This Trader Made +$700K in 6 MONTHS — While Working a Full-Time Job

Just stop there one second just so I understand. It only runs 10 minutes of

understand. It only runs 10 minutes of the day. Did you say

the day. Did you say >> that's it?

>> You train 10 minutes a day.

>> 10 minutes a day.

>> Malik is up 700,000.

The crazy thing is that's in the last 6 months.

>> One thing that's going to blow people's mind is I don't have to do anything until here for 2 years here. This is the process that I follow for every strategy that I create. And you make a ton of money without doing anything.

>> To me, that is absolute insanity.

Welcome to undiscovered traders by Kin for the only podcast that interviews verified six and seven figure traders.

If it's not Ken for I don't personally believe that you know that that person can have actually made that money. And

today we're interviewing uh Malik who goes under the Kinfo name is it Mallet TQQQ trader. Now, Malik is up 700,000

TQQQ trader. Now, Malik is up 700,000 in verified Kinfold profits. A little

more, much closer to the million in and his actual profits, which we'll get into in a little while. The crazy thing is that's in the last six months we've saw those profits come through on Pinfall.

Uh, and this this episode is a very special one. It's something a bit

special one. It's something a bit different that we do to normal. It's

pretty much a mustwatch because in this Malik is going to determine his strategy, how he comes up with the concepts, the the how he builds the models and builds the codes, back tests

it across 42 years of data, and then how he automates that process. There's going

to be like a small presentation and then a big demo. Perfect for kind of people who are wanting to get into this. But

first of all, Malik, how are you?

>> Yeah, doing pretty good. um really

excited to talk about my journey and uh everything else here. But uh first of all, really really thank you for inviting me on this uh podcast. Um I uh

as I said before um I when I started trading, I used to watch your videos uh online and uh they were amazing. I think

they were stellar and uh um lots of comedy in them and lots of value. So, I

used to love and uh watch those videos all the time.

>> No, I appreciate that. I was I was a crazy uh crazy 20-year-old 20 plus year old kid, maybe 30 when I was just just starting those. Um one one day I'll go

starting those. Um one one day I'll go back. Um I said I'd always do a podcast

back. Um I said I'd always do a podcast and I'm I'm back on this one. So, that's

that's nice. But, Mik, in terms of your trading, you've made an incredible amount of money in a very short time. I I really appreciate that you've been transparent on Kinful, but also that you're going to

be transparent enough to kind of show us the process of how you're doing it. And

you are you more of like a a quant guy?

Is that the right way to say it? I'm

more of a systems guy. Yeah, I there is a small slight difference between quantitative and uh systematic. Uh I am more of a systematic uh uh guy with uh a

lot of mechanical like everything is mechanical. um every rule and every

mechanical. um every rule and every algorithm, every addition is all mechanical and it's tested against uh the last 42 years of data um to make

sure that it is robust. Um I use a lot of stress testing and make sure that these uh strategies can stand uh against a lot of market regimes, right? like com

uh crash or 2008 crashes uh ups and downs like can it withstand all that that the market throws at you every day day in and day out right so uh that's

what I do I'm very different from a lot of uh folks that uh do the trading uh again like nothing wrong in uh uh um having that kind of a manual uh dis

discretionary trading um but uh yeah I am completely fully automated at this point I don't uh do anything in terms of trade execution or everyday day-to-day

decision making. Uh it's completely

decision making. Uh it's completely automated. I just let the computer take

automated. I just let the computer take care of everything for me. Uh because I have a day job and I focus on the day job.

>> That's absolutely insane to me. So

you've made nearly a million dollars without executing trades.

>> Yep. I uh it's been 3 years since I uh actually put in a trade in my brokerage account. Everything is done by the

account. Everything is done by the computer and it does it very very consistently. There's no emotions there.

consistently. There's no emotions there.

Uh it doesn't matter what the rest of the market is doing, tariffs or recessions or anything like that. It

just does its job. And that's what I really wanted there.

>> To me, that is absolute insanity. It's

it's bordering on the what everyone's trying to do. Like everyone's trying to build a a trading bot. I remember Steven Ducks was talking about the DXNator and I mean Malik you you built the

Malaganator but um but like I just so first of all how did you what's your background? How did you learn how to to

background? How did you learn how to to do this and then we'll we'll go a bit into a demo and and also what are you trading um when you when you're simulating these trades?

>> Yeah, I can I have prepared a few slides. I can quickly uh go through the

slides. I can quickly uh go through the slides and then uh talk about my background and uh my journey uh if that's okay with you. Yeah, sure, sure.

Let's do it. But I just one question while you bring them up. H a lot of people ask me when they see people make a big amount of money.

>> H >> how much did you start with? Cuz say if you start with 10 million and you placed one trade and you made 10% and you made a million. So like what what did you

a million. So like what what did you start with? How did that journey start

start with? How did that journey start quick?

>> Yeah. So I started my journey um almost uh 10 years nine years ago. When I

started, I just had a small account because I knew uh it was not going to go super well. So, I started with like uh

super well. So, I started with like uh roughly 20K.

