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In a message dated 6/26/2001 2:20:18 PM Central Daylight Time,
omega-digest-request@xxxxxxxxxx writes:
<< AscTrend results - looks great >>
Your referring to what's commonly called post-dictive errors. These are
something you need to be extremely careful about. They can slip into testing
very easily without noticing it, particularly on more advanced systems. Your
basically saying "if the market explodes to the upside by the end of today
then buy on this mornings open" etc etc.. Obviously this is impossible, but
you'd be surprised how often this error occurs in its many different
variations. Another one is "if indicator = x then buy on open." The problem
is that you did not know that indicator = x until AFTER then open.
deanh@xxxxxxxxxxxxxxx
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