Does anyone still trade individual equities? + other ideas

Discussion in 'Stocks' started by Algo_Design_Kid, Mar 1, 2011.

  1. Has anyone taken the time to create their own "Sector SPDR's" composed of a few equities from each sector?

    I was wondering if purchasing stocks in a small basket such as this would have any benefit at all versus just buying and selling the ETF's? All I can think of is extra commissions and slippage.

    I have about 20 years worth of data with the top holdings from each sector. I am currently trying to create a program which identifies the type of market you are in and automatically implements a sector rotation program around these baskets of stocks. Ideally always trading 2 sectors if not more.

    I have tried to implement this idea into an intraday trading program, but at that level of visibility in the market with the addition of slippage + commissions it is pretty difficult to be honest. This idea would be around 1 -> 4-5 months holding periods.

    Has anyone else thought about doing something like this, etc?

    http://www.google.com/imgres?imgurl...ztweo1emLBg&page=1&ndsp=16&ved=1t:429,r:1,s:0




    Thanks.