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http://www.aussiestockforums.com/forums/archive/index.php/t-1709.html
try the milkman : seems to be one of us just another name here .
`````` Natasha !!!!!!!
On 11/12/06, Mark H <amibroker@xxxxxxxxxxxxx> wrote:
>
>  >Q. Is position sizing the primary way to define risk?
> >A. Yes. Without the stop loss order you have no effective way to manage
> risk EXCEPT to keep positions very small. Anything can happen at any time.
> If you hold this belief you must and will define (and thereby limit) risk.
>
> I found stop loss sometimes counter productive. Time stop plus small
> positions may be better for some systems. For example, if a 10-day n-bar
> stop is set, and average adverse excursion at the end of the 10-day period
> is 8% (based on backtest results), and 10% equity position size would have
> risk: 10%*8% = 0.8% equity. Just something to think about.
>
> - Mark H.
>
>
>
--
Regards ,
~~ Natasha !!
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