Once I uh figured out okay I this is my niche and uh I can consistently make money I I went to a bigger account like

I started with uh around 200k and um yeah right now uh it's uh 200 220k and then now it's uh hitting a million in one of the accounts. I have a couple

accounts um overall but uh yeah on the right hand side you can see here this is my um this is my uh one of the accounts

uh equity curve um so you can see until 2022 2023 beginning of 23 I didn't make a whole lot of money um and then I started making uh uh consistent money uh

it doesn't mean that I make money day in and day out um last year was uh you know a flat period I didn't make a whole lot but this year again market uh uh the

regime suited my strategy. So I started making money again and uh right now yeah this account is getting close to a million dollars here. Um before that we

can quickly look at the Kinfo. Um I

would say my my style is uh more of a position trader uh where I hold the position like the core position for uh

as long as the trend is uh in place but I trade uh I trade some portion of those uh shares around it. So let's say uh

depending on the again the uh uh day and uh the trend I might only hold like 30% of my shares but like tomorrow I can add more and then day after tomorrow I might

sell some more but still like the position is not completely closed until it might take 3 months 6 months sometimes couple years. Um so it's it's not a swing or a day trading strategy.

It's more of a slow position trading strategy. So that's why um when we go to

strategy. So that's why um when we go to the um uh profit chart here, you see that there's not a whole lot in the last two years. It looks like I made all the

two years. It looks like I made all the money in this uh last 6 months. But but

what happened in reality is like when I started in um 3 years ago, that position I was holding it until like uh last year

until the bull market or this year until the bull market ended. um and then uh uh the position was closed. So usually

Kinfo uh tracks all the closed positions and then the profit is displayed. Um

that's why you see this a little bit of a a jumpy state like a steps um in there. But uh that's just yeah that's

there. But uh that's just yeah that's just a different uh visualization here.

>> Yeah, but it's it's uh there's a lot of work there's a lot of work going on behind the scenes behind those uh those jumps and and then so are you so I'm seeing SQQ there. So, are you trading um

is that the the NASDAQ? Is that a form of the NASDAQ that you're that you're trading?

>> Yeah. So, uh so I'm a software engineer.

I've been a software engineer for 20 years now. I used to work at Microsoft

years now. I used to work at Microsoft and then Salesforce. That's my

background. I have been trading since almost 2016, 2015, 2016 and consistently profitable uh since 2022. And the key thing is I'm a fully automated

systematic trader as I said before. Uh I

don't make any manual uh day-to-day trading decisions. I don't uh I don't um

trading decisions. I don't uh I don't um figure out like what to buy, when to buy, should I sell, how much to sell.

All that stuff is automated. The

strategy is completely automated. I just

let the computer run it. Um right now I'm doing seven strategies. Uh trend

following and mean reversion are the two um categories of those uh strategies here, both long and short. trend

following I would say is the bulk of the um bulk of the profits like is derived from the trend following and it's a low frequency trading like one to two trades

per week. So my system is uh or my uh

per week. So my system is uh or my uh system is a pretty low frequency trading so it's not really like going in and out consistently um constantly but um it'll

figure out like when to really trade. Uh

one more uh special thing about this is I only trade TQQQ and SQQQ. Uh these are the only two ETFs that I trade. Uh one

is a long triple leveraged uh NASDAQ 100. The other one is a short triple

100. The other one is a short triple leveraged NASDAQ 100. Um so if I need to short I uh the the algorithm chooses SQQ. If I need to be long it chooses

SQQ. If I need to be long it chooses TQQQ. Um so that's the only thing that

TQQQ. Um so that's the only thing that it does. It doesn't trade individual

it does. It doesn't trade individual stocks. it doesn't do anything else.

stocks. it doesn't do anything else.

roughly the last three years uh since I went into production uh means I started uh this algorithm into the actual brokerage accounts my annual rate is

around 40% uh return with uh uh there were a couple times where I hit a 33% draw down almost 30% draw downs and u my I I put my uh strategy signals at

collective too uh so that everybody like anybody can actually take them and consume it um either they get emails SMS uh messages uh text messages. Whenever I put a trade

in my account, it automatically sends all those signals in real time uh through collective.

>> I may be contacting you for that after.

I may be having a quick chat with about getting those signals.

>> No. Um yeah, this this a few a few people have subscribed to those signals.

If you go to collective 2 and uh check my uh strategy there, um they have live accounts like they have live brokerage money assigned to my strategy. So, right

now there's $50,000 of uh money that's um uh where these signals are being applied. Um that's real uh people.

applied. Um that's real uh people.

>> I'll put a link I'll put a link in the description so people can link directly to it. Don't worry about it. So, there's

to it. Don't worry about it. So, there's

a link in the description below.

>> Cool. All right. Uh let's uh keep going.

Um and then my journey um I I categorized it as into three phases here. Uh exploratory phase, a discovery

here. Uh exploratory phase, a discovery phase, and then a growth phase. Um I'm

pretty sure like most of the successful traders when you look at them these are the uh phases that they usually go through. Um and exploratory uh phase is

through. Um and exploratory uh phase is mainly uh starting in 2016 I would say it lasted for 3 years. Um the key thing

here is that I would say uh it's a strategy hopping right I'm trying to figure out what is my niche. So I tried with day trading um stocks in play uh

pretty much quickly in one year I lost like 30% of my 20K. So it was just more of like putting your toes in the water and trying to get a feel for what the

market does and how the market moves.

Then I realized that okay day trading is not my cup of tea because um it needs basically you need to sit in front of the computer all day and u um looking for opportunities and that is definitely

not going to be possible for me because I um I'm a full-time uh software engineer. I have a job and definitely it

engineer. I have a job and definitely it doesn't suit my uh the way that I live right. So I started looking for a

right. So I started looking for a different style of um trading when to swing trading a discretionary.

