's like the one of the smartest things he said in this entire video compounding money After a year or so Would be like having a lot of money That's that's a pretty good, you know, uh Sort of analysis that you did there or findings And that would be a pretty huge increase if it kept increasing by two percent each week or each five days All right, so I'm gonna be honest and say that this I hope this was gonna be a little bit more extreme Like more extreme than just a two percent increase I was hoping like maybe 50 percent or like a hundred percent or maybe even a decrease in a hundred percent or something like that That's pretty much the entire video there Oh gosh, this is This is terrible Like this is if you're gonna make a video like this if you want to try to convince people that you're Really smart or you're an expert in something do your research guys Like really You know like anybody that actually trades the stock markets You know they know that this guy is just full of crap Nothing about this video seemed realistic nothing. He didn't talk about commissions What you know what broker he was using what the actual coding was for for the Trading bot that he coded. I mean this is a coding Channel youtube channel anyways, right? You would think that he would actually talk about him Scripting the code and whatnot Guys I mean at the end of all this There was there was something that I missed in the video That I didn't talk about he did mention that Out of that thousand dollars that he was gonna split up that thousand dollars into The way he said it is into five different lots or a fifth. I think that is how he actually said him Each day it's gonna divide the money in five and then essentially it won't invest more than a fifth of the money in any of the stocks So he was only trading $200 at a time and he doesn't go on and explain How many shares of the stock that he was trading? And apparently he only traded that one stock whenever He said that he was at least gonna have five different stocks. I I'm not sure Comment down below guys what you guys think about this Video of this guy. I mean, I don't even know if I'm pronouncing his name right kale Hell held in held in held in kale held in I'm sorry if I can't mention your your your name correctly, but you know what kale you were entertaining You were absolutely entertaining at the end of the day That's all you were doing was entertaining us and I thank you. I salute you Very much for your entertainment kale. So don't forget to hit the like button down below subscribe to my videos Maybe I do this, you know once a week once a month just for fun I think it's hilarious That there's so many people out there scamming people whether it be scamming people out of money or just Trying to make them believe that they are someone or something that they're not so Drop a like Let me know what you think about this video. Subscribe to my channel if you haven't already got you guys here on the next trading video Hopefully it's a green trade next week Thank you so much everybody. Have a nice weekend. You guys take care