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> Anyway, what is your trading secret, Mr. Brown? How do you trade if
mechanical sytems are "gambling"?
>
> Jim Allen
I believe in mechanical systems, however I know that what ever slight edge
that a trend following system may have it can easily destroy you if.. if
you pick the wrong portfolio, if you start trading the system at the
beginning of the worst drawdown the system has ever experienced, if you
haven't thought about things like slippage and commissions and human error
and contract roll overs, amongst other obstacles like, computer's dying
while you have open positions, data vendors having cut you off without
notice and you have no data, trading software password expired messages
popping up on a Monday morning - even though you paid in full for your
software when you bought it and it was to have a permanent password, or
maybe you wake up and the yen you have been short for months has just opened
and put you on margin call, or on and on.. to overcome all the obstacles
that it takes to trade profitably plus the hardware, data, software and
human problems let alone that you are working a full time job and trading
this system through robo broker so it was called. add al of this and the
fact that robo broker has no vested interest or responsibilities of errors
on a not held basis and now you want me to think that with whiz bang money
management someone can turn a piece o crap ola trading system from negative
to hundred of thousands of dollars all without giving credit to divine
intervention!
I have never seen a bigger gambler (except for one the SP daytrader) than
the multi basket trend follower trader. if you can do this and profit each
year then my hats off to you.
mb
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