Different triple MAs?

Discussion in 'Strategy Building' started by dac8555, Dec 9, 2005.

  1. dac8555

    dac8555

    I am not sure of what you mean by "optimize".

    i disagree that moving average are only good in the long run...

    here is a graph of QQQQ with a very short term moving average. 1-3-5 day. If i change that to a 7 20, 90 day moving average, the trade becomes unprofitable.

    sorry for the bloomberg in spanish....
     
    #11     Dec 9, 2005
  2. dac8555

    dac8555

    didnt upload...my bad. i guess we will just have to imagine!
     
    #12     Dec 9, 2005
  3. dac8555

    dac8555

    The unique aspect is that the time frame for the MAs is customized to where they DO work...I wish my stinking bloomberg screen would upload!!!!!

    YOu are right that if you take the average 4-9-15 or 50-100 day moving average, it will not prove to be profitable.
     
    #13     Dec 9, 2005
  4. dac8555

    dac8555

    lets see if i can post the graph in a different format....
     
    #14     Dec 9, 2005
  5. dac8555

    dac8555

    there it is. ok now here is a triple moving average on the qqqq with a much longer term moving average...you are lucky to break even. whereas the previos obviosly made $$.

    IS this the first time you have heard of this? it seems that most people use 1 system, and test the securities to see if they work for the system...rather than adjusting the system to meet the security.
     
    #15     Dec 9, 2005
  6. cnms2,
    I love your kind of nonlinear jerks. Hope to see you put some money in the market soon.
    :D
    nononsense
     
    #16     Dec 9, 2005
  7. dac8555

    dac8555

    looks like the first graph yield about 8-10 points of upside potential whereas "buy and hold" would have been roughly half that...
     
    #17     Dec 9, 2005
  8. Can you combine it with Parabolic SAR? When your MA signals are saying "buy" (whichever crossover that is), maybe check for confirmation from Parabolic SAR, too. I'd post a chart but I'm at work and don't feel like going on stockcharts.com right now.

    Maybe you shouldn't listen to me. I'm a noob :)
     
    #18     Dec 9, 2005
  9. cnms2

    cnms2

    I suggest you read Alexander Elder's "Come into my trading room ''. It explains how to put together a swing trading system.
     
    #19     Dec 9, 2005
  10. dac8555

    dac8555

    here is the parabolic chart. bloomberg woulndt let me do both at the same time. i played with the AF factor of the parabolics. lokks like it does close to te same thing with a .1 af factor (whatever the hell that is). nice call.

    it still has the problem of late signals. i think with parabolics too you can maybe add a fator of saying "if the price drops below the previoc days low, exit the trade until another buy signal is given" or something to that effect.
     
    #20     Dec 9, 2005