Introduction
In this exclusive interview, Evan Shunk reveals how systematic trading transformed his career. From discovering a profitable gapper strategy in 2020 to crossing $1M+ in trading profits, Evan discusses his evolution from hybrid discretionary/systematic trader to running fully automated algorithms. Learn how tracking data became his gamechanger and why shorting gappers remains his primary focus keyword.
Trader Talks QnA
What’s your main focus when trading gappers?
“Anything yeah yes okay I know you know I like to respect your strategy and you like to keep some things protected. But I can say shorting gaps is my primary focus. I’ve found multiple entries – a little size at the open, but save bullets for better setups.”
Why did you stop sharing strategies openly?
“Yeah I was very open until this past year. Now I’ve really closed up because when too many people use the same pattern, the market changes its tune. Like with opening print strategy, once it got mainstream I could see the data fluctuating.”
How do you combine discretionary methods with systematic trading?
“I had to blend both. In 2022 when markets were bad, my brother running pure system lost more money. My discretionary side helped me lose less money by knowing when to override. But lately these past two months I’ve been pure robot mode!”
What would you tell your younger trading self?
“Humble yourself. Don’t get cocky after that first lucky $300 trade. Size down by 90%. I wish I would have tracked more data sooner. The market will check you eventually no matter how exciting your early wins feel.”
How did your data tracking strategy work?
“I track everything – 150+ samples minimum. One or two years of pattern performance isn’t enough. The market changes on a dime. I learned this the hard way when new patterns with just 200 samples but 10 years working in the past failed catastrophically – lost 70k in four trades.”
Key Trading Insights from Evan Shunk
Evan shares how systematic trading transformed his results from discretionary methods. He emphasizes focusing on probability over strict risk-reward ratios, with typical reward:risk ratios around 1:2. His insights reveal market efficiency changes patterns over time and the dangers of overfitting strategies to sample sizes.
- Track 150+ samples minimum for meaningful strategy validation
- Watch for edge erosion in popular strategies like gappers
- Maintain flexible approach – hybrid methods help during volatile periods
- Automate through algorithmic trading to reduce psychological pressure
Evan Shunk’s Strategies
Over six years, Evan developed six high-frequency gapper strategies with execution variations. His core systematic pattern originated in 2020:
2020 Breakthrough Strategy
A simple 2020 pattern yielded over $400K that year: shorting gappers up 40% or more at the open, covering at close with 20-60% stop losses. This discretionary idea evolved into systematic execution after years of optimization.
Algorithmic Trading Implementation
In 2023, he developed a pure robot system that handles trades without manual intervention. While maintaining test mode monitoring, this automation reduced psychological stress and execution errors.
Evan Shunk’s Tools
Key tools and systems mentioned:
- Cobra Trading – Preferred broker for execution speed and locate availability
- Custom proprietary algorithms for pattern quantification
- Twitter (@EShunk8) – Used for market insights and pattern tracking
Common Trading Mistakes to Avoid
Based on Evan’s journey, these cautionary lessons emerge:
- Overfitting – Don’t tweak patterns too much based on small data sets
- Short market sizing – Market changes can invalidate patterns like the opening print strategy
- Limited timeframe validation – Patterns working for only 1-2 years often fail when markets shift
- Slippage issues – High reward:risk ratios struggle in volatile small float stocks
Conclusion
This systematic trading transformation shows how data tracking and algorithmic execution can unlock profitability. Evan’s $1M+ milestone proves the power of quantified strategies. Want to learn more about profitable short selling techniques? Leave your questions in the comments or sign up for our newsletter to follow the journeys of elite traders like Evan.
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