Comments on: K(eep) I(t) S(imple) S(tupid) http://thetradingdigest.com/blog/2007/05/21/keep-it-simple-stupid/ Tue, 06 Jan 2009 12:55:46 +0000 http://wordpress.org/?v=2.7 hourly 1 By: Dave Chamness http://thetradingdigest.com/blog/2007/05/21/keep-it-simple-stupid/comment-page-1/#comment-1531 Dave Chamness Tue, 12 Jun 2007 21:32:55 +0000 http://thetradingdigest.com/blog/2007/05/21/keep-it-simple-stupid/#comment-1531 I think you enter at the close on a down day. Maybe at the open after a down day. I see 377 trades in 756 days from 1/2000 to 1/2003. That is about 1 trade every 2 days. Likewise 2027 trades since 1990 is about 1 trade every 2 days. About 50% of days are down days. I like nice simple systems. Complex stuff does not work. Counter-trend systems work on QQQQ. I think you enter at the close on a down day. Maybe at the open after a down day. I see 377 trades in 756 days from 1/2000 to 1/2003. That is about 1 trade every 2 days. Likewise 2027 trades since 1990 is about 1 trade every 2 days. About 50% of days are down days.

I like nice simple systems. Complex stuff does not work.

Counter-trend systems work on QQQQ.

]]> By: The Trading Digest » Blog Archive » SMH looking like a possible opportunity for a swing http://thetradingdigest.com/blog/2007/05/21/keep-it-simple-stupid/comment-page-1/#comment-1204 The Trading Digest » Blog Archive » SMH looking like a possible opportunity for a swing Mon, 28 May 2007 20:51:16 +0000 http://thetradingdigest.com/blog/2007/05/21/keep-it-simple-stupid/#comment-1204 [...] anyone have a clue as to what the entry criteria is for the QQQQ KISS trading system John had posted last week? Look at the number of entries. Look at the returns. Remember it can take [...] [...] anyone have a clue as to what the entry criteria is for the QQQQ KISS trading system John had posted last week? Look at the number of entries. Look at the returns. Remember it can take [...]

]]> By: John http://thetradingdigest.com/blog/2007/05/21/keep-it-simple-stupid/comment-page-1/#comment-1047 John Wed, 23 May 2007 03:07:30 +0000 http://thetradingdigest.com/blog/2007/05/21/keep-it-simple-stupid/#comment-1047 Ryan, Make sure you're allowing multiple entries. I'm only using 12.5% of the portfolio per position so sometimes I can have up to 8 entries before an exit. You're on the right track. -John Ryan,

Make sure you’re allowing multiple entries. I’m only using 12.5% of the portfolio per position so sometimes I can have up to 8 entries before an exit. You’re on the right track.

-John

]]> By: Ryan http://thetradingdigest.com/blog/2007/05/21/keep-it-simple-stupid/comment-page-1/#comment-1033 Ryan Tue, 22 May 2007 22:14:47 +0000 http://thetradingdigest.com/blog/2007/05/21/keep-it-simple-stupid/#comment-1033 I tried several backtest with some simple entry methods like the reversal of the exit quoted by Damian (enter once we get a close lower than the low of 2 days prior) as well as just entering after 2 down days. However, I'm unable to find the 12% returns your tests are showing. This makes me curious to know what your entry method was. It seems like this would be better than a buy and hold strategy that many proponents suggest for ETF index investing. I'm just wondering how I can get this "free lunch" - have the same returns as an QQQQ without the sleepless nights like btw 2000-2003 :) BTW, this is a awesome site! Thanks, Ryan I tried several backtest with some simple entry methods like the reversal of the exit quoted by Damian (enter once we get a close lower than the low of 2 days prior) as well as just entering after 2 down days. However, I’m unable to find the 12% returns your tests are showing. This makes me curious to know what your entry method was. It seems like this would be better than a buy and hold strategy that many proponents suggest for ETF index investing. I’m just wondering how I can get this “free lunch” - have the same returns as an QQQQ without the sleepless nights like btw 2000-2003 :)

BTW, this is a awesome site!

Thanks,
Ryan

]]> By: Damian http://thetradingdigest.com/blog/2007/05/21/keep-it-simple-stupid/comment-page-1/#comment-998 Damian Mon, 21 May 2007 17:07:53 +0000 http://thetradingdigest.com/blog/2007/05/21/keep-it-simple-stupid/#comment-998 I'll take a guess at the exit: "I’d look to exit that one once we get a close above the high of 2 days prior. Otherwise a 10 day timed exit will occur." That it? I’ll take a guess at the exit:

“I’d look to exit that one once we get a close above the high of 2 days prior. Otherwise a 10 day timed exit will occur.”

That it?

]]>