|
PureBytes Links
Trading Reference Links
|
Geez Richard, I was not advocating slavish devotion to B&H and the
suspension of common sense. Sorry if my quick comment touched a
nerve, but I find it useful and prudent to understand how well or
poorly a new system that I'm considering compares with a B&H strategy
over different time periods. If the system I'm evaluating can only
generate 1/4 of the B&H profit in a given market, then I'm sure not
gonna use it in that market.
In retrospect, I should have said "beats B&H by a significant
percentage."
> Drawdowns are ignored when you look at bottom line. B/H might be
ahead now
> but you could have set through a 50% drop.
If that's true and B&H still beats my new system, then my system
probably needs to be adjusted because it missed the 50% drop. Again,
this suggestion was for comparison and evaluation purposes. After
running the comparisons, I take a long hard look at where the buy and
sell arrows fall and why and I then apply common sense to the results.
> One aspect Equis might change is not start count till there is a
system buy.
> Another more realistic change would be to stop compound trade
amounts and
> let us say buy/sell 1000 or 100 shares on each trade, instead of
putting all
> profits back in each trade.
I completely agree with this suggestion.
Just trying to help,
Chip
_________________________________________________________
DO YOU YAHOO!?
Get your free @yahoo.com address at http://mail.yahoo.com
|