Sep

25

I had some fun developing a volatility breakout system back in 1996, which tested quite well until 2003. At the time I was not aware of the ever-changing cycle phenomena. Year after year I was observing increasing volatility and I thought that we would live with it (and possibly profit from it - a meal for a life time). However markets change, their structure changes, their players change.

That system is not testing that well at the moment. On the contrary, other systems which benefit from low volatility environments are doing well. If low volatility is here to stay, that is fine. But if the ever-changing cycle concept is true, I expect something new to happen again. In this contest, the "meal for a life time" concept should be reviewed and renamed in the "meal for the current cycle time".


Comments

Name

Email

Website

Speak your mind

Archives

Resources & Links

Search