So here uh it helped me quite a bit to figure out like hey how does the market move? Does it move like does it go up

move? Does it move like does it go up every day or how when does it go up? How

does it go up? Uh I started learning about the market structure itself. uh

the way that uh the market moves in terms of like consolidations and then breakouts and then huge push and then again a consolidation trends all that stuff I learned it here again I didn't

make a whole lot of money break even for the most part um still again no consistent processor setup but in uh after 2 three years of doing this I I started with like a pullback and

breakout setups just like anybody else I used to be a uh boom and bust trader where I used to make money and then when the market pulled back. I used to give it everything back and then it caused a lot of frustration because oh man like I

made ton of money here but then I lost it in the next one month. Then I started realizing that okay I need a process to sell not just buying and then there was no risk management so it's all

discretionary like uh I didn't I didn't know how much to buy u so all that stuff so the second phase is the discovery phase where the frustration was getting

bigger and bigger cuz there's no it's a there's no progress so I was making money losing money making money and losing money all the time at this point I felt like okay I No, I have a lot of

knowledge but there is no profits to show for it. So then I took a step back.

I mean it was a very tough time like where uh I feel like I have done a lot of work here but there's nothing to show for. There was points where like okay

for. There was points where like okay maybe I should just quit and uh do something else right cuz it was a lot of frustration but then I started doing a hard retrospection like okay what am I

doing wrong here? Uh am I really progressing or just like wasting time here? Then I started realizing that I am

here? Then I started realizing that I am trying to play somebody else's game here. Like for example, Warren Buffett,

here. Like for example, Warren Buffett, right? Like we take his example, he does

right? Like we take his example, he does he doesn't do charting, technical analysis or day trading or swing trading or anything. He has his own thing like

or anything. He has his own thing like where he sits probably on a desk and reads a bunch of um company earnings and reports and all that. So based on that

he is able to basically he created his own game where he does uh some things that he uh is good at and that's how he makes money. So then I realized okay I I

makes money. So then I realized okay I I need to look at what I'm good at and I need to play play my own game not somebody else's game. Uh I need to make my own rules and play that game because I'm good at it. Right. That's the way to

make money. And stock market is awesome

make money. And stock market is awesome because it lets you play any game you want but you have to be really good at that game. So

that game. So >> yeah, I think I think just to come in, I think that's an excellent point by the way because like there's a a common quote that everyone knows that's like excel at your strengths, but figure out

what you're best at and just go all in on it. Don't try and fix your weaknesses

on it. Don't try and fix your weaknesses because you're never going to ever be able to really fix your weaknesses sufficiently to be the best at it and and it's exactly what you've done here.

>> Yep. So um then I realized that if you want to really make money or if I want I wanted to make money, I need three things here. one is edge uh conviction

things here. one is edge uh conviction and then a process around that. I mean

some people say psychology is a major thing but to me that doesn't make any sense like it's absolutely nothing for me. Edge is something very different for

me. Edge is something very different for everybody but once you have an edge which is like edge I I define usually as something that you are good at uh you

can do better than somebody else that's your edge in the market. It can manifest in different ways. For Warren Buffett, it is the edges figuring out the

companies that where he knows uh they are going to raise in value over time and right now they are undervalued and he can uh stay with that right. So

everybody has that edge that they need to figure out and then the conviction is also a big deal. Like just having that edge uh doesn't make you money. You need

to have a strong conviction in your edge. Edge doesn't mean that you're

edge. Edge doesn't mean that you're going to make money every day, right?

Day in and day out. There will be periods where your strategy or your edge is not going to make money. You will

have a draw down and this conviction is going to make sure that you are still going to use that edge and when the market regime or when the conditions

turn in your favor then you'll make money. So the edge is something like hey

money. So the edge is something like hey I have a sword but then the conviction is uh when you can actually use it like it'll make it'll help you stick to that edge when the things are not in your

favor. And the process is something that

favor. And the process is something that you need to use that edge over and over and over and make consistent money. So

all these three are very very essential.

In the discovery phase, what I did was I looked at all my strengths. Again, my

strength is analyzing data, creating strategies. I have a uh because of all

strategies. I have a uh because of all the um manual discretionary trading that I did even though it didn't make any money I still have a really good understanding of the market structure uh

what works what doesn't work in the market um and then I have coding skills because I'm a software engineer I can write code and I can build systems and then I also looked at my weaknesses if

you look at a lot of discretionary traders they can make these decisions day in and day out for a long periods of time um it's really hard for me to do uh I that's my limitation and that's my

weakness. That's why I was not able to

weakness. That's why I was not able to consistently take a strategy and apply it day in and day out. Um and then I can't tra I can't sit in front of a

computer all day and consistently make those buys and sells at the right time uh without those emotions because emotional emotions are a huge part of

discretionary trading. So um that was a

discretionary trading. So um that was a very difficult thing for me to do and that's again my weakness. uh time

commitment again um I have family and then I have a full-time job. So, so what I did was um I looked at what I cannot do after the looking at my strengths and

limitations. I derived okay I cannot do

limitations. I derived okay I cannot do day and swing trading or discretionary trading. I can't do individual stocks

trading. I can't do individual stocks because you need to understand the um technicals and fundamentals and you need to do a lot of market uh like a sector analysis and all that stuff to actually

trade the individual stocks which I don't have time and I don't even have interest to uh trade those uh trade like that uh cannot do fundamental analysis because I don't have the background in

that. uh most of the technical analysis

that. uh most of the technical analysis um I read later on when I actually back tested a lot of that um none of that uh actually worked. I would say most of the

actually worked. I would say most of the technical analysis like a traditional patterns and um um the uh candle patterns and all those things they don't

have a whole lot of edge in the market.

