Trading systems are not only good for making money in financial markets but they are also extremely useful for learning. Unfortunately, trading systems often get discarded early on after a couple of poor back-test results.
Sometimes it is better to improve an existing model that needs work than to start afresh with a totally new system. In this article I look at 21 ways you might be able to improve on your existing trading system: Read more »
My goal is to bring new trading strategies to the table every month. Last month, I brought you details about building a trading robot with Excel and Interactive Brokers and this month I’m back with another excellent strategy from Peter Titus called The Big Volatility Short.
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In this article I present a simple and quick trading strategy for shorting leveraged ETFs.
Using historical data from Norgate and the back-testing program from Amibroker I reveal a potentially profitable strategy that could benefit from further development. Read more »
It has long been established that the Kelly Formula provides a powerful equation for calculating the optimum level of risk with which to place a bet in a probabilistic type game. A game like blackjack or sports betting. Read more »
The benefits of creating an automated trading system are huge. With a profitable trading robot you can spend more time doing what you enjoy and less time watching screens. You can trade quicker, smarter and without emotion. Read more »
Conventional wisdom suggests that a reverse stock split is generally bad for a company’s stock. That’s because reverse splits are usually undertaken when a stock is in danger of being delisted.
But is there any actual evidence that reverse stock splits lead to bad investment returns? And if there is, might you be able to make money from shorting reverse split stocks? Read more »
It is my belief that to succeed in the financial markets you need to have some kind of trading system in place.
Trading systems protect the trader from his ‘inner chimp‘ – the limbic side of the brain that relies heavily on emotions and gut instinct. The inner chimp is quick to react and respond to incoming dangers. It often makes snap decisions based on emotion or a feeling. Read more »
Download the rules to a trading system that makes 170% a year in stocks.
Regular readers of this blog will be aware that I like to create trading systems using Amibroker; a program which allows you to test various investment strategies on historical stock data. Read more »
One of the most powerful functions in Amibroker is the ability to easily program rotational trading strategies. In this article I present 8 ideas that may inspire you to create a new rotational trading system.
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In this article I look at a popular method for trading stocks and futures which utilises the RSI 2 indicator. This is a mean reversion technique for finding overbought and oversold securities. Read more »