FOMC and Market Predictability

Discussion in 'Trading' started by dan05, Jun 29, 2006.

  1. dan05



    I’ve been analyzing a trading system provided by for the last months.

    Results so far have been really good and in line with what they publish. The company today has provided some information on what to expect on a FOMC announcement with regards to their system.

    Clearly, as far as I understood their system can not predict what the market will do, as news is not computed in their system. The predictor predicts the inner dynamics of the market and not the instant reaction to the impact of news.

    From the attached paper, especially the Example 2, I was amazed on the initial prediction for the market. If these charts are correct, my conclusion is that their system is really predicting the market within certain limits, what I believe is quite impressive.

    What do you think? Any thoughts?
  2. what a subpar inconclusive PDf thanx for wasting my time. i was expecting something more detailed and explicit instead of broad generlizations.