Joined: 28 Dec 2005
|Posted: Sun Aug 19, 2007 7:53 am Post subject: Letter to the Editor
|Lou, sometimes TA works and sometimes it doesn't. I'm convinced money can be made in the market consistently (i.e. more than double your money each year and hit it big once in a while). The big problem I've had was losing in "irrational" markets. I've underestimated that problem, until the recent irrational market that lasted a year, which wiped me out. I just need to follow my own advice, e.g. stop trading when the portfolio stop loss is triggered, wait for excellent opportunities (e,g, don't overtrade or avoid too risky trades), buy extra time value, etc. I need to focus more on my strengths (e.g. intermediate and long-term trends) and less on my weaknesses (e.g. short-term trends and earnings plays). It seems, you're right about the March low being the (intermediate) bottom. Art
> Hi Art,
> I realize you trade based on your economics however
> I couldn't help but wonder.........
> Ever thought of creating a TA based trading system?
> Much like what a lot of commodities traders use.
> Ever since I met you, there have been incidence
> where market acted in your view
> "irrational" compared with what you were thinking.
> Wondering if you ever thought of devising a system.
> Given your strong math and statistical background I
> suspect you could create something
> with rigor.
> [I've been investigating and experimenting myself,
> and wondered what you'd have to say
> on the topic].
> Aside from all the noise from analyst etc. you think
> March lows
> will be true magnet for bottom?