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[amibroker] Re: My First system



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Yuki,
   
  Thanks for the response. I will use your suggestions in backtesting.
   
  I wanted to respond to oone of your comments:
   
  Speaking only for myself, just put your trial system in a list
e-mail, rather than forcing everyone to take the time to visit the
files area, locate your file, and read it. If it gets to be a
monstrously long system, maybe that's another thing, then.
   
  There is a book Titled: "It's not what you say, It's what other people hear".
   
  Your response to my placing the .doc file in the Files area was my fault. 
   
  I didn't clearly enough relate what I was trying to do. The document is 20 pages long. I thought that too large for the list to read through. I was trying to teach myself how to develope a system. I put the process into a word document. The system, I developed, wasn't developed to create Profit, it was developed to instruct myself on how to develope a system. The system, to me, has no value and wasn't intended to have any value.
   
  What I was primarily interested in; was having others review my process and tell me: 
   
  If I was heading in the right direction?
  Where could the process be imporved? (as in, "What else don't I know?")
   
  Again, thanks for your input.
   
  Bill
   
  PS No plans to manage a Hedge Fund!
   
  --- In amibroker@xxxxxxxxxxxxxxx, Yuki Taga <yukitaga@xxx> wrote:
>
> Hi Bill,
> 
> Sunday, February 4, 2007, 2:41:25 AM, you wrote:
> 
> BH> After responding to Brianzee123's email, I ran a back test on a
> BH> Defined Filter of a Watchlist of the 1500 stocks that are in the
> BH> S&P 3 main Indices; S&P-500, MID-Cap and Small-Cap.
> BH>    
> BH>   The back test produced a heafty $18K+ return, so without
> BH> changing any variables, I ran the same back test on "All" Symbols
> BH> (I have TeleChart's database) and came up with only a $1300
> BH> return. The primary profit producer in the S&P list was DAKT, but
> BH> it didn't show up in the run from "All" Symbols.
> BH>    
> BH>   I don't understand why that hapopened. Can anyone explain it to me?
> 
> Do you have enough initial equity to backtest "All" Symbols?  (I
> didn't notice what backtest mode you were using.)  If you don't, AB
> will, just as you would be forced to do in real life, buy until it
> runs out of buying power. Then it will stop buying.
> 
> Moreover, if you don't specify a position size, it will use *ALL*
> your initial equity on the first buy.  So you need to specify
> position size, position score (which symbols would have priority),
> probably maximum number of open positions, and other elements.
> 
> If you do not set your backtests up correctly, the results will be
> horrendously misleading.  They might indicate a gold mine that simply
> isn't there, or a complete failure that isn't quite that bad.
> 
> Last, total return in currency value doesn't mean anything, really.
> "Hefty" is very subjective, and certainly would not describe an
> annual return of US$ 18K on a million dollars of initial equity.  (It
> would probably be the end of your hedge fund management career.)  ^_^
> 
> When you mention return, talk in percentages; then we all can relate
> to it -- and it has some meaning. Also mention drawdowns. If you had
> to risk 36K of drawdown to get that 18K, well that wouldn't be a very
> good deal then, would it?  Talk percentages there, too.
> 
> Speaking only for myself, just put your trial system in a list
> e-mail, rather than forcing everyone to take the time to visit the
> files area, locate your file, and read it.  If it gets to be a
> monstrously long system, maybe that's another thing, then.
> 
> Yuki
>

 
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