Some people make it work but uh that's because of something else that they have not just from a uh pure uh uh systematic perspective. So I I figured out that the

perspective. So I I figured out that the systematic trading through the index ETFs is my uh best way forward. Again I

wanted to do leverage because I'm not scared of draw downs like 10 20 30 40% uh draw downs don't scare me. Uh I'm

okay to stick through those draw downs and let the uh system run its course.

NDX is my top choice because of the uh again I'm I have a background in tech very I can correlate with the um NASDAQ 100 because of all the exposure to the

tech and the biotech. So I figured out TQQ and SQQQ are the trading vehicles to go along and short. So once I figured out all these things then I went back

and say okay what is my edge here? uh

again uh don't want to repeat here but developing robust and simple strategies based on timeless market tendencies like momentum and mean reversion these are the two uh anomalies in the market that

you can say they existed for hundreds of years decades and they are going to continue because of uh human behavior right the human psychology people tend

to have greed and fear and that's manifests in momentum and mean reversion so I wanted to use my systematic uh use systematic trading couple that with my

coding skills and uh with my uh skills that I have and that's my edge personally I gained the conviction through data through rigorous back

testing when I understood like uh how my uh strategies behave in different regimes what is the expected behavior that gives me a strong conviction of

okay this is what's expected and right now uh is my uh strategy doing the uh is it working the same way it's supposed to work, right? And uh as I said, the

work, right? And uh as I said, the conviction prepares you to continue to grind through the tough draw downs.

Everybody will have draw downs, right?

I'm I'm sure like there's no 100% sure that there's no trader without a big draw down. This conviction is really

draw down. This conviction is really needed during those times. And if you don't have that, you're going to abandon that and go back to strategy hopping and all those bad habits. And also, I need a

process. I need infrastructure to

process. I need infrastructure to consistently back test and execute strategies. uh and white light is my

strategies. uh and white light is my tool that I uh wrote like developed and designed and wrote from scratch. Um it

is a back testing as well as it does real time uh trading for me. I I write my strategies in there. I deploy them, test them. I did I test and deploy. Um

test them. I did I test and deploy. Um

and that's where this tool is born from.

Right now I would say when I started this there were not many options to back test and uh deploy your uh strategies.

Right now there are lots of tools. You

don't have to write them from scratch.

There are lots of tools available in the market um like a real test I haven't personally used it but I heard a lot of good things about that uh that new

traders can u directly go there all they have to do focuses on um uh essentially the strategy part of it and everything else

is done by uh those tools my tool the code name for my tool is white light uh because it was so dark during that time and then this was the tool that gave me hope so I named it as white light uh it

has back test engine. You can test multiple strategies at once. Um, it does when you run the uh test, it uh shows you your equity curve over a long period

of time, the draw downs associated with those and all the it spits out all the trades. So, you can manually look at all

trades. So, you can manually look at all those trades and uh gain some insights if you want. And it also has the capability to run these strategies in real time. It can connect to my

real time. It can connect to my brokerage accounts, Fidelity and Alpaca.

And it gets all the data from polygon.io.

polygon.io.

uh it also caches all that data locally in case polygon is down or some something happened right so it has some uh robustness and uh um fall tolerance

built into it the biggest improvement that I did in the last one to two years is sending telemetry like alerts directly to my phone so that I don't have to really babysit anything there so

if something whatever it is doing it will send me alerts like hey I this is this is a strategy this is our uh uh positions right Now the this is what I'm

going to do and it will once it does the order placements and everything it sends me data and if there is some uh issue with any of these uh uh uh steps here it

will alert me uh it will send me high alert so then I can go and uh take an action uh on that. Yeah I mean initially yeah there were lots of hiccups back and forth I fixed all all of the stuff and

right now it's pretty smooth. It's been

like couple years since I have any I had any issue with uh um execution or uh running these algorithms. So it's been pretty smooth the last two years. Uh but

it took me a few years to get to this point. And then I'm going to quickly do

point. And then I'm going to quickly do a demo here uh talking about what does a real edge look like for me and the conviction and all all the process in action.

>> I think what you're about to do now that no one else has ever done before is is actually show the process of systematic trading and how it's done. So I don't want to I don't want to hold you back from it.

>> Awesome. So um the first thing is I uh from an operational perspective I run uh all this strategy in the cloud AWS cloud. So I have a virtual machine

cloud. So I have a virtual machine there. This is my virtual machine. I

there. This is my virtual machine. I

remoted into that. And the cool thing is I even automated when it should run because my strategy only runs the last in the last 10 minutes of the day. It

only has to make two decisions.

Basically it has to know should I buy TQQ? how much to buy, uh what is the

TQQ? how much to buy, uh what is the position size per SQ only two decisions it has to uh make and then based on that it'll connect to my brokerage and then

places the right orders and stuff.

