Yes, each stock has its own parameters. But, before I consider a stock it has to perform well using a set of standard parameters. Briefly, based on the standard parameters, it needs a Win% around 50%, less than 10% drawdown, a profit factor of 2:1 or better, and stable performance over the test period that runs about 2 years. The optimizations run in a fairly tight range, for example, I use a parabolic exit and restrict the number of ATRs to 5-8, typically using 6. What I look for is mainly very stable performance. A quick way I check is to look for a more or less straight line equity curve. However, I do use statistics to compare the most recent 25 trades with the older trades. The most recent 25 trades must be in the Z=-+1.2 to <1.2> range. The formula for this is: X1-avg of "oldest trades X2-avg of most recent 25 trades Var1-variance of oldest trades Var2-variance of most recent 25 trades N1-number of old trades N2-number of most recent trades, usually 25 Z = (X2-X1) / squareroot( var1/n1 + var2/n2 ) I don't worry much if Z>1.2 as that shows the performance is improving. Thanks for wishing me luck. Overnight holds make a big difference. Typically, I hold 25-35 positions overnight, with both longs and shorts. For example, I had 34 open positions going into today's open with 14 shorts. I don't try to balance net long/ short exposure, although I plan to balance out using ETFs in the future. DS
sorry for the off topic question. how is your AMD 3gig and 2 gig RAM PC doing? and may I ask how much you paid for it? thanks and best of luck
$1500 and it's doing well. Big difference over my old 1g Pentium 3 system. It would take about 20 minutes for Tradestation to load the 75 charts I use. Now it takes under 90 seconds. DS
Tuesday, 9/9 3 Wins $1250 7 losses $260 Net $990 A day for 2 home runs and a lot of ground outs. I'll take it. Turns out one of my stocks announced some very positive news just after yesterday's close. Fortunately, I was long near the close and caught the move. Funny how some times stocks creep upwards, from seemingly days and days of drifting around, and then pop up. It would make one believe there is insider trading going on , but that can not be because it is illegal. Wonder then why this happens? DS
Weds.,9/10 7 winners for $620 10 losers for -$760 Net -$140 A decent day until the OBL video came out, then I got whipsawed some. DS