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>In a limited time contest, the proper approach is more one of
>gaming theory than trading. Play tight, looking for good trades
>in the early stages, and then "bet the farm" near the end if you
>aren't currently in the top three. Remember though, that while
>this approach might work for one individual, there were 20 or
>30 individuals that "blew out" in the attempt.
The guy in 10th place had a gain of only 6.4%. It looks like most of
the traders had losses. The distribution of results shows the importance
of what Walt has said: ignore sound principles and you'll probably lose.
There is a strong lesson in these numbers. Only a handful in the contest
wound up with a decent return. For me it illustrates how probable failure
can be without risk control and MM, no matter how good your technical
stuff.
(S&C, June, Pg.76)
Wayne Moody
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