You are still trend following and need to identify your entry into the "Bear Market" and therefore need a whole system set up for this.
I have a similar thought and am starting to do some investigation.
Brad.
Search found 12 matches
- Wed Jan 05, 2005 10:39 am
- Forum: Futures Markets
- Topic: Just short the E-Mini NASDAQ instead?
- Replies: 2
- Views: 3495
- Mon Jan 03, 2005 12:19 pm
- Forum: Trader Psychology
- Topic: Most users ever online was 280 on Fri Dec 24, 2004 20:08
- Replies: 2
- Views: 6496
- Mon Sep 27, 2004 10:57 pm
- Forum: Stocks
- Topic: Dogs of the Dow?
- Replies: 5
- Views: 8900
- Mon Jul 19, 2004 10:35 pm
- Forum: Stocks
- Topic: Trend Following with EMA + CANSLIM
- Replies: 7
- Views: 17921
I personally like moving average cross-overs. However, I'm dealing in a longer timeframe than you. I've found that my results tend to be real good when I have the crossover as a technical signal. Use ADX (with DI+ and DI- confirming) and then look for price action to follow. What that means is I loo...
- Wed Jun 23, 2004 12:59 am
- Forum: Trend Indicators and Signals
- Topic: Trailing stop question - dual EMA or % loss?
- Replies: 5
- Views: 6898
- Thu Jun 10, 2004 9:53 pm
- Forum: Trader Psychology
- Topic: Are You Suited to Trend Following
- Replies: 42
- Views: 83983
High on C 75% Low on O 25% Low on N 0% In some ways I think of mechanical system trading much like I think of flying an airplane. In the end you break it down into distinct smaller tasks and follow set procedures. In my thinking you have Airplanes: Startup Taxi for Takeoff Takeoff (Left seat take-of...
- Mon Mar 08, 2004 8:48 pm
- Forum: Stocks
- Topic: Why don't these guys trade stocks?
- Replies: 11
- Views: 15971
As others I cannot answer as to why futures and not stocks. Based on my back-testing I definately believe that a mechanical system can be created for the stock market that has above average returns and ratios and what all. A different issue with Stocks is the margin requirement. With stocks you can ...
- Fri Feb 27, 2004 10:09 pm
- Forum: Testing and Simulation
- Topic: Calculated Starting Account Size?
- Replies: 9
- Views: 9875
- Sun Feb 01, 2004 5:07 pm
- Forum: Trend Indicators and Signals
- Topic: How do you determine the "trend" aside of a 20-day
- Replies: 25
- Views: 26133
I can understand what you mean by WhipSaws and testing the MA as support. What I do is use a 1 - 3 ATR as a stop loss( the tighter for the smaller MA period), mainly to define my R value. I'm still not sold on the shorter time frame of the MAs to produce enough volitility to make trading worthwhile ...
- Sun Feb 01, 2004 11:01 am
- Forum: Trend Indicators and Signals
- Topic: How do you determine the "trend" aside of a 20-day
- Replies: 25
- Views: 26133
MA Crossovers
I'm playing around with an MA crossover system to just trade the Dow 30 stocks. The main thing I've found is that the fewer the days in the MA the more trades/more signals and you don't get enough movement to overcome slippage/commission. I've also not seen a "go short" strategy that's wor...
- Wed Dec 24, 2003 12:34 pm
- Forum: Testing and Simulation
- Topic: Validity of system
- Replies: 19
- Views: 15951
I've seen something similar in my research on short term trading stock trading systems. The best that I can figure out for what I tested is that with a smaller starting capital the cost of trading in terms of slippage and commissions eats into the profits enormously, but with larger starting capital...
- Wed Dec 24, 2003 12:29 pm
- Forum: Money Management
- Topic: negative correlation
- Replies: 6
- Views: 8022