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In a message dated 98-08-27 22:18:44 EDT, you write:
<< I beg to differ with you. Give me any system and with an excellent money
management system you will make money. I have worked with systems that have
an accuracy rate of less the 25% and still been able to make money with them.
>>
Hypothetically - Let's say I got this system that wins 50% of its trades and
loses 50% of its trades. The average win is $1000. The average loss is
$1000. Transaction costs are $50 per trade. How can an excellent money
management system turn this purely random array of trades into a profitable
system?
I believe that a lot of traders optimize their systems irrationally and
conclude that their systems are profitable when only the optimizations make
them appear profitable. Real time trading results in losses because they're
trading a lousy system, not because they're using poor money management.
Best regards,
Jerry Rehert
August 27th, @ 11:22 pm
Check My WebPage-UPDATED 8/26/98:
http://members.aol.com/grehert/
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