>> Just stop there one second just to understand it only runs 10 minutes of the day. Did you say

the day. Did you say >> that's it? Uh because my >> 10 minutes a day, >> 10 minutes a day. Um even that is automated. Um I have resource scheduling

automated. Um I have resource scheduling everything set up so that it automatically starts um 15 to 20 minutes before the market close and um it just

on boot it does this.

>> If you're enjoying this level of transparency from million-doll traders, hit like, hit subscribe. Helps the

channel more than you know to get more guests like this and more guests like this verified on Kinfo.

So like it first step is it is going to uh let me see if I can zoom in a little bit. Yeah, cool. So first step is it's

bit. Yeah, cool. So first step is it's downloading the data for the tickets um SQQQ, TQQQ and the NASDAQ 100 NDX.

It is running my strategy right now. Um

the it's called dual strategy because it can do both short and long. I used to run only the long couple of years ago, two two and a half years ago. it was

only long long based long biased but now I added uh in the last I would say uh one year I have added a couple of short strategies also into this so it's

running all those strategies against some of the data that I have I'll show you uh while it is running uh I'll show you the data that I have so if you look

at this folder like it's caching all the data uh let's look at the NASDAQ 100 here NDX NDX is the index for NASDAQ 00.

So you can see um it's just a simple um date open, high, low, close and the volume volume is zero because it's an index, right? So it is caching all the

index, right? So it is caching all the data from 1985. That's when the index actually started and uh it knows it

already has data till uh yesterday. So

it all it is looking for is data real-time data right now and um it got it from uh polygon.io.

So okay let's go step by step. Um so it got the data it run it ran my strategy here and these are the two critical pieces.

It determined that today my TQQ position size should be 30% of my portfolio.

uh SQ position size should be 0%.

So these are the two critical pieces that's it like those are the only two things that are important uh at this point for for my uh for me right so um

if I need to tell somebody that hey uh uh or to myself how much TQQ should I be holding today 30%. So let's say I come

in with 100% of TQQ today. In the last 10 minutes of today, it is going to sell 70%, to make sure that I only have 30%

>> uh exiting the close of the day. Um this

is some extra information for me to know okay why 30%, but not super interesting for other people. Um so now what it is the next step it's connecting to my

brokerage accounts. Uh as I said I have

brokerage accounts. Uh as I said I have uh Fidelity uh a lot of accounts on Fidelity and Alpaca. So it basically said on this account uh I have to buy 42

shares of TQQQ.

Um it knew it knew how many shares I already have and it said to be 30 at 30% you need to buy it 42 shares. Same thing

for the next account. Um and then same account it says no changes needed for SQ current share count is zero because the today's uh share count uh

for SQ is zero and I already have zero which I don't have. It says no changes needed for that position. Same thing it it goes to the next account um and then determines how many shares I uh it needs

to buy. Now it didn't buy because it's

to buy. Now it didn't buy because it's still during the middle of the trading day. So the last 10 to 15 minutes it

day. So the last 10 to 15 minutes it knows like okay this is the time and then it just goes and puts in orders for them and uh uh make sure that um I am

closing that day with 30% of TQQ um in that in those accounts. So in a nutshell that's what it that's what my process is. I don't like as I said I don't

is. I don't like as I said I don't babysit this one. It just boots itself on boot it runs this a lot of fault tolerance is also built into it. So if

let's say polygon is down it can um it can fall back to different source of data. The only thing is like sometimes

data. The only thing is like sometimes my fidelity accounts like sometimes the fidelity broker itself there were two instances where due to like in the bare market conditions the there it couldn't

put in orders because broker uh was rejecting those orders but it could retry and then the last like it retried for 5 to 10 minutes and then at the end of the like the last minute it was able

to put in the trades. So it can do a lot of uh recovery and uh from any disaster that that you have. Even if you shut down this machine, if you let's say if you shut down this machine right now, 10

minutes before the market close, it's going to automatically boot itself and uh do all these things. It won't let me set shut set shut my own um strategy down. No, it's it's crazy because it it

down. No, it's it's crazy because it it to me it looks like I haven't seen anything like this since MS DOS in 1993, but uh it's it's clearly significantly

uh more powerful and and more sophisticated, but the the premise of what it's built on. Looks

quite simple. It's not uh any it's not something that needs um a billion gigabyte computer to run it. It looks

fairly simple.

>> All it needs is this data. That's it. uh

it it only needs uh um this simple uh data this file and then SQ and TQQ that's it um and the rest it does everything uh these are the only inputs

to it price right like the price is the only input here there's no news it doesn't do any ML or machine learning or AI or anything it's just pretty simple and the strategies as I said there are

seven strategies it's running all together and uh based on the strategy uh output It figures out how much uh position says I need to have during that time.

>> Yeah, I know. It looks it looks extremely simple. I don't think you're

extremely simple. I don't think you're going to have any power outs or anything like that from overpowering the electricity in your house running those systems. It don't need too many servers.

But I mean, so how I guess how are you following the process to think, okay, I want to look into this pattern. I want

to look into that pattern. Maybe this

pattern is going to work. How how do you do that first part? And then I suppose after you've got something in your head, you back test it for 42 years and see if it works and start tweaking with the settings. But can you just walk us

settings. But can you just walk us through that part of how you do it?

