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Roy Johanson writes
>
> Found a system called catscan (could be number 9 on your
> list) on the net somewhere. I sincerely hope nobody paid
> money for this.
>
The code Roy posted included seven parameters
1. 10 = days in avg true range
2. 0.182 = exponential smoothing factor
3. 1.25 = *XMA1 entry location
4. 0.5 = *XMA2 entry location
5. 40 = days in channel breakout
6. $2000 = disaster avoidance stop
7. ChopLimits threshold parameter to decide choppy/trendy
One frightening thing is that Roy's code contained a big
section which sets parameter number 7. to a different value
for each different market. Since there were 39 different
markets listed, it's natural to conclude that the Catscan
code Roy posted has **45** parameters (39+6). Wow, that's
a big scary number. It seem like it might be "overfitting".
On the other hand, good old Chuck LeBeau advocates developing
a different system for each different market. In that case,
Catscan is 39 different systems with an average of 45/39 = 1.15
parameters per system. I bet Chuck LeBeau loves it.
But I don't. I am nervous that it is excessively over-fitted.
I'll stick to systems that use the same code and the same
parameter values on all markets.
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