Welcome to the new Traders Laboratory! Please bear with us as we finish the migration over the next few days. If you find any issues, want to leave feedback, get in touch with us, or offer suggestions please post to the Support forum here.
-
Welcome Guests
Welcome. You are currently viewing the forum as a guest which does not give you access to all the great features at Traders Laboratory such as interacting with members, access to all forums, downloading attachments, and eligibility to win free giveaways. Registration is fast, simple and absolutely free. Create a FREE Traders Laboratory account here.
Anyone Know About Quantitative Analysis?
By
Josh7, in Market News & Analysis
-
Topics
-
-
Posts
-
IMHO, the best feature of the Double Seven entry strategy is that buys and does not sell in equity-based markets. Large scale selling short in the primary stock markets requires a financed loan of shares from a broker, so it's less common than buying. Therefore, selling in a stock-tracking market generally isn't profitable--even where derivative instruments provide cheaper access to selling. -
-
I would forget about tinkering with lot sizes in the short-term. I only increase my lot size when it's justified by my growing capital (closed profit). Adjusting lot size on the fly would imply that I somehow know the specific probability of each individual trade succeeding--which I don't. So, I focus on the overall statistical performance of my strategy over every 6 months. This doesn't require anything clever. As an example, choose a chart structure (15 minute, 1 hour, Renko, range bar, etc.) where price swings are identifiable to your eye. Load a MACD oscillator onto the chart. Note that there are two MACD's floating around online. The "old" MACD uses a weighted EMA in its calculations while the "new" MACD uses a regular MACD in its calculations. If you're using the old one, focus on the main line crossing the signal line and ignore the zero level. If you're using the new one, focus on the main line crossing the zero level and ignore the signal line. These are your entries. Your dynamic exit target is the opposite crossover of whichever MACD lines you're using. Now for the most challenging part... stopouts. You need to determine the number of pips/points/ticks at which price traveled against your entry and did not return in favor of your entry for all trades. These stopout statistics can be collected with pen and paper, which I have arduously done in the past. This is much easier if you can code, backtest, and auto-optimize the stop level. The idea is that your dynamic takeprofit is theoretically infinite, and your stop is fixed at a level that is statistically favorable to you. Although this isn't really "money managment," it certainly manages your money.
-
By Stocks4life · Posted
PRM Perimeter Solutions stock top of range breakout at https://stockconsultant.com/?PRM -
By Stocks4life · Posted
PNR Pentair stock narrow range breakout at https://stockconsultant.com/?PNR
-