>> Yeah. All right. Let's let's jump jump to that one. Yeah. So, uh, every this is a process that I follow for every strategy that I create. I go write model

that code. Um like for example if you

that code. Um like for example if you say trend following uh it would be as simple as um let me bring up this uh let's see um NDX

a lot of people make it super complicated but let me change into see uh you can see I don't look at charts or anything anymore so I don't even have

the right charting um settings here but if you look at the NASDAQ 100 right a lot of people ask this question like hey uh is it a bottom yet? Is it the bottom yet? right? On Twitter, this is the most

yet? right? On Twitter, this is the most common question like, "Oh, is it are we at a bottom right now?" Right? But if

you just all you have to do is like add a moving average, a 50-day moving average um and then add like a 2 uh

50-day moving average on top of it.

Well, let's say so it's a simple um uh strategies like when when you think of a strategy, all all I'm thinking is like

how can I model this trend? So uh if I represent my um 250day moving average in green here, all I can say is as long as this price is above this 250day moving

average, I say this is a nice trend here. I want to capture this chunk of

here. I want to capture this chunk of money here, right? Like if I start my position here on the 250day moving average, when it breaks, breaks out, I don't have to exit until the end here.

And I made like a quite a bit of money here, right? So, if you look at my um

here, right? So, if you look at my um Kinfo, the reason I don't have it's flat from here to here is because I just held

this trade like as long as I could until the trend broke. Same thing um uh here the this year once the trend broke and

once we came above this 200 day 250day moving average, this is when I got in and then this is where I exited. Right?

So this three to three month period has netted me like almost half a million dollars here. I didn't do anything

dollars here. I didn't do anything special here. All I did was all the

special here. All I did was all the strategy did was as soon as I as soon as we jumped above this 50-day moving

average, it just went with 100% TQQ and NASDAQ jumped almost I would say uh uh 15

maybe 20% roughly 20% from here to here and TQQ went 60% in that time in just 2 3 months >> and my in these times I didn't have a

single trade. All I did was just holding

single trade. All I did was just holding on to TQQQ and uh boom, that's it. And

then it exited um around this time here due to basically the shorts and the mean reversions and other strategies also kicked in at that time. They basically

figured out that the the trend has been slowing down here. So we need to get out of here. Right? That's in a nutshell

of here. Right? That's in a nutshell like even before the last um bull market or from here to here as I said 2023 simple. So you don't have to ask a

simple. So you don't have to ask a question like hey when do I enter is it the bottom yet? No you don't have to ask that question. As soon as you are above

that question. As soon as you are above the 50-day moving average or 50day moving average you just go in. Right.

Yeah.

>> Um, one one thing that I one thing that's going to blow people's mind is none of these big runs have started without the price getting above the 50

and the 250day moving average.

>> That's a huge edge, right? Like

>> none of these like if you look at the history of NASDAQ mathematically, it's impossible for a rally to sustain and be huge rally without it being above the

50-day or the 250day moving average.

It's impossible like you cannot have a 30 40 50% rallies below these moving averages uh a sustainable averages sustainable

rallies um 100% right like that's your edge a huge edge people that's simple like it's just staring right in your face you don't have to have a fancy RSI

or some kind of a um Ichimoki cloud or something right like you don't need anything it's just as simple as this all you have to do is like look at the

history and then see oh like boom if I enter here I don't have to do anything until here for two years here and you make a ton of money without doing anything.

Yeah I think on the surface your strategy anyone who doesn't uh do software engineering might think that your strategy is really complicated but I have a feeling that it's not as

complicated as people might think.

>> Yeah. Okay. Okay. So when let's say you write some strategy simple as simple as that right and right now my strategy as I said like it has seven different sub strategies in them they are all very

very simple strategies like mean reversion like when when your speed of the velocity of your um uh of the trend is slowing down you need to basically

take some of the money out right that's a simple concept how do you model that there are multiple ways to model that you can do rate of change right you can just all you have to is like let's say

you are going in the car at 40 mph.

If you're going to 50 now 60 then you know that you're you're uh you are accelerating. You're going above the

accelerating. You're going above the speed limit and you are going faster now. All you have to do is look at the

now. All you have to do is look at the rate of change from 40 to 50 to 60 you're accelerating. But when it when

you're accelerating. But when it when you go from 40 to 30 to 20 then it's decelerating. You're going down right?

decelerating. You're going down right?

So it's a simple math like all you have to do is like do a rate of change and you will um have a mean reversion strategy right there. So simple concepts like those you can take and model them

and then back test and see how that looks like. So this is this is the data

looks like. So this is this is the data that I'm um so first let's talk about the edge right. So if you this is my edge like this is my strategy equity

curve starting 1985. If I apply the same set of rules shorting in 1985 and do nothing, I didn't do anything for 45 years, this is where I will end up. This

has 80% return per year compared to buy and hold of QQQ, which is also super great. Like I think it it's like roughly

great. Like I think it it's like roughly 12% or something since 1985.

And again, like it goes through draw downs and all that stuff, but buy and hold of QQQ is this red line.

If you instead if you let's say you bought TQQQ which is a triple leverage ETF you bought that it done really well until 2000 and then because of this crash it came back and it never came

back to those previous size but it still beats QQQ for the most part the only problem is you have a ton of draw downs here 80 90 95% draw downs in this TQQ

and it's very impossible to hold right so um that's it and then my strategy if you look at this because it's a combination of long and short. This.com

when this crash happened almost 80% of NASDAQ crashed. I am actually making

NASDAQ crashed. I am actually making money here still. Um I have still ups and downs but I am actually making money here. Same thing with 2008. My

here. Same thing with 2008. My

strategies actually made money here in 2008. Uh if it were run right like if it

2008. Uh if it were run right like if it were if I if I if I knew it. So the same way like now I know I have in 2020 you can see the 2020 look it actually made a

ton of money here in 2020. Um I know where it struggles like where the market is going sideways. It actually struggles uh a little bit here. So I know the

weaknesses of my strategy. Uh let's say if the NASDAQ is uh flat for the next one year, I know my strategy is going to struggle. But that's by design, right?

struggle. But that's by design, right?

Like you have to take the good with the bad. So this is the edge and the

bad. So this is the edge and the conviction behind it. Now I know I don't have to abandon this strategy. I know

just I'm know keep uh letting it play out like let it run right now. Other

data points that it spits out is when you run this back test the monthly monthly um returns how does they look like yearly returns how do they look like as I said like it does really well

in these volatile times but if you look at 1997 to 2000 those were blockbuster years right it was making 180% a year 300% 200% 169%

even during the crash.com 2000 crash it it actually made 200% profit that year and 152% the next year. During

the 2008 year, um it made 83 and 2009 was 155. The years it struggled like

was 155. The years it struggled like 2004 and 2005 were flat >> and it didn't make any money because it's just supposed to be flat, right? Um

it gives you a good understanding of like in 2020 again it's 469% in that one year >> and the year after 2021 is 81%.

So, I mean, >> yeah, go ahead.

>> You you you could have only in my head, you could have only um looked at the market over the last as long as it

existed and you've looked for the signs of the change in the change in direction or where the crashes have come and what's what's led to the crashes and

you've figured it out to predict any future crashes or volatile price movements. Am I right?

movements. Am I right?

Well, I mean you don't have to predict at all with this. So, um like look at example of this year, right? I uh there was a tariff crash like 20% crash in

NASDAQ. My strategy also crashed when

NASDAQ. My strategy also crashed when NASDAQ crashed but it only crashed 20%.

But I knew okay um I don't have to panic because that's by design because I have seen so many of these 20% crashes before right uh this is one of the but look at what happened after that. uh May was

23%, June was 20%, July was four and then uh August is five. So I know how it recovers. As soon as the market

recovers. As soon as the market recovers, I'm going to make all that money back. So there is no need of

money back. So there is no need of prediction and if there is like another crash in the next 2 months, I know how it is going to behave. I know what it is going to do. So I just let it do its

thing and I don't interrupt. I basically

in a nutshell I just took myself out of this entire uh trading and let the system do its thing. That's when the the the trading is uh consistent and it

actually reads the entire edge. If I

come into the middle and panic and let's say I stop my um uh strategy here, then I'm going to lose all these big profits that come after that, right? Which is a huge thing.

So I'm not scared of these draw downs like you know yeah bring me 20 30 40% draw downs I'm not worried about it because I have seen a lot of these even though I didn't personally experience it

I know from the past studying like the data here there were crashes draw downs and then the next one okay let's go to the draw downs here this is a picture like a visual representation of the draw

down so if you have a 10% draw down you'll see something like this here right and then this is the uh duration of the draw um uh I plotted basically

across the entire 40 years of data here.

In 1992 there's a 50% draw down here and it lasted for almost 1 and a half year but if you were able to withstand that uh look what happened after that like

there was a big draw down in the 90 it looks like a little blip but you have missed out on all this big huge upside which is almost like thousand times your

um or 100 times your money in the next decade. Draw downs are uh nasty and

decade. Draw downs are uh nasty and nobody likes them, right? But it is part of the game like you have to withstand the draw down otherwise you won't be able to um get the profit after that. So

right after the draw down is when you actually make money. So let the draw down go through and then you'll make money after that. So these are all the list of all the draw downs like uh all

the 40 years in the last 40 years and like this is a nasty draw down. I think

in 2014 to 2016 when the market was flat and it was like stuck in a range uh I had almost like a 30% draw down here in my strategy personally I didn't again like I didn't trade my strategy at that

time I started trading in the last 3 years if you look at the last 3 years I had two 30% draw downs uh on in my accounts which you can see uh even like

when you go to my uh Fidelity uh account even though it looks smooth here there was this 20% draw down here uh there was

another 15% draw down this was a huge 24 25% draw down here and even though this looks small here this was a 30% draw down right here so you endure the draw

downs I think that's the thing like when you have the conviction you can uh go back and uh you can you can endure that uh uh >> uh can I ask a question

>> you have a lot of conviction in your system I can see um it's back tested for 42 years >> or you taking profits uh as you go or do

you have so much conviction in your system that you're just going all in to make as much money as possible by compounding the profits?

>> 100%.

>> You're all in compounded.

>> Yeah.

>> Cuz you can never predict the future.

Something could happen that's never happened in the in the last 50 years.

But you feel still confident with conviction.

>> Yeah. I might hit a 50% draw down, but if you look at it, this is all the money I made, right? like, yeah, even if it goes back to 50%, all I'm going all I'm

going back is like 3 months ago because I went from 560 to almost a million dollars here in just like 3 months.

Even if it even if I have a 50% draw down, yeah, I'm just going back to 3 months ago. It's not a huge deal. This

months ago. It's not a huge deal. This

is all bonus for me. I already made a lot of money uh in this strategy, right?

So, I'm just going to let it continue.

And I know how because um this is built on um very simple concepts like these. I

know it is going to work. Uh because

that's how the market behaves. That's

there is no um other way that the market like the market tendencies cannot change, right? It's all fear and greed.

change, right? It's all fear and greed.

Like when the people are uh fearful, they sell and then you go below the 250 moving average and when they're greedy, it comes back up and then you you participate in that. So it's based on

simple concepts like that that makes it uh act to the conviction. But if I have a strong like if I have a very complex strategy with like oh like if the moon

aligns with the earth and then Jupiter is here uh in this in this formation then go by TQQ then that's not a good strategy. It's not going to work because

strategy. It's not going to work because it's not made on the timeless market tendencies right. Um so that's why I

tendencies right. Um so that's why I feel very confident and I have a lot of conviction in here.

>> Now Malik it's a fantastic fantastic presentation. I think you've given an

presentation. I think you've given an excellent insight way more value than you ever than uh you ever needed to but like this is kin for this is transparency. I don't really have much

transparency. I don't really have much else to say because I think you've covered everything. It's just

covered everything. It's just mostly if uh to summarize if someone wants to get started in doing this other than clicking the link below to find out more information about you. How would

you recommend they even started in the process that you've gone through?

>> If somebody is interested in uh systematic trading, I would recommend first of all like spending time in the market doing manual trading just like

how I did. Uh if you don't trade, you won't know these market tendencies. um

you have to be in the uh trenches to actually feel and experience that. So

the first thing is like uh start with less money like 5,000 10,000 whatever it is like you know very small very small money you don't care about try out all these things like swing trading if

you're interested in uh position trading go try all these things and uh uh experience that pain and uh that uh happiness of when you make money right

like all that thing you need first experience that then go and see uh model like during that time you'll get your own ideas and thoughts you'll be able to

create your own strategies uh from your market experience. That's when you'll

market experience. That's when you'll have a strong conviction. But if you borrow an idea from somebody else, you won't have that conviction and you're going to abandon that strategy when it is in a drawup. So that's my

recommendation like spend some time figure out who you are. um figure out what are the what makes sense to you and then see if you can model that like learn some coding uh either Python or

something like that C# or whatever that you are uh Java or whatever language you are comfortable with uh learn and then um go and model that back test keep back

testing I have back tested almost 300 to 350 strategies only seven of them actually worked the rest of them are all like people say Oh, buy the dip or uh do

this, right? Like breakouts or

this, right? Like breakouts or breakdowns, supports and resistance.

None of them actually uh have an edge.

Uh they don't work. They might they look like they work on the chart, but when you take all the 40 years of data and uh run that uh uh model against that, uh they don't make money. They don't they

can't beat QQQ. They can't beat beat TQQQ. Uh they'll make money, but they're

TQQQ. Uh they'll make money, but they're not as good as buy and hold of QQQ, right? So

right? So um you can't believe everything whatever is there uh especially on Twitter most of those strategies look like good good on maybe some specific periods of time

but uh they don't look great over a long period of time like they don't have that they don't because they're not based on actual market like the how the market goes u and they also don't believe in the complexity like don't think that

your strategy has to be super complex to make money uh I I the seven strategies that have worked for me are the simplest of the simplest strategies and uh they just work. Yeah. I mean there are some

just work. Yeah. I mean there are some people like you know uh Jim Simons and all those guys like you know big hedge fund guys they thrive on the complexity and they have made money but I'm not

them right like again as I said I have to play my own game and I let everybody else play their own game. So

>> no I think that's the >> go on do you have any final word? I

thought that was the perfect way to close out but go if you have a final final words. Um yeah, reach out to me on

final words. Um yeah, reach out to me on uh you can reach out to me on Twitter.

Um my handle is uh real TQQQ trader. Um

and um yeah, initially I started with TQQQ, so I just kept it as that and um I don't see a whole reason like I don't see a reason why I'll be um moving away

from this strategy uh at all. So I plan to run this for the next decade, two decades. And uh yeah, right now it's a

decades. And uh yeah, right now it's a seven figure strategy and uh I don't see why it can be a 10igure strategy because it can scale um huge um millions and

even to billions. So yeah, I'll I'll keep running this.

>> We'll be I'll be following. I'm sure

everyone else will be following. I'm

going to be looking for the updates and I'll be seeing the updates on Kinfo, which is which is beautiful. But two two things that really stuck out to me is uh play your own game. Play to your own strengths. Um don't play someone else's

strengths. Um don't play someone else's game. Play your own game. I think

game. Play your own game. I think

couldn't have been said more beautifully. And the other thing is that

beautifully. And the other thing is that you've tested was it 350 strategies and only seven of them. You've decided to look at 350 strategies that you think had a chance at working and only seven.

Only seven. So you've got to do your work. Malik, thank you so much for your

work. Malik, thank you so much for your time. It's the probably the most

time. It's the probably the most informative episode we've ever done. I

think it definitely delivers on the promise that we made at the start and uh check the questions and the comments in a in a in a in a week or so because I'm sure it's going to be fun.

>> Awesome. Uh again, thank you very much for reaching out to me and uh it's a blast to uh share my journey and uh everything else. So um yeah, really

everything else. So um yeah, really thankful and I appreciate